Putting the AI in Complaints

Friday, 17 April 2026


Tenancy Tribunal’s big problem


Just before Christmas in 2025, we received a Notice of Hearing for a tenancy dispute. The tenant had lodged a claim with the Tenancy Tribunal alleging that we had compromised the safety of her and her child by renting a rural property with unsafe drinking water. There were other issues as well - a claim of retaliatory notice, breaches of quiet enjoyment, and a dryer breaking down, which took a total of four weeks to repair. Her claim was for $40,000. 


What we received was a total of 215 pages, made up of the application, evidence, photographs, and a 101page written report outlining the claim and breaking down the costs that should be awarded to her. The basis of the claim was that the pH level of the water was at a level that made it dangerous to drink. There were two hearings, one remote and one in person. 


On 2 April, the adjudicator published the Tribunal order. The tenant was awarded a grand total of $80 for the inconvenience of the dryer. 


I cannot understate the pressure this puts on the team, as well as the owners of the property. The time, effort, and resources involved in building our defense paid off, and the Tribunal came to the right decision. In our preparation for this case, we called expert witnesses, provided our own evidence of compliance, and prepared a detailed timeline of events. However, the work involved does take its toll. The pressure of the case affects the emotional wellbeing of the team members - particularly the property manager. The owners, who had done nothing wrong, faced an anxious wait, wondering whether they were going to be confronted with an enormous fine. 



At Property Brokers, we are fortunate to have resources and expertise available to help us prepare our defense. However, imagine if you are an individual who manages your own property, or a small company without the necessary resources available to you. 



Unfortunately, this is not an isolated case. There is a clear pattern emerging in recent applications - long, meticulously structured claims with repetitive legal framing, significant dollar figures, and language inconsistent with how most self-represented tenants have historically engaged with the Tribunal. Whether generated by AI or heavily aided by it, the result is the same: a sharp increase in the volume and complexity of material placed before adjudicators. 


Do not get me wrong, I do not blame tenants for using tools that are available to them. One must also acknowledge that the same tools are available to everyone, including Property Managers. However, some of the claims being put forward should not see the light of day. At the time of writing, I spent yesterday in a District Court again defending the actions of our company and landlords we stood for. We await the decision though I strongly feel the application was frivolous. The former tenant took a scattergun approach, hoping that something would stick. The claim is for $45,000. 


The dilemma the Tenancy Tribunal faces is how it prioritises cases to ensure justice is delivered fairly and quickly. More tenants will utilise AI in their claims, which is understandable if the tools are available to them. However, an adjudicator must still examine the application and review the evidence prior to the hearing. The more information they must wade through, the longer it takes, placing further strain on the system. 



In person hearings can take up to 50+ days to obtain, and the backlog of claims will increase if adjudicators are required to allocate full day hearings to an increasing number of complex matters. 



One solution could be awarding costs against applicants where claims are frivolous. The Tribunal already has the power to do this under section 102 of the Residential Tenancies Act (RTA). Another option would be to remove rent arrears only claims from in person hearings and deal with them remotely. In many of these circumstances, there is no dispute. The RTA already recognises rent arrears of 21 days or more as sufficient grounds for termination and resolving these matters efficiently would significantly reduce Tribunal congestion. Approximately 70% of all Tribunal applications have an aspect of rent arrears. 


AI is not the enemy. Unfiltered access to adjudication is. If we do nothing, the Tribunal risks becoming slower, more adversarial, and less effective at protecting those it was designed to help. The conversation cannot be about stopping access - it must be about smarter triage, proportionality, and preserving the Tribunal’s capacity to deal with genuine harm quickly and fairly.





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South Waikato has experienced comparatively modest growth relative to larger Waikato centres, positioning the district as one of the region’s more affordable housing markets.
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Putting the AI in Complaints

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Just before Christmas in 2025, we received a Notice of Hearing for a tenancy dispute. The tenant had lodged a claim with the Tenancy Tribunal alleging that we had compromised the safety of her and her child by renting a rural property with unsafe drinking water.
Read More

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