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Tenant ordered to pay landlord $4K after causing $40K damage to property

Tenancy Tribunal news

A tenant responsible for extensive damage to a rental property, totaling more than $40,000, has been ordered to pay $4085 to the landlord by the Tenancy Tribunal.

The property, newly renovated before the tenancy, suffered intentional and careless damage, including broken windows, large holes in walls, and damaged fixtures.

The tribunal determined the tenant was liable for multiple insurance excesses, totaling $750 per incident for 11 separate instances of damage.

Despite the extensive costs, the landlord could only claim the excess amounts under tenancy rules, which cap tenant liability for careless damage to the lower of four weeks’ rent or the insurance excess.

The case highlights challenges with insurance coverage for landlords, particularly how insurers define damage events.

While the tenant’s liability was mitigated by insurance, the case highlights the financial strain and legal complexities landlords face when repairing damage exceeding tenant liability limits.

Image credit: Getty Images

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5 COMMENTS

  1. You can see why many people prefer AirBNB to renting full time, can’t you. The landlord is always the “bad guy or girl” in this shitty country. Time the laws were amended to make them a lot fairer.

    • They need landlords to be fed up, over leveraged and drowning in debt + legal woes so they all decide to sell sell sell to BlackRock and its various associated cut outs.

  2. The policy of insurance cies is not to pay . Or delay as long as the beneficiary does not act and demand interests on what is due.
    One should ALWAYS demand (right away ) interests on what is due. You would be surprised how this speeds up the procedures

  3. Good reporting. However, it would be nice to know who is the name of the tenant so I don’t rent to them.

    Another cost to the landlord is the downtime of say 3 to 4 weeks rent income.

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