How to Recover Money From a Contractor in NZ Without Hiring a Solicitor
If a contractor in New Zealand took your deposit and disappeared, left the job half-finished, or did defective work, the Disputes Tribunal is the most direct path to recovering your money without hiring a solicitor. The Tribunal handles claims up to NZ$60,000, lawyers are barred from appearing at the hearing, and the process is designed for people representing themselves. You do not need legal training to file. You do need to follow the steps in the right order.
The core sequence is: confirm the Tribunal is the right forum, identify the contractor's legal entity, send a written demand with a deadline, file your claim, serve the respondent, prepare your evidence for the Referee, attend the hearing, and — if the contractor does not comply with the order — apply to the District Court for enforcement.
Each of those steps has specific requirements. Missing one (particularly entity verification and evidence organisation) is where most self-represented claimants lose time and, sometimes, the ability to enforce a favourable order.
Step 1: Confirm the Disputes Tribunal Is the Right Forum
Before you spend the filing fee, confirm your contractor dispute belongs in the Disputes Tribunal. Most contractor deposit and workmanship disputes do, but not all.
The Disputes Tribunal handles:
- Breach of contract claims (contractor took a deposit and did not start or finish the work)
- Defective workmanship claims (work was completed but done badly)
- Claims for damages caused by the contractor's work
- Claims up to NZ$60,000
The Disputes Tribunal does NOT handle:
- Disputes where liability and the amount owed are undisputed — these belong in District Court debt-recovery proceedings such as summary judgment or a liquidated demand, not the Tribunal
- Claims seeking more than NZ$60,000 in full — the District Court's civil limit is NZ$350,000; larger civil claims go to the High Court. A claimant may abandon the excess under section 14 of the Disputes Tribunal Act 1988 to use the Tribunal, but cannot recover that amount later
The Construction Contracts Act 2002 allows a construction dispute to be referred to adjudication while also permitting another dispute-resolution process, including a court or tribunal. Eligible weathertight homes claims have a separate process through the Weathertight Homes Tribunal; MBIE's Weathertight Services confirms eligibility.
If you are not sure, call Citizens Advice Bureau (0800 367 222) and describe your situation. They can confirm the correct forum in a few minutes.
Step 2: Identify the Contractor's Legal Entity
This is the step most people skip, and it is the one that makes an otherwise successful order unenforceable.
When you file a Disputes Tribunal claim, you name a respondent. If the respondent's name on your application does not match their legal entity, any order the Referee makes may not be enforceable against the company's assets.
The contractor who quoted you as "Mike's Building Services" may be trading through a limited company registered as "M.J. Smith Construction Limited" at the Companies Office. An order against "Mike's Building Services" — a trading name, not a legal entity — cannot be enforced against the company's bank accounts or assets.
How to verify:
- Search the New Zealand Companies Office Companies Register at companies-register.companiesoffice.govt.nz — enter the contractor's name or any company number from invoices or contracts
- Search the NZBN register at nzbn.govt.nz — this covers sole traders and partnerships as well as companies
- Check the contract or invoice for a company number, GST number, or registered business name
- If the contractor is a sole trader (no registered company), the individual's full legal name is the respondent
Get this right before you file. Correcting the respondent name after filing delays the process and may require a new application.
Step 3: Send a Written Demand
Before filing, send the contractor a written demand. This serves two purposes: it often settles the dispute without filing, and it creates an exhibit for the hearing that shows the Referee you attempted to resolve the matter directly.
A demand letter should include:
- A clear statement of the facts (what was agreed, what happened, what was not done or done badly)
- The specific amount you are claiming
- A response deadline of 10 to 14 working days
- A statement that you will file a Disputes Tribunal claim if the demand is not met
Send it by email and registered post. Keep proof of sending — the delivery confirmation becomes part of your evidence bundle.
Many contractor disputes settle at this stage. The demand letter signals that you are serious and have a specific process you are prepared to follow. Contractors who ghosted your messages sometimes respond when they see a structured demand with a deadline and a stated next step.
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Step 4: File Your Claim
If the contractor does not respond to the demand or refuses to pay, file your claim through the Ministry of Justice online portal at disputestribunal.govt.nz.
Critical preparation note: The online portal cannot save your progress mid-session. If your internet drops, the session times out, or you spend too long composing your dispute narrative, everything you typed is lost. Draft your entire claim offline first — your narrative, the respondent's legal name and address, the amount claimed, and a summary of your evidence — then copy-paste into the portal when you are ready to submit.
Filing fees (from 1 July 2026, GST-inclusive):
- Claims under NZ$2,000: NZ$62
- Claims NZ$2,000 or more but less than NZ$5,000: NZ$124
- Claims NZ$5,000–NZ$30,000: NZ$248
- Claims NZ$30,001–NZ$60,000: NZ$496
The fee is non-refundable. Filing in the wrong forum wastes it.
Step 5: Serve the Respondent
After you file, the Tribunal Registry serves the respondent by post. You do not need to serve the papers yourself unless the Registry's attempt fails (return to sender, wrong address). If postal service fails, you may need to arrange substituted service — the Registry can advise on the process.
Confirm the contractor's current address during the entity verification step. A company's registered office address is on the Companies Office register. A sole trader's address may need to be confirmed from your contract, invoices, or other correspondence.
Step 6: Prepare Your Evidence
This is where most self-represented claimants either excel or struggle. The Referee works from evidence, not arguments. Structured evidence wins. Loose piles of paper do not.
Organise your evidence into a numbered bundle:
- The contract or written agreement (or a summary of the verbal agreement with dates and amounts)
- Invoices and payment receipts showing what you paid
- Photos of incomplete or defective work (dated if possible)
- Text messages, emails and written correspondence — in chronological order
- Your demand letter and proof of delivery
- Any quotes from other contractors for remedial or completion work
- A timeline showing key dates: when work was agreed, when it started, when it stopped, when you demanded payment
Number every page. The Referee will refer to evidence by page number during the hearing. "It's in the photos somewhere" is not helpful. "Page 14, photo dated 3 March showing the incomplete framing" is.
Prepare three copies of your evidence bundle at least five working days before the hearing — file one with the Registry, send one to the respondent, and keep one for yourself.
Step 7: Attend the Hearing
Disputes Tribunal hearings are informal compared to a court. The Referee runs the hearing inquisitorially — asking questions, examining evidence, and directing the conversation. You are not expected to make a legal argument or cross-examine the other side in the way a lawyer would.
Prepare a one-page summary of your claim: what happened, what you lost, what you are asking for, and which exhibits support each point. When the Referee asks "what exactly are you claiming?", your summary keeps you on track.
Be specific about the remedy you want. "I want my NZ$8,500 deposit back" is clear. "I want him to finish the job or give me my money back" asks the Referee to choose — and the Referee may not choose what you prefer. State your primary remedy clearly.
Step 8: Enforce the Order (If Necessary)
If the Referee orders the contractor to pay and the contractor does not comply within the timeframe set by the order, you can apply to the District Court for enforcement.
Enforcement tools available through the District Court include:
- An attachment order against the contractor's wages or benefits
- A financial assessment hearing to examine the debtor's financial position
- Seizure and sale of assets
This is the stage where entity verification from Step 2 matters most. If your order names a limited company, enforcement targets the company's assets. If the company has no assets (a common pattern with one-person construction companies), collection becomes difficult regardless of the order. Knowing this upfront does not mean you should not file — but it helps you set realistic expectations about enforcement.
What This Process Costs
| Item | Cost |
|---|---|
| Citizens Advice Bureau forum check | Free |
| Demand letter (self-drafted or from a guide template) | Free or $24 for a guide with template |
| Filing fee (NZ$5,000–NZ$30,000 claim tier) | NZ$248 |
| Evidence bundle printing/copying | NZ$20–NZ$50 |
| District Court attachment order for wage or benefit deductions (from 1 July 2026, if needed) | NZ$69 |
| Total without paid guide or enforcement | NZ$268–NZ$298 |
| Total without paid guide, with an attachment order | NZ$337–NZ$367 |
Compare this to solicitor preparation (NZ$300–NZ$800/hr) or walking away from the claim entirely. For most contractor disputes in the NZ$3,000–NZ$45,000 range, the Tribunal is the cost-effective path.
Who This Process Is For
- Homeowners who paid a deposit and the contractor never started, walked off mid-project, or delivered defective work
- Homeowners who paid for materials that were never delivered or installed
- Anyone with a written or verbal contract for residential building, renovation or repair work that was breached
- Property owners with contractor-caused property damage
Who This Process Is NOT For
- Weathertightness claims eligible for the separate Weathertight Homes Tribunal process — MBIE's Weathertight Services confirms eligibility
- Undisputed debts where the contractor acknowledges owing the money but simply has not paid — these belong in District Court debt-recovery proceedings such as summary judgment or a liquidated demand
- Claims seeking more than NZ$60,000 in full — the District Court's civil limit is NZ$350,000; larger civil claims go to the High Court. A claimant may abandon the excess under section 14 of the Disputes Tribunal Act 1988 to use the Tribunal, but cannot recover that amount later
- Anyone looking for a lawyer to handle the whole process — solicitors can help you prepare, but they cannot appear at the hearing
Getting the Steps in Order
The process above is the correct sequence. If you want every step consolidated into a single printable document with a demand letter template, an offline drafting worksheet, an evidence indexing system and a deadline calendar, the Making a Disputes Tribunal Claim in New Zealand: Step-by-Step Guide covers the full procedure from forum verification through to enforcement.
Frequently Asked Questions
Can I take my lawyer to the Disputes Tribunal hearing?
No. Section 38(7) of the Disputes Tribunal Act 1988 bars lawyers from representing parties at hearings. You can hire a solicitor to help you prepare — drafting your claim, organising evidence, reviewing your legal position — but you present your own case to the Referee. The hearing is inquisitorial: the Referee asks questions and examines evidence directly rather than expecting adversarial courtroom presentation.
What if the contractor has no money or assets?
This is the enforcement reality for disputes against one-person construction companies. If the contractor trades through a limited company with no significant assets, an order in your favour may be difficult to collect even with District Court enforcement. This does not mean you should not file — the order itself is a legal judgment, and it can be enforced if the contractor acquires assets or income later. But managing expectations upfront is important. Check the Companies Register for the company's current registration status and registered details before you invest the filing fee; the register does not establish whether the company has assets available to pay an order.
How long does the Disputes Tribunal process take from filing to hearing?
Hearing dates depend on regional workload, so confirm current scheduling estimates with the Registry. The evidence bundle must reach the Registry and respondent at least five working days before the hearing. Enforcement, if needed, adds another step.
What if the contractor counterclaims against me?
The contractor (respondent) can file a counterclaim as part of the same hearing. This is common in contractor disputes — the contractor may claim they are owed money for work done, or that you cancelled the contract without proper notice. Prepare for this possibility by organising evidence that supports your version of events. The Referee hears both sides and makes findings on both the claim and any counterclaim.
Do I need to send a demand letter first, or can I file immediately?
You are not legally required to send a demand letter before filing, but Referees expect it. A demand with a reasonable deadline shows the Referee you attempted to resolve the dispute directly. It also settles a significant number of contractor disputes without the need to file at all. Send it by email and registered post, keep proof of delivery, and give the contractor 10 to 14 working days to respond before you file.
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