Legal Project Management Plan & Checklist
Purpose of this Guide: Use this plan when representing a New Zealand debtor whose unsecured debt is $50,000 or less, who possesses surplus income to make sustainable repayments, and who wishes to avoid bankruptcy to retain ownership and control of their assets. A Debt Repayment Order (DRO) consolidates debts into a supervised payment plan.
Jurisdiction: Supervised by an Approved DRO Supervisor and lodged with the Official Assignee.
The Process at a Glance: The practitioner helps the debtor draft a viable repayment schedule over a period of up to 3 years. The plan is submitted to a DRO Supervisor, who reviews it for fairness to creditors. If approved, the debtor makes single regular payments to the Supervisor, who distributes them to creditors. The plan tracks the payment period and final completion.
Key Legislation and Case Law: DROs (formerly Summary Instalment Orders) are governed by Part 5, Subpart 3 of the Insolvency Act 2006. They protect the debtor's assets from realisation and do not impose travel or severe business restrictions.
* 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 Insolvency (Debtor) - Debt Repayment Order (DRO) 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 Bankruptcy & Insolvency cases, outlining the standard Insolvency Administration process. Utilize these tracking templates to manage your legal cases efficiently.
Verify all prerequisite documentation has been obtained, cross-reference against the statutory requirements for this matter type, and confirm compliance with practice direction protocols.
Statutory Term: Under Part 5, Subpart 3 Insolvency Act 2006, the standard maximum duration for a DRO is 3 years, though the OA can extend this up to 5 years.
Prepare the relevant forms and supporting materials required under the applicable legislation, ensuring all mandatory fields are completed and all attachments are properly certified.
Asset Protection: A primary advantage of the DRO is that the debtor retains ownership and control of all assets, distinguishing it from bankruptcy where non-exempt assets vest in the OA.
Draft and dispatch formal correspondence addressing the procedural requirements at this stage, including any required notices, requests for information, or proposals for resolution.
Register Retention: DROs are recorded on a public register for the duration of the order plus 4 years.
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