'Do the right thing': CEO's firm owes couple nearly $10k – 17 months after order

A couple who won nearly $10,000 in a Disputes Tribunal case against a company run by an Auckland real estate boss have not seen a cent nearly 18 months on, and believe they never will. 

The couple bought an inner-city Auckland apartment from LBN Federal Street Ltd, which was ordered to pay them $9129. 

The tribunal was told by the company’s sole director Luke Nutting, the current chief executive of Auckland agency Wallace Real Estate, that the company had no money and he should not have to put money into it himself. 

Nutting is not personally liable for the debts. 

The couple, who wished to remain anonymous, want him to “just do the right thing, mate”. 

They believed Nutting knew what he’d done was “unethical, even though it is legal”. 

The woman’s husband pointed out that Nutting’s profile on the Wallace Real Estate website said his mission is to “raise the standard for real estate, lead with integrity”. 

He believed that pitch was “performative rubbish”. 

Luke Nutting is the chief executive of Auckland real estate agency Wallace Real Estate. 

After months of seeking legal advice and solutions, and hearing nothing from Nutting, the pair felt they’d exhausted all avenues and the media was the last option. 

In September, one of the couple hand-delivered a statutory demand to the company’s registered office at an Auckland accountancy firm, giving it 15 working days to pay. 

They heard nothing back. 

They were told they could liquidate LBN Federal Street but the cost could run into tens of thousands, not making it worthwhile, the pair said. 

The sale and the tribunal 

The apartment is at Hampton Court on Federal St, a 1929 block that was one of the first purpose-built apartment buildings in Auckland. 

The couple bought it in October 2024 as an investment. 

The contract recorded it came with a fixed-term tenancy running until February 2025, and they priced the deal on having rent coming in from the day they took possession. 

Before settlement the tenancy was cancelled, but they claim neither Nutting nor the property manager informed them. 

They said they found out the day before settlement, when one of them asked for a copy of the tenancy agreement so she could introduce herself to the tenant. 

“So we didn’t know if a property manager had gone rogue and was incompetent,” the man said. 

“We had no confidence in anyone in the absence of all the information who would have been part of putting a new tenant in.” 

After settlement, the couple went to Nutting’s lawyer asking for $5100, based on an estimate of 10 weeks to re-let. They were told that wasn’t a reasonable request. 

The apartment sat empty until the couple found their own tenants about 13 weeks later, at a lower rent than the previous tenancy. 

Out of pocket, the couple took LBN Federal Street to the Disputes Tribunal in mid-2025. 

Nutting told the tribunal he had a new tenant lined up and could have had the apartment tenanted if the couple had not set additional conditions. 

They asked for a new property manager, a fixed-term agreement and a $10 a week rent increase, from $510 to $520. 

The tribunal referee decided the extra conditions requested by the couple were reasonable and the lack of communication from LBN Federal Street and Nutting hindered solutions. 

“For these reasons I find that it has been proved that it is more likely than not that the applicants tried to mitigate their losses,” the tribunal ruled. 

The referee found the claim partially proved, ruling the company had breached the contract. 

LBN Federal Street was ordered to pay $9129, comprising $8379 for the rent the pair had lost and half their legal fees. 

The couple bought an apartment in Hampton Court on Federal Street, a 1929 block that was among Auckland’s first purpose-built apartment buildings. Photo / Michael Craig 

Nutting provided an email response to the Herald explaining that the original tenant was experiencing financial hardship and asked to be released from her lease. 

“Once I became aware that the tenancy had ended, we worked to resolve the situation,” he said. 

A replacement tenant was found within about two weeks and no agreement could be reached with the couple over the tenancy arrangements they wanted, he said. 

“I believe that shows a tenant could readily be found, and I respectfully disagree with the Tribunal’s view on that point.” 

Nutting said he had remained open to settling the matter directly. 

“At the Tribunal I offered a settlement equal to four weeks’ rent from my own personal funds and that offer still stands if the buyers would like to talk to me.” 

Nutting would not answer questions about the structure of his companies or financial arrangements. 

According to the Companies Register, LBN Federal Street is one of several similarly named companies of which Nutting is the sole director. 

Nutting said Wallace Real Estate had no involvement in the transaction or dispute, which he said predated his appointment as a director. 

He became a Wallace director on April 28, 2025. The tribunal ruled seven weeks later, and the order has gone unpaid since. 

Disclosure: One of the couple did a small amount of contract work for Herald publisher NZME on three occasions, the last of which was in 2021. 

Mike Scott is a senior journalist at the Herald. His work spans writing, photography and video, and he has won Videographer of the Year and Best Documentary at the New Zealand Media Awards, and NZ Geographic Photographer of the Year. He has worked in media for more than 25 years, producing stories across New Zealand and internationally.