Attachment Orders

[Keys]

Just about to take on a property where the rent is considerably behind and it's under rented.

I intend to take the tenants to the TT for rent arrears and have the agreed arrears catch up paid by means of an attachment order as the anticipated catchup period is in the vicinity of 2 years.

A few weeks into the catch up period, when the order is settled and running I intend to begin bringing the rent up to market.

My reasoning on using the attachment order is to ensure, as much as possible, the rent arrears is fully paid from W.I.N.Z. even should the tenant move to another property. Frankly, I want them to go but there are "circumstances" which make that difficult. One reason why the rent is considerably behind. I'd be very happy if they gave notice to leave.

My questions are:

Has anybody used an attachment order in this manner while the tenant is still residing in the property? and,

Is there anything I should ask at Mediation/TT to ensure the process of attachment to their benefit is smooth and trouble free?

[essence]

Attachment Order

Hi Keys

If you check out www.tenancytribunal.govt.nz of adjudications, you will see quite a few are from Housing New Zealand get $10-$20 added per week for arrears.

I'd pay the extra $90 (or whatever it is these days) for an AO, so that if you get your wish that they move, you'll always get money via their benefit.

Be aware though, that if the adjudicator believes awarding even $5 will put them into "poverty", however that is defined, you won't get any money.

Just don't push them to move until such time as you've got the AO in your favour!!!

I've just re-read your post. I wonder if it's possible, or worth trying, to get WINZ to pay the overdue rent in a lump sum. Yes, I know it's a bit like pushing sand uphill, but maybe worth a try. The pencil pushers probably won't be able to think outside the square at all, to be able to process that idea.

[Keys]

I've just re-read your post. I wonder if it's possible, or worth trying, to get WINZ to pay the overdue rent in a lump sum. Yes, I know it's a bit like pushing sand uphill, but maybe worth a try. The pencil pushers probably won't be able to think outside the square at all, to be able to process that idea.

If the amount was a small one then that's what I'd do, and yes - it works well.

Unfortunately, this is in the thousands.

I'd pay the extra $90 (or whatever it is these days) for an AO, so that if you get your wish that they move, you'll always get money via their benefit.

My thoughts exactly.

The place is underrented by $30 PW and, realistically, all I really want is an easy attachment order. Don't care if they leave or not. Yes, $5 per week is crud but I'm hoping they don't have enough intelligence to realise that they can lie at Mediation, first port of call, and then OE.

Mediation is the first step and the one where they are the most likely to agree to arrears payments. (keeping fingers crossed for the easy AO)

[essence]

How has it got to this point?

Hi Keys

Just out of interest, how has the rent got so far in arrears?

Bad management/manager (more than likely), family, or neglect?

Just curious, is all.

[Keys]

Hi Keys

Just out of interest, how has the rent got so far in arrears?

Bad management/manager (more than likely), family, or neglect?

Just curious, is all.

I believe that the owner/LL is a "nice man" and unable to insist on the maintaining the realities of the LL/tenant relationship.

Knowing him, the nice man doesn't have enough bastard in him to be effective.

[essence]

Tell you what.

I'll buy the property as it is now. Of course, I'd have to factor in the amount of rental (or lack there of!), the property arrears and future management costs!!!

And for all you forumites out there without a sense of humour THIS IS A JOKE!!!

[Keys]

I'll buy the property as it is now. Of course, I'd have to factor in the amount of rental (or lack there of!), the property arrears and future management costs!!!

And for all you forumites out there without a sense of humour THIS IS A JOKE!!!

1768 sm with a river boundary in a reasonable suburb of Christchurch. Two BRm older style home, single garage

What's your offer?

[Cassandra]

Arrears repayments with contingency

Mediation is the first step and the one where they are the most likely to agree to arrears payments. (keeping fingers crossed for the easy AO)

Hi Keys

If you manage to get a mediators order for repayments of $x per week - make sure it is sealed through the TT (usually is - but just keep in mind to look out that a TT seal is forthcoming). Mediators can make an order for redirection of rent, including arears repayments, directly from a WINZ benefit. (copy of the meditors order goes to WINZ) WINZ can & do make a lump sum arrears payments- but not sure how they work thier benchmark for payment amounts. Good luck!

I always get a mediators order with the contingency that if there is a failure at any time by the tenant in paying future rent and the rent arrears - as agreeed at mediation - at any time up to the point where the entire debt is repaid, then the entire debt is payable "immediately" . Also with a further contingency that if this is debt in its entireity is unpaid you will give 7 days notice for vacant possession (ie eviction with 7 days notice) These contingencies keep the defaulting tenants on thier toes! 3 strikes (counting original arrears) and they are OUT!

Debt collection will then need to be enforced through the courts. The TT seal is important; if they dont vacate after your 7 days notice a court bailiff can be called upon to enforce LL possession and the TT seal enables further debt collection /AO/ summons for Order of Examination- arrest for non -appearance- through the court collection system. (ps send all these notices via registered post or hand deliver /tape to door)

[Keys]

Thanks for the input Cassandra.

Up to speed on that stuff.

I've not yet gone straight to the court to have an attachment order done from Mediaton. I'm hoping someone has successfully got a Mediator to convince the tenant to have an attachment order immediately.

Yes, I know it costs around $90, but I suspect the owner will wear that as they have already written off the debt.

Hi Keys

If you manage to get a mediators order for repayments of $x per week - make sure it is sealed through the TT (usually is - but just keep in mind to look out that a TT seal is forthcoming). Mediators can make an order for redirection of rent, including arears repayments, directly from a WINZ benefit. (copy of the meditors order goes to WINZ) WINZ can & do make a lump sum arrears payments- but not sure how they work thier benchmark for payment amounts. Good luck!

I always get a mediators order with the contingency that if there is a failure at any time by the tenant in paying future rent and the rent arrears - as agreeed at mediation - at any time up to the point where the entire debt is repaid, then the entire debt is payable "immediately" . Also with a further contingency that if this is debt in its entireity is unpaid you will give 7 days notice for vacant possession (ie eviction with 7 days notice) These contingencies keep the defaulting tenants on thier toes! 3 strikes (counting original arrears) and they are OUT!

Debt collection will then need to be enforced through the courts. The TT seal is important; if they dont vacate after your 7 days notice a court bailiff can be called upon to enforce LL possession and the TT seal enables further debt collection /AO/ summons for Order of Examination- arrest for non -appearance- through the court collection system. (ps send all these notices via registered post or hand deliver /tape to door)

[Glenn]

I have done this once or twice.
Firstly it can be a problem but not impossible to get both the attachement order and the rent from WINZ. WINZ have a stop that prevents two payments going to the one account. It can take a bit or talking to remove that bar.
Secondly you are confusing the tribunal with the OE process.
The adjudicator or mediator can certainly make a conditional order and a specified amount per week catchup. The court staff at the OE take no notice of that amount.
A good process that I have used is to get your OE (you can only apply for this after the first order has been breached) before the eviction. That way you do not loose them. Once you have the OE hearing evict them.
This might sound a bit harsh but the courts are interpreting the RTA a funny way. Once the first breach occurs (like missed rent) and you do not enforce it (evict) if the next breach occurs more than 90 days after the first breach you can not evict the tenant.

[Keys]

I have done this once or twice.
Firstly it can be a problem but not impossible to get both the attachement order and the rent from WINZ. WINZ have a stop that prevents two payments going to the one account. It can take a bit or talking to remove that bar.

That's no problem. My system allows several accounts to be used. (don't ask, I'll tell no lies)

Secondly you are confusing the tribunal with the OE process.
The adjudicator or mediator can certainly make a conditional order and a specified amount per week catchup. The court staff at the OE take no notice of that amount.

Thanks Glenn, that's what I'm after.

A good process that I have used is to get your OE (you can only apply for this after the first order has been breached) before the eviction. That way you do not loose them. Once you have the OE hearing evict them.

Will do. In this case, with pleasure.

This might sound a bit harsh but the courts are interpreting the RTA a funny way. Once the first breach occurs (like missed rent) and you do not enforce it (evict) if the next breach occurs more than 90 days after the first breach you can not evict the tenant.

Thanks, some people don't deserve consideration.