QLD Magistrates Court - Steps After Default Judgement?

Australia's #1 for Law
Join 150,000 Australians every month. Ask a question, respond to a question and better understand the law today!
FREE - Join Now

NotABabe

Active Member
31 March 2017
11
0
31
Hi,

We (Plaintiff) are in a process of money dispute in magistrates court. The other party did not file their defense within 28 days and we are about to request for a default judgement. I just have a few questions about what steps to take after the judgement is given. The case is quite simple, the other party didn't pay the invoices.
My questions are:

1. What's the first step after a judgement is granted? Do we still need to fill out the form 58 to register the default judgement?
2. Do we need to request the court to give a money order, or register an order?
3. The other party is a national company, is an enforcement hearing necessary?
4. The other party is a cleaning contractor to many companies. If we need to apply for an enforcement warrant, and we know who they are contracting to, which warrant should we apply? (Redirection of debt or redirection of earnings)
5. Is there more efficient way to get them to pay the debt after the default judgement?

Thank you in advance for your precious time!
 

Rob Legat - SBPL

Lawyer
LawConnect (LawTap) Verified
16 February 2017
2,452
514
2,894
Gold Coast, Queensland
lawtap.com
1a. Commonly the first step is to seek an enforcement hearing, as a means of finding out information about the ways to pursue enforcement.

1b. To seek a judgment you'll need to prepare a Form 25 Request for Default Judgment, a Form 26 Default Judgment, and an affidavit of debt to show how much is currently owed.

2. That's what you're doing by lodging the documents in 1b.

3. An enforcement hearing in never 'necessary', but the initial steps of one (at least) are usually a good idea. You can't seek an enforcement hearing without first sending the judgment debtor a Form 71 and giving them an opportunity to respond. Doing this is a good way to get some information to inform further proceedings.

4. With a company, I would always suggest a redirection of debt to their bank - after first ascertaining their correct bank details.

5. Whatever works in the circumstances. If they're playing hardball, you can look at a statutory demand under the Corporations Act. Failure to comply with one of those is grounds to seek a winding up order against the company - something which they will definitely want to avoid from the information you've given.
 

NotABabe

Active Member
31 March 2017
11
0
31
1a. Commonly the first step is to seek an enforcement hearing, as a means of finding out information about the ways to pursue enforcement.

1b. To seek a judgment you'll need to prepare a Form 25 Request for Default Judgment, a Form 26 Default Judgment, and an affidavit of debt to show how much is currently owed.

2. That's what you're doing by lodging the documents in 1b.

3. An enforcement hearing in never 'necessary', but the initial steps of one (at least) are usually a good idea. You can't seek an enforcement hearing without first sending the judgment debtor a Form 71 and giving them an opportunity to respond. Doing this is a good way to get some information to inform further proceedings.

4. With a company, I would always suggest a redirection of debt to their bank - after first ascertaining their correct bank details.

5. Whatever works in the circumstances. If they're playing hardball, you can look at a statutory demand under the Corporations Act. Failure to comply with one of those is grounds to seek a winding up order against the company - something which they will definitely want to avoid from the information you've given.


Thank you Rob.

It has been over a week since we filed the request of default judgement. We had not received anything from the court so we contacted the courthouse this afternoon and received an unfortunate news. Our request of default judgement was received by the court on 20th June (I went in to lodge at the counter), one of the defendant "emailed" the court their intention to defend on 21st. The court decided to accept their paper as our request was still "in tray yet to be processed". Even though their deadline to file their paper was on 19th, we filed the request of default judgement on 20th, they emailed the court on 21st, the court did not receive the formal paper on 26th, at the end the court still decided to accept their paper.

How frustrating. How is this legal? We followed the procedure did everything by textbook and this is what we get. When the defendants owed us a large amount of money, not paying invoices, it seemed like they had better luck.

Anyway, if I may gratefully ask for your help again...

In our claim, there were 2 defendants, different company names, same directors, same address. It appears that they only filed defence for one of the defendants. When I talked to the court this afternoon the information I got was that I could still request a default judgement against the defendant who did not file their defence. However, I will need to decide the amount claimed in the request against one of the defendants, as in the original claim it was an amount (total owing) plus interest and costs against both defendants.

To our knowledge, it is quite common for companies like these to decide to save one company and shut down the other. So it is a dilemma to decide how to divide the debt amount against each defendant now. It would be much appreciated if you could offer some insight in this instance.
The registrar also said that the defendant could file their defence any time, even after the 28 days deadline, if we don't take further action. I was really disappointed to hear that as it was total BS, why bother to set a deadline then?

On the other hand, we do have a solicitor on our case since the beginning. However, it just seemed like our case wasn't important enough it took her days to call me back or email me back. It is just frustrating the whole thing. The court could ring the defendant to tell them their paper had problem needed to be redone, but they couldn't give us a call and let us know they decided to give the defendant more time and another chance. Sorry about the whinge I am just really frustrated.
 

Rob Legat - SBPL

Lawyer
LawConnect (LawTap) Verified
16 February 2017
2,452
514
2,894
Gold Coast, Queensland
lawtap.com
I'm slightly confused. You have a solicitor acting for you, but you went and lodged the default judgment application yourself? Not that I have much litigation experience, but I've also never heard an application for default judgment in a liquidated claim going in the "to be done " tray. In any I've ever done, they're either processed on the spot or rejected. You may want to query exactly what happened there.

Going for default judgment against the one company who didn't file a defence may be a ploy to sucker you in. Without knowing that they have any financial ability to cover the judgment, I'd be waiting it out.
 

NotABabe

Active Member
31 March 2017
11
0
31
I'm slightly confused. You have a solicitor acting for you, but you went and lodged the default judgment application yourself? Not that I have much litigation experience, but I've also never heard an application for default judgment in a liquidated claim going in the "to be done " tray. In any I've ever done, they're either processed on the spot or rejected. You may want to query exactly what happened there.

Going for default judgment against the one company who didn't file a defence may be a ploy to sucker you in. Without knowing that they have any financial ability to cover the judgment, I'd be waiting it out.


Hi Rob,

Thanks again for replying.

We consulted a solicitor and paid the fees for her to review and alter our papers, then lodged the paper ourselves. She said she would represent us if we needed further action.

The situation is confusing that's why after the phone call to the courthouse we went in to talk to the registrar face to face this afternoon.

On the 20th when we filed the request for default judgement at the courthouse, the front desk lady confirmed with the registrar that the other parties claimed they were going to file defence however the court has not received it, thus the court would accept our application. She said to me " I will go ask the registrar if she would give it to you right away." 5 minutes later she came back and said: " No she would give you the paper in a week time." So we left the courthouse happily
.
But today the same registrar told us that she did not process our request right away (on the 20th), and on the next day 21st she received the first defendant's file for defence. She then talked to the "senior" and they've decided to accept the defence because she has not processed our request from the day before. She then further instructed the defendant to fill out correct forms, waiting for the formal paper to be posted to her, which she received on 26th, and then she rejected our request of default judgement. We are extremely frustrated and upset. We followed all the rules, and it's now more difficult because she didn't process it or at least date stamp our paper.

I did think about the possibility that it was a trick that the defendants used to suck us in. As far as I know, we can only find out their financial positions at Enforcement hearing (after the judgement)? What else can we do now?

Thanks again Rob.
 

Rob Legat - SBPL

Lawyer
LawConnect (LawTap) Verified
16 February 2017
2,452
514
2,894
Gold Coast, Queensland
lawtap.com
It sounds like the Registrar gave the defendant extra time to lodge their notice of intention to defend. I guess they thought their reason was valid and / or they wanted to avoid the likelihood of an application to overturn a default judgment.

Either way, you should be served with a copy of the notice of intention to defend and the defence within 14 days of it being filed. If not, contact the court. When you've got it, go back to your lawyer.
 

sonay

Well-Known Member
5 November 2016
33
1
124
It sounds like the Registrar gave the defendant extra time to lodge their notice of intention to defend. I guess they thought their reason was valid and / or they wanted to avoid the likelihood of an application to overturn a default judgment.

Either way, you should be served with a copy of the notice of intention to defend and the defence within 14 days of it being filed. If not, contact the court. When you've got it, go back to your lawyer.

Hi Rob how are you? Could you please tell me what you think of this situation and what are my options?

Brought a van under fiance in 2015 for 15months repayments were made monthly. I needed to go overseas. I owed my friend about $1000 so I left him my van as security and was going to repay my friend when I came back to Australia. 3 months later I came back. Luckily, I kept my registration up to date but had missed to loan repayments. Tried to contact my friend to get my van back but he told me he sold it and refused to see me. I had to move to Adelaide and I was hoping somehow I'd get my van back but didn't. 1 month later I get a Toll infringement notice in the mail for a fine on the last day I was overseas and that's the last known whereabouts of my van. The registration expired 3 months after I asked for it back.

About 70000 dollars with interest debt. Debt collector contacted me saying if the loan is repaid in 2 weeks there won't be any interest, but won't accept a payment plan.

Contacted a friend through another friend asking for 10000 to pay off debt. First he says yes to the 10000$ repayment then says no he won't pay. What can I do?

 

Rob Legat - SBPL

Lawyer
LawConnect (LawTap) Verified
16 February 2017
2,452
514
2,894
Gold Coast, Queensland
lawtap.com
My first question would be how did your your ‘friend’ sell the vehicle which was registered in your name, with current registration? Have you reported it stolen?
 

Scruff

Well-Known Member
25 July 2018
902
133
2,389
NSW
Report it stolen and give the Police your "friend's" details.

If the rego wasn't transferred, then I seriously doubt that he actually sold it - and I'll bet that he knows exactly where it is.
 

sonay

Well-Known Member
5 November 2016
33
1
124
Thank you so much for replying.

I'm asking on behalf of my cousin it was just easier saying it was me.
The friend definitely knows where it is...

I really don't know how he sold it or what he did with it. 1 month after my cousin came back he did try to report it stolen to police but because his English wasn't the best so I don't know what happened.

Can he still report it stolen or is it too late? He has to go to the police station in Mooroopna Victoria where he tried to report it.

My cousin just asked for the 10000 he got for the van (that's what they said how they got for it) and my cousin was going to pay 20000 to close the debt. The due date is on the 18/12/18 but now he refuses to pay.
Don't know what to do.