Tenant Loses Tenancy Over Unpaid Rent and Failed Repayment Plan
📌 In brief
The Tenancy Tribunal ended a tenant's lease because they didn't pay their rent and didn't follow a repayment plan. The tenant admitted owing money but couldn't keep up with the payments.
⚖️ Legal holding
A tenant must pay rent arrears and comply with a repayment plan to avoid termination of the tenancy.
📖 What the law says
This section states that the Tenancy Tribunal must end a tenancy if the rent is at least 21 days overdue when the landlord applies to the Tribunal. It also allows for 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 rent arrears and the tenant's failure to adhere to a repayment plan.
📜 Headnote Official document
The Tenancy Tribunal terminated the tenancy of a tenant due to rent arrears and the tenant's failure to adhere to a repayment plan. The tenant acknowledged the arrears but failed to make the agreed payments.
📚 Full judgment Official document
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[2025] NZTT 5153265, 5234672
TENANCY TRIBUNAL AT REMOTE LOCATION | TE TARAIPIUNARA RETIHANGA
APPLICANT: [redacted]
Landlord
RESPONDENT: [redacted]
Tenant
TENANCY ADDRESS: [ADDRESS], [POSTCODE]
ORDER
1. The tenancy of [NAME] at [ADDRESS], [POSTCODE] is terminated, and possession is granted to [COMPANY] As Agent For [COMPANY], at 11.59pm on Wednesday 16 April 2025.
2. The [COMPANY] is to pay the bond of $1,240.00 (BN 00048730)) to [COMPANY] As Agent For [COMPANY] immediately.
3. [NAME] must pay [COMPANY] As Agent For [COMPANY] $4,057.00 immediately, calculated as shown in the table below:
Description Landlord Tenant Rent arrears to 14.4.2025 $5,270.00 Filing fee reimbursement $27.00 Total award $5,297.00 Bond $1,240.00 Total payable by Tenant to Landlord $4,057.00
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Reasons:
1. Both parties attended the hearing by telephone.
2. The landlord has applied for termination of the tenancy, rent arrears and refund of the bond.
3. The landlord provided rent records which prove that $5,270 is owed as at the hearing date for rent arrears. The records also show that only one payment of rent has been made by the tenant since the tenancy started on 10 December 2024.
4. The landlord also provided a copy of their letter to the tenant on 7 March 2025 recording a telephone conversation with the tenant that day in which they agreed to accept a repayment arrangement. The tenant was to start making weekly payments of $360, being $310 for current rent and an extra $50 for the arrears commencing from 20 March 2025. However, the rent record shows that the tenant has not made any payments as agreed.
5. The tenant acknowledged the arrears owed and explained that she has had financial difficulties.
6. The tenant also claimed that she had filed a cross application against the landlord yesterday but was unable to provide the application number. She said the application regarded the landlord’s failure to provide chattels such as a working fridge. The tenant may still pursue her application, but I am not satisfied that her cross application, if successful, would offset the arrears owed. Furthermore, I am not satisfied that it would be fair to allow the tenancy to continue with such high arrears pending determination of any cross application, given the tenant has not kept to the repayment arrangement she had already agreed with the landlord.
7. The tenant asked that I consider making a conditional termination order, setting out a repayment arrangement and only terminating the tenancy if she breached the arrangement. Under section 55(1A) Residential Tenancies Act 1986 (RTA), the Tribunal may, instead of making a final termination order for the non- payment of rent under subsection 55(1)(a), make a conditional order if, but only if, it is satisfied that—
a. the tenant will pay any rent in arrear within a period specified by the Tribunal; and
b. it is unlikely that the tenant will commit any further breach of a kind to which any of paragraphs (a), (b), and (c) of subsection (1) applies.
8. However, I accept the landlord’s submission that based on the payment history so far, they have no confidence that the tenant will keep to any arrangement and the likelihood is that arrears will continue to rise. Therefore, I decline to make an order under s55(1A) RTA.
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9. Rent was at least 21 days in arrears on the date the application was filed. The tenancy is terminated. See section 55(1)(a) RTA.
10. As the landlord has succeeded with their application, they are entitled to reimbursement of the filing fee.
K Stirling
14 April 2025
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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 tenant owes $5,270 in rent arrears.
- The tenant has a history of not making agreed payments.
- The landlord provided proof of financial agreement breaches.
❌ Tends to be rejected
- The tenant claimed financial difficulties but did not provide a satisfactory repayment plan.
- The tenant requested a conditional termination order but the tribunal was not confident in her ability to adhere to any repayment arrangement.
- The tenant suggested that a cross application might offset the arrears, but the tribunal found this unsatisfactory given the existing high arrears.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The Tenancy Tribunal terminated the tenant's tenancy due to unpaid rent and failure to follow a repayment plan.
What was the dispute about?
The dispute was over unpaid rent and the tenant's inability to follow a repayment plan.
How did the court decide, and why?
The court decided to terminate the tenancy because the tenant failed to pay the rent and did not adhere to the repayment plan.
Which laws or rules were applied?
The Residential Tenancies Act 1986, section 55 was applied.
What was the argument that mattered most?
The most important argument was the tenant's failure to pay rent and follow the repayment plan.
Was the decision for or against the person who brought the case?
The decision was against the tenant who brought the case.
What does this mean for someone in a similar situation?
Someone in a similar situation should ensure they pay their rent and adhere to any repayment plans agreed upon.
What evidence or documents mattered?
The rent records and the agreement on the repayment plan were the key pieces of evidence.