damages
📖 What is damages? Meaning and definition
In New Zealand tenancy law, 'damages' refers to the monetary compensation a tenant may be ordered to pay a landlord. These payments are typically for financial losses incurred by the landlord due to the tenant's failure to meet their obligations under the tenancy agreement or the Residential Tenancies Act. The Tenancy Tribunal determines the amount of damages based on evidence presented by the landlord regarding their losses.
Damages can cover a wide range of issues. Common examples include rent arrears, costs for cleaning the property, rubbish removal, and repairs for damage beyond normal wear and tear. The Tribunal may also award damages for specific items like replacing locks, repairing windows, or covering insurance excesses related to tenant-caused damage.
Often, these payments are deducted directly from the tenant's bond held by the Bond Centre. If the awarded damages exceed the bond amount, or if there is no bond, the tenant is ordered to pay the remaining amount directly to the landlord. The Tenancy Tribunal calculates the total award by itemising the various costs the landlord has incurred.
📋 Requirements
- The landlord must demonstrate financial loss.
- The loss must be attributable to the tenant's actions or inactions.
- Evidence of the costs incurred, such as invoices for repairs or cleaning, must be provided.
- The Tenancy Tribunal must make an order for payment.
📝 Procedure
- A landlord files an application with the Tenancy Tribunal.
- A hearing is held where both parties can present their case.
- The Tenancy Tribunal considers the evidence, such as descriptions of damage, repair costs, and rent ledgers.
- The Tribunal issues an order specifying the amount of damages to be paid.
- The ordered amount is often paid from the tenant's bond, with any remaining balance paid directly by the tenant.
💡 Examples
- A tenant was ordered to pay $911.65 for rent arrears, $75.00 for cleaning, and $180.50 for rubbish removal, all categorised as damages.
- A landlord successfully claimed $1,300.00 in damages from the bond to cover insurance excesses for damage to walls and doors.
- Tenants were ordered to pay $5,763.25 for damages including rubbish removal, installing a new garage door, repairing a downpipe, and lock replacement.
- Costs for spraying weeds, lawn care, and green waste removal were included in a Tenancy Tribunal order for damages.
❓ Frequently asked questions
What kind of things can be included in damages?
Damages can include a variety of costs such as unpaid rent, cleaning fees, rubbish removal, repairs for property damage, replacement of items like locks, and even insurance excesses related to tenant-caused issues.
How is the amount of damages calculated?
The Tenancy Tribunal calculates damages by itemising the specific costs the landlord has incurred due to the tenant's actions. This often involves looking at rent ledgers, invoices for repairs, or quotes for services like cleaning or rubbish removal.
Do I have to pay damages if I have a bond?
Often, damages awarded by the Tenancy Tribunal are paid directly from your bond. If the damages exceed the bond amount, you will be ordered to pay the remaining balance to the landlord.
What if I disagree with the landlord's claim for damages?
You have the opportunity to present your side of the story and any evidence you have at the Tenancy Tribunal hearing. The Tribunal will consider all evidence before making a decision on the damages.
Can a landlord claim for normal wear and tear?
No, landlords cannot claim damages for normal wear and tear. Damages are typically for losses caused by the tenant's actions or negligence that go beyond the expected deterioration of the property over time.