Pet Bonds in New Zealand Residential Tenancies
In New Zealand, a landlord cannot generally charge a separate "pet bond" in addition to the standard tenancy bond [Source: Residential Tenancies Act 1986, s 17]. The Residential Tenancies Act 1986 (RTA 1986) sets out strict rules regarding what payments landlords can request from tenants.
What is a Bond?
A bond is a sum of money paid by a tenant to the landlord or to Tenancy Services (an agency of the Ministry of Business, Innovation and Employment) to cover potential costs such as unpaid rent or damage to the property at the end of a tenancy agreement (a legally binding contract between a landlord and a tenant that sets out the terms and conditions of a tenancy) [Source: Residential Tenancies Act 1986, s 18].
The maximum amount a landlord can require for a bond is the equivalent of four weeks' rent [Source: Residential Tenancies Act 1986, s 19]. This maximum bond amount is intended to cover all potential liabilities of the tenant, including those related to pets, if applicable. Once collected, the bond must be lodged with Tenancy Services within 23 working days [Source: Residential Tenancies Act 1986, s 19(2)].
Prohibited Payments and "Pet Bonds"
The RTA 1986 specifies only certain payments that a landlord (the owner of a rental property, or someone acting on their behalf, who leases it to a tenant) can request or accept from a tenant (the person or people who rent the property from the landlord). These include rent, the bond, and payments for goods or services supplied at the tenant's request (e.g., a specific furniture item or cleaning service if agreed upon). Any other payment required as a condition of granting, renewing, extending, or continuing a tenancy is prohibited and often referred to as "key money" [Source: Residential Tenancies Act 1986, s 17, s 17A].
A separate "pet bond" is not listed as a permitted payment under the RTA 1986. Therefore, requiring an additional sum of money specifically for a pet, separate from or in addition to the maximum four weeks' rent bond, would likely be considered a prohibited payment under the Act [Source: Residential Tenancies Act 1986, s 17A].
Tenant Liability for Pet Damage
While a separate pet bond cannot be charged, tenants remain legally responsible for any damage caused by them or their pets beyond fair wear and tear (the natural deterioration of a property over time from normal use) [Source: Residential Tenancies Act 1986, s 40(1)(c)]. If a pet causes damage to the rental property, the landlord can claim the cost of repairs from the existing bond held by Tenancy Services. If the damage exceeds the bond amount, the landlord can apply to the Tenancy Tribunal for an order to recover the additional costs [Source: Residential Tenancies Act 1986, s 78].
Pets and Tenancy Agreements
Landlords can include clauses in tenancy agreements regarding pets, such as requiring permission before a pet is brought onto the property [Source: Residential Tenancies Act 1986, s 39]. A landlord may also be able to refuse permission for a pet, or set reasonable conditions for allowing a pet (e.g., requiring the tenant to have the carpets professionally cleaned at the end of the tenancy due to pet hair), provided these conditions do not involve charging a prohibited fee [Source: Residential Tenancies Act 1986, s 39]. The landlord cannot, however, require a tenant to pay a specific "pet insurance" premium as a condition of the tenancy [Source: Residential Tenancies Act 1986, s 17(2)(ca)].
Resolving Disputes
If a tenant believes their landlord is attempting to charge a prohibited pet bond, or if there is a dispute regarding pet-related damage or bond deductions, either party can apply to the Tenancy Tribunal (a judicial body that resolves disputes between landlords and tenants in New Zealand) for a resolution [Source: Residential Tenancies Act 1986, Part 4]. The Tenancy Tribunal has the power to make orders, including ordering the repayment of unlawfully collected money or determining liability for damage [Source: Residential Tenancies Act 1986, s 77].
When to Seek Independent Legal Advice
Individuals seeking to understand their specific rights and obligations regarding residential tenancies, or those involved in a dispute with a landlord or tenant, should seek independent legal advice. Information regarding tenancy law and dispute resolution processes is available from official government bodies such as Tenancy Services and through free services provided by Community Law Centres.
Key Resources
- Tenancy Services: https://www.tenancy.govt.nz
- Residential Tenancies Act 1986: https://www.legislation.govt.nz/act/public/1986/0120/latest/whole.html
- Community Law Centres: https://communitylaw.org.nz/