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Bond dispute process

Tenants may require assistance when they cannot reach an agreement with an owner / property manager regarding the refund of their bond. This resource provides guidance on the following:

Bonds generally – what is a bond and how are bonds managed;
The bond dispute process – how parties can use the dispute process and what is involved;
What the lessor can claim from the bond – rights and restrictions around the costs an owner / property manager can claim from a bond; and
Applications to QCAT – how to apply to QCAT and how to respond to a QCAT application regarding a bond dispute.

Bonds generally

Bonds and the refund of bonds are managed by the RTA and are governed by the rules outlined in the Residential Tenancies and Rooming Accommodation Act 2008 (Qld) (RTRAA).

A rental bond is a sum of money paid by tenants as financial security for the lessor when renting a property: RTRAA s 111. It is not mandatory for an owner / property manager to charge a bond, but if they do, the bond must be lodged with the RTA within 10 days of receipt. If the bond is not lodged, it is an offence and the tenant can report this to the RTA Investigations Unit: RTRAA s 116.

At the end of the tenancy, either the owner / property manager or tenant can apply for a bond refund through the RTA (either by submitting the request online via RTA Web Services or posting the paper-based version of the Refund of rental bond (Form 4) to the RTA – see the RTA Bond Refund Process and Online Bond Refund Form for further details.

Note that a different process is followed if the rental ended due to domestic violence. Tenants ending their tenancy due to domestic family violence should use the bond refund for persons experiencing domestic and family violence (Form 4a). This is a paper form and can only be lodged via email to [email protected].

The Form 4a cannot be lodged via RTA Web Services. Further details are contained in the Form 4a.

The bond dispute process

A tenant may require assistance if they cannot reach an agreement with an owner / property manager or co-tenants as to how the bond is to be refunded. Other than attempting to reach an agreement privately, the parties can utilise RTA’s free dispute resolution service for bond disputes.

The RTRAA imposes certain timeframes (set out in detail below) that must be complied with in order to dispute a claim on a bond. Care must be taken to comply with these or the RTA can pay out bonds in accordance with the first refund request received.

The rules around bond disputes generally apply to both tenancy and rooming accommodation arrangements. The RTRAA sets out the following process:

Application for payment of bond

A tenant or owner / property manager may make an application for the payment of a bond that is held by the RTA (Application). This may only be done once a tenancy agreement has ended (i.e. not before the expiry date of the appropriate notice such as a Notice to leave (Form 12), Notice of intention to leave (Form 13) or Abandonment termination notice (Form 15).

For information on the appropriate form to use, see further details outlined on our pages:

Notice of Claim: RTRAA s 136(2).

If the Application is not made by all parties to the bond, or if the parties do not agree on how the payment of the bond will be directed, the RTA is required to send a Notice of Claim (NOC) to the people whose signature / agreement is missing from the request.

Where a Form 4a application (as mentioned above) has been made due to the tenant experiencing domestic violence, other co-tenants will not be notified. The NOC will instead be issued to either the tenant or owner / property manager only.

If there are multiple contributors to the bond and at least one contributor (Bond Loan Contributor) (but not all) provided their share, in whole or part, through a bond loan from the Department of Housing and Public Works (DHPW), the DHPW may be notified if the Bond Loan Contributor’s share is less than the total loan balance owed to DHPW (RTRAA ss (142)-(144)). See RTA’s bond loans resource for general information on bond loans.

Dispute Resolution Request

If a party does not agree with the NOC, a Form 16 Dispute Resolution Request must be submitted within 14 days of receipt of the NOC. A Form 16 Dispute Resolution Request may be submitted in the following ways:

scan and email to: [email protected] (file limit <5MB);
post to: RTA, GPO Box 390, Brisbane QLD 4001; or
online: Online Tenancy Dispute Resolution | Residential Tenancies Authority.

If no Form 16 is received, the bond is paid out as per the first Application received: RTRAA s 136E(2)(a). In this instance, a Form 16 Dispute Resolution Request may be submitted after the bond is paid out but a party does not agree with the amount refunded.

An owner / property manager may be required to provide evidence to the tenant if they are claiming on the bond – see discussion below at ‘What can owners / property managers claim?’.

Conciliation Process: RTRAA Ch 6, Pt 1, Div 2.

The RTA will confirm receipt of the Form 16 either by email or by letter. A RTA conciliator will then contact the party who made the request for Dispute Resolution to discuss the details of the dispute.

According to the RTA, there is typically a 2-3 week wait for dispute resolution, but this may fluctuate due to demand. For current wait times, see the RTA’s resource on bond refunds under ‘frequently asked questions‘.

If both parties agree to participate, the RTA will either:

host separate phone calls for straightforward issues; or
recommend a three-way teleconference for more complex issues.

During the conciliation process, each party must present their own case. A party may be represented by someone else if the conciliator considers it necessary, however, this is only under limited circumstances. A party may only be represented by a person if the party is a corporation or the conciliator is satisfied a person should be allowed to represent the party and the representative is approved by the conciliator: RTRAA s 405.

A request for representation should be raised with the allocated RTA conciliator as soon as practicable.

For guidance on assisting a client prepare for a dispute resolution teleconference, see the RTA’s Preparation Guide. The RTA recommends that parties gather evidence to support claims, such as:

the rental agreement;
entry and exit condition reports;
photographs or videos of the premises;
relevant correspondence between the parties; and
receipts for any expenses incurred (e.g., repairs, cleaning).

The above information can be provided to the RTA prior to the scheduled conference.

The conference will occur by telephone. The RTA advises the conference will follow the below structure:

Introduction: The conciliator will outline the agenda and set ground rules.
Presentation of perspectives: Each party will present their position and any supporting evidence.
Clarification: The conciliator may summarise key points or ask questions for clarity.
Negotiation: The parties will negotiate toward a mutually acceptable agreement, guided by the conciliator.

If necessary, the conciliator may pause the joint session for private discussions with each party.

It is important that your client understands a conciliator can help negotiate a resolution, but cannot make decisions.

Any information shared in private remains confidential. The conciliator’s obligations to maintain secrecy are outlined in the RTRAA at Ch 6, Pt 1, Div 6. As this information is confidential, your client is also prevented from using anything discussed in the teleconference, including any admissions made, as part of any further QCAT hearing: RTRAA s 413.

Unresolved Disputes: RTRAA s 136B.

If one or both parties are unwilling to participate, or if an agreement cannot be reached during the teleconference, the RTA will issue a Notice of Unresolved Dispute (NURD). The party who lodged the initial dispute resolution request can then pursue further options with QCAT.

What can owners/property managers claim?

The purpose of bonds are to protect the owner or property manager financially against the tenant breaching their agreement: RTRAA s 111. A claim by an owner or property manager against the bond must be consistent with the terms of the tenancy agreement. Depending on when the bond was lodged, evidence may be required to be provided to the tenant (discussed below).

Examples of claims arising from a breach of tenancy agreement include costs relating to:

damage to the property (beyond fair wear and tear);
reletting costs after breaking the lease;
unpaid rent or other costs as required under the agreement; or
cleaning costs after vacating the premises.

Domestic violence considerations

If a tenant has ended a rental agreement due to domestic violence, the owner cannot recover costs from the tenant relating to the following:

early termination of the rental arrangement: RTRAA ss 308G2(a), 381G(2)(a).
goods left at the premises: RTRAA ss 308G(2)(b), 381G(2)(b).
reletting: RTRAA ss 308G(2)(c), 381G(2)(c).
damage caused by the domestic violence experienced by the tenant. RTRAA s 188(5).

There are also restrictions on placing a victim-survivor on a tenancy database. You can read more about tenancy databases here.

Evidence requirements

Recent changes to the RTRAA require that from 30 September 2024 to 30 September 2025 (Transitional Period) some bond claims will require owners / property managers to provide the tenant with proof of the basis of claims.

During the Transitional Period, the obligation to provide evidence will depend on when the bond was lodged with the RTA as follows:

bonds lodged before 30 September 2024 – evidence does not need to be provided for bond claims (ss 579A, 579B); and
bonds lodged on or after 30 September 2024 – evidence is required to be provided to a tenant when an owner / property manager claims or disputes a bond refund request. This must be done within 14 days of receipt of the NOC. Failing to provide supporting evidence to a tenant when a claim or dispute is made against a bond is an offence with a maximum penalty of 20 penalty units (s 136AA).

Once the Transitional Period expires, all claims on bonds regardless of when they were lodged with the RTA will require the owner / property manager to provide evidence to the tenant.

Note that the requirement for an owner / property manager to provide evidence within 14 days is a different process to the 14 day period to lodge a dispute resolution request after receiving a NOC (as discussed above at section 2) (NOC Period). If a disputing party fails to lodge a dispute resolution request within the NOC Period, the disputed bond amount will still be paid out by the RTA in accordance with the Application even if supporting evidence of the owner / property manager’s claim has not been provided to a tenant.

Failure to comply with the evidence requirements under the RTRAA is an offence that the RTA will investigate. See RTA Investigations Unit for what to do if an owner has committed such an offence.

Applications to QCAT

After the RTA issues a NURD, the person who lodged the initial dispute resolution request can choose to apply to QCAT for a decision.

The current average time for QCAT to consider a dispute can be found on the QCAT expected timeframes page. This may vary from time to time depending on QCAT’s current caseload. Details on the residential dispute process can be found on the QCAT website.

The QCAT Practice Direction No. 4 outlines the steps and requirements before and during the hearing to ensure the process is informed, fair and efficient. For more information on the QCAT process for solving tenancy disputes generally, Tenants Queensland offers five short explainer videos, accessible here. These details are also outlined on our page ‘Tenancy at QCAT‘.

Applying to QCAT

Bond disputes are considered ‘non-urgent’ matters in QCAT. Before applying to QCAT to resolve a non-urgent matter, your client must have made a dispute resolution request to the RTA and have received a NURD.

An application to QCAT must be made within 7 days of the RTA issuing a NURD (Claim Period). If the applicant withdraws their application for the bond or QCAT dismisses a claim, the RTA will refund the bond according to the initial request.

When applying to QCAT , the Applicant must:

complete the application form online or manually as outlined in the QCAT Form 2 Application for Minor Civil Dispute – Residential Tenancy Dispute;
pay the fee at the time of lodgement (this may be waived if your client applies for it to be waived); and
provide notice to RTA that the Form 2 has been submitted to QCAT.

Once lodged, QCAT will provide a case number.

Under section 136C, Applicants may make a written request for a 3-day extension of the Claim Period if they have a sufficient reason for the delay. The section provides the following examples of sufficient reasons to warrant an extension:

the Applicant did not receive the NURD due to the mail being affected by a natural disaster; or
the Applicant was hospitalised during the Claim Period.

Completing the QCAT Form 2

QCAT provides the following guidance for completing the Form 2:

clearly identify the correct section number of the order being sought under the RTRAA. E.g. section 137 – See Annexure B of the Form for a list of the orders and correlating sections under the RTRAA;
attach a copy of the NURD;
attach a copy of the tenancy / rooming accommodation agreement; and
include copies of all relevant documents, such as contracts, invoices, receipts, and colour copies of photographs.

QCAT has specific requirements on how supporting documentation is filed (e.g. documents must be page numbered and photos must be in colour etc.) See paragraph [20]-[31] of the QCAT Practice Direction No. 4 for further details. These details are also outlined on our page ‘Tenancy at QCAT‘.

There is no need to serve any initial documents or evidence on the other parties as QCAT has a statutory requirement to do this. However, any additional material filed after the initial application is lodged with QCAT will also need to be given to all other parties (by email, post or in person).

Responding to a QCAT Application

Another party may commence QCAT proceedings if the matter is unable to be resolved through the RTA Dispute Resolution Process.

Paragraphs [16]-[19] of the QCAT Practice Direction No. 4 outline the steps Respondents must take to prepare for the hearing. These details are also outlined on our page ‘Tenancy at QCAT‘.

After receiving notice of the application, the Respondent must promptly upload to QCase (QCAT’s online portal for minor civil disputes) or file in QCAT, and serve on each other party:

any counter application using a Form 8 – Minor Civil Dispute – counter-application and/or response to the Applicant’s claims; and
all relevant documents intended for use at the hearing. See paragraphs [20]-[31] of the QCAT Practice Direction No. 4 as discussed above.

QCAT will not serve the counter application or relevant documents on the Applicant. Respondents must do this themselves at least 5 business days before the hearing. Failure to do so may result in the tribunal proceeding without considering the counter application or response.

The documents your client intends to rely upon may include those listed in the Checklists annexed to QCAT Practice Direction No. 4 and any other relevant documents. If a document is already included in the Applicant’s material provided to QCAT and the Respondent, it does not need to be resubmitted.

QCAT Orders

Under section 136D of the RTRAA, QCAT can issue any order it deems appropriate, considering the efforts made by both the owner / property manager and tenants to comply with their obligations under the RTRAA and the evidence of claims presented.

Note, there is no penalty for damage caused by domestic violence as discussed above at section 3.

Under section 136E of the RTRAA, if QCAT issues an order regarding the rental bond payment, RTA must comply and pay the bond according to the order.

You may also request written reasons for a decision of QCAT. For further details regarding the process for requesting written reasons, please see our page ‘Tenancy at QCAT‘.

Attending a QCAT hearing

In QCAT proceedings parties generally must represent themselves, without lawyers present.

Clients attending hearings must have either a paper copy of all documents filed in the proceeding by both themselves and the other party, or access to an electronic device (such as a laptop, iPad, or smartphone) that enables them to view the documents in the QCase court file.

For further details, please see our page ‘Tenancy at QCAT‘.

Seeking representation

Parties do not require QCAT’s permission to seek legal advice or assistance. Solicitors may help parties behind the scenes to collect and prepare evidence, write submissions, and prepare for proceedings without seeking permission from QCAT.

However, QCAT’s permission is required when a party wants a legal practitioner or another person to represent them and appear at QCAT proceedings on their behalf.

The details of when legal representation will be allowed and the process to apply for permission is outlined on the ‘Appearing at a QCAT proceeding’ page on the QCAT website.