Debt Recovery Services Guide

Debt-Recovery-Services-Guide

User Manual:

Open the PDF directly: View PDF .
Page Count: 6

Disclaimer:+ This% guide% is% not,% and% must% not% be% relied% upon% as,% legal% advice.% The% guide% is% a% simple% summary% prepared% by+

Evolution%Lawyers%for%the%general%benefit%of%its%clients.%Your%use%or%reliance%upon%this%guide%for%any%purpose%is%entirely%at%your%

own%risk.%

DEBT+RECOVERY+SERVICES+

1. Summary+of+Fee+Estimates+

Our% debt% recovery% services,% with% each% relevant% fee% estimate%(excluding% GST% and%

disbursements),%are%summarised%as%follows:%

For$debts$owed$by$individuals:$

• Formal%demand%-%$250%

• Summary%judgment%application%-%$1,800%

• Order%for%summary%judgment%-%$950%

• Bankruptcy%notice%-%$900%

• Creditor’s%application%-%$1,800%

• Order%for%adjudication%-%$750%

For$debts$owed$by$companies$

• Formal%demand%-%$250%

• Statutory%demand%-%$350%

• Liquidation%application%-%$1,800%

• Order%for%liquidation%-%$750%

2. Summary+of+Disbursements+

The%following%table%summarises%the%common%disbursements%(including%GST)%that%you%may%

need%to%pay%in%addition%to%our%fee:%

Disbursement$

District$

High$

Court$

Filing%statement%of%claim%and%summary%judgment%application%

$450%

$1,350%

Service%fee%(approximate)%–%applies%to%service%of%summary%judgment%%

$150%

application,%bankruptcy%notice,%creditor’s%application%for%adjudication,%%

statutory%demand,%liquidation%application,%and%any%other%steps%

requiring%service%of%documents%

Trace%fee%(approximate)%–%for%debtors%whose%whereabouts%are%

$300%

unknown%

Sealing%order%for%summary%judgment%

$50%

Issuing%certificate%of%judgment%

$50%

N/A%

Filing%request%for%issue%of%bankruptcy%notice%

N/A%

$200%

Filing%creditor’s%application%for%adjudication%

N/A%

$500%

Sealing%order%for%bankruptcy%

N/A%

$50%

Disclaimer:+ This% guide% is% not,% and% must% not% be% relied% upon% as,% legal% advice.% The% guide% is% a% simple% summary% prepared% by+

Evolution%Lawyers%for%the%general%benefit%of%its%clients.%Your%use%or%reliance%upon%this%guide%for%any%purpose%is%entirely%at%your%

own%risk.%

Filing%application%to%put%company%into%liquidation%

N/A%

$540%

Sealing%order%for%liquidation%

N/A%

$50%

3. Debt+Recovery+Process+–+Step+by+Step+

The% following% sections% set% out% our% suggested% step-by-step% process% for% recovering% your%

debt%on%which%our%fee%estimates%are%based.%The%process%is%different%depending%on%whether%

your%debtor%is%an%individual%or%a%company.%

4. Step+One+–+Formal+Demand+-+$250+

Whether%the%debtor%is%a%company%or%an%individual,%we%recommend%starting%with%a%formal,%

written%demand.%%

Our%fee%includes%the%following%attendances:%

• Reviewing%documents%evidencing%the%debt%e.g.%loan%agreement,%correspondence,%

and%account%statement%

• Preparing%a%written%demand%for%your%review%

• Finalising%demand%and%sending%to%debtor%

If%the%debtor%does%not%pay%the%debt%by%the%deadline%set%out%in%the%formal%demand,%move%to%

Step%Two.%Disbursements%to%this%point%include%our%office%disbursement%of%$50.%

If%the%parties%wish%to%settle%the%debt,%our%fee%for%preparing%and%arranging%execution%of%a%

settlement%agreement%is%$800.%

5. Debts+Owed+by+Individuals+

These%steps%in%the%process%relate%to%debts%owed%by%individuals.%

(a) Step+Two+–+Summary+Judgment+Application+-+$1,800+

We%recommend%filing%and%serving%summary%judgment%proceedings%in%the%District%

Court%(for%debts%under%$200,000)%or%High%Court%(for%debts%$200,000%and%over)%if%

the%individual%does%not%satisfy%the%formal%demand.%%

Our%fee%includes:%

• Preparing%statement%of%claim,%summary%judgment%application,%notice%of%

proceeding,%list%of%documents,%and%affidavit%in%support%

• Arranging% swearing% of% affidavit% in% support% of% summary% judgment%

Application%

• Finalising%documents%for%filing%with%the%relevant%Court%

• Arranging%personal%service%of%documents%on%the%debtor,%if%possible.%

• If%an%order%for%deemed%or%substituted%service%is%required,%our%additional%

fee%is%$1,000%for%preparing%the%necessary%documents%and%obtaining%the%

required%order.%

• Preparing,%arranging%swearing%of,%and%filing%affidavit%of%service.%

Disclaimer:+ This% guide% is% not,% and% must% not% be% relied% upon% as,% legal% advice.% The% guide% is% a% simple% summary% prepared% by+

Evolution%Lawyers%for%the%general%benefit%of%its%clients.%Your%use%or%reliance%upon%this%guide%for%any%purpose%is%entirely%at%your%

own%risk.%

If%the%debtor%does%not%oppose%the%summary%judgment%application,%move%to%Step%

Three.% % Disbursements% at% this% stage% will% include% Court% filing% fees,% the% service%

agent’s%fee,%and%our%office%disbursement%of%$50.%

(b) Step+Three+–+Order+for+Summary+Judgment+-+$950+

On%the%date%allocated%for%the%first%call%of%the%summary%judgment%application,%we%

recommend%seeking%an%order%for%summary%judgment.%%

Our%fee%includes:%

• Preparing%a%memorandum%of%indebtedness%for%the%hearing%

• Preparing%the%draft%form%of%order%for%summary%judgment%

• Appearing%at,%or%arranging%for%an%agent%to%appear%at,%the%first%call%of%the%

summary%judgment%application%

• Sealing%order%for%summary%judgment%

Disbursements%at%this%step%will%include%Court%filing%fees,%agency%fees%(if%an%agent%is%

required%for% an%out-of-town% Court% appearance),% and% our% office% disbursement% of%

$50.%

At%this%point,%we%recommend%considering%sending%a%copy%of%the%sealed%order%to%

the%debtor%in%the%form%of%a%further%formal%demand.%This%would%involve%repeating%

Step%One.%

If%the%Court%order%does%not%result%in%repayment,%move%to%Individual%Step%Four.%

We%recommend%serving%a%bankruptcy%notice%if%the%individual%debtor%does%not%pay%

the%debt%in%accordance%with%the%Court%order.%%

Our%fee%includes:%

• Preparing%and%filing%certificate%of%judgment%(if%required)%

• Preparing% request% for% issue% of% a% bankruptcy% notice% and% bankruptcy%

notice%

• Filing%request%and%bankruptcy%notice%with%relevant%High%Court%registry%

• Arranging% service% of% bankruptcy% notice% and% reporting%to% you% following%

expiry%

• Preparing,%arranging%swearing%of,%and%filing%affidavit%of%service%

Disbursements% at% this% step% will% include% Court% filing% fees,% service% fees,% and% our%

office%disbursement%of%$50.%

If%the%bankruptcy%notice%expires%unremedied,%move%to%Individual%Step%Five.%

Disclaimer:+ This% guide% is% not,% and% must% not% be% relied% upon% as,% legal% advice.% The% guide% is% a% simple% summary% prepared% by+

Evolution%Lawyers%for%the%general%benefit%of%its%clients.%Your%use%or%reliance%upon%this%guide%for%any%purpose%is%entirely%at%your%

own%risk.%

(b) Step+Five+–+Creditor’s+Application+-+$1,800+

We%recommend%applying%for%an%adjudication%order%against%the%debtor%as%the%next%

step.%%

Our%fee%includes:%

• Preparing% creditor’s% application% for% adjudication% order,% affidavit% in%

support,%and%summons%to%debtor%

• Arranging%swearing%of%affidavit%in%support%

• Filing%documents%with%the%High%Court%

• Arranging%service%of%documents,%and%preparing,%arranging%swearing%of,%

and%filing%affidavit%of%service%

Disbursements% at% this% step% will% include% Court% filing% fees,% service% fees,% and% our%

office%disbursement%of%$50.%

If% the% individual% does% not% oppose% the% creditor’s% application,% move% to%

Individual%Step%Six.%

(e) Step+Six+–+Order+for+Adjudication+-+$750+

On% the% date% allocated% for% the% first% call% of% the% creditor’s% application,% we%

recommend%seeking%an%order%for%adjudication.%%

Our%fee%includes:%

• Preparing%the%draft%form%of%order%for%adjudication%

• Appearing%at,%or%arranging%for%an%agent%to%appear%at,%the%first%call%of%the%

creditor’s%application%

• Sealing%order%for%adjudication%

Disbursements%at%this%step%will%include%Court%filing%fees,%agency%fees%(if%an%agent%is%

required% for% an% out-of-town% Court%appearance),% and% our% office% disbursement% of%

$50.%

At%this%point,%the%Official%Assignee%will%be%responsible%for%repaying%the%individual’s%

debt%out%of%the%assets%available%in%his%or%her%estate,%to%the%extent%those%assets%are%

able%to%repay%the%debt.%The%creditor%will%submit%a%proof%of%debt%in%the%bankruptcy%

when%prompted%by%the%Official%Assignee.%No%further%recovery%action%may%be%taken%

against%the%individual.%

6. Debts+Owed+by+Companies+

These%steps%in%the%process%relate%to%debts%owed%by%companies%governed%by%the%Companies%

Act%1993.%

(a) Step+Two+–+Statutory+Demand+-+$350+

If%the%debtor%is%a%company,%and%the%debt%is%undisputed,%we%recommend%serving%a%

statutory%demand%under%the%Companies%Act%1993.%%

Disclaimer:+ This% guide% is% not,% and% must% not% be% relied% upon% as,% legal% advice.% The% guide% is% a% simple% summary% prepared% by+

Evolution%Lawyers%for%the%general%benefit%of%its%clients.%Your%use%or%reliance%upon%this%guide%for%any%purpose%is%entirely%at%your%

own%risk.%

Our%fee%includes:%

• Preparing%statutory%demand%for%your%review%

• Finalising%statutory%demand%for%service%

• Instructing%service%agent%(if%required)%

• Reporting%to%you%following%service%and%expiry%of%the%statutory%demand%

If% the% statutory% demand% expires% unremedied,% move% to% Company% Step% Three.%

Disbursements%at% this%stage%may% include%the%service%agent’s%fee% for%serving%the%

statutory%demand.%Such%fees%are%commonly%between%$100%and%$150.%

Sometimes,% a% debtor% company% may% apply% to% the% High% Court% to% set% aside% a%

statutory% demand.% If% this% occurs,% our% fees% to% respond% to% that% application% are%

charged%in%accordance%with%our%hourly%rates.%

(b) Step+Three+–+Liquidation+Application+-+$1,800+

On%expiry%of%the%statutory%demand,%we%recommend%filing,%serving,%and%advertising%

a%liquidation%application.%

Our%fee%includes:%

• Preparing%the%statement%of%claim,%notice%of%proceeding,%and%affidavit%in%

support%

• Arranging%swearing%of%affidavit%in%support%and%filing%documents%with%the%

appropriate%High%Court%registry%

• Arranging% service% of% liquidation% proceedings% and% advertisement% of%

liquidation%application%

• Preparing,%arranging%swearing%of,%and%filing%affidavit%of%service%and%proof%

of%advertising%

If% the% company% does% not% oppose% the% liquidation% application,% move% to% Company%

Step%Four.%Disbursements%at%this%stage%will%include%Court%filing%fees,%service%agent%

fees,%the%cost%of%advertising,%and%our%office%disbursement%of%$50.%

On% the% date% allocated% for% the% first% call% of% the% liquidation% application,% we%

recommend%seeking%an%order%for%liquidation.%%

Our%fee%includes:%

• Preparing%the%draft%form%of%order%for%liquidation%

• Preparing%and%arranging%signing%of%liquidator’s%consent%(if%required)%

• Appearing% at,% or% arranging% for% an% agent% to% appear% at,% the% first% call% of% the%

liquidation%application%

• Sealing%order%for%liquidation%

Disbursements%at%this%step%will%include%Court%filing%fees,%agency%fees%(if%an%agent%is%

required% for% an% out-of-town% Court%appearance),% and% our% office% disbursement% of%

$50.%

Disclaimer:+ This% guide% is% not,% and% must% not% be% relied% upon% as,% legal% advice.% The% guide% is% a% simple% summary% prepared% by+

Evolution%Lawyers%for%the%general%benefit%of%its%clients.%Your%use%or%reliance%upon%this%guide%for%any%purpose%is%entirely%at%your%

own%risk.%

At% this% point,% the% appointed% liquidator% will% be% responsible% for% satisfying% the%

company’s% debt% out% of% the% assets% available% in% liquidation,% to% the% extent% those%

assets%are%able%to%repay%the%debt.%The%creditor%should%submit%a%proof%of%debt%in%

the%liquidation%when%prompted%by%the%liquidator.%No%further%recovery%action%may%

be%taken%against%the%company.%

7. Court+Filing+and+Other+Fees+

The%filing%fees%payable%in%the%District%Court%are%set%out%here.%The%High%Court’s%filing%fees%are%

set%out%here.%

Debt Recovery Services Guide

Debt-Recovery-Services-Guide

Navigation menu

Versions of this User Manual:

Views

Navigation