The Australian radio and television personality, who rented a Terrey Hills mansion after splitting from his wife Tamara Jaber, said that he walked out on the property eight months before his contract was up because it was a "13-toilet s**thole".
Sandilands is due in court on Monday next week and could have to pay as much as $50,000 (£32,000) to former landlord Howard Symington for breaking the agreement.
Sandilands told The Daily Telegraph: "When Tamara and I separated I had nowhere to live, so I rented this gigantic place which was fabulous. But then the place starts breaking down, things stop working, you contact the real estate agent, and they just don't contact you back.
"It turned into months of problems, when you've got 13 toilets full of backed up poo and urine because the septic system doesn't work, it doesn't seem like such a fancy place."
Sandilands added: "I said the only way to get these guys' attention [was to] stop paying rent and someone will come knocking. And they did, after two months... I said, 'Here take the keys back, no hard feelings, but I'm not paying all that money.'"