An Auckland landlord has been fined and deterred from future breaches after it was found she "tried to evade her responsibilities".
Rebecca Jane Allcock chose to use the Residential Tenancies Act only when it suited her, the Ministry of Business, Innovation and Employment (MBIE) said in a statement this morning.
She was ordered to pay $14,700 in exemplary damages to MBIE on behalf of four tenants affected by multiple breaches of the Tenancies Act, MBIE said, adding she "tried to evade her responsibilities".
Allcock was also given a three-year restraining order by the Tenancy Tribunal. The order means that, if she were convicted of certain future breaches of the Act during that time, Allcock could face a fine of up $3600 for not heeding the court's warning.
What happened?
MBIE said in a statement this morning: "The Tenancy Tribunal found Rebecca Jane Allcock required tenants to enter into prohibited transactions relating to clauses in tenancy agreements; failed to lodge bonds; and did not supply the required insulation, healthy homes and insurance statements with tenancy agreements."
The case began in February 2022, when a compliance officer from Tenancy Services began a "proactive audit" into properties managed by Allcock. That June, an investigator was alerted to "concerns that the landlord had breached the provisions of the Act".
Multiple properties were inspected, including four that Allcock leased and then sublet to tenants on a room-by-room basis.
"In October 2022, the landlord advised TCIT that she did not accept that she was a landlord for the purposes of the Act, as the tenants were in a flat-sharing arrangement," MBIE said today.
"However, in a decision made on June 14, 2024, the Tenancy Tribunal found that Ms Allcock did not reside in any of the premises as she had claimed and therefore was required to meet her obligations under the Act.
"The Tribunal found that the tenants had signed tenancy agreements that contained multiple clauses that contravened the Act such as the parties agreeing not to lodge the bond.
"In addition to this, Ms Allcock was also found to have committed unlawful acts by not providing the required insulation, Healthy Homes Standards (HHS) and insurance statements in the tenancy agreements."
The reaction
Tenancy Compliance and Investigations Team national manager Brett Wilson said landlords "cannot simply 'opt out' of the Act".
Adjudicator Hannah Cheeseman echoed Wilson's view.
"She was put on notice of concerns the Tribunal had as far back as September 17, 2021, and encouraged to seek legal advice.
"The landlord chose not to do so, instead choosing to use the Act when it suited but deny jurisdiction when it did not."
The Tenancy Tribunal's full order is available here.
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