Legal Project Management Plan & Checklist
Purpose of this Guide: Use this fork when the debtor has committed an act of bankruptcy (most commonly by not complying with a bankruptcy notice within 21 days) and you are ready to file the creditor's petition to obtain a sequestration order making the debtor bankrupt.
Jurisdiction: Federal Court of Australia or (Division 2).
The Process at a Glance: Confirm the act of bankruptcy has occurred and is within the 6-month window for filing. Prepare the creditor's petition and the supporting affidavit verifying the debt and the act of bankruptcy. File in the Federal Court or FCFCA and pay the filing fee. Serve the petition on the debtor at least 5 business days before the hearing. At the hearing, present evidence of the debt and the act of bankruptcy. If the court is satisfied, it makes a sequestration order.
Key Legislation and Case Law: Bankruptcy Act 1966 (Cth) ss 40 (acts of bankruptcy), 44 (creditor's petition requirements), 52 (court's discretion to grant sequestration order), 58 (vesting of property in trustee). Federal Court (Bankruptcy) Rules 2016 (Cth). FCFCA (Bankruptcy) Rules 2016 (Cth). The court has a discretion to dismiss the petition even if the technical grounds are established: Cain v Whyte (1933) 48 CLR 639. The debtor can oppose on the grounds that the debt is disputed on substantial grounds: Braun v Chown (1995) 55 FCR 416.
* Disclaimer: We're nobody's lawyer, because we aren't lawyers. You are, so you know better than to take legal advice from an app. We also aren't accountants or dog trainers - just digital spirit guides taking zero liability for any of this. This site exists to gather the collective knowledge of practitioners like you. Verify everything and submit your feedback on the Personal Bankruptcy (Creditor) - Creditor's Petition (Acts of Bankruptcy) matter plan to improve the playbook. THIS IS NOT LEGAL ADVICE, it's a request for input.
This legal matter plan provides a structured workflow for COMMERCIAL_LAW cases, outlining the standard RESTRUCTURING process. Utilize these tracking templates to manage your legal cases efficiently.
Confirm the firm has authority to proceed with creditor's petition proceedings on behalf of the creditor.
Draft the Creditor's Petition and collate supporting affidavits.
File the Petition and receive a hearing date from the Court.
Personally serve the Petition and hearing notice on the debtor.
Finalise updated affidavits of debt and NPII search prior to the hearing.
Attend the hearing and successfully obtain a Sequestration Order.
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