Published tribunal order
Tenancy Tribunal case 9078584 — Tenancy dispute in Grey Lynn, Auckland
Decided 15 Jun 2026 · Published 15 Jun 2026 · Application 9078584
Landlord favoured
- Costs
- Interest
- Unit Titles
Order
- Anton Whaimata Blank must pay Body Corporate 407857 $18,750.31 immediately, calculated as follows: DescriptionsApplicantRespondent Levies $9,937.73 Interest$528.93 Costs: Legal fees$7,329.40 Costs: Legal fees to attend hearing (half hour) $166.75 Costs: Debt collection costs$287.50 Filing Fee$500.00 Total award$18,750.31 Total payable by Respondent to Applicant $18,750.31
Reasons
- Both parties attended the hearing on 15 June 2026. Monique MacGregor from Price Baker Berridge appeared on behalf of the Applicant.
- The Body Corporate has applied for recovery of unpaid levies, interest, costs and the filing fee from the unit owner.
Does the Unit Owner owe the levies claimed?
- A unit owner must pay all body corporate levies and outgoings payable for the unit. See sections 80(1)(f) and 121(1) Unit Titles Act 2010.
- The Body Corporate has determined the levies payable, and the unit owner's share has been calculated according to their utility interest.
- The Body Corporate has fixed the due date for the levies to be paid, and the unit owner has not paid the levies by that date. See section 124(1) Unit Titles Act 2010.
- The body corporate has provided records to prove that: a. The respondent is the owner of unit 5C at the unit address; b. The following levies were raised and due on the following dates, but were not paid in full or on time: Levy amountPeriod coveredDue dateAmount outstanding $5,004.81 01/08/24 – 31/07/25 15/03/25$1,778.57 $4,079.58 01/08/2025 – 31/07/2026 (instalment 1) 15/12/25$4,079.58 $4,079.58 01/08/2025 – 31/07/2026 (instalment 2) 15/03/26$4,079.58 c. Debt collection charges of $920.00 were incurred by the Body Corporate from Strata Title Administration Limited (STA) who are the Body Corporate’s professional Body Corporate Manager. A total of $287.50 remains outstanding. d. The debt was passed to lawyers and additional legal costs have been incurred; e. Regular communication, including levy notices, have been sent by the body corporate to the unit owner; f. A letter of demand was sent to the unit owner by post and email on 24 October 2025. The total amount owing on this date was $8,364.92 for outstanding levies, interest, debt collection and legal costs. Legal costs were $1,101.00 at this time; g. Two further levies of $4,079.58 were raised and due to be paid by 15 December 2025 and 15 March 2026, but were not paid by these dates; h. This application was filed on 27 February 2026 and the filing fee was incurred; i. The unit owner has made some repayments towards the outstanding levies detailed in the letter of demand; j. The total amount owed in levies up to the date of the hearing is $9,937.73 (excluding interest, debt collection and legal costs).
- The Applicant has proven that the Respondent owes the levies claimed.
Is the Unit owner liable for interest?
- If a unit owner fails to pay levies by the due date, interest accrues on the unpaid balance. A body corporate may charge interest up to 10% per annum. See section 128 Unit Titles Act 2010.
- The Body Corporate has resolved to charge interest at 10% per annum on unpaid levies. The Body Corporate has proved the amount of interest owing from the due date to the hearing date.
Is the Unit owner liable for costs?
- Pursuant to section 124 UTA, and as resolved at meetings of the Body Corporate, the Body Corporate is entitled to recover any reasonable costs incurred by it in collecting unpaid levies as a debt due by the owner to the Body Corporate.
- In accordance with the judgments (of the District Court and Court of Appeal respectively) in Body Corporate 162791 v Cheah DC Auckland, CIV2014-004- 0120, 24 June 2014 and Body Corporate 162791 v Gilbert [2015] NZCA 185, the Tribunal must order that the reasonable costs incurred by the Body Corporate in recovering the levies, objectively assessed, be paid by a defaulting unit owner.
- The Body Corporate was charged $920.00 by STA, the Body Corporate’s professional Body Corporate manager. This fee was for the costs incurred in trying to recover the debt such as, communicating with the respondent, the Body Corporate and processing and monitoring payments made. A total of $287.50 remains outstanding for the handover fee from STA to Price Baker Berridge. The handover fee relates to work undertaken by STA in instructing a legal debt collection agent to recover the debt and costs.
- I am satisfied the handover fee of $287.50 is a reasonable cost incurred by the applicant in collecting the levy.
- The applicant also seeks legal costs of $7,329.40. They have provided two invoices, together with a full breakdown of the time and costs incurred in collecting unpaid levies. Unfortunately, the respondent’s failure to comply with the letter of demand, stick to an agreed payment plan and pay additional levies on time has meant that these proceedings were required. Further legal costs have been incurred.
- I have reviewed the time and costs incurred. I am satisfied that the costs ordered are reasonable. All of the time charged relates to pursuing the recovery of unpaid levies. In this case, the Body Corporate agreed to a payment plan with the respondent, which the respondent defaulted on. This required additional time and attendance discussing the terms of the proposed payment plan with the respondent and Body Corporate, as well as following up with both parties when the payment plan was not adhered to.
- The applicant also seeks to recover legal fees incurred to attend the hearing. The hearing was 30 minutes. Therefore, I have granted the applicant’s claim for a total of $166.75 (including GST). The applicant’s hourly rate is $290.00 plus GST.
- To conclude, the respondent is liable to pay the following costs: a. Debt collection costs: $287.50 b. Legal fees in collecting the unpaid levies: $7,329.40 c. Legal fees to attend the hearing: $166.75 Filing fee
- Because the body corporate has succeeded with the claim, I have reimbursed the filing fee. Section 176(1) Unit Titles Act 2010 and section 102(4) Residential Tenancies Act 1986.