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CITATION:                  Stella Property Group Pty Ltd v Meehan [2011]
                           QCAT 92

PARTIES:                   Stella Property Group Pty Ltd
                           v
                           Cassandra Meehan

APPLICATION NUMBER:        MCDT74-11

MATTER TYPE:               Residential tenancy matters

HEARING DATE:              14 March 2011

HEARD AT:                  Brisbane

DECISION OF:               Tammy Williams, Adjudicator

DELIVERED ON:              21 March 2011

DELIVERED AT:              Brisbane

ORDERS MADE:               1.   The respondent pays to the applicant the
                                sum of $364.00 forthwith; and

                           2.   The Residential Tenancy Authority releases
                                out of the balance of the rental bond
                                currently held:

                                a.    The sum of $364.00 to the applicant;
                                      and
                                b.    The sum of $135 to the respondent in
                                      full satisfaction of this order.

CATCHWORDS:                Residential tenancy – water rates – water
                           efficient property – unpaid rent – flea treatment –
                           failure to mitigate loss

APPEARANCES and REPRESENTATION (if any):

APPLICANT :                Ms Wilde

RESPONDENT:                Self-represented

REASONS FOR DECISION

Introduction

[1] The issue in dispute is whether the applicant is entitled to $499.00
    compensation from the respondent.
[2] Stella Property Group Pty Ltd filed an application with the Queensland Civil
    and Administrative Tribunal (QCAT), naming Ms Meehan as the respondent.

Hearing

[3] The Tribunal held a hearing at the Queensland Civil and Administrative
    Tribunal’s hearing rooms in Brisbane. Both parties were present and gave
    evidence under Oath. Appearing as agent for the applicant was Ms Wilde.

[4] The respondent entered into a fixed term tenancy agreement and leased the
    property from 1 May 2010 to 29 October 2010. The applicant claims the
    respondent failed to return the property “to the standard in which it was
    originally rented.”

[5] At hearing Stella Property Group Pty Ltd argued it was entitled to
    compensation for the following items:

       •   Rent (claimed to 17 November 2010 when the keys were returned to
           the applicant) – $330.19;
       •   Flea Treatments – $135.00; and
       •   Unpaid water rates – $33.81.

Relevant Legislation

[6] The Tribunal has jurisdiction to hear and decide this matter pursuant to
    sections 11 and 12 of the Queensland Civil and Administrative Tribunal Act
    2009 (the ‘QCAT Act’). This was a claim by the applicant against the
    respondent for relief under the Residential Tenancies and Rooming
    Accommodation Act 2009 (‘the Act’) for a residential agreement over the
    property located at the address identified in the claim.

Relevant Facts

Is the respondent liable to pay $33.81 for unpaid water rates?

[7] The General Tenancy Agreement entered into by the parties provides for the
    tenants to be liable for water supplied to the premises.

[8] Water invoices were calculated by the applicant on a pro rata basis for the
    periods 2/6/10 to 23/6/10; 19/9/10 to 12/9/10 with a total of $97.98. An
    amount of $64.17 was paid by the respondent, by way of an online deposit,
    leaving $33.81 of the utility bill outstanding.

[9] The respondent argues she is not liable for this amount because the
    property is not water efficient. The Tribunal notes the respondent’s email to
    the applicant dated 3 May 2010 advising of the “toilet leak[ing] down into the
    garage area… it’s almost pouring out and when it flushes it seems to take a
    very long time and lost of water.”

[10] On behalf of the applicant, Ms Wilde provided the following response to
   the tenant’s email:



                                                                   MCDT74-11 / Page 2 of 6
“In relation to the leaking toilet, I have arranged for Bob Wrench who is
        a plumber, to attend the property on Friday, 5 May 2010. Bob will be
        providing a quote to supply and install water saving devices at the
        property and I advise you will not be provided with water utility bills for
        payment until the property is water efficient.”

[11] A signed statement from Bob Wrench Plumbing was filed by the
   applicant on 10 February 2011, with leave from the Tribunal.

        “I hereby confirm that water efficient devices were fitted at the above
        property [294 Hamilton Road, Chermside], in the bath, shower and
        vanity basin taps, and a new 6-litre/3-litre toilet suite was fitted. The
        hose taps, kitchen taps and laundry taps were checked and were not
        leaking.”

[12] Notwithstanding Mr Wrench’s statement, the respondent further argued
   that “throughout the duration of our stay there, the laundry taps (for the
   washing machine) leaked quite badly. We informed the real estate but no
   action was taken on the matter.”

[13] The respondent was unable to provide the Tribunal with any supporting
   evidence. Therefore the Tribunal relies upon the signed statement from Mr
   Wrench, who was contracted to attend to the property and rectify any
   plumbing issues. His statement appears consistent with the evidence
   outlined in the series of emails exchanged between the parties.

[14] The Tribunal is satisfied the property was water efficient during the relevant
   periods, and finds the respondent liable to pay $33.81 for unpaid water
   rates.

Is the respondent liable to pay $330.19 for rent?

[15] The hand over date for the property was scheduled for Saturday,
   6 November 2010.

[16] On that date the respondent handed over the keys to Ms Wilde, however
   she was advised of items which needed to be attended to – additional
   cleaning, mowing the lawn and removing the ‘cat urine smell’ from the
   downstairs area.

[17] The back door to the property was left unlocked so the respondent could
   later gain entry to do the cleaning. However when the lawn was mowed on
   7 November 2011 by a contractor, he locked the back door. Upon learning
   of this, the respondent contacted Stella Property Group Pty Ltd and
   requested the keys be sent out to her.

[18] It is between the period of Monday, 8 November and Monday,
   15 November 2010 that the facts are not clear. The respondent sought to
   rely on a number of vague events which she says took place sometime
   during this period. Without specifying any particular dates or times, Ms
   Meehan states:



                                                                   MCDT74-11 / Page 3 of 6
•   She had a discussion with “Julia” (an agent for the applicant) where it
          was agreed “two days rent” was not owed by the tenants; and
      •   “At a later date, Julia calls at 5pm to request I pick the key from her
          house that night. I am unable to do so. The next day Julia says they
          will send the keys out to me in the post.”

[19] In her evidence the respondent does not clearly specify the date when
   she received the keys. Although Ms Meehan states she “did not check the
   mail box over the weekend as I had been advised that the keys would be
   posted out, and mail is not delivered on weekends.”

[20] The respondent also sought to explain the delay in returning the keys to
   the applicant on the basis she did not have internet access (because she
   was moving house); and therefore was unable to read the email message
   from Stella Property Group Pty Ltd advising her the keys were placed in the
   letter box. Ms Meehan further stated the applicant was aware she did not
   have internet access during this period.

[21] The applicant’s agent dismisses this argument by stating “the tenant was
   advised and contacted various times from the hand over date to return to the
   property to clean.”

[22] The tenant eventually returned the keys to the applicant by post – and it
   was received by them on Wednesday 17 November 2010. It is reasonable
   to expect a tenant to be liable for rent until the handover has been
   completed, the keys returned and their obligations to the property as tenants
   have been finalised – such as affecting repairs or doing cleaning. Indeed
   clause 18 of the Special Terms attached to the General Tenancy Agreement
   entered into by the parties at the commencement of the lease, clearly states:

          “Tenants agree to leave the property in the same condition as when
          they moved in, fair wear and tear excepted. Wheelie bins must be put
          out for emptying. Rent is payable up until all keys have been retuned
          to Stella Property Group.”

[23] A hand over was ‘attempted’ on the 6 November 2010. The Tribunal
   uses the word ‘attempt’, because the respondent was not able to hand over
   vacant possession of the property to the applicant on that occasion, as there
   were outstanding items needing to be attended to. Therefore prima facie,
   the respondent still has possession of the property and is thus liable for rent
   until those items have been rectified.

[24] There is no evidence to support Ms Meehan’s vague assertions that
   ‘Julia’ had agreed the tenants would not be liable for additional (albeit 2
   days) rent. For instance, she could not provide the Tribunal with key facts,
   such as the date or expand on the details of the conversation had.

[25] At the very least, the respondent was made aware on the morning of
   Saturday, 6 November 2010 of the need to do additional cleaning of the
   property and remove the ‘cat urine smell’ from the downstairs area. There is
   no evidence of Ms Meehan cleaning the property on either 6 or 7 November
   2010.


                                                                   MCDT74-11 / Page 4 of 6
[26] Additionally the respondent should have been aware from the outset (as
   per the Special Terms of the General Tenancy Agreement) of her liability to
   pay rent until the keys are returned and she had completed her tenancy
   obligations.

[27] The Tribunal is satisfied the grounds of the applicant’s claim for rent is
   established and therefore finds the respondent liable to pay $330.19.

Is the respondent liable to pay $135 for additional flea treatments?

[28] The respondent states she arranged fumigation of the property to take
   place on 1 November 2010 by Amalgamated Pest Control. This work was
   said to be guaranteed.

[29] On Saturday, 20 November 2010, Ms Wilde inspected the property –
   which she states “still smelt like cat urine and fleas were still present at the
   property.” Therefore the applicant engaged a second pest company (Pest
   Control Advantage) to provide the additional treatment.

[30] The issue before the Tribunal is whether the applicant had taken
   reasonable steps to mitigate any loss or expense, by contracting a different
   pest company to undertake an additional flea treatment. It is the cost of this
   subsequent flea treatment which the applicant seeks compensation for.

[31] Because the applicant is seeking a compensation order to be made in its
   favour, the Tribunal must have regard to the matters listed in section 421(1)
   of the Act, including whether the lessor has taken all reasonable steps to
   mitigate the loss or expense suffered. If this cannot be shown, then
   pursuant to section 362(3)(b) the lessor is not entitled to receive
   compensation for any loss or expense that could have been avoided by
   taking the steps.

[32] The applicant’s evidence to the Tribunal was that the tenant did not
   arrange for the property to be treated again for fleas. After making enquiries
   with Amalgamated Pest Control, it apparently “could not return to the
   property for another week” to provide another treatment. Therefore the
   applicant claims it was justified in contracting a different company to provide
   the pest control treatment.

[33]   The respondent strongly refuted the applicant’s claims.

          “Amalgamated [Pest Control] advised me that, looking back through
          their records, they had various timeslots available, before the 29 Nov,
          when they could have retreated (sic) the house. They are unsure as
          to why the respray (sic) was not scheduled for one of these earlier
          times.”

   The Tribunal notes neither party obtained a written statement from
   Amalgamated Pest Control, despite the obvious assistance it would have
   provided to the Tribunal in determining this matter.



                                                                   MCDT74-11 / Page 5 of 6
[34] The respondent also relied upon a sworn affidavit in which she detailed
   relevant events.

          20 November 2010 – “Michelle attends the property – 4 days after the
          receipt of the keys. She calls me at 12.29pm about the fleas and I
          remind her of Amalgamated’s guarantee. She requests the receipt,
          and I remind her that I gave her the only copy.”

          23 November 2010 – “Unbeknown to me, Julia calls Amalgamated
          and arranges a flea service call for 29 November 2010. This is three
          days after Michelle reinspects the property, and one week after
          receiving the keys in the mail.”

          25 November 2010 – “New tenants move in and Julia calls
          Amalgamated to “postpone” the service call.”

          26 November 2010 – “5.24pm: Michelle calls to advise me that she
          had another company to fumigate the property at a cost of $135.”

[35] From the evidence, it is unclear whether there is any truth to the
   applicant’s claim that Amalgamated Pest Control was unavailable to re-
   fumigate the property before the 29 November 2010. Nonetheless, the
   Tribunal is not satisfied the applicant took reasonable steps to mitigate any
   loss or expense suffered.

[36] The evidence before the Tribunal shows that the applicant received the
   keys to the premises on 17 November 2010. The applicant was then
   reminded on 20 November 2011 by the respondent of Amalgamated Pest
   Control’s guarantee. There is no evidence to show that the applicant called
   Amalgamated Pest Control to re-fumigate the property before the 23
   November 2010. Hence, since the date in which Stella Property Group Pty
   Ltd received possession of the property on 17 November 2010 until the 23
   November 2010 – some six days – no steps were taken by the applicant to
   evoke Amalgamated Pest Control’s Guarantee.

[37] Therefore because of this failure to take reasonable steps to mitigate any
   loss or expense, the Tribunal is not satisfied the respondent should be liable
   to compensate the applicant the cost it incurred for the additional flea
   treatment.

Conclusion

[38] In consideration of the matters mentioned above, the Queensland Civil
   and Administrative Tribunal is satisfied Stella Property Group Pty Ltd has
   only established part of its claim. It is therefore entitled to compensation for:

   (a) Part payment of one weeks rent, being $330.19; and
   (b) Unpaid water rates, being $33.81 - therefore totalling an amount of
       $364.00.

   This amount is to be deducted from the balance of the rental bond currently
   held by the Residential Tenancies Authority, in full satisfaction of this order.


                                                                    MCDT74-11 / Page 6 of 6

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Qcat Published Decision Water Bills, Unpaid Rent And Flea Treatment

  • 1. CITATION: Stella Property Group Pty Ltd v Meehan [2011] QCAT 92 PARTIES: Stella Property Group Pty Ltd v Cassandra Meehan APPLICATION NUMBER: MCDT74-11 MATTER TYPE: Residential tenancy matters HEARING DATE: 14 March 2011 HEARD AT: Brisbane DECISION OF: Tammy Williams, Adjudicator DELIVERED ON: 21 March 2011 DELIVERED AT: Brisbane ORDERS MADE: 1. The respondent pays to the applicant the sum of $364.00 forthwith; and 2. The Residential Tenancy Authority releases out of the balance of the rental bond currently held: a. The sum of $364.00 to the applicant; and b. The sum of $135 to the respondent in full satisfaction of this order. CATCHWORDS: Residential tenancy – water rates – water efficient property – unpaid rent – flea treatment – failure to mitigate loss APPEARANCES and REPRESENTATION (if any): APPLICANT : Ms Wilde RESPONDENT: Self-represented REASONS FOR DECISION Introduction [1] The issue in dispute is whether the applicant is entitled to $499.00 compensation from the respondent.
  • 2. [2] Stella Property Group Pty Ltd filed an application with the Queensland Civil and Administrative Tribunal (QCAT), naming Ms Meehan as the respondent. Hearing [3] The Tribunal held a hearing at the Queensland Civil and Administrative Tribunal’s hearing rooms in Brisbane. Both parties were present and gave evidence under Oath. Appearing as agent for the applicant was Ms Wilde. [4] The respondent entered into a fixed term tenancy agreement and leased the property from 1 May 2010 to 29 October 2010. The applicant claims the respondent failed to return the property “to the standard in which it was originally rented.” [5] At hearing Stella Property Group Pty Ltd argued it was entitled to compensation for the following items: • Rent (claimed to 17 November 2010 when the keys were returned to the applicant) – $330.19; • Flea Treatments – $135.00; and • Unpaid water rates – $33.81. Relevant Legislation [6] The Tribunal has jurisdiction to hear and decide this matter pursuant to sections 11 and 12 of the Queensland Civil and Administrative Tribunal Act 2009 (the ‘QCAT Act’). This was a claim by the applicant against the respondent for relief under the Residential Tenancies and Rooming Accommodation Act 2009 (‘the Act’) for a residential agreement over the property located at the address identified in the claim. Relevant Facts Is the respondent liable to pay $33.81 for unpaid water rates? [7] The General Tenancy Agreement entered into by the parties provides for the tenants to be liable for water supplied to the premises. [8] Water invoices were calculated by the applicant on a pro rata basis for the periods 2/6/10 to 23/6/10; 19/9/10 to 12/9/10 with a total of $97.98. An amount of $64.17 was paid by the respondent, by way of an online deposit, leaving $33.81 of the utility bill outstanding. [9] The respondent argues she is not liable for this amount because the property is not water efficient. The Tribunal notes the respondent’s email to the applicant dated 3 May 2010 advising of the “toilet leak[ing] down into the garage area… it’s almost pouring out and when it flushes it seems to take a very long time and lost of water.” [10] On behalf of the applicant, Ms Wilde provided the following response to the tenant’s email: MCDT74-11 / Page 2 of 6
  • 3. “In relation to the leaking toilet, I have arranged for Bob Wrench who is a plumber, to attend the property on Friday, 5 May 2010. Bob will be providing a quote to supply and install water saving devices at the property and I advise you will not be provided with water utility bills for payment until the property is water efficient.” [11] A signed statement from Bob Wrench Plumbing was filed by the applicant on 10 February 2011, with leave from the Tribunal. “I hereby confirm that water efficient devices were fitted at the above property [294 Hamilton Road, Chermside], in the bath, shower and vanity basin taps, and a new 6-litre/3-litre toilet suite was fitted. The hose taps, kitchen taps and laundry taps were checked and were not leaking.” [12] Notwithstanding Mr Wrench’s statement, the respondent further argued that “throughout the duration of our stay there, the laundry taps (for the washing machine) leaked quite badly. We informed the real estate but no action was taken on the matter.” [13] The respondent was unable to provide the Tribunal with any supporting evidence. Therefore the Tribunal relies upon the signed statement from Mr Wrench, who was contracted to attend to the property and rectify any plumbing issues. His statement appears consistent with the evidence outlined in the series of emails exchanged between the parties. [14] The Tribunal is satisfied the property was water efficient during the relevant periods, and finds the respondent liable to pay $33.81 for unpaid water rates. Is the respondent liable to pay $330.19 for rent? [15] The hand over date for the property was scheduled for Saturday, 6 November 2010. [16] On that date the respondent handed over the keys to Ms Wilde, however she was advised of items which needed to be attended to – additional cleaning, mowing the lawn and removing the ‘cat urine smell’ from the downstairs area. [17] The back door to the property was left unlocked so the respondent could later gain entry to do the cleaning. However when the lawn was mowed on 7 November 2011 by a contractor, he locked the back door. Upon learning of this, the respondent contacted Stella Property Group Pty Ltd and requested the keys be sent out to her. [18] It is between the period of Monday, 8 November and Monday, 15 November 2010 that the facts are not clear. The respondent sought to rely on a number of vague events which she says took place sometime during this period. Without specifying any particular dates or times, Ms Meehan states: MCDT74-11 / Page 3 of 6
  • 4. She had a discussion with “Julia” (an agent for the applicant) where it was agreed “two days rent” was not owed by the tenants; and • “At a later date, Julia calls at 5pm to request I pick the key from her house that night. I am unable to do so. The next day Julia says they will send the keys out to me in the post.” [19] In her evidence the respondent does not clearly specify the date when she received the keys. Although Ms Meehan states she “did not check the mail box over the weekend as I had been advised that the keys would be posted out, and mail is not delivered on weekends.” [20] The respondent also sought to explain the delay in returning the keys to the applicant on the basis she did not have internet access (because she was moving house); and therefore was unable to read the email message from Stella Property Group Pty Ltd advising her the keys were placed in the letter box. Ms Meehan further stated the applicant was aware she did not have internet access during this period. [21] The applicant’s agent dismisses this argument by stating “the tenant was advised and contacted various times from the hand over date to return to the property to clean.” [22] The tenant eventually returned the keys to the applicant by post – and it was received by them on Wednesday 17 November 2010. It is reasonable to expect a tenant to be liable for rent until the handover has been completed, the keys returned and their obligations to the property as tenants have been finalised – such as affecting repairs or doing cleaning. Indeed clause 18 of the Special Terms attached to the General Tenancy Agreement entered into by the parties at the commencement of the lease, clearly states: “Tenants agree to leave the property in the same condition as when they moved in, fair wear and tear excepted. Wheelie bins must be put out for emptying. Rent is payable up until all keys have been retuned to Stella Property Group.” [23] A hand over was ‘attempted’ on the 6 November 2010. The Tribunal uses the word ‘attempt’, because the respondent was not able to hand over vacant possession of the property to the applicant on that occasion, as there were outstanding items needing to be attended to. Therefore prima facie, the respondent still has possession of the property and is thus liable for rent until those items have been rectified. [24] There is no evidence to support Ms Meehan’s vague assertions that ‘Julia’ had agreed the tenants would not be liable for additional (albeit 2 days) rent. For instance, she could not provide the Tribunal with key facts, such as the date or expand on the details of the conversation had. [25] At the very least, the respondent was made aware on the morning of Saturday, 6 November 2010 of the need to do additional cleaning of the property and remove the ‘cat urine smell’ from the downstairs area. There is no evidence of Ms Meehan cleaning the property on either 6 or 7 November 2010. MCDT74-11 / Page 4 of 6
  • 5. [26] Additionally the respondent should have been aware from the outset (as per the Special Terms of the General Tenancy Agreement) of her liability to pay rent until the keys are returned and she had completed her tenancy obligations. [27] The Tribunal is satisfied the grounds of the applicant’s claim for rent is established and therefore finds the respondent liable to pay $330.19. Is the respondent liable to pay $135 for additional flea treatments? [28] The respondent states she arranged fumigation of the property to take place on 1 November 2010 by Amalgamated Pest Control. This work was said to be guaranteed. [29] On Saturday, 20 November 2010, Ms Wilde inspected the property – which she states “still smelt like cat urine and fleas were still present at the property.” Therefore the applicant engaged a second pest company (Pest Control Advantage) to provide the additional treatment. [30] The issue before the Tribunal is whether the applicant had taken reasonable steps to mitigate any loss or expense, by contracting a different pest company to undertake an additional flea treatment. It is the cost of this subsequent flea treatment which the applicant seeks compensation for. [31] Because the applicant is seeking a compensation order to be made in its favour, the Tribunal must have regard to the matters listed in section 421(1) of the Act, including whether the lessor has taken all reasonable steps to mitigate the loss or expense suffered. If this cannot be shown, then pursuant to section 362(3)(b) the lessor is not entitled to receive compensation for any loss or expense that could have been avoided by taking the steps. [32] The applicant’s evidence to the Tribunal was that the tenant did not arrange for the property to be treated again for fleas. After making enquiries with Amalgamated Pest Control, it apparently “could not return to the property for another week” to provide another treatment. Therefore the applicant claims it was justified in contracting a different company to provide the pest control treatment. [33] The respondent strongly refuted the applicant’s claims. “Amalgamated [Pest Control] advised me that, looking back through their records, they had various timeslots available, before the 29 Nov, when they could have retreated (sic) the house. They are unsure as to why the respray (sic) was not scheduled for one of these earlier times.” The Tribunal notes neither party obtained a written statement from Amalgamated Pest Control, despite the obvious assistance it would have provided to the Tribunal in determining this matter. MCDT74-11 / Page 5 of 6
  • 6. [34] The respondent also relied upon a sworn affidavit in which she detailed relevant events. 20 November 2010 – “Michelle attends the property – 4 days after the receipt of the keys. She calls me at 12.29pm about the fleas and I remind her of Amalgamated’s guarantee. She requests the receipt, and I remind her that I gave her the only copy.” 23 November 2010 – “Unbeknown to me, Julia calls Amalgamated and arranges a flea service call for 29 November 2010. This is three days after Michelle reinspects the property, and one week after receiving the keys in the mail.” 25 November 2010 – “New tenants move in and Julia calls Amalgamated to “postpone” the service call.” 26 November 2010 – “5.24pm: Michelle calls to advise me that she had another company to fumigate the property at a cost of $135.” [35] From the evidence, it is unclear whether there is any truth to the applicant’s claim that Amalgamated Pest Control was unavailable to re- fumigate the property before the 29 November 2010. Nonetheless, the Tribunal is not satisfied the applicant took reasonable steps to mitigate any loss or expense suffered. [36] The evidence before the Tribunal shows that the applicant received the keys to the premises on 17 November 2010. The applicant was then reminded on 20 November 2011 by the respondent of Amalgamated Pest Control’s guarantee. There is no evidence to show that the applicant called Amalgamated Pest Control to re-fumigate the property before the 23 November 2010. Hence, since the date in which Stella Property Group Pty Ltd received possession of the property on 17 November 2010 until the 23 November 2010 – some six days – no steps were taken by the applicant to evoke Amalgamated Pest Control’s Guarantee. [37] Therefore because of this failure to take reasonable steps to mitigate any loss or expense, the Tribunal is not satisfied the respondent should be liable to compensate the applicant the cost it incurred for the additional flea treatment. Conclusion [38] In consideration of the matters mentioned above, the Queensland Civil and Administrative Tribunal is satisfied Stella Property Group Pty Ltd has only established part of its claim. It is therefore entitled to compensation for: (a) Part payment of one weeks rent, being $330.19; and (b) Unpaid water rates, being $33.81 - therefore totalling an amount of $364.00. This amount is to be deducted from the balance of the rental bond currently held by the Residential Tenancies Authority, in full satisfaction of this order. MCDT74-11 / Page 6 of 6