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AllowedTenancy Tribunal·

Unit Owner Ordered to Pay Levies and Costs in Tenancy Tribunal Case

Case No.

📌 In brief

The Tenancy Tribunal ruled that a unit owner must pay all levies and outgoings for their unit, including interest and reasonable costs incurred by the unit manager in collecting these amounts. This decision was based on the Unit Titles Act 2010 and the Residential Tenancies Act 1986.

⚖️ Legal holding

A unit owner must pay all levies and outgoings payable for the unit, including interest and reasonable costs incurred by the unit manager in collecting these amounts.

Topics

leviesinterestcosts

Provisions

Unit Titles Act 2010, ss 80(1)(f), 121(1), 124(1), 128, 176(1)Residential Tenancies Act 1986, s 102(4)

📖 What the law says

Unit Titles Act 2010 s.80

This section outlines some responsibilities of owners of principal units, including allowing the body corporate or its agents to enter the unit for various purposes like viewing its condition or maintaining shared infrastructure and common property.

Residential Tenancies Act 1986 s.102

This section generally states that the Tenancy Tribunal cannot award costs to or against parties in proceedings, unless certain exceptions apply, such as when proceedings are frivolous or vexatious, or when a party was represented by a lawyer.

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

📖 Technical summary

The Tenancy Tribunal ordered the unit owner to pay levies, interest, costs, and filing fees.

📜 Headnote Official document

The Tenancy Tribunal ordered the unit owner to pay levies, interest, costs, and filing fees to the unit manager. The decision was based on the Unit Titles Act 2010 and the Residential Tenancies Act 1986.

📚 Full judgment Official document

__________________________________________________________________________________ 9062644 1

[2025] NZTT 9062644

TENANCY TRIBUNAL AT REMOTE LOCATION | TE TARAIPIUNARA RETIHANGA

APPLICANT: [redacted]

RESPONDENT: [redacted]

Owner

UNIT ADDRESS: Units 20D & 21D, 18-[ADDRESS], [POSTCODE]

ORDER

[COMPANY] must pay [NAME] $12,436.30 immediately, calculated as follows:

Descriptions Applicant

Unpaid levies $4,583.24 [NAME] Manager charges $1,966.50 Legal costs $4,432.00 Appearance 1.5 hours $483.00 Interest $471.56 Filing Fee $500.00 Total award $12,436.30

Reasons:

1. The hearing was conducted remotely on Microsoft Teams.

2. [NAME] attended the hearing as agent for [NAME], the [NAME]’s lawyers.

__________________________________________________________________________________ 9062644 2

3. The unit owner did not attend. The hearing proceeded in their absence.

4. 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?

5. A unit owner must pay all [NAME] levies and outgoings payable for the unit.1

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

7. 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.2

8. The [NAME] has provided records to prove the unit owes the amount claimed.

Is the unit owner liable for interest?

9. 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 cent per annum.3

10. The [NAME] has resolved to charge interest at 10 per cent per annum on unpaid levies.

11. The [NAME] has proved the amount of interest owing from the due date to the hearing date.

Is the unit owner liable for costs?

12. 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].4

13. 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.

14. The [NAME] has incurred costs from its manager, [NAME], to repeatedly communicate with the unit owner to demand payment for the unpaid levies.

15. When the unit owner still did not pay the levies, the [NAME] understandably instructed its lawyers [NAME] to pursue the levies. The lawyers also made demand for the levies, which the unit owner did not pay. The [NAME] then took these proceedings. The [NAME] is entitled to claim its legal costs also.

16. The legal costs appear reasonable by reference to industry standards and the work involved. Today’s appearance fee is also reasonable.

1 Unit Titles Act 2010 (UTA, ss 80(1)(f) and 121(1). 2 UTA, s 124(1). 3 UTA, s 128. 4 UTA, s 124. [NAME] 162791 v Cheah DC Auckland, CIV2014-004-0120, 24 June 2014; and [NAME] 162791 v Gilbert [2015] NZCA 185; and [NAME] 346799 v Gueirard & Vu [2023] NZDC 19645.

__________________________________________________________________________________ 9062644 3

Filing fee

17. The unit owner must reimburse the [NAME] for its filing fee to bring the proceedings.5

.

[NAME] 08 May 2025

5 UTA, s 176(1); Residential Tenancies Act 1986, s 102(4).

__________________________________________________________________________________ 9062644 4

Please read carefully:

SHOULD YOU REQUIRE ANY HELP OR INFORMATION REGARDING THIS MATTER PLEASE CONTACT UNIT TITLE SERVICES [PHONE].

MEHEMA HE PĀTAI TĀU E PĀ ANA KI TENEI TAKE, PĀTAI ATU KI TE TARI UNIT TITLE SERVICES [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 UNIT TITLE SERVICES [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 for the unit.
  • Interest can be charged up to 10% per annum on unpaid levies.
  • Reasonable costs incurred by the unit manager in collecting unpaid levies are recoverable.
  • Legal costs incurred by the unit manager are considered reasonable and are recoverable.
  • The filing fee for bringing the proceedings is reimbursable by the unit owner.

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 levies, interest, costs, and filing fees to the unit manager.

What was the dispute about?

The dispute was about whether the unit owner owed levies, interest, costs, and filing fees to the unit manager.

How did the court decide, and why?

The court decided that the unit owner must pay all levies and outgoings for their unit, including interest and reasonable costs incurred by the unit manager, based on the Unit Titles Act 2010 and the Residential Tenancies Act 1986.

Which laws or rules were applied?

Unit Titles Act 2010, ss 80(1)(f), 121(1), 124(1), 128, 176(1) Residential Tenancies Act 1986, s 102(4)

What was the argument that mattered most?

The argument that mattered most was that the unit owner must pay all levies and outgoings for their unit, including interest and reasonable costs incurred by the unit manager.

Was the decision for or against the person who brought the case?

The decision was for the person who brought the case.

What does this mean for someone in a similar situation?

For someone in a similar situation, they should ensure they pay all levies and outgoings for their unit, including interest and reasonable costs incurred by the unit manager, to avoid legal action.

What evidence or documents mattered?

The evidence and documents that mattered included records proving the unit owed the amount claimed, repeated communication attempts, and legal costs incurred by the unit manager.

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.