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Tenant with Dementia: Tenancy Terminated Due to Incapacity

Case No.

📌 In brief

The Tenancy Tribunal ended a tenancy because the tenant, who had dementia, could not return to the rented home. The landlord showed proof of the tenant's condition and inability to live there.

⚖️ Legal holding

A landlord may terminate a tenancy for breach where the tenant lacks capacity and cannot return to the premises.

Topics

tenancy terminationdementiacapacity to contract

Provisions

📖 What the law says

Residential Tenancies Act 1986 s.56

This section allows the Tenancy Tribunal to end a tenancy if one party has broken the tenancy agreement or the Act. If the problem can be fixed, the party who wants to end the tenancy must first give the other party a notice asking them to fix the problem within at least 10 working days.

Plain-English explanation — does not replace advice from a lawyer.

📖 Technical summary

The tenancy was terminated due to the tenant's incapacity and inability to return to the premises.

📜 Headnote Official document

The Tenancy Tribunal terminated the tenancy of a tenant with dementia who could not return to the premises. The landlord provided evidence confirming the tenant's condition and lack of capacity.

📚 Full judgment Official document

__________________________________________________________________________________ 5217974 1

[2025] NZTT 5217974

TENANCY TRIBUNAL AT [Event location suppressed]

APPLICANT: [redacted]

Landlord

RESPONDENT: [redacted]

Tenant

TENANCY ADDRESS: [Tenancy address suppressed]

ORDER

1. An application for suppression has been made in this case, and the Tribunal orders suppression of the Tenant’s name and identifying details.

2. The tenancy of [The tenant/s] at [Tenancy address suppressed] is terminated on 25 March 2025, and possession is granted to [COMPANY] immediately.

3. Any rent credit from 26 March 2025 is to be held by the landlord pending an order from the Tenancy Tribunal for any vacated expenses. If no such claim is made, or there is surplus money after vacated expenses are deducted from the rent credit, rent credit or surplus is to be paid to the Public Trust following its appointment as the tenant’s financial manager.

4. All belongings remaining in the tenancy premises are to be stored by the landlord until the appointment in favour of the Public Trust is made so the Public Trust can direct what is to happen to the goods.

Reasons:

1. The landlord attended the hearing which was held by telephone. The tenant did not attend.

__________________________________________________________________________________ 5217974 2

2. The landlord has provided evidence which confirms the tenant has dementia and has been living in a secure dementia unit since 25 March 2025. Prior to that the tenant was in hospital for a long period.

3. The landlord attempted to end the tenancy earlier in 2025 by the tenant signing End of Tenancy forms. However the landlord was advised by the tenant’s social workers and hospital staff that the tenant did not have sufficient capacity to sign those forms.

4. The landlord understands proceedings have commenced in the District Court for a personal order in favour of the Public Trust so that they manage the tenant’s affairs. This is likely to take some months. Meanwhile the tenant is continuing to pay rent.

5. The landlord has applied for termination of the tenancy for breach of the tenant’s obligations.

Should the tenancy be terminated?

6. The Tribunal may terminate a tenancy for breach where, due to the nature or extent of the breach, it would be inequitable to refuse to terminate. See section 56(1) Residential Tenancies Act 1986.

7. Where the breach is not capable of remedy, the landlord is not expressly required to serve a 14-day breach notice on the tenant. A breach is not capable to remedy where the thing done, or its effect, cannot be undone.

8. The tenant has breached the terms of the tenancy agreement by not living at the premises.

9. I am satisfied from the evidence that the tenant will not return to the liver at the premises, but will remain residing in the dementia unit. It would be inequitable to refuse to terminate the tenancy.

10. The landlord has asked that the termination date be set at 25 March 2025, which is the date the tenant entered the dementia unit. I find this a reasonable and sensible outcome and terminate the tenancy on that date accordingly.

11. The landlord advises the tenant has continued to pay rent since 25 March 2025. Any rent credit from 26 March 2025 is to be held by the landlord pending an order from the Tenancy Tribunal for any vacated expenses, (ie such as cleaning). In the event that the landlord does not claim any vacated expenses, or that an order from the Tribunal for vacated expenses is for less than the rent credit, the surplus rent credit should be paid to the Public Trust in its capacity as her financial manager. That may mean the landlord holds the money until such time as the Court make the appropriate appointments in favour of the Public Trust.

__________________________________________________________________________________ 5217974 3

12. Likewise the landlord should store all belongings remaining in the tenancy premises until the appointment in favour of the Public Trust is made so they can direct what is to happen to the goods.

13. The landlord waives its right to reimbursement of the filing fee.

14. The name of the tenant and the address of the tenancy are suppressed as there is no public interest in this matter.

[NAME] 09 April 2025

__________________________________________________________________________________ 5217974 4

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 has dementia and cannot return to the premises.
  • The landlord provided evidence showing the tenant lacks capacity to fulfill the tenancy agreement.
  • The tenant is residing in a secure dementia unit and will continue to do so.
  • The breach of the tenancy agreement (not living at the premises) is not capable of remedy.
  • The landlord requested termination on the date the tenant entered the dementia unit, deemed reasonable by the court.

❌ Tends to be rejected

  • The tenant continued to pay rent since entering the dementia unit, but this did not prevent termination.
  • The landlord attempted to end the tenancy earlier through End of Tenancy forms signed by the tenant, but these were invalidated due to the tenant's lack of capacity.

Patterns observed in similar cases in this collection — every case is unique.

❓ Frequently asked questions

What did this decision decide?

The Tenancy Tribunal decided to terminate the tenancy of a tenant with dementia.

What was the dispute about?

The dispute was about whether the tenancy should continue given the tenant's dementia and inability to return to the premises.

How did the court decide, and why?

The court decided to terminate the tenancy because the tenant lacked the capacity to return to the premises and was living in a secure dementia unit.

Which laws or rules were applied?

The Residential Tenancies Act 1986, section 56(1) was applied.

What was the argument that mattered most?

The most important argument was that the tenant's dementia rendered them incapable of fulfilling their obligations under the tenancy agreement.

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, a tenancy may be terminated if the tenant is unable to fulfill their obligations due to incapacity.

What evidence or documents mattered?

Evidence showing the tenant's dementia and inability to return to the premises was crucial.

Official source: Tenancy Tribunal headnote and full judgment reproduced from the court's public records. View on the official source ↗Summary, holding, technical summary and questions: produced by Artificial Intelligence based on the official headnote and judgment. These are VadeLab’s own material and are not the work of the Court.This decision was issued by the Tenancy Tribunal and is reproduced from its published records. VadeLab is not affiliated with, and this page is not endorsed by, that court or tribunal.
Tenant with Dementia - Tenancy Termination - Tenancy | VadeLab