Blogs

COVID-19 DEBT HIBERNATION

The Government is introducing legislation to change the Companies Act to help businesses facing insolvency due to COVID-19 to remain viable, with the aim of keeping New Zealanders in jobs.

Selling Debt- Be Carefull

A business may decide to sell it’s debt for a variety of reasons:
1. The business needs to raise CASH immediately;
2. The debt has become aged and considered uneconomic
to pursue;

TRANS-TASMAN PROCEEDINGS ACT 2010

Written by Shane Created: 27 March 2019 What happens if a debtor leaves New Zealand and relocates to Australia owing a creditor money, in some instances a considerable sum. Is all lost for the creditor? The Trans-Tasman Proceedings Act 2010 in some circumstances may offer the solution. A New Zealand registered judgment can be registered in […]

Retention Monies Under New Commercial Construction Contracts Must Be Held On Trust In The Form Of Cash Or Liquid Assets

Written by Shane Created: 30 August 2018 The change, in essence is to protect vulnerable subcontractors from the insolvency of the parties holding retention monies. The change came in to effect from 31 March 2017 and is not retrospective. The new rule applies to commercial construction contracts which provide for monies to be withheld by one party (Y) from an […]

CONSTRUCTION CONTRACTS ACT 2002

Written by Shane Created: 01 August 2017 For many credit controllers, credit managers, debt collectors and other professionals, the Construction Contracts Act 2002 is confusing and part of the confusion relates to how to recover money that is owing under the Act. So basically what is the Construction Contracts Act 2002. The act sets out to […]

WHAT HAPPENS WHEN AN ATTACHMENT ORDER STOPS

Written by Shane Created: 14 November 2016 The Court receives applications all the time to “Attach” either the WINZ benefit or the wages of a debtor person (judgment debtor) to repay by instalments the debt amount that is owed. Usually, when an Attachment Order is applied for through the District Court the judgment debtor is either receiving wages […]

DO YOU KNOW WHERE YOUR DEBTOR IS?

Written by Shane Created: 15 January 2015 It is important that the address details that you provide to the Court in civil enforcement procedures are correct, particularly in respect to a Financial Assessment Hearing. If a summons for a Financial Assessment Hearing is served upon your debtor, who later does not turn up at the Court […]

NEW DISTRICT COURT PROCEDURE FROM 01 JULY 2014

Written by Shane Created: 11 August 2014 The District Court from 01 July 2014 has a new process for filing a claim. The process seems to go back to the formal pleading process of some years ago and a case management conference among other things has been added. To file a claim in the District Court, […]

GLOBAL CREDIT CRISIS-HAVE WE LEARNED ANYTHING?

Written by Shane Created: 20 May 2014 I recently met with a 70 year woman who had just recently retired, to discuss the payment of a debt that we were asked to collect. The woman, quite honestly was the salt of the earth. During the conversation to discuss the debt owed, I was told the following. […]

DEFAULT JUDGMENT

Written by Shane Created: 12 February 2014 Default judgment can now be sought where the defendant’s response does not disclose any defence to the plaintiffs claim or admits the facts which are subject to the claim. This is not legal advice. Seek advice from your solicitor or other professional before taking action in regard to this general […]

CHANGE TO DISTRICT COURT PROCEDURE-SUMMARY JUDGMENT

Written by Shane Created: 12 February 2014 A party can now apply for summary judgment within 20 working days after the date by which the defendant is required to serve its response.Once an application for summary judgment is filed, the proceeding is in abeyance until the summary judgment application is dealt with. The parties are not required to serve […]

SLEEPING DIRECTOR-DO NOT BE IGNORANT

Written by Shane Created: 12 November 2013 Question:Can a director of a company who has not signed a personal guarantee be liable for a company’s debts? The answer is YES! The notion of limited liability applies to a persons shareholding. A director owes various duties to the company and ultimately the creditors of the company. If […]

STATUTORY DEMAND- DEBTOR COMPANY HAS 10 WORKING DAYS TO HAVE DEMAND SET ASIDE

Written by Shane Created: 17 April 2013 A debtor company faced with a Statutory Demand must apply to the Court within 10 working days if it wishes to have the Statutory Demand set aside. A debtor company can only challenge a Statutory Demand on the grounds that the debt owed is disputed, is not owed or the Statutory […]

IS THERE A CORRELATION BETWEEN A LACK OF VALUES AND THE NON PAYMENT OF DEBT?

Written by Shane Created: 02 January 2013 Many of you will remember and remember well the lessons you received from your parents early in your life, particularly your father. Sons and daughters will remember well their father’s constant chanting about the things that were important to develop, demonstrate and protect. Things that you were told were […]

WHAT IS A FUNDING CREDITOR

Written by Shane Created: 04 October 2012 In liquidations, there is an opportunity to pursue action against either the director(s) or some related party for funds or assets removed from the company prior to the liquidation. If an unsecured creditor funds the costs of legal action, the creditor stands ahead of all creditors, including GSA holder, […]

NEW DISTRICT COURT RULES – DEFENDANTS RESPONSE TIME

Written by Shane Created: 15 June 2012 There has been a further change to the District Court Rules – Civil Procedure Previously a defendant had 30 working days or 31 working days including the day of service to file Form 3 – Response by Defendant. The defendant now has only 20 working days to file Form 3 – Response […]

NEW DISTRICT COURT RULES

Written by Shane Created: 22 May 2012 There is a new District Court rule now in force which requires, at the time of serving a Notice of Claim, to serve initial discovery of documents. We suggest that you contact your solicitor to find out exactly which documents you must serve along with your Notice of Claim.

TENACITY COLLECTS MONEY

Written by Shane Created: 08 March 2012 Quote: “the only person who will stay closer to you in adversity other than a friend, is a collector from Specialist Collections & Consultants Limited”

IS PAYING DEBT ALSO NOT ABOUT PERSONAL INTEGRITY

Written by ShaneCreated: 07 March 2012 Question for you. Who can escape a customer with poor morals and morale quicker? An insurance company or a financier? The difference is, mostly, in the term of the contract. Generally insurance contracts are renewed every 12 months and before the contract is renewed, the insured must make a full […]

DISPUTES TRIBUNAL – NEW FORM

Written by ShaneCreated: 23 November 2011 We are pleased to advise, and say about time, that the Ministry of Justice has updated the form to file a Disputes Tribunal claim. You can find the form by visiting http://www.justice.govt.nz/Tribunals, Disputes Tribunal, forms and guides, Disputes Tribunal claim form. You can download the PDF version or from the Ministry […]

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