Tenant Successfully Recovers Unpaid Levies and Costs
📌 In brief
The Tenancy Tribunal ruled in favour of the tenant, ordering the unit owner to pay $37,727.05, which included unpaid levies, interest, costs, and the filing fee. The decision was based on the Unit Titles Act 2010.
⚖️ Legal holding
A unit owner must pay all levies and outgoings payable for the unit as determined by the body corporate.
📖 What the law says
This section outlines some responsibilities of owners of principal units, including allowing the body corporate or its agents to enter their unit in emergencies or at reasonable hours for specific purposes like checking compliance, maintaining shared infrastructure, or repairing common property.
Plain-English explanation — does not replace advice from a lawyer.
📖 Technical summary
The claimant successfully recovered unpaid levies, interest, costs, and the filing fee from the respondent.
📜 Headnote Official document
The Tenancy Tribunal ordered the unit owner to pay the tenant $37,727.05, including unpaid levies, interest, costs, and the filing fee, as determined by the body corporate under the Unit Titles Act 2010.
📚 Full judgment Official document
__________________________________________________________________________________ 9061724 1
[2025] NZTT 9061724
TENANCY TRIBUNAL AT REMOTE LOCATION | TE TARAIPIUNARA RETIHANGA
APPLICANT: [redacted]
RESPONDENT: [redacted] Owner
UNIT ADDRESS: Unit/[ADDRESS], [POSTCODE]
ORDER
1. [NAME], and [COMPANY] As Trustees Of [COMPANY] must pay [NAME] $37,727.05 immediately, calculated as follows:
Descriptions Applicant Respondent
Special Levies (Roof Project) $33,280.00 Interest $2,247.54 [NAME] debt collection costs $1,309.51 Legal costs $390.00 Interest $2,247.54 Filing Fee $500.00 Total award $37,727.05 Total payable by Respondents to Respondent
$37,727.05
__________________________________________________________________________________ 9061724 2
Reasons:
1. The [NAME] Manager ([COMPANY]) attended the hearing via teleconference. [NAME] and Ms [NAME] (otherwise known as [NAME]) were both called on the numbers provided but the calls were not answered.
2. The absence of a party does not prevent the matter from being heard and determined.
3. The [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?
4. 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.
5. The [NAME] has determined the levies payable and unit owner's share has been calculated according to their utility interest.
6. The [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. The [NAME] has provided records to prove the amount claimed.
Is the Unit owner liable for interest?
7. 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.
8. The [NAME] has resolved to charge interest at 10% per annum on unpaid levies. The [NAME] has proved the amount of interest owing from the due dates to the hearing date.
Is the Unit owner liable for costs?
9. Pursuant to section 124 UTA, and as resolved at meetings of the [NAME], the [NAME] is entitled to recover any reasonable costs incurred by it in collecting unpaid levies as a debt due by the owner to the [NAME]. In accordance with judgments of the District Court and Court of Appeal respectively,1 the Tribunal must order that the reasonable costs incurred by the [NAME] in recovering the levies, objectively assessed, be paid by a defaulting unit owner.
1 [NAME] 162791 v [NAME] DC Auckland, CIV2014-004-0120, 24 June 2014 and [NAME] 162791 v Gilbert [2015] NZCA 185.
__________________________________________________________________________________ 9061724 3
10.The law about recovery of legal costs was further clarified in [NAME] 346799 Gueirard v Vu [2023] NZDC 19645.
11. I am satisfied that the legal costs ordered above are reasonable in connection with drafting and serving a letter of demand.
12. I also find that the costs incurred by the [NAME] in recovery of the debt are reasonable. This includes processing and monitoring any payments made, sending reminder notices, instructing legal, preparation of the file and attendance at the Tribunal, and all incidental communications.
13.Because the [NAME] has succeeded with the claim, the respondent must pay the filing fee. Section 176(1) Unit Titles Act 2010 and section 102(4) Residential Tenancies Act 1986.
[NAME] 10 April 2025
__________________________________________________________________________________ 9061724 4
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
⚖️ What tends to weigh in cases like this
✅ Tends to be accepted
- The unit owner must pay all levies and outgoings as determined by the body corporate.
- Interest can be charged up to 10% per annum on unpaid levies.
- Reasonable costs incurred by the body corporate in collecting unpaid levies can be recovered from the unit owner.
- The filing fee is recoverable if the body corporate succeeds in the claim.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The Tenancy Tribunal ordered the unit owner to pay the tenant $37,727.05, including unpaid levies, interest, costs, and the filing fee.
What was the dispute about?
The dispute was about the unit owner's refusal to pay the levies, interest, costs, and the filing fee as determined by the body corporate.
How did the court decide, and why?
The court decided in favour of the tenant because the unit owner was required to pay all levies and outgoings as determined by the body corporate under the Unit Titles Act 2010.
Which laws or rules were applied?
The Unit Titles Act 2010, sections 80(1)(f), 121(1), 124(1), and 128 were applied.
What was the argument that mattered most?
The argument that mattered most was that the unit owner must pay all levies and outgoings as determined by the body corporate under the Unit Titles Act 2010.
Was the decision for or against the person who brought the case?
The decision was for the person who brought the case, the tenant.
What does this mean for someone in a similar situation?
Someone in a similar situation can seek recovery of unpaid levies, interest, costs, and the filing fee from the unit owner under the Unit Titles Act 2010.
What evidence or documents mattered?
The evidence and documents that mattered included records proving the amount of levies and interest owing, and the resolution of the body corporate regarding the costs incurred in collecting the levies.
