Tenant Ordered to Pay $1,372.11 from Bond for Repairs and Break Costs
📌 In brief
In a recent Tenancy Tribunal case, the tenants were ordered to pay $1,372.11 from their bond to the landlord. The order covers various claims including repairs and break costs. The ruling was based on the Residential Tenancies Act 1986.
⚖️ Legal holding
A tenant is required to compensate a landlord for damages and costs exceeding fair wear and tear, as well as for break costs under a fixed-term agreement.
📖 What the law says
This section outlines a tenant's responsibilities, including paying rent on time, keeping the property reasonably clean and tidy, and notifying the landlord of any damage or needed repairs. When moving out, tenants must leave the premises reasonably clean and tidy, and remove all their belongings and rubbish.
Plain-English explanation — does not replace advice from a lawyer.
📖 Technical summary
The Tenancy Tribunal ordered the tenants to pay the landlord $1,372.11 from the bond, covering various claims including repairs and break costs.
📜 Headnote Official document
The Tenancy Tribunal ruled that the tenants must pay the landlord $1,372.11 from the bond, covering various claims including repairs and break costs. The ruling was based on the Residential Tenancies Act 1986, sections 40(1)(e)(ii)-(v) and 49B(3)(a).
📚 Full judgment Official document
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[2025] NZTT 5125128
TENANCY TRIBUNAL AT NELSON | TE TARAIPIUNARA RETIHANGA KI WHAKATŪ
APPLICANT: [redacted]
Landlord
RESPONDENTS: [redacted]
Tenants
TENANCY ADDRESS: [ADDRESS], [POSTCODE]
ORDER
1. [NAME] and [NAME] to pay [COMPANY] As Agent For [NAME] & [NAME] $1,372.11 from the bond, calculated as shown in table below.
Description Landlord Tenant Rent credit $337.14 Filing fee reimbursement $27.00 Replace furnishings: Lounge carpet - excess $550.00 Replace furnishings: bedroom 1 carpet - depreciated value
$250.00
Replace furnishings: bedroom 2 carpet - depreciated value
$230.00
Repairs $258.75 Cleaning $60.00 Break costs (50%) $333.50 Total award $1,709.25 $337.14 Net award $1,372.11 Bond $1,372.11 $987.89
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2. [COMPANY] is to pay the bond of $2,360.00 (3532442-010) immediately apportioned as follows:
[COMPANY] As Agent For [NAME] & [NAME]: $1,372.11
[NAME] and [NAME]: $987.89
Reasons:
1. The landlord attended the hearing, converted to teleconference due to the current closure of the Nelson District Court.
2. The tenants advised via email just prior to the hearing that they would not attend but that they disputed a number of the claims.
3. The landlord has applied for compensation via the bond and reimbursement of the filing fee following the end of the tenancy.
How much is owed for rent?
4. The tenancy ended on 22 November 2024. The tenants had purchased a home and requested a break. A new tenancy commenced immediately after this one and no loss of rent occurred. The landlord advised a rent credit of $337.14 in favour of the tenants was held by them. This has been applied against the debt in this order.
Did the landlord incur costs due to the break of the fixed-term?
5. This was a fixed-term tenancy for one year. It ended some 75% of the way through the fixed-term. No rent loss occurred due to a new tenancy commencing immediately.
6. The landlord sought $667.00 compensation for costs incurred due to the early ending of this fixed term. I accept the costs as detailed in the invoice (as required) are reasonable. However, in my view, when a fixed-term runs for much of the intended period, and with no rent loss and a new tenancy with a further one year fixed-term (as was the case here), some consideration to a time-based apportionment is appropriate. If the fixed-term had ended three months later, the costs sought here would have been incurred by the landlord at its expense, with any recovery from the owner per their commercial terms.
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7. Effectively, with a second one-year fixed term in place, the landlord has fixed- term certainty over an extended 21-month duration. It would be inequitable to assign all of the cost recovery on the tenant. I consider 50% of the cost paid by the tenant balances the respective costs and apportionment and I award that amount, being $333.50, as the reasonable costs for recovery.
Did the tenant comply with their obligations at the end of the tenancy?
8. At the end of the tenancy the tenant must leave the premises reasonably clean and tidy, remove all rubbish, return all keys and security devices, and leave all chattels provided for their benefit. See section 40(1)(e)(ii)-(v) Residential Tenancies Act 1986.
9. The tenant did leave most of the premises reasonably clean and tidy, and arranged a professional carpet clean. There were two pet cats during the tenancy and the landlord sought compensation for the removal of cat hair from curtains. Photos establish the need and most likely cause while an invoice evidenced the cost to remedy. The full invoice of $60.00 is awarded.
10. The amounts ordered are proved.
Is the tenant responsible for the damage to the premises?
11. A landlord must prove that damage to the premises occurred during the tenancy and is more than fair wear and tear. If this is established, to avoid liability, the tenant must prove they did not carelessly or intentionally cause or permit the damage. Tenants are liable for the actions of people at the premises with their permission. See sections 40(2)(a), 41 and 49B RTA.
12. Where the damage is caused carelessly, and is covered by the landlord's insurance, the tenant's liability is limited to the lesser of the insurance excess or four weeks' rent (or four weeks' market rent in the case of a tenant paying income-related rent). See section 49B(3)(a) RTA.
13. Where the damage is careless and is not covered by the landlord's insurance, the tenant's liability is limited to four weeks' rent (or market rent). See section 49B(3)(b) RTA. Where insurance money is irrecoverable because of the tenant's conduct, the property is treated as if it is not insured against the damage. See section 49B(3A)(a) RTA.
14. The following damage was caused during the tenancy:
a. Three rooms carpets was stained and/or damaged by pet urine. The landlord sought three excess amounts of $550.00 for each room. The carpet is soon to be replaced but of the three quotes, only the living room is considered where the excess of $550.00 is lower than the depreciated value. The two other rooms replacement cost, after depreciation, are less than the $550.00 excess in each instance. I have allowed the full excess
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for the living room but award the lower, depreciated value for ten-year-old carpet in the two other rooms at $250.00 and $230.00 respectively.
b. Damage to some internal surfaces from pets and damage to an external fence post. The cost claimed was $258.75. This is supported by the evidence and landlord’s submissions regarding prior discussion with the tenants regarding some of the damage. This cost is awarded in full.
15. The damage is more than fair wear and tear, and the tenant has not disproved liability for the damage.
16. The amounts ordered are proved.
17. I have taken into account betterment and depreciation. The landlord should be returned to the position they would have been in had the tenant not breached their obligations, and should not be better or worse off. In calculating depreciation, I have taken into account the age and condition of the items at the start of the tenancy and their likely useful lifespan. The carpet was approximately ten years old and the ingoing condition photos reflect such an age and expected condition. It still had a use beyond its expired economic life but the calculated residual value had, in two instances, been less than the excess sum sought.
Filing fee
18. [COMPANY] As Agent For [NAME] & [NAME] has substantially succeeded with the claim I have reimbursed the filing fee.
M Brennan
27 February 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 landlord was credited for a filing fee because they largely succeeded with their claim.
- The landlord was awarded the full cost for removing cat hair from curtains, as photos showed the need and an invoice evidenced the cost.
- The landlord was awarded the full excess for the living room carpet damage because the excess was lower than the depreciated value.
- The landlord was awarded costs for damage to internal surfaces and an external fence post, supported by evidence and prior discussions with tenants.
❌ Tends to be rejected
- The landlord's claim for 100% of break costs was reduced because the fixed-term ran for much of its intended period with no rent loss.
- The landlord's claim for the full $550 excess for two bedrooms' carpets was rejected because the depreciated value was lower than the excess.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The tenants were ordered to pay $1,372.11 from their bond to the landlord, covering various claims including repairs and break costs.
What was the dispute about?
The dispute was about the amount the tenants owed the landlord for damages and costs exceeding fair wear and tear, as well as for break costs under a fixed-term agreement.
How did the court decide, and why?
The court decided that the tenants must pay the landlord $1,372.11 from their bond, covering various claims including repairs and break costs. The decision was based on the Residential Tenancies Act 1986.
Which laws or rules were applied?
Residential Tenancies Act 1986, s 40(1)(e)(ii)-(v) Residential Tenancies Act 1986, s 49B(3)(a)
What was the argument that mattered most?
The argument that mattered most was that the damage to the premises exceeded fair wear and tear, and the tenants were responsible for the costs associated with these damages.
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?
For someone in a similar situation, it means that they may be required to compensate their landlord for damages and costs exceeding fair wear and tear, as well as for break costs under a fixed-term agreement.
What evidence or documents mattered?
The evidence included invoices for repairs and cleaning, as well as photos showing the extent of the damage.
