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AllowedTenancy Tribunal·

Tenancy Terminated for Rent Arrears

Case No.

📌 In brief

The Tenancy Tribunal ended a rental agreement because the tenant repeatedly failed to pay rent on time over a 90-day period. Despite multiple warnings from the landlord, the tenant did not rectify the situation, leading to the termination of the tenancy.

⚖️ Legal holding

A tenant's tenancy can be terminated if they fail to pay rent on three separate occasions within a 90-day period despite written notices.

📖 What the law says

Residential Tenancies Act 1986 s.55

This rule allows the Tenancy Tribunal to end a tenancy if the rent is at least 21 days overdue when the landlord applies to the Tribunal. It also allows termination if the tenant has caused or threatened significant damage to the property, or has assaulted or threatened the landlord or their family/agent.

Plain-English explanation — does not replace advice from a lawyer.

📖 Technical summary

The tenancy was terminated due to repeated rent arrears.

📜 Headnote Official document

The Tenancy Tribunal terminated the tenancy of a tenant due to repeated rent arrears over a 90-day period, following written notices from the landlord. The Tribunal found that the grounds for termination were met under the Residential Tenancies Act 1986.

📚 Full judgment Official document

__________________________________________________________________________________ 5048734 1

[2024] NZTT 5048734

TENANCY TRIBUNAL - Video Location

APPLICANT: [redacted]

Landlord

RESPONDENT: [redacted]

Tenant

TENANCY ADDRESS: [ADDRESS], [POSTCODE]

ORDER

1. The tenancy of [NAME] and [NAME] at [ADDRESS], [POSTCODE] is terminated, and possession is granted to [COMPANY] As Agent For [NAME], at 11.59 am on Monday 20 January 2025.

2. [NAME] and [NAME] must pay [COMPANY] As Agent For [NAME] $27.00 immediately, calculated as shown in the table below:

Description Landlord Tenant Filing fee reimbursement $27.00 Total award $27.00 Total payable by Tenant to Landlord $27.00

Reasons:

1. Both parties attended this remote hearing.

2. The landlord has applied for termination of the tenancy and rent arrears. The rent arrears application was withdrawn by the landlord as the rent was not in arrears as of the hearing date.

__________________________________________________________________________________ 5048734 2

Should the tenancy be terminated?

3. The Tribunal shall terminate a tenancy where:

a. on 3 separate occasions within a 90-day period the rent has been at least 5 working days in arrear; and

b. on each occasion the landlord gave the tenant written notice advising the tenant of the arrear, the dates for which rent was overdue, the amount or amounts of overdue rent, and the tenant’s right to make an application to the Tribunal challenging the notice; and

c. each notice stated how many other notices (if any) the landlord had given the tenant under this paragraph in relation to the same tenancy and 90-day period; and

d. the landlord’s application to the Tribunal was made within 28 days after the landlord gave the third notice. See section 55(1)(aa) Residential Tenancies Act 1986 (“RTA”)

4. In this case, I find the landlord has served notices on the tenant as required in the Residential Tenancies Act 1986, and the application to the Tribunal was made within 28 days of the date of the third notice.

5. The grounds have been established and the tenancy must be terminated. I have extended the date for termination at the request of the landlord.

6. Section 55(2) RTA allows the Tribunal to refuse to make an order for termination where the breach has been remedied and it is unlikely that the tenant will commit any further breach of a similar kind. The landlord explained that the tenants were frequently in arrears with their rent. The landlord said that they had communicated 84 times with the tenant about rent arrears during the course of the tenancy (a diary of the communication was provided). A total of 14 breach notices under s.56 RTA had been served on the tenants. I am not persuaded in light of the history of this tenancy, that it is unlikely that the tenant will not fall into rent arrears again in the future.

7. As [COMPANY] As Agent For [NAME] has wholly succeeded with the claim I must order the tenant to reimburse the filing fee.

S Young

__________________________________________________________________________________ 5048734 3

03 December 2024

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Please read carefully: Visit justice.govt.nz/tribunals/tenancy/rehearings-appeals for more information on rehearings and appeals.

Rehearings You can apply for a rehearing if you believe that a substantial wrong or miscarriage of justice has happened. For example: • you did not get the letter telling you the date of the hearing, or • the adjudicator improperly admitted or rejected evidence, or • new evidence, relating to the original application, has become available.

You must give reasons and evidence to support your application for a rehearing. A rehearing will not be granted just because you disagree with the decision. You must apply within five working days of the decision using the Application for Rehearing form: justice.govt.nz/assets/Documents/Forms/TT-Application-for-rehearing.pdf

Right of Appeal Both the landlord and the tenant can file an appeal. You should file your appeal at the District Court where the original hearing took place. The cost for an appeal is $260. You must apply within 10 working days after the decision is issued using this Appeal to the District Court form: justice.govt.nz/tribunals/tenancy/rehearings-appeals

Grounds for an appeal You can appeal if you think the decision was wrong, but not because you don’t like the decision. For some cases, there’ll be no right to appeal. For example, you can’t appeal: • against an interim order • a final order for the payment of less than $1000 • a final order to undertake work worth less than $1000.

Enforcement Where the Tribunal made an order about money or property this is called a civil debt. The Ministry of Justice Collections Team can assist with enforcing civil debt. You can contact the collections team on [PHONE] or go to justice.govt.nz/fines/civil-debt for forms and information.

Notice to a party ordered to pay money or vacate premises, etc. Failure to comply with any order may result in substantial additional costs for enforcement. It may also involve being ordered to appear in the District Court for an examination of your means or seizure of your property.

If you require further help or information regarding this matter, visit tenancy.govt.nz/disputes/enforcing- decisions or phone Tenancy Services on [PHONE].

Mēna ka hiahia koe ki ētahi atu awhina, kōrero ranei mo tēnei take, haere ki tenei ipurangi tenancy.govt.nz/disputes/enforcing-decisions, waea atu ki Ratonga Takirua ma runga [PHONE] ranei.

https://www.justice.govt.nz/tribunals/tenancy/rehearings-appeals https://www.justice.govt.nz/assets/Documents/Forms/TT-Application-for-rehearing.pdf https://www.justice.govt.nz/tribunals/tenancy/rehearings-appeals/ https://www.justice.govt.nz/fines/about-civil-debt/ https://www.tenancy.govt.nz/disputes/enforcing-decisions https://www.tenancy.govt.nz/disputes/enforcing-decisions http://www.tenancy.govt.nz/disputes/enforcing-decisions/

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A manaomia nisi faamatalaga poo se fesoasoani, e uiga i lau mataupu, asiasi ifo le matou aupega tafailagi: tenancy.govt.nz/disputes/enforcing-decisions, pe fesootai mai le Tenancy Services i le numera [PHONE].

Reasons:

⚖️ What tends to weigh in cases like this

✅ Tends to be accepted

  • The landlord served notices on the tenant three times within a 90-day period for rent arrears.
  • Each notice was given at least 5 working days after the rent was due.
  • Each notice included details about the arrears, the dates for which rent was overdue, and the amount of overdue rent.
  • Each notice informed the tenant of their right to apply to the Tribunal to challenge the notice.
  • The landlord's application to the Tribunal was made within 28 days of giving the third notice.

❌ Tends to be rejected

  • The tenants were frequently in arrears with their rent, despite previous communications and breach notices.
  • The landlord provided a diary showing 84 communications about rent arrears during the course of the tenancy.
  • The landlord served 14 breach notices under section 56 of the Residential Tenancies Act 1986.
  • The Tribunal was not persuaded that it was unlikely the tenant would fall into rent arrears again in the future.

Patterns observed in similar cases in this collection — every case is unique.

❓ Frequently asked questions

What did this decision decide?

The Tenancy Tribunal decided to terminate the tenancy due to repeated rent arrears.

What was the dispute about?

The dispute was about whether the tenancy should be terminated because the tenant failed to pay rent on three separate occasions within a 90-day period.

How did the court decide, and why?

The court decided to terminate the tenancy because the landlord had given the tenant written notices about the rent arrears, and the tenant had not resolved the issue.

Which laws or rules were applied?

The Residential Tenancies Act 1986, sections 55(1)(aa) and 55(2) were applied.

What was the argument that mattered most?

The most important argument was that the landlord had given the tenant three written notices about the rent arrears within a 90-day period, and the tenant had not paid the rent.

Was the decision for or against the person who brought the case?

The decision was for the landlord who brought the case.

What does this mean for someone in a similar situation?

Someone in a similar situation might face termination of their tenancy if they fail to pay rent on time despite receiving written notices from the landlord.

What evidence or documents mattered?

The evidence included the written notices sent by the landlord and the history of communication between the landlord and tenant about the rent arrears.

Official source: Tenancy Tribunal headnote and full judgment reproduced from the court's public records. View on the official source ↗Summary, holding, technical summary and questions: produced by Artificial Intelligence based on the official headnote and judgment. These are VadeLab’s own material and are not the work of the Court.This decision was issued by the Tenancy Tribunal and is reproduced from its published records. VadeLab is not affiliated with, and this page is not endorsed by, that court or tribunal.