A unit title dispute is a disagreement between parties around a unit title development.

Examples of unit title disputes include:

• disagreements over parking, noise, or rubbish
• unpaid levies
• body corporate decisions, repairs, or maintenance.

Almost anyone involved in a unit title can find themselves in a dispute. This includes:

• owners or former owners
• a body corporate
• service contractors
• prospective (potential or future) buyers
• administrators or property managers.

If you are unsure of who you may be able file a dispute against, or if you require further information we recommend seeking legal or independent advice.

There are 3 ways to resolve a dispute:

• self-resolution
• mediation
• Tenancy Tribunal.

Self-resolution

Self-resolution is usually the fastest and easiest way to resolve a dispute. Parties can meet and discuss the dispute between themselves and reach an informal agreement. 

Tips for resolving a dispute

Open communication

Parties should have a conversation about their concerns in a comfortable and neutral setting. This could be a public meeting space, online video or over the phone.

Identifying issues and expectations

Each party should clearly explain their specific issues and what they hope to achieve.

Seek compromise

Look for a solution that meets everyone’s needs. Agree on reasonable timelines and responsibilities.

Document your agreement

Once you reach a solution ensure it is accurately and clearly documented so everyone understands and agrees to the terms.

If you cannot resolve a dispute informally the next step is a formal application to the Tenancy Tribunal.

Resolution through the Tenancy Tribunal

You can apply to have your dispute resolved through the Tenancy Tribunal. There are two processes available within the Tribunal:

• mediation
• adjudication (a hearing).

Mediation

Mediation is a process designed to help those involved in a dispute resolve it with the assistance of an independent mediator.

Applications for mediation are done through the Tenancy Tribunal dispute online portal. This process is less formal than a hearing.

Applying to resolve a dispute

The application fee to go through mediation is $250.

Process of mediation

1. One of the parties involved in the dispute submits an application to the Tenancy Tribunal.

Note: When filling in the disputes application form you can select mediation unless the dispute relates to unpaid levies. 

2. The Disputes team confirm that the dispute will go to mediation. 

3. A time is scheduled for mediation and a mediator assigned accordingly. Mediation can be over the phone, online, or in person.

4. The mediator holds a conversation for parties to discuss the dispute and work towards an agreed outcome. These conversations are confidential and legally privileged.

5. If all parties reach an agreement it is formalised as a legally binding ‘mediated order’ which (if sealed by the Tenancy Tribunal) is legally enforceable. The agreement becomes official and all parties must comply with the terms or there may be legal consequences.

6. If no agreement is reached or one of the parties does not agree to mediation, then the case proceeds to a Tenancy Tribunal hearing.

Tenancy Tribunal Hearing

The Tenancy Tribunal conducts formal hearings to settle a dispute if it cannot be resolved through mediation.

Applying to resolve a dispute

Disputes are decided by the tribunal adjudicator who is the legal decision maker. The tribunal adjudicator issues a decision based on the facts of the case and applying the law.

Note: If your dispute goes to a hearing you must attend the hearing as a decision can be made even if you are not present.

In some situations, a case conference may be directed by the tribunal to be conducted. A case conference is an initial meeting held prior to a hearing. Both parties will receive a notice to attend the case conference.

The fee for a hearing application is $500.

The Tenancy Tribunal deals with disputes regarding unit titles for financial claims up to $100,000.

The Tenancy Tribunal cannot consider claims that relate to the title of the land/complex or disputes around how insurance money is spent.

The Tenancy Tribunal can hear disputes about unit title developments under section 171 of the Unit Titles Act 2010.

Find out more about the Act:

Unit Titles Act 2010 No 22 (as at 09 May 2024), Public Act 171 Jurisdiction of Tenancy Tribunals — New Zealand Legislation(external link)

Find out more about Tenancy Tribunal hearings:

About the Tribunal — New Zealand Ministry of Justice(external link)

Disputes through the District or High Court

Disputes might go to the District Court if:

• the dispute is between $100,000 - $350,000, or
• the issue is about insurance money (up to $50,000).

Disputes might go to the High Court if:

• the issue is insurance money (over $50,000), or
• the issue is over $350,000.