Can I Break Lease and Move Overseas Permanently?

[Rads]

We are about to break our current rental lease, and head back to NZ to live permanently (currently in TAS). We have done everything possible to find a tenant to take over our lease, but it is not looking too good.

When we arrive home we will also have to rent, and will be back down to a single income, so paying rent on 2 properties will be impossible (especially when you take into account the currency conversion going against us).

If we have still found no-one when we leave, and do not pay anymore rent (forefeighting our sizeable bond also), what possible consequences could we face in NZ? Could an Aus court make us pay in NZ? or a debt collection agency chase us across the ditch?

We are not Aus residents.

 

[James D. Ford - Solicitor]

Hi Rads

I wish I had better news for you.

Due to international treaties between Australia and NZ, it is possible to register a Court judgement from NZ in Australia for enforcement, and vice versa.

If you do not manage the outstanding debt from your existing lease, or come to a settlement arrangement with the Landlord, you could get a nasty surprise in the future. You could receive a notice that an Australian judgement has been registered in the NZ Courts for enforcement.

Kind regards

 

[Tim W]

I concur with James.
That debt can follow you back across the ditch if the landlord so chooses.