Tenant Ordered to Pay Levies, Interest, Costs & Filing Fee

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[2026] NZTT 9078584

TENANCY TRIBUNAL AT REMOTE LOCATION | TE TARAIPIUNARA RETIHANGA

APPLICANT: [redacted]

RESPONDENT: [redacted] Owner

UNIT ADDRESS: Unit/Flat Unit 5C, 14-[ADDRESS], [POSTCODE]

ORDER

1. [NAME] must pay [NAME] $18,750.31 immediately, calculated as follows:

Descriptions Applicant Respondent

Levies $9,937.73 Interest $528.93 Costs: Legal fees $7,329.40 Costs: Legal fees to attend hearing (half hour)

$166.75

Costs: Debt collection costs $287.50 Filing Fee $500.00 Total award $18,750.31 Total payable by Respondent to Applicant

$18,750.31

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Reasons:

1. Both parties attended the hearing on 15 June 2026. [NAME] from [NAME] appeared on behalf of the Applicant.

2. [NAME] has applied for recovery of unpaid levies, interest, costs and the filing fee from the unit owner.

Does the Unit Owner owe the levies claimed?

3. A unit owner must pay all [NAME] levies and outgoings payable for the unit. See sections 80(1)(f) and 121(1) Unit Titles Act 2010.

4. [NAME] has determined the levies payable, and the unit owner's share has been calculated according to their utility interest.

5. [NAME] has fixed the due date for the levies to be paid, and the unit owner has not paid the levies by that date. See section 124(1) Unit Titles Act 2010.

6. [NAME] has provided records to prove that:

a. The respondent is the owner of unit 5C at the unit address;

b. The following levies were raised and due on the following dates, but were not paid in full or on time:

Levy amount Period covered Due date Amount outstanding

$5,004.81 01/08/24 – 31/07/25

15/03/25 $1,778.57

$4,079.58 01/08/2025 – 31/07/2026

(instalment 1)

15/12/25 $4,079.58

$4,079.58 01/08/2025 – 31/07/2026

(instalment 2)

15/03/26 $4,079.58

c. Debt collection charges of $920.00 were incurred by [NAME] from [COMPANY] ([NAME]) who are [NAME]’s professional [NAME] Manager. A total of $287.50 remains outstanding.

d. The debt was passed to lawyers and additional legal costs have been incurred;

e. Regular communication, including levy notices, have been sent by [NAME] to the unit owner;

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f. A letter of demand was sent to the unit owner by post and email on 24 October 2025. The total amount owing on this date was $8,364.92 for outstanding levies, interest, debt collection and legal costs. Legal costs were $1,101.00 at this time;

g. Two further levies of $4,079.58 were raised and due to be paid by 15 December 2025 and 15 March 2026, but were not paid by these dates;

h. This application was filed on 27 February 2026 and the filing fee was incurred;

i. The unit owner has made some repayments towards the outstanding levies detailed in the letter of demand;

j. The total amount owed in levies up to the date of the hearing is $9,937.73 (excluding interest, debt collection and legal costs).

7. The Applicant has proven that the Respondent owes the levies claimed.

Is the Unit owner liable for interest?

8. If a unit owner fails to pay levies by the due date, interest accrues on the unpaid balance. A [NAME] may charge interest up to 10% per annum. See section 128 Unit Titles Act 2010.

9. [NAME] has resolved to charge interest at 10% per annum on unpaid levies. [NAME] has proved the amount of interest owing from the due date to the hearing date.

Is the Unit owner liable for costs?

10.Pursuant to section 124 UTA, and as resolved at meetings of [NAME] is entitled to recover any reasonable costs incurred by it in collecting unpaid levies as a debt due by the owner to [NAME].

11. In accordance with the judgments (of the District Court and Court of Appeal respectively) in [NAME] 162791 v [NAME] DC Auckland, CIV2014-004- 0120, 24 June 2014 and [NAME] 162791 v Gilbert [2015] NZCA 185, the Tribunal must order that the reasonable costs incurred by [NAME] in recovering the levies, objectively assessed, be paid by a defaulting unit owner.

12.[NAME] was charged $920.00 by [NAME]’s professional [NAME] manager. This fee was for the costs incurred in trying to recover the debt such as, communicating with the respondent, [NAME] and processing and monitoring payments made. A total of $287.50 remains outstanding for the handover fee from [NAME] to [NAME]. The handover fee relates to work undertaken by [NAME] in instructing a legal debt collection agent to recover the debt and costs.

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13. I am satisfied the handover fee of $287.50 is a reasonable cost incurred by the applicant in collecting the levy.

14.The applicant also seeks legal costs of $7,329.40. They have provided two invoices, together with a full breakdown of the time and costs incurred in collecting unpaid levies. Unfortunately, the respondent’s failure to comply with the letter of demand, stick to an agreed payment plan and pay additional levies on time has meant that these proceedings were required. Further legal costs have been incurred.

15. I have reviewed the time and costs incurred. I am satisfied that the costs ordered are reasonable. All of the time charged relates to pursuing the recovery of unpaid levies. In this case, [NAME] agreed to a payment plan with the respondent, which the respondent defaulted on. This required additional time and attendance discussing the terms of the proposed payment plan with the respondent and [NAME], as well as following up with both parties when the payment plan was not adhered to.

16.The applicant also seeks to recover legal fees incurred to attend the hearing. The hearing was 30 minutes. Therefore, I have granted the applicant’s claim for a total of $166.75 (including GST). The applicant’s hourly rate is $290.00 plus GST.

17.To conclude, the respondent is liable to pay the following costs:

a. Debt collection costs: $287.50

b. Legal fees in collecting the unpaid levies: $7,329.40

c. Legal fees to attend the hearing: $166.75

Filing fee

18.[NAME] has succeeded with the claim, I have reimbursed the filing fee. Section 176(1) Unit Titles Act 2010 and section 102(4) Residential Tenancies Act 1986.

[NAME] 15 June 2026

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Please read carefully:

SHOULD YOU REQUIRE ANY HELP OR INFORMATION REGARDING THIS [COMPANY] [PHONE].

MEHEMA HE PĀTAI TĀU E PĀ ANA KI TENEI TAKE, PĀTAI ATU KI TE [COMPANY] [PHONE].

AFAI E TE MANA’OMIA SE FESOASOANI E UIGA I LENEI MATAUPU FA’AMOLEMOLE IA FA’AFESO’OTAI’I LOA LE OFISA O LE [COMPANY] [PHONE].

Rehearings:

You may make an application to the Tenancy Tribunal for a rehearing. Such an application must be made within five working days of the order and must be lodged at the Court where the dispute was heard.

The only ground for a rehearing of an application is that a substantial wrong or miscarriage of justice has or may have occurred or is likely to occur. Being unhappy or dissatisfied with the decision is not a ground for a rehearing. (See ‘Right of Appeal’ below).

Right of Appeal:

If you are dissatisfied with the decision of the Tenancy Tribunal, you may appeal to the District Court. You only have 10 working days after the date of the decision to lodge a notice of appeal.

However, you may not appeal to the District Court:

1. Against an interim order made by the Tribunal. 2. Against an order, or the failure to make an order, for the payment of money where the

amount that would be in dispute on appeal is less than $1,000. 3. Against a work order, or the failure to make a work order, where the value of the work

that would be in dispute on appeal is less than $1,000.

There is a $200.00 filing fee payable at the time of filing the appeal.

Enforcement:

Where the Tribunal made an order that needs to be enforced then the party seeking enforcement should contact the Collections Office of the District Court on [PHONE] or go to www.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.

http://www.justice.govt.nz/fines/civil-debt