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Property ManagementEnding A Tenancylevel4MEDIUM

Six months into a 12-month fixed term, a tenant is moved by her employer to another city at short notice. The landlord will not agree to end the tenancy early. What can the tenant do?

Correct Answer

A) Apply to the Tribunal to shorten the term for unforeseen severe hardship.

Section 66(1) lets the Tribunal reduce a fixed term where an unforeseen change in the applicant's circumstances means the severe hardship to the applicant if the term is not shortened outweighs the hardship to the other party. The Tribunal may order compensation to the landlord. Assignment with consent under s 43B is another option.

Answer Options
A
Apply to the Tribunal to shorten the term for unforeseen severe hardship.
B
Give 21 days' notice, because job transfers end any fixed-term tenancy.
C
Give 42 days' notice, because a change of workplace is a listed ground.
D
Leave without notice; the landlord's only remedy is to keep the bond.

Why This Is the Correct Answer

Section 66 is the route for early exit from a fixed term on hardship grounds.

Why the Other Options Are Wrong

Option B: Give 21 days' notice, because job transfers end any fixed-term tenancy.

The 21-day tenant notice is for periodic tenancies; a fixed term cannot be ended by notice this way.

Option C: Give 42 days' notice, because a change of workplace is a listed ground.

Forty-two days is a landlord notice period for set grounds, not a tenant exit route.

Option D: Leave without notice; the landlord's only remedy is to keep the bond.

Leaving would breach the agreement and expose her to rent and loss claims.

Background Knowledge for Property Management

Source: https://www.legislation.govt.nz/act/public/1986/0120/latest/whole.html

Exam Tip for Property Management

Fixed term, no agreement to leave: Tribunal hardship order or assignment.

Common Mistakes to Avoid on Property Management Questions

  • โ€ขAssuming periodic notice periods apply to fixed-term tenancies.
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