termination of lease
📖 What is termination of lease? Meaning and definition
In New Zealand, the termination of a lease means that a residential tenancy agreement is brought to an end. This typically occurs when a landlord applies to the Tenancy Tribunal, seeking an order to terminate the tenancy. The Tribunal has the authority to grant such an order under specific circumstances, particularly when a tenant has failed to meet their obligations under the tenancy agreement or the Residential Tenancies Act 1986.
One common ground for a landlord to seek termination of a lease is when the property has been abandoned by the tenant. Abandonment occurs when a tenant leaves the premises without a reasonable excuse, does not intend to return or fulfil their tenancy obligations, and fails to inform the landlord of their departure. In such cases, the landlord must also demonstrate that rent is in arrears at the time of the hearing.
Additionally, a lease can be terminated due to other breaches of the tenancy agreement by the tenant. This includes failing to occupy the premises as required or not remedying rent arrears after receiving a breach notice. The Tribunal will assess the evidence provided by the landlord, and if satisfied that the grounds for termination are met, it will issue an order ending the tenancy.
📋 Requirements
- The premises have been abandoned by the tenant.
- Rent is in arrears at the hearing date.
- The tenant leaves the premises without reasonable excuse, not intending to return or meet their obligations, and fails to notify the landlord.
- The landlord has applied for termination of the tenancy for breach of the tenant’s obligations.
📝 Procedure
- The landlord becomes aware that the tenant has abandoned the premises or breached the tenancy agreement.
- The landlord may issue a breach notice for rent arrears or other breaches.
- The landlord applies to the Tenancy Tribunal for termination of the tenancy.
- A hearing is held, which may proceed in the tenant's absence if they were properly served but did not attend.
- The Tribunal determines if the tenancy should be terminated based on the evidence presented.
💡 Examples
- A landlord applies for termination of a tenancy after discovering the tenant has left the property, leaving only rubbish and some personal items, and has not paid rent for two months.
- A tenancy is terminated because the tenant failed to occupy the premises as stipulated in the agreement and also accumulated significant rent arrears.
- After issuing a breach notice for unpaid rent, and receiving no contact or payment from the tenant, the landlord seeks and obtains a termination order from the Tribunal.
📚 Legal basis
- Residential Tenancies Act 1986
❓ Frequently asked questions
What does 'abandonment' mean in the context of a lease?
Abandonment means the tenant has left the rented property without a good reason, does not plan to come back or fulfil their responsibilities, and has not told the landlord about their departure.
Can a landlord terminate a lease just because rent is late?
The Tenancy Tribunal may terminate a tenancy if the premises have been abandoned and rent is in arrears at the hearing date, or for other breaches of the tenancy agreement, including failure to remedy rent arrears after a breach notice.
What happens if the tenant doesn't show up to the Tribunal hearing?
If the tenant was properly notified of the hearing but does not attend, the Tribunal may still proceed with the hearing and make a decision in their absence.
How does a landlord prove a tenant has abandoned the property?
Landlords typically provide evidence such as inspection reports showing the property is empty or contains only rubbish, records of attempts to contact the tenant, and proof of unpaid rent.
What is a 'breach notice'?
A breach notice is a formal written communication from the landlord to the tenant, informing them that they have violated a term of the tenancy agreement, such as not paying rent, and giving them a chance to fix the issue.
Where can I find the specific law about lease termination for abandonment?
Section 61 of the Residential Tenancies Act 1986 specifically addresses the Tribunal's power to terminate a tenancy where premises have been abandoned and rent is in arrears.