Tenant's Fixed-Term Tenancy Reduced Due to Severe Hardship
📌 In brief
The Tenancy Tribunal reduced a tenant's fixed-term tenancy due to unforeseen circumstances causing severe hardship. The tenant was granted relief from the fixed-term obligation and ordered to pay rent arrears and damages.
⚖️ Legal holding
A tenant is entitled to have their fixed-term tenancy reduced if there is severe hardship and the hardship to the tenant outweighs the hardship to the landlord.
📖 What the law says
This rule allows the Tenancy Tribunal to shorten a fixed-term tenancy if an unforeseen change in a tenant's situation causes them severe hardship, and this hardship is greater than any hardship the landlord would face if the tenancy were shortened. The Tribunal can also change other parts of the tenancy agreement as needed.
Plain-English explanation — does not replace advice from a lawyer.
📖 Technical summary
The Tribunal reduced the fixed-term tenancy and ordered the tenant to pay rent arrears and damages.
📜 Headnote Official document
The Tenancy Tribunal reduced a tenant's fixed-term tenancy due to unforeseen circumstances causing severe hardship. The tenant was granted relief from the fixed-term obligation and ordered to pay rent arrears and damages.
📚 Full judgment Official document
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[2025] NZTT 5204857, 5245611
TENANCY TRIBUNAL AT CHRISTCHURCH | TE TARAIPIUNARA RETIHANGA KI ŌTAUTAHI
APPLICANT: [redacted]
Tenant
RESPONDENT: [redacted]
Landlord
TENANCY ADDRESS: Unit/[ADDRESS], [POSTCODE]
ORDER
1. [NAME] must pay [NAME] and [NAME] $2,085.42 immediately, calculated as shown in table below.
Description Landlord Rent arrears (to 11 May 2025) $3,150.00 Repairs: Carpet $300.00 Repairs: Window Frames $1,003.58 Repairs: Paint 231.84 Total award $4,685.42 Bond $2,600.00 Total payable by Tenant to Landlord $2,085.42
2. The Bond Centre is to pay the bond of $2,600.00 (6520757-001) to [NAME] and [NAME] immediately.
3. The term of the fixed-term tenancy of [NAME] at Unit/[ADDRESS], [POSTCODE] is reduced and now ends immediately.
4. The parties other claims are dismissed.
Reasons:
1. Both parties attended the hearing.
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2. The tenant has applied for reduction of the fixed-term tenancy due to end on 18 January 2026. The tenant also claims that the landlord unreasonably withheld consent to her subletting the premises.
3. The landlord has applied for rent arrears, compensation, refund of the bond, and reimbursement of the filing fee.
Reduction of Fixed Term or Subletting?
4. The tenancy was for a fixed term to 18 January 2026.
5. The tenant lived at the property with two flatmates but was the sole tenant on the tenancy agreement. The agreement records that a maximum of 4 people can live at the premises.
6. In January 2025, the tenant was approached regarding a possible employment opportunity in Auckland. The opportunity was for a 6-to-9-month period. The tenant’s evidence was that the offer was desirable in terms career advancement and increased pay.
7. The tenant approached the landlord in February, advised it of the employment offer and asked whether two others could move into her room while she was away. She intended to remain liable for the tenancy for the fixed term.
8. The landlord refused that proposal and suggested that the tenant may prefer to end the tenancy completely but would be bound to the fixed term until a new tenant was found.
9. Both parties worked towards ending the tenancy, but the landlord has had difficulty finding a new tenant and the parties could not agree on when or whether this tenant’s liability should end. The tenant (and her flatmates) have moved out of the premises and returned the keys. The tenant then applied for an order reducing the fixed term.
10. The Tribunal may reduce a fixed term tenancy where:
a. there has been an unforeseen change in the applicant’s circumstances; and
b. there would be severe hardship to the applicant if the term is not reduced; and
c. the applicant’s hardship would be greater than the hardship to the other party if the term is reduced. See section 66(1) Residential Tenancies Act 1986.
11. There has been an unforeseen change in the tenant's circumstances. The tenant was approached with a desirable career opportunity which required her to move to Auckland. She did not anticipate or foresee that when she entered
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the fixed term tenancy. However, there is also merit to the landlord’s submission that the change of circumstances was within the tenant’s control in that she accepted an offer and resigned from fulltime employment, in circumstances where she was bound to the fixed term tenancy. The landlord submits that “unforeseen” refers to something which the tenant cannot control such as health issues or redundancy.
12. Neither party provided full and comprehensive evidence of the hardship they would suffer if the other was successful.
13. Ultimately, I did not decide whether early termination should be granted under s66 because the landlord has someone else wanting to move into the premises. I have terminated the tenancy to allow that to happen, and to mitigate the loss to both parties.
14. The issue for me to consider was the date that the tenant should pay rent to. When the tenant became aware of the new job proposal she asked to sublet the tenancy. The proposal was that her two flatmates would stay, and two others would move in instead of her temporarily. She intended to return to Christchurch at the end of her fixed term role and intended to remain liable for the tenancy for the fixed term. The landlord rejected that proposal.
15. A tenant may only part with possession or sublet the premises with the prior written consent of the landlord. The landlord may not withhold consent unreasonably. See section 44(2) and (3) Residential Tenancies Act 1986.
16. It seems that the landlord did not properly consider the tenant’s request and its grounds for refusing the temporary sub-letting are unclear. At the hearing the landlord’s main concern seemed to be around potential parking issues, even though the tenant had told the landlord that neither of the suggested replacements had a vehicle.
17. I find that the landlord unreasonably withheld consent to a proposed subletting, suggested an early termination instead, but (until recently) has not found a suitable replacement tenant and that has led to the current impasse between the parties. For that reason, I find that the tenant is liable for rent to 11 May 2025; not to the end of the tenancy. The landlord provided rent records which prove the amount owed.
Did the tenant comply with their obligations at the end of the tenancy?
18. 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. The tenant is required to replace worn out smoke alarm batteries during the tenancy.
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19. The landlord claims that gardening work had to be done at the end of the tenancy. Having regard to the photographs, any gardening or lawn mowing was modest. The landlord did not establish that the grounds were not reasonably tidy. This aspect of the claim is dismissed.
Is the tenant responsible for the damage to the premises?
20. 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.
21. The following damage was caused during the tenancy: carpet in one bedroom has a stain or mark which the landlord described as being melted and exterior aluminium joinery was badly scratched. The damage is more than fair wear and tear, and the tenant has not disproved liability for the damage.
22. Both parties provided photographs and the landlord provided quotes for repairs. Both parties’ photographs show the damage on the carpet, but it is unclear exactly what the issue is, and the landlord has not established the carpet needs to be replaced. I award $300 for the carpet damage recognising the aesthetic impact of the damage.
23. The aluminium joinery has been extensively scratched by the tenant’s dog. While dogs do scratch at doors, this is beyond any level of reasonable wear and tear (as suggested by the tenant). I award the full repair cost claimed.
24. The tenant also accepted a claim for a wall repair of $231.84. that amount is included in the orders made above.
25. Having regard to the parties’ respective degrees of success, I have not awarded reimbursement of either Tribunal application fee and have not granted the tenant’s request for suppression of her details.
[NAME]
28 May 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.
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].
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/
Reasons:
⚖️ What tends to weigh in cases like this
✅ Tends to be accepted
- The tenant faced an unforeseen change in circumstances due to a career opportunity.
- The tenant's hardship of having to choose between career advancement and fulfilling the tenancy outweighed the landlord's hardship.
- The landlord unreasonably withheld consent for subletting without clear justification.
❌ Tends to be rejected
- The tenant did not provide comprehensive evidence of the severity of their hardship.
- The tenant was partially responsible for damages to the premises, including carpet stains and scratched aluminum joinery.
- The tenant accepted responsibility for certain repairs, indicating acknowledgment of damage.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The Tenancy Tribunal reduced the tenant's fixed-term tenancy and ordered the tenant to pay rent arrears and damages.
What was the dispute about?
The dispute was about whether the tenant's fixed-term tenancy should be reduced due to unforeseen circumstances causing severe hardship.
How did the court decide, and why?
The court decided to reduce the fixed-term tenancy because the tenant faced severe hardship due to an unexpected job opportunity, and the hardship to the tenant outweighed the hardship to the landlord.
Which laws or rules were applied?
The Residential Tenancies Act 1986, sections 66 and 44 were applied.
What was the argument that mattered most?
The argument that mattered most was that the tenant faced severe hardship due to an unexpected job opportunity, and the hardship to the tenant outweighed the hardship to the landlord.
Was the decision for or against the person who brought the case?
The decision was for the tenant who brought the case.
What does this mean for someone in a similar situation?
Someone in a similar situation may be able to have their fixed-term tenancy reduced if they face severe hardship due to unforeseen circumstances.
What evidence or documents mattered?
The judgment mentions rent records and photographs of the damages.
