termination notice
📖 What is termination notice? Meaning and definition
In New Zealand tenancy law, a termination notice is a crucial document used to formally end a rental agreement. It specifies the date on which the tenancy will conclude, requiring the tenant to vacate the premises by that time. Landlords can issue these notices for various reasons, such as intending to sell the property, as seen in a case where a landlord gave 90 days' notice because the premises were to be put on the market for sale within 90 days after the termination date. However, a landlord's circumstances can change, potentially altering their original intent, though the tenant is still expected to move out as required by the notice.
Tenants can challenge a termination notice if they believe it is unlawful, for example, if it is considered 'retaliatory'. A retaliatory termination notice occurs when a landlord is motivated, wholly or partly, by the tenant exercising a right under their tenancy agreement or any Act, or by a complaint against the landlord. If a notice is declared retaliatory, it is an unlawful act, and exemplary damages may be awarded to the tenant.
The Tenancy Tribunal can also issue orders that terminate a tenancy, often in cases where a tenant has not met their obligations, such as paying rent arrears. In such situations, the Tribunal's order will specify the exact date and time the tenancy is terminated and possession is granted back to the landlord. This highlights that while landlords and tenants can issue notices, the Tribunal has the power to enforce or override them based on the specific circumstances and legal requirements.
📋 Requirements
- Must be given by a landlord or tenant to end a tenancy.
- Must specify the date the tenancy is required to end.
- For landlords, reasons for termination may include putting the premises on the market for sale.
- For a retaliatory termination claim, the tenant must prove the landlord was motivated by the tenant exercising a right or making a complaint.
📝 Procedure
- Landlord or tenant issues a written termination notice.
- The notice specifies the termination date.
- Tenant moves out of the premises as required by the notice.
- If challenged, the Tenancy Tribunal assesses the validity of the notice, considering factors like the landlord's stated reasons or potential retaliatory intent.
- The Tenancy Tribunal can issue an order to terminate a tenancy and grant possession to the landlord, often alongside other orders like payment of rent arrears.
💡 Examples
- A landlord gives a tenant a 90-day termination notice because they plan to sell the house, and the tenant moves out by the specified date.
- A tenant claims a 14-day termination notice is retaliatory because it was issued shortly after they complained about a wifi issue, but the Tenancy Tribunal finds insufficient evidence to support the claim.
- The Tenancy Tribunal orders a tenancy to be terminated and possession granted to the landlord due to the tenant's failure to pay rent arrears.
- A landlord issues a termination notice dated 16 September 2024, requiring the tenancy to end on 17 December 2024, and the tenant complies.
📚 Legal basis
- Residential Tenancies Act 1986
❓ Frequently asked questions
What is a 90-day tenancy termination notice?
A 90-day tenancy termination notice is a type of notice a landlord can give to a tenant, requiring the tenancy to end after 90 days. One common reason for this, as seen in cases, is when the landlord intends to put the premises on the market for sale within 90 days after the termination date.
Can a landlord change their mind after giving a termination notice?
Yes, a landlord's circumstances can change after giving a termination notice. For example, a landlord who initially intended to sell a property might later find they can borrow more money and no longer need to sell. However, the tenant is still generally expected to move out as required by the original notice.
What does it mean if a termination notice is 'retaliatory'?
A termination notice is considered 'retaliatory' if the landlord was motivated, either wholly or partly, by the tenant exercising a right under their tenancy agreement or any Act, or by making a complaint against the landlord. Giving a retaliatory notice is an unlawful act.
What happens if a termination notice is declared retaliatory?
If a termination notice is declared retaliatory by the Tenancy Tribunal, it is an unlawful act. The Tribunal may award exemplary damages to the tenant, up to a maximum of $6,500.00, as outlined in the Residential Tenancies Act 1986.
Who decides if a termination notice is retaliatory?
The Tenancy Tribunal decides if a termination notice is retaliatory. The tenant, as the applicant, must prove their case 'on the balance of probabilities,' meaning it is more likely than not that the landlord was motivated by the tenant's actions or complaints.
Can the Tenancy Tribunal terminate a tenancy?
Yes, the Tenancy Tribunal can issue an order to terminate a tenancy. This often happens in cases where a tenant has not fulfilled their obligations, such as paying rent arrears, and the Tribunal grants possession of the property back to the landlord.