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Unit owner ordered to pay levies and interest by Tenancy Tribunal

Case No.

📌 In brief

The Tenancy Tribunal ruled that a unit owner must pay levies and interest if they fail to meet the due dates set by the body corporate. This decision was based on the Unit Titles Act 2010.

⚖️ Legal holding

A unit owner must pay all levies and interest accrued if they fail to meet the due dates set by the body corporate.

Topics

leviesinterestunit titles act

Provisions

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

📖 What the law says

Unit Titles Act 2010 s.121

A body corporate can decide how much money is needed for its various funds and then charge unit owners levies to create and maintain these funds. These levies are calculated based on each unit owner's share of the utility interest or ownership interest, depending on the fund.

Unit Titles Act 2010 s.124

A body corporate must set a due date for levy payments. If a levy is not paid, the unpaid amount, along with any reasonable collection costs, can be recovered as a debt from the unit owner who owed it at the time or the current unit owner.

Unit Titles Act 2010 s.128

If a unit owner owes money to the body corporate under certain sections of the Act, interest will be charged on the unpaid amount. This interest rate cannot be more than 10% per year.

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

📖 Technical summary

The Tenancy Tribunal ordered the unit owner to pay levies and interest.

📜 Headnote Official document

The Tenancy Tribunal ordered the unit owner to pay levies and interest after determining that the unit owner failed to meet the due dates set by the body corporate under the Unit Titles Act 2010.

📚 Full judgment Official document

__________________________________________________________________________________ 9063384 1

[2025] NZTT 9063384

TENANCY TRIBUNAL AT REMOTE LOCATION | TE TARAIPIUNARA RETIHANGA

APPLICANT: [redacted]

RESPONDENT: [redacted] Owner

UNIT ADDRESS: Unit/[ADDRESS], [POSTCODE]

ORDER

1. [NAME] must pay [NAME] $5,807.44 immediately, calculated as follows:

Descriptions Applicant Respondent

Ordinary Levy: Long term operating to 29 May 2025

$4,228.24

Special Levy: Long term maintenance $809.30 Interest $269.90 Filing Fee $500.00 Total award $5,807.44 Total interest Total award with interest $5,807.44 Total payable by [NAME]

$5,807.44

Reasons:

1. The [NAME] representatives, [NAME] and [NAME] attended the hearing which was held by teleconference. The unit owner, [NAME] did not answer any of the three calls made at the scheduled time on the number provided to the Tribunal.

__________________________________________________________________________________ 9063384 2

2. [NAME] was served notice of the hearing by email.

3. Because I am satisfied the necessary service provisions have been met and [NAME] has not requested an adjournment, I conducted the hearing in [NAME]’s absence.

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. I am satisfied the unit owner is liable for the interest charges.

8. Because the [NAME] has succeeded with the claim I have reimbursed the filing fee. Section 176(1) Unit Titles Act 2010 and section 102(4) Residential Tenancies Act 1986.

[NAME] 29 May 2025

__________________________________________________________________________________ 9063384 3

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 required by the Unit Titles Act 2010.
  • Interest accrues on unpaid levies at a rate up to 10% per annum.
  • The body corporate provided records proving the amount of levies and interest claimed.

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 and interest.

What was the dispute about?

The dispute was about whether the unit owner had to pay levies and interest for failing to meet the due dates set by the body corporate.

How did the court decide, and why?

The court decided that the unit owner must pay levies and interest because they failed to meet the due dates set by the body corporate.

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 failed to pay levies by the due date set by the body corporate.

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?

Someone in a similar situation should ensure they meet the due dates set by the body corporate to avoid paying levies and interest.

What evidence or documents mattered?

The judgment does not specify the exact evidence or documents that mattered.

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.
Unit owner ordered to pay levies and interest | VadeLab