When a customer, client or business (the ‘debtor’) refuses to pay what you are owed (the ‘creditor’), every day that passes can make the recovery harder. The process of recovering funds can place significant pressure on individuals and businesses alike. When you are faced with an ongoing dispute regarding the collection of debt, it is beneficial to engage a debt recovery lawyer to establish an effective strategy that is commercially viable.
Citilawyers acts for businesses, sole traders and individuals recovering outstanding debts across Sydney. We assist in your debt recovery matters, from issuing a letter of demand through to commencing court proceedings and enforcing judgments. For broader litigation services beyond debt recovery, see our litigation lawyers Sydney page.
If you are currently experiencing a debt recovery issue, reach out to our team today on (02) 9233 7737 to book a consultation.
Contact Citilawyers for debt recovery matters as soon as one or more of the following applies:
For broader commercial advice on protecting future business cash flow and minimising bad debt exposure, see our cash flow and debt minimisation lawyers page.
Citilawyers manages each stage of the debt recovery process. Generally, a letter of demand is sent to the debtor to pay the money owing. Failure to respond to the letter or denial of any amount outstanding to the creditor may escalate the matter to court.
The steps below outline in more detail the general process for debt recovery matters:
A letter of demand is a letter sent to the other party (the debtor) that asks them to pay the money owed. Generally, a letter will include the amount owed to the creditor and why the money must be paid. The letter serves as a warning to the other party that if the amount owing is not paid within the timeframe provided (usually 14 days) then legal proceedings will be commenced.
For more guidance on protecting future receivables and how letters of demand interact with contractual debt recovery clauses, see our article on business credit terms strategy.
Legal proceedings are commenced by filing a Statement of Claim with the relevant court which sets out the pleadings and relief sought.
The appropriate NSW court:
Once a Statement of Claim has been filed and served on the debtor, the debtor has 28 days to file a defence. For an overview of how civil proceedings progress through the NSW courts, see our article on the civil litigation process.
Where the debtor files a defence, the matter proceeds to a hearing. We appear in defended debt recovery matters across the NSW courts and establish a strategy that assists your claim. For broader breach of contract claims that often accompany debt recovery, see our contract commercial disputes lawyers page.
Judgement can be obtained when the debtor fails to respond to the Statement of Claim, the defendant’s defence holds “no real prospects” of success or the court makes an order at the conclusion of the trial.
The enforcement of judgement occurs after a decision has been made and allows the creditor to recover costs pursuant to the court order. The methods to enforce judgement are set out in Part 8 of the Civil Procedure Act (NSW) and Part 39 of the Uniform Civil Procedure Rules 2005 (NSW).
The judgement creditor must request, in writing, an examination notice from the judgement debtor which requires that person to provide answers to relevant questions and produce documents. A judgement debtor has 28 days to comply with the examination notice once served.
For a detailed explanation of each enforcement method, see our article on NSW judgment enforcement methods.
Following the judgement debtor producing the relevant material, we will pursue the most appropriate enforcement methods given the circumstances, these include:
Where statutory demands or insolvency proceedings are required, our insolvency and bankruptcy lawyers Sydney advise on the full winding up and bankruptcy pathway.
Citilawyers are skilled in debt recovery matters across New South Wales. Our lawyers have extensive knowledge on the topic and are able to provide practical legal solutions.
Our approach to debt recovery is built on three principles:
If you are currently experiencing a debt recovery issue, reach out to speak with our team.
When a customer, client or business (the ‘debtor’) refuses to pay what you are owed (the ‘creditor’), every day that passes can make the recovery harder. The process of recovering funds can place significant pressure on individuals and businesses alike. When you are faced with an ongoing dispute regarding the collection of debt, it is beneficial to engage a debt recovery lawyer to establish an effective strategy that is commercially viable.
Citilawyers acts for businesses, sole traders and individuals recovering outstanding debts across Sydney. We assist in your debt recovery matters, from issuing a letter of demand through to commencing court proceedings and enforcing judgments. For broader litigation services beyond debt recovery, see our litigation lawyers Sydney page.
If you are currently experiencing a debt recovery issue, reach out to our team today on (02) 9233 7737 to book a consultation.
Contact Citilawyers for debt recovery matters as soon as one or more of the following applies:
For broader commercial advice on protecting future business cash flow and minimising bad debt exposure, see our cash flow and debt minimisation lawyers page.
Citilawyers manages each stage of the debt recovery process. Generally, a letter of demand is sent to the debtor to pay the money owing. Failure to respond to the letter or denial of any amount outstanding to the creditor may escalate the matter to court.
The steps below outline in more detail the general process for debt recovery matters:
A letter of demand is a letter sent to the other party (the debtor) that asks them to pay the money owed. Generally, a letter will include the amount owed to the creditor and why the money must be paid. The letter serves as a warning to the other party that if the amount owing is not paid within the timeframe provided (usually 14 days) then legal proceedings will be commenced.
For more guidance on protecting future receivables and how letters of demand interact with contractual debt recovery clauses, see our article on business credit terms strategy.
Legal proceedings are commenced by filing a Statement of Claim with the relevant court which sets out the pleadings and relief sought.
The appropriate NSW court:
Once a Statement of Claim has been filed and served on the debtor, the debtor has 28 days to file a defence. For an overview of how civil proceedings progress through the NSW courts, see our article on the civil litigation process.
Where the debtor files a defence, the matter proceeds to a hearing. We appear in defended debt recovery matters across the NSW courts and establish a strategy that assists your claim. For broader breach of contract claims that often accompany debt recovery, see our contract dispute lawyers page.
Judgement can be obtained when the debtor fails to respond to the Statement of Claim, the defendant’s defence holds “no real prospects” of success or the court makes an order at the conclusion of the trial.
The enforcement of judgement occurs after a decision has been made and allows the creditor to recover costs pursuant to the court order. The methods to enforce judgement are set out in Part 8 of the Civil Procedure Act (NSW) and Part 39 of the Uniform Civil Procedure Rules 2005 (NSW).
The judgement creditor must request, in writing, an examination notice from the judgement debtor which requires that person to provide answers to relevant questions and produce documents. A judgement debtor has 28 days to comply with the examination notice once served.
For a detailed explanation of each enforcement method, see our article on NSW judgment enforcement methods.
Following the judgement debtor producing the relevant material, we will pursue the most appropriate enforcement methods given the circumstances, these include:
Where statutory demands or insolvency proceedings are required, our insolvency and bankruptcy lawyers Sydney advise on the full winding up and bankruptcy pathway.
Citilawyers are skilled in debt recovery matters across New South Wales. Our lawyers have extensive knowledge on the topic and are able to provide practical legal solutions.
Our approach to debt recovery is built on three principles:
If you are currently experiencing a debt recovery issue, reach out to speak with our team.
There is no set period to expect regarding the timeframes associated with a debt recovery matter. The period in which it takes to resolve a matter can vary drastically for a variety of reasons, such as whether the claim is resolved at the letter of demand stage or if the matter proceeds to court.
Most clients represent themselves during NCAT hearings. A request for representation can be made to the Tribunal in writing. This request must include your file number and parties’ names, why representation is needed, the name of the legal practitioner representing you, and confirmation that the representative has authority to make decisions on your behalf.
If you are successful in your claim for debt recovery, the court may order that the debtor pay your legal costs and any disbursements.
Yes, debt is recoverable even if the debtor has moved interstate. The service of documents required to pursue court proceedings can be served on a party who has moved interstate but must be done in accordance with the Service and Execution of Process Act 1992 (Cth).
