Tenant Wins Exemplary Damages for Late Bond Lodgement

__________________________________________________________________________________ 5185391 1

[2025] NZTT 5185391

TENANCY TRIBUNAL AT REMOTE LOCATION | TE TARAIPIUNARA RETIHANGA

APPLICANT: [redacted]

Tenant

RESPONDENT: [redacted]

Landlord

TENANCY ADDRESS: [ADDRESS], [POSTCODE]

ORDER

1. [NAME] must pay [NAME] $777.00 immediately.

Description Tenant Exemplary damages: Not lodging the bond within prescribed period

$750.00

Filing fee reimbursement $27.00 Total award $777.00 Total payable by Landlord to Tenant $777.00

Reasons:

1. [NAME], the landlord, attended the hearing via video.

2. [NAME], the tenant, attended the hearing via teleconference.

3. [NAME] claims the landlord has not lodged the bond with the Bond Centre within the required time.

4. A landlord must send any bond payment to the Bond Centre within 23 working days after the payment is received. See section 19(1) Residential Tenancies Act 1986 (“RTA”).

__________________________________________________________________________________ 5185391 2

5. Breaching this obligation is an unlawful act for which the Tribunal may award exemplary damages up to a maximum of $1,500.00. See section 19(2) and Schedule 1A Residential Tenancies Act 1986.

[NAME]’s submissions

6. [NAME] emphasises that the bond was only lodged on 9 March 2025, five months after she moved in, and only after she filed an application with the Tribunal. [NAME] submits that [NAME] acted only because of her complaint, as previous attempts to contact him about the bond were ignored. She also notes that the property had no bond record for the previous tenant, suggesting a pattern of non-compliance.

7. Additionally, [NAME] alleges that [NAME] pressured her to withdraw the dispute once it was filed, sending her messages with excuses and offering to pay the bond in cash. She feels bullied by his behaviour and submits that there is no valid excuse for the delay, especially since she had provided evidence of her attempts to resolve the matter directly with him. She submits that the screenshots she submitted to the Tribunal support her claims of his unresponsiveness and subsequent attempts to dissuade her from pursuing the complaint.

8. In summary, [NAME] seeks accountability for [NAME]'s failure to comply with the RTA, highlighting the stress and inconvenience caused by his actions. She insists that the bond was lodged only due to her Tribunal application and that his behaviour demonstrates a disregard for legal obligations and tenant rights.

[NAME]’s submissions

9. [NAME] acknowledges his failure to lodge the bond within the required 23 working days under the RTA and apologises for the delay. He attributes his non-compliance to personal hardships, including the deaths of five family members within six months, which required multiple trips to Fiji for funerals and rituals. Additionally, he mentions financial strain caused by [NAME] initially missing three consecutive rent payments, though she later rectified this.

10. Despite these challenges, [NAME] confirms that he eventually lodged the bond on 9 March 2025, albeit late, and accepts responsibility for the oversight. He expresses remorse and requests leniency from the Tribunal, citing his difficult circumstances as mitigating factors. He emphasises that he has now complied with the law and hopes to move forward.

11. [NAME] denies any malicious intent and refutes [NAME]’s claim of bullying, framing his messages as attempts to resolve the matter informally. He

__________________________________________________________________________________ 5185391 3

maintains that his actions were influenced by his personal struggles rather than a deliberate disregard for his legal obligations.

12. Under section 19(1)(b) of the RTA, [NAME] must lodge the bond with the Bond Centre by 30 October 2024. However, [NAME] did not lodge the bond until 9 March 2025, resulting in a delay of 4 months and 10 days. I find that [NAME] has committed an unlawful act.

Exemplary damages

13. Where a party has committed an unlawful act intentionally, the Tribunal may award exemplary damages where it is satisfied it would be just to do so, having regard to the party’s intent, the effect of the unlawful act, the interests of the other party, and the public interest. See section 109(3) Residential Tenancies Act 1986.

14. The bond was only lodged on 9 March 2025, 5 months and 6 days after the tenancy began, and only after [NAME] applied with the Tribunal on 3 March 2025. [NAME] cited personal hardships, including family bereavements and financial difficulties, these circumstances do not entirely excuse the prolonged delay, particularly given [NAME]'s documented efforts to resolve the matter directly.

15. I consider this a serious breach warranting exemplary damages. [NAME]'s late compliance only after [NAME] filed her application seeking the Tribunal’s intervention, combined with evidence of attempts to dissuade [NAME] from pursuing her claim, demonstrates a disregard for his statutory obligations. This conduct undermines the protective purpose of the bond system.

16. Accordingly, [NAME] is ordered to pay [NAME] exemplary damages of $750 under section 109(1)(a) of the RTA. This amount reflects the gravity of the breach while accounting for the landlord's personal circumstances. The award serves to deter future non-compliance and affirm tenants' rights to timely bond lodgement.

__________________________________________________________________________________ 5185391 4

Filing fee

17. [NAME] has wholly succeeded with the claim I must reimburse the filing fee.

M Kan

22 May 2025

__________________________________________________________________________________ 5185391 5

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/

__________________________________________________________________________________ 5185391 6

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: