A couple in the South Island refused to pay their share of maintenance costs for a property in a luxury lifestyle subdivision. Craig Thomas and Gemma Gamble claimed that the group in charge had not fulfilled their responsibilities, as the grass was left unmowed and weeds were not sprayed, with only two instances of maintenance in over three years.
However, the Nelson District Court has ruled that they must pay the $5600 in outstanding levies to the Mahana Ridge Residents’ Association. Additionally, they are required to pay interest at 24.7% and indemnity costs, which are likely to exceed the unpaid levies.
The Mahana Ridge Residents’ Association, established in 2018, is dedicated to preserving owners’ interests and the environmental features of the Mahana Ridge Development. This exclusive country estate in the Tasman District comprises 32 sections ranging in size from 9600sq m to 2.5ha.
Property owners share the costs of maintaining communal facilities and important landscape features through levies. The association is governed by a board with the authority to enforce compliance with rules outlined in its trust deed.
A spokesperson for the association stated that Thomas and Gamble were aware of the annual levy when they purchased the property. The association had been attempting to arrange payment of the levies in a friendly manner for a year and a half before resorting to court proceedings.
Judge Stephen Harrop likened the couple’s refusal to pay to not paying council rates due to unfixed potholes. He emphasized that the dispute did not exempt them from fulfilling their financial obligations.
Efforts to resolve the conflict, including offering a reduced repayment sum, were unsuccessful. Thomas and Gamble had proposed repaying the debt incrementally, but the association deemed court proceedings necessary due to their conduct.
Thomas expressed concerns about the property not being adequately maintained and claimed that the agreement included provisions for care during their absence. Judge Harrop noted the lack of defense and supporting documents from the couple.
While judgment was entered without dispute of the debt, discussions between the parties were encouraged to continue. The association aimed to reach an agreement for Thomas and Gamble to fulfill their levy payments.
