VadeLab
AllowedTenancy Tribunal·

Tenancy Tribunal Grants Conditional Termination Order

Case No.

📌 In brief

The Tenancy Tribunal allowed tenants to stay in their rental home if they repay their overdue rent within one month. The tenants agreed to a repayment plan and showed they understood the consequences of not paying rent on time.

⚖️ Legal holding

A tenant is entitled to a conditional termination order if they demonstrate the ability to repay rent arrears within a specified timeframe and show understanding of the consequences of non-payment.

Topics

rent arrearsconditional termination order

Provisions

📖 What the law says

Residential Tenancies Act 1986 s.55

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

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

📖 Technical summary

The Tenancy Tribunal granted a conditional termination order allowing tenants to remain in their rental property if they repay their rent arrears within one month.

📜 Headnote Official document

The Tenancy Tribunal granted a conditional termination order allowing tenants to remain in their rental property if they repay their rent arrears within one month. The tenants accepted responsibility for the arrears and demonstrated the ability to repay the debt within the specified timeframe.

📚 Full judgment Official document

__________________________________________________________________________________ 5097768 1

[2025] NZTT 5097768

TENANCY TRIBUNAL - Video Location

APPLICANT: [redacted] [NAME]

Landlord

RESPONDENT: [redacted]

Tenants

TENANCY ADDRESS: [ADDRESS], [ADDRESS], [POSTCODE]

ORDER

1. [NAME] and [NAME] owe [COMPANY] As Agent For [NAME] $2,542.00 (“the debt”).

2. [NAME] and [NAME] must pay rent and the debt as follows:

a. By 4 weekly payments of $1,200.00, being $700.00 for rent and $500.00 for the debt.

b. A final payment of $1,242.00, being $700.00 for rent and $542.00 for the debt.

c. Payments will be every Friday, with the first payment on 21/02/2025 and continuing until 21/03/2025.

3. Payments will be allocated in the following order: rent, rent arrears, and the filing fee.

4. If the tenants fail to pay rent and rent arrears within 2 working days of the due dates:

__________________________________________________________________________________ 5097768 2

a. The tenancy at [ADDRESS], [ADDRESS], [POSTCODE] will terminate and the landlord will have immediate possession of the premises.

b. The balance of the debt will be payable immediately.

5. If the tenants fail to pay the filing fee within 2 working days of the due date, the filing fee will be payable immediately.

Description Landlord Tenant Rent arrears $2,515.00 Filing fee reimbursement $27.00 Total award $2,542.00 Total payable by Tenant to Landlord $2,542.00

Reasons:

1. Both parties attended the hearing.

2. The landlord has provided a rent summary, which shows rent arrears of $2,515 as of 7 February 2025. The tenants accept that the rent summary is correct. They say that they have fallen behind in paying the rent because one of the tenants’ income was significantly reduced in December 2024. They say that they are now both working full time, with combined weekly after tax income of more than $2,000, and can repay the rent arrears quickly.

3. The landlord has applied for termination of the tenancy and rent arrears. The tenant wants to repay the debt to avoid immediate termination.

Should a conditional termination order be made?

1. The rent was more than 21 days in arrears at the date of the hearing.

2. Where rent is at least 21 days in arrears at the date of the hearing, the Tribunal must make either a final or a conditional termination order. See section 55(1)(a) and (1A) and section 56(2) of the Residential Tenancies Act 1986.

3. I am satisfied the tenants will pay the debt within the period specified in the order and are unlikely to commit any further relevant breach. The evidence presented during the hearing shows that tenants have the financial means to repay the debt within one month. I am also satisfied that the tenants now understand the potential consequences of falling behind in rent payments and are unlikely to commit further relevant breaches. I have therefore granted a conditional termination order.

__________________________________________________________________________________ 5097768 3

4. The conditional termination order will lapse if it is fully complied with. If the tenant breaches the order, the possession order may be enforced for 90 days from the first breach. See section 64(4)(b) Residential Tenancies Act 1986.

[NAME]

13 February 2025

__________________________________________________________________________________ 5097768 4

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/

__________________________________________________________________________________ 5097768 5

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 tenants showed they could repay the rent arrears within one month.
  • The tenants demonstrated they now understand the consequences of not paying rent.
  • The tenants presented evidence showing they are both working full-time with sufficient income.

❌ Tends to be rejected

  • The landlord requested immediate termination without considering the tenants' ability to repay.
  • The landlord did not provide evidence that the tenants would continue to default on payments.

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

❓ Frequently asked questions

What did this decision decide?

The Tenancy Tribunal granted a conditional termination order, allowing tenants to remain in their rental property if they repay their rent arrears within one month.

What was the dispute about?

The dispute was about whether the tenants should be evicted for failing to pay their rent on time.

How did the court decide, and why?

The court decided to grant a conditional termination order because the tenants demonstrated the ability to repay the rent arrears within one month and showed understanding of the consequences of non-payment.

Which laws or rules were applied?

The Residential Tenancies Act 1986, sections 55(1)(a) and 56(2) were applied.

What was the argument that mattered most?

The argument that mattered most was that the tenants had the financial means to repay the rent arrears within one month and had shown understanding of the consequences of falling behind in rent payments.

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

The decision was for the tenants, who brought the case to avoid immediate eviction.

What does this mean for someone in a similar situation?

Someone in a similar situation might be able to avoid eviction if they can show they have the means to repay rent arrears and understand the consequences of non-payment.

What evidence or documents mattered?

The evidence that mattered included the tenants' acceptance of the rent summary showing arrears and their demonstration of the ability to repay the debt within one month.

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.
Conditional Termination Order Granted | Tenancy Tribunal | VadeLab