Published tribunal order
Tenancy Tribunal case 5014448 — Rent arrears at 7 Dee Place, Masterton, Masterton 5810
Decided 17 Jan 2025 · Published 17 Jan 2025 · Application 5014448
Landlord favoured
- Rent arrears
Order
- Faasau Brown an Alatise Siaosi Selu must pay the sum of $2,161.29 (“the debt”), being $2,134.29 for rent arrears and the filing fee of $27.00 by Friday 16 May 2025.
- Faasau Brown and Alatise Siaosi Selu must continue to pay their weekly rent in accordance with their tenancy agreement. The current weekly rent is $208.00 and is due on a Monday. The next payment is due on Monday 20 January 2025.
- All money paid will go first to current weekly rent, then to rent arrears, and then to the filing fee.
- If any payment of the current weekly rent, or rent arrears, is not paid within three (3) working days of the due date as indicated in orders 1) and 2) above: a) the tenancy shall terminate immediately; b) vacant possession shall be granted to Trust House Limited. c) any remaining debt will become due and payable in full immediately and is enforceable by the Collections Unit.
- Order 4 applies until the debt is paid in full.
- Failure to pay the application filing fee in full will result in order 4) c) only applying.
Reasons
- The landlord attended the hearing. There was no appearance for the tenant.
- The landlord has applied for termination of the tenancy, rent arrears and refund of the bond. The tenant has started to repay the debt to avoid immediate termination.
- The debt arose because for a period of 12 weeks between May and July last year, the tenants’ income-related rent increased from $216 to $468. The tenants continued to pay the $216.00 and did not increase their payments to cover the rent increase, leading rent arrears accruing.
- The weekly rent then reduced back to $208 in August 2024, but the tenant did not take any steps to reduce the arrears. However, over the past month, the tenant has now made four additional payments of $50.
- The landlord said that in all other respects the tenants are excellent tenants, keeping the place clean and tidy and paying their rent.
Should a conditional termination order be made?
- Where rent is at least 21 days in arrears on the date the application was filed, the Tribunal must make either a final or a conditional termination order. See section 55(1)(a) and (1A) Residential Tenancies Act 1986. The debt was $2,423.43 at the date the application was filed, which is well in excess of 21 days arrears.
- If the tenant continues weekly payments of $50.00, the debt will take over 40 weeks to clear. The landlord would like to give the tenant a further opportunity to repay the debt, but wants it repaid by the middle of May. Therefore, the tenant will either need to increase weekly payments of arrears to over $125 or get help to repay the debt.
- It may be that the tenant can take this order to WINZ and get a loan to repay Trust House Ltd cleared so that the tenancy is not terminated.
- The tenant has until Friday 16 May 2025 to repay the debt and must continue to pay weekly rent. The due date for rent is a Monday. The tenant usually pays on a Wednesday. The order allows for the rent to be paid up to 3 working days late, meaning it must be paid by a Thursday at the latest.
- If the debt is not paid in full by 16 May 2025, or if the tenant is late with a current weekly rent payment by more than 3 working days, the tenancy will be terminated and possession granted to Trust House Limited.
- The conditional termination order will lapse if it is fully complied with.
- If the tenant breaches the order, the possession order may be enforced for 90 days from the first breach. See section 64(4)(b) Residential Tenancies Act 1986.
- Because Trust House Limited has wholly succeeded with the claim I must reimburse the filing fee.
- The landlord asked if a copy of this order could be translated into Samoan for the tenants. That is not a service the Tribunal can provide.