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QLD Statutory Demand - How to Dispute and Set Aside?

Discussion in 'Debt and Bankruptcy Law Forum' started by John Monte, 20 August 2014.

  1. John Monte

    John Monte Member

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    Hi
    Recently I missed a QCAT civil hearing regarding a vexatious demand to remedy a defect under warranty, however denies my company access to review subsequently issuing a QCAT claim. The court ordered my company pay back the original purchase price dated back to 2012. The client subsequently after 7 days issued a statutory demand.

    We have submitted form 49 to reopen the matter which has been accepted. My question is how can I submit a reply to the courts to have the statutory demand set aside while the matter is reviewed by QCAT. My company no longer trades and was put into voluntary deregistration however client obtained an ASIC holding order pending court hearings. I want to avoid the company having to be put into involuntary or voluntary administration due to costs and reputation.

    What is the specific process that will enable me to write to the relevant jurisdiction and correct format citing my QCAT re opening as grounds for dispute and request to have demand set aside. Can this be done without having to engage a lawyer or can someone refer me a solicitor that will prepare and submit file for under $500?
     
  2. Amanda E

    Amanda E Well-Known Member

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    Hi John,
    Read the Arts Law Information Sheet "Debt recovery – small claims procedure (QLD)" as it explains the small claims procedure in Queensland.
    Did the QCAT Referee actually make a final decision/order? You'll see the Information Sheet states that 'Orders made by the Referee are final and binding on all parties. Only in exceptional circumstances is an appeal against the decision allowed'. So you'd need to make sure you could explain why your circumstances are exceptional. See the QCAT page "Decision about a minor civil dispute" for information about appealing a decision about a minor civil dispute (incl debt disputes under $25k)
     
  3. Amanda E

    Amanda E Well-Known Member

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    Sorry - I just re-read your question -
    So you'd be applying to Set Aside a Statutory Demand per section 459G of the Corporations Act which states:
    A company may apply to the Court for an order setting aside a statutory demand served on the company;
    • An application may only be made within 21 days after the demand is so served;
    • An application must be made in accordance with section 459G if, within those 21 days;
    • An affidavit supporting the application is filed within the Court; and
    • A copy of the application and supporting affidavit are served on the person who served the Statutory Demand on the Company.
    Section 459G of the Corps Act states, a court may make a determination where its satisfied that either or both of the following apply:
    How much money is alleged to be involved? You'd apply to the Queensland Magistrates Court if the amount is $150,000 or less, the Queensland District Court if the amount is more than $150,000 but less than $750,000 or the Queensland Supreme Court if the amount is more than $750,000. For some more information on self representation and legal aid, see the Queensland Courts site.

    Keep us updated with your progress.
     

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