‘Housemate from hell’ pukes in $8000 designer handbag

Could it be the most expensive chunder Down Under? Ropeable woman questions rights after housemate pukes in $8000 handbag.

‘She came home drunk in the middle of the night, and proceeded to throw up – in my designer handbag.’ Picture: iStock

Welcome to Sisters In Law, news.com.au’s weekly column solving all of your legal problems. This week, our resident lawyers and real-life sisters Alison and Jillian Barrett from Maurice Blackburn help a woman whose housemate puked in her $8000 handbag.

QUESTION: I live with the housemate from hell – and last weekend, things got even worse, when she came home drunk in the middle of the night, and proceeded to throw up – in my designer handbag, which I’d left on our coffee table. The bag, which cost about $8000, is completely ruined, but she’s refusing to pay me a cent. Can she do that? – Christine, WA

ANSWER: We’re sorry to hear that your handbag has been ruined by your housemate.

Before we outline the steps you can take to try to recover money from your housemate, we suggest you review your home contents insurance policy (if you have one) to see if you’re covered by that.

My $8000 designer handbag is completely ruined, but she’s refusing to pay me a cent. Picture: iStock

Contents insurance

Contents insurance covers only for the loss or damage to the contents of your home caused by insured events. ‘Contents’ are items that you own and primarily use for domestic purposes and can include things like clothing, furniture and appliances.

If you have contents insurance you should carefully read your Product Disclosure Statement. Most policies won’t include accidental damage as a standard part of your cover, and instead it’s an optional extra that requires an additional cost.

Even if you have contents insurance that covers accidental damage, your handbag may not be covered as some policies also won’t cover deliberate acts. Again, you should read the fine print of your policy.

If you don’t have contents insurance, or you’re not covered for this specific event, then you should give your housemate a letter of demand, setting out the amount she owes you for your handbag and asking for it to be paid within a certain time frame, otherwise legal action will be taken.

‘She came home drunk in the middle of the night, and proceeded to throw up – in my designer handbag.’ Picture: iStock

Magistrates court

If your housemate doesn’t pay you the money then you can lodge a claim in the Magistrates Court in Western Australia. There are costs involved in lodging this claim.

There are two ways a claim can be made in the Magistrates Court. You may choose to have your claim heard as a minor case or as a general procedure claim.

If you choose a general procedure claim, the process is usually more formal compared to a minor case. You can have legal representation but even if you win, you’ll likely still have to pay for these legal costs (rather than your housemate having to pay for them).

A claim for a debt can be heard as a minor case if it is for an amount up to $10,000. The process is informal and usually legal representation is not allowed. The aim of minor case claims is to help the parties to come to an agreement.

Only if the parties cannot agree will the court hear the matter at a trial and make a decision.

Minor case claim

To lodge a minor case claim with the court, you must prepare a claim document (Form 4) that has:

• The full name and address of your housemate

• Details of the debt, including the date and place it happened, the amount, and the brief facts about her damaging your property

• Any supporting documents, such as photographs, evidence of your attempts to recover the money, and whether she has admitted to the damage

• Details of the amount you are trying to recover, plus any additional costs or interest.

You must then serve the claim on your housemate, and you may have to prove you provided her with the documents.

Only if the parties cannot agree will the court hear the matter at a trial and make a decision. Picture: iStock

Plan B

If, ultimately, the debt is ordered to be repaid, then your housemate may agree to repay the debt in instalments.

If the debt is not repaid, then you may make a further application to the court or tribunal to:

• Seize and sell property – the property must be sold by public auction and for a reasonable price

• Redirect debts – if your housemate is owed money by someone else, this can instead be ordered to be given to you instead

• Redirect earnings – your housemate’s employer can be ordered to pay most of her wage to you, leaving only necessary living expenses (social security payments cannot be redirected)

• Redirect other money – if she has money in a bank account or is due to receive money for rental income, then this can be paid

• Petition for the bankruptcy of your housemate

If your housemate does repay some of the debt, then always keep records and provide a receipt. Electronic transfers or a bank cheque are often a safer option than handing over cash.

There can be strict time limits to recover a debt, so you should not delay in taking action.

This legal information is general in nature and should not be regarded as specific legal advice or relied upon. Persons requiring particular legal advice should consult a solicitor. If you have a legal question you would like Alison and Jillian to answer, please email [e-mail]. Get more from Alison and Jillian on their Facebook page.