Published tribunal order
Tenancy Tribunal case 9069044 — Tenancy dispute in Grafton, Auckland
Decided 15 Sept 2025 · Published 15 Sept 2025 · Application 9069044
Landlord favoured
- Costs
- Interest
- Unit Titles
Order
- Hugo Jonathan Michael Miller, Rebecca Jane Allcock must pay Body Corporate 490569 $15,994.97 immediately, calculated as follows: DescriptionsApplicantRespondent Levy$9,467.00 Costs: Body Corp Manager's charges$920.00 Costs: s.124 Solicitor's charges$3,256.10 Costs: Solicitor's charges for hearing time $345.00 Interest: to 12 September 2025$1,506.87 Filing Fee$500.00 Total award$15,994.97 Total payable by Respondent to Applicant $15,994.97
Reasons
- Both parties attended the video hearing on 12 September 2025.
- Mr McFadyen appeared for the body corporate. Mr Connell appeared for the owner Hugo Miller and Ms Allcock attended the hearing in person.
- Mr Connell said that he had only recently been instructed. At the end of the hearing Mr Connell applied for an adjournment so that he could further investigate the claims made by the body corporate. The body corporate opposed that application.
- This application was filed with the Tribunal on 13 June 2025. The notice of hearing for the matter was sent to the parties on 8 July 2025. The Tribunal is required to deal with matters expeditiously. In my view, the owners have had more than sufficient time to instruct counsel. The application for an adjournment is dismissed.
- 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 owners say that they have a dispute with the body corporate. The dispute would appear to amount to a counterclaim relating to rent that they say has not been paid to them by the body corporate. Documents in support of that proposition were filed by the owner the day before this hearing. I have had the opportunity to review those documents. A dispute that has not been filed as a claim against the body corporate does not amount to a defence to the claims brought before the Tribunal today.
- 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.
- At the hearing, the owners informed the Tribunal that a payment of $17,774.10 had recently been made to the body corporate. This is the sum that the owner calculates is owing to the body corporate. The body corporate has since the hearing confirmed receipt of those funds, leaving a balance owing to the body corporate of $15,994.97.
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. I am satisfied that the costs ordered above are reasonable.
- As the body corporate has succeeded with the claim, I have ordered the owners to reimburse the filing fee. Section 176(1) Unit Titles Act 2010 and section 102(4) Residential Tenancies Act 1986.