What was the outcome of Tenancy Tribunal case 4782577?

The tribunal order states: Natasha Kelleher and John Kelleher must pay Whittle Knight Property

How much money was awarded in case 4782577?

Filing Fee: $20.44 awarded to landlord; Rent Arrears: $4,607.14 awarded to landlord

What type of tenancy dispute was case 4782577?

The primary dispute was Rent arrears.

Where can I read the official tribunal order for case 4782577?

The official Ministry of Justice published order is available at https://forms.justice.govt.nz/search/Documents/TTV2/PDF/10010497-Tenancy_Tribunal_Order.pdf.

What was the outcome of Tenancy Tribunal case 4782577?

The tribunal order states: Natasha Kelleher and John Kelleher must pay Whittle Knight Property

How much money was awarded in case 4782577?

Filing Fee: $20.44 awarded to landlord; Rent Arrears: $4,607.14 awarded to landlord

What type of tenancy dispute was case 4782577?

The primary dispute was Rent arrears.

Where can I read the official tribunal order for case 4782577?

The official Ministry of Justice published order is available at https://forms.justice.govt.nz/search/Documents/TTV2/PDF/10010497-Tenancy_Tribunal_Order.pdf.

244 Major Hornbrook Road, Mount Pleasant, Christchurch Tenancy Tribunal Case 4782577 — Rent arrears

Reasons

Claims and awards in Tenancy Tribunal application 4782577 — net $4,627.58 NZD. Amounts reconciled from the published order (claims sum and net total). Verify on MoJ.
Claim	Landlord	Reason
Rent arrears	$4,607.14	Rent arrears
Filing fee reimbursement	$20.44	Filing fee reimbursement
Net award	$4,627.58
Total payable by Tenant to Landlord	$4,627.58

The landlord attended the hearing, conducted via video. The tenants did not join the conference and a call out was made to John Kelleher. The call was answered and he joined the hearing. Natasha Kelleher was unavailable due to a family situation. A tenant request for adjournment earlier today was declined.

The landlord has applied for rent arrears and reimbursement of the filing fee following the end of the tenancy.

The tenants entered into a fixed-term tenancy for approximately one year, commencing 19 December 2023 and ending 14 January 2025. The tenancy application was accepted by the landlord on 4 December 2023 and the tenancy agreement was drafted and sent to the tenants on 6 December 2023. It was signed by the tenants and returned the next day.

The tenants advised the landlord on 12 December 2023 that they would not be moving in. The landlord stated this explained as being due to their house not selling at auction. Mr Kelleher did not confirm that. The lack of a heat pump was mentioned as a problem 1 by him as another reason.

I do not consider it essential to confirm the motivations, regardless, the tenants elected not to proceed with the tenancy. There was a signed tenancy agreement that was binding. The fact the tenant did not move in has no bearing on their liability to pay rent until a new tenancy formed. The landlord advised the tenants of such liability. No attempt to assign the tenancy appears to have been made by the tenants.

The landlord agreed to early termination of the fixed term tenancy on the basis that the tenant was to pay rent until a new tenancy began. The premises was readvertised, and a new tenant selected on or around 18 December 2023. The challenge was that the tenant could not commence the tenancy until 31 January 2024.

How much is owed for rent?

The landlord’s rent summary records the new tenancy commencing on 31 January 2024, ending tenant rent liability on 30 January 2024. The landlord provided rent records which prove the amount owing then was $4,607.14. Other costs

A landlord who agrees to an early termination of a fixed term tenancy is entitled to recover from the outgoing tenants any reasonable expenses incurred by the landlord in respect of the early termination. A landlord who seeks to recover 1 The HHS heating standard was met. The heat pump was a post-contract tenant request with no statutory obligation on the landlord to accept or provide. such expenses from a tenant must first provide an itemised account of the expenses to the tenant (s 44A(1) and (2), Residential Tenancies Act 1986 (“RTA”).

I note here that the landlord has not sought such costs.

Because Whittle Knight Property Management Limited As Agent For Kate & Matt Campbell has wholly succeeded with the claim I must reimburse the filing fee. Mitigation of damage or loss

Section 49 RTA requires where any party to a tenancy agreement breaches any of the provisions of the agreement or of this Act, the other party shall take all reasonable steps to limit the damage or loss arising from that breach, in accordance with the rules of law relating to mitigation of loss or damage upon breach of contract.

The lapsed time to a new tenancy was raised by the tenant. This is noted but I also recognise the challenge in establishing a new tenancy so close to the holiday period. If the landlord decided to not accept the new tenancy, with a later commencement date, there is no guarantee that an alternative would have presented shortly afterwards. Further, if more costs were incurred by the landlord in attempting to find a new tenant who might take the premises sooner, the landlord may have decided to seek recovery of these costs.

I believe the landlord acted appropriately. It is easy to construct other realistic scenarios where the tenant rent liability may have extended beyond 30 January 2024 or where higher landlord break costs were incurred and later sought, negating any savings in rent liability.

It is unfortunate the tenants were unable to commence the tenancy but I find no grounds to decline or reduce the rent arrears as sought.

Claims and awards in Tenancy Tribunal application 4782577 — net $4,627.58 NZD. Amounts reconciled from the published order (claims sum and net total). Verify on MoJ.
Claim	Landlord	Reason
Rent arrears	$4,607.14	Rent arrears
Filing fee reimbursement	$20.44	Filing fee reimbursement
Net award	$4,627.58
Total payable by Tenant to Landlord	$4,627.58

Order

Natasha Kelleher and John Kelleher must pay Whittle Knight Property Management Limited As Agent For Kate & Matt Campbell $4,627.58 immediately, calculated as shown in table below:

Reasons

The landlord attended the hearing, conducted via video. The tenants did not join the conference and a call out was made to John Kelleher. The call was answered and he joined the hearing. Natasha Kelleher was unavailable due to a family situation. A tenant request for adjournment earlier today was declined.
The landlord has applied for rent arrears and reimbursement of the filing fee following the end of the tenancy.
The tenants entered into a fixed-term tenancy for approximately one year, commencing 19 December 2023 and ending 14 January 2025. The tenancy application was accepted by the landlord on 4 December 2023 and the tenancy agreement was drafted and sent to the tenants on 6 December 2023. It was signed by the tenants and returned the next day.
The tenants advised the landlord on 12 December 2023 that they would not be moving in. The landlord stated this explained as being due to their house not selling at auction. Mr Kelleher did not confirm that. The lack of a heat pump was mentioned as a problem 1 by him as another reason.
I do not consider it essential to confirm the motivations, regardless, the tenants elected not to proceed with the tenancy. There was a signed tenancy agreement that was binding. The fact the tenant did not move in has no bearing on their liability to pay rent until a new tenancy formed. The landlord advised the tenants of such liability. No attempt to assign the tenancy appears to have been made by the tenants.
The landlord agreed to early termination of the fixed term tenancy on the basis that the tenant was to pay rent until a new tenancy began. The premises was readvertised, and a new tenant selected on or around 18 December 2023. The challenge was that the tenant could not commence the tenancy until 31 January 2024.

How much is owed for rent?

The landlord’s rent summary records the new tenancy commencing on 31 January 2024, ending tenant rent liability on 30 January 2024. The landlord provided rent records which prove the amount owing then was $4,607.14. Other costs
A landlord who agrees to an early termination of a fixed term tenancy is entitled to recover from the outgoing tenants any reasonable expenses incurred by the landlord in respect of the early termination. A landlord who seeks to recover 1 The HHS heating standard was met. The heat pump was a post-contract tenant request with no statutory obligation on the landlord to accept or provide. such expenses from a tenant must first provide an itemised account of the expenses to the tenant (s 44A(1) and (2), Residential Tenancies Act 1986 (“RTA”).
I note here that the landlord has not sought such costs.
Because Whittle Knight Property Management Limited As Agent For Kate & Matt Campbell has wholly succeeded with the claim I must reimburse the filing fee. Mitigation of damage or loss
Section 49 RTA requires where any party to a tenancy agreement breaches any of the provisions of the agreement or of this Act, the other party shall take all reasonable steps to limit the damage or loss arising from that breach, in accordance with the rules of law relating to mitigation of loss or damage upon breach of contract.
The lapsed time to a new tenancy was raised by the tenant. This is noted but I also recognise the challenge in establishing a new tenancy so close to the holiday period. If the landlord decided to not accept the new tenancy, with a later commencement date, there is no guarantee that an alternative would have presented shortly afterwards. Further, if more costs were incurred by the landlord in attempting to find a new tenant who might take the premises sooner, the landlord may have decided to seek recovery of these costs.
I believe the landlord acted appropriately. It is easy to construct other realistic scenarios where the tenant rent liability may have extended beyond 30 January 2024 or where higher landlord break costs were incurred and later sought, negating any savings in rent liability.
It is unfortunate the tenants were unable to commence the tenancy but I find no grounds to decline or reduce the rent arrears as sought.

Tenancy Tribunal case 4782577 — Rent arrears at 244 Major Hornbrook Road, Mount Pleasant, Christchurch

At a glance

Tenancy Tribunal case 4782577 — Rent arrears at 244 Major Hornbrook Road, Mount Pleasant, Christchurch

At a glance

Award balance

Claims & awards

Order

Reasons

How much is owed for rent?

Topics & place

Residential Tenancies Act sections

Key findings

Property management

Frequently asked questions

Award balance

Claims & awards

Order

Reasons

How much is owed for rent?

Topics & place

Residential Tenancies Act sections

Key findings

Property management

Frequently asked questions