Published tribunal order
Tenancy Tribunal case 9066244 — Tenancy dispute in Mount Eden, Auckland
Decided 28 May 2025 · Published 28 May 2025 · Application 9066244
Landlord favoured
- Costs
- Interest
- Unit Titles
Order
- Judy-Lea Engel must pay Body Corporate 408710 $12,277.28 immediately, calculated as follows: DescriptionsApplicant Levies (due 28/05/24 & 30/11/24)$7,781.66 Water and Waste (due 05/23 to 05/25)$1,319.29 Interest: on debt$1,014.83 Costs$1,661.50 Filing Fee$500.00 Total payable by Respondent to Applicant $12,277.28
Reasons
- Both parties attended the hearing which took place by teleconference today.
- 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 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 the amount claimed.
- The body corporate seeks payment of levies due on 28 May 2024 and 30 November 2024 totalling $7781.66.
- The body corporate seeks payment of water and waste outgoings due from May 2023 to May 2025 totalling $1319.29.
- The unit owner advised that she does not dispute the amounts sought.
Is the Unit owner liable for interest?
- If a unit owner fails to pay levies or outgoings 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. A statement has been provided.
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. I am satisfied that the costs ordered above are reasonable.
- The amount sought for the hearing fee has been reduced as the hearing was completed within half an hour.
- 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.
- The unit owner explained her recent difficult circumstances. Mr Leishman advised that the Body Corporate was open to discussing a payment plan and the parties agreed to speak after the hearing to seek to make arrangements regarding this.