unpaid bills
📖 What is unpaid bills? Meaning and definition
In New Zealand tenancy law, 'unpaid bills' commonly refers to specific charges, like water rates, that a tenant is contractually or legally obligated to pay but has failed to do so. Landlords often seek to recover these amounts from tenants, sometimes applying the bond balance towards these debts or making a claim to the Tenancy Tribunal.
The Tenancy Tribunal has the authority to order tenants to pay these outstanding amounts. For instance, if a landlord provides evidence of unpaid water rates invoices and confirms that the charges are for the tenant's consumption, the Tribunal can order the tenant to pay the owed sum, along with any associated filing fees.
Payment arrangements for unpaid bills can vary. The Tribunal might order a lump sum payment by a specific date, or it could establish a weekly payment plan until the debt is cleared. Failure to adhere to these payment schedules can lead to further consequences, such as the immediate enforceability of the full outstanding balance through the District Court, or even the termination of the tenancy in some conditional orders.
It is important for both landlords and tenants to keep clear records of invoices and payments related to such bills. Landlords must be able to demonstrate that the charges are legitimate and relate to the tenant's usage, while tenants should ensure they understand their obligations regarding utility payments as outlined in their tenancy agreement.
📋 Requirements
- The landlord must provide evidence of the unpaid bills, such as invoices.
- The landlord must demonstrate that the charges are for the tenant's consumption and usage.
- The tenant must have been given notice of the hearing if the landlord is making a claim to the Tenancy Tribunal.
📝 Procedure
- The landlord files an application with the Tenancy Tribunal for recovery of unpaid bills.
- The tenant is notified of the hearing date and time.
- The Tenancy Tribunal hears the case, even if the tenant is absent but properly notified.
- The landlord presents evidence, such as invoices, to support their claim for unpaid bills.
- The Tenancy Tribunal makes an order for the tenant to pay the owed amount, which may include the filing fee.
💡 Examples
- A landlord successfully claimed unpaid water rates invoices from a tenant for the period of August 2024 to the end of the tenancy, with the balance of the bond being applied to the debt.
- The Tenancy Tribunal ordered a tenant to pay $1,249.06, comprising $1,222.06 for water rates and a $27.00 filing fee reimbursement, with a specific due date for payment.
- A tenant was ordered to pay $693.90 for water rates and a filing fee, with payments scheduled at $27.00 per week until the debt was paid in full.
- A conditional termination order was issued, stating that if a tenant failed to pay water rates arrears within two working days of a specified date, their tenancy would terminate.
❓ Frequently asked questions
What kind of bills can be considered 'unpaid bills' in a tenancy?
Based on the cases, unpaid bills frequently refer to water rates that a tenant is responsible for paying. The landlord must show these charges relate to the tenant's actual consumption.
What happens if a tenant doesn't pay their water rates?
If a tenant doesn't pay their water rates, the landlord can apply to the Tenancy Tribunal to recover the outstanding amount. The Tribunal can then order the tenant to pay the debt, potentially with a payment plan or even leading to tenancy termination in some circumstances.
Can a landlord use the bond to cover unpaid bills?
Yes, in one case, the landlord applied the balance of the bond to cover unpaid water rates. This suggests that the bond can be used to offset such debts, provided the claim is justified.
What evidence does a landlord need to claim unpaid bills?
A landlord typically needs to provide copies of the unpaid invoices and evidence confirming that the charges are specifically for the tenant's consumption and usage during the tenancy period.
What if I can't attend the Tenancy Tribunal hearing?
If you are given proper notice of the hearing but do not attend, the Tribunal may proceed in your absence. It's important to communicate with the Tribunal if you have a valid reason for not attending.
What are the consequences of not paying an order from the Tenancy Tribunal?
If you fail to make payments as ordered by the Tenancy Tribunal, the balance of the debt may become immediately payable and can be enforced through the District Court. In some cases, failure to pay can also lead to the termination of your tenancy.