Paper: Statutory Demands – November 2007
In brief: Senior Associate Christopher Prestwich and Lawyer Adrian Fisher discuss the statutory demand regime in Part 5.4 of the Corporations Act 2001 (Cth).
Presented on 30 November 2007 in Sydney
The purpose of the statutory demand regime in Part 5.4 of the Corporations Act 2001 (Cth) is to create a situation where a company that owes money to creditors cannot delay matters by putting on 'colourable defences' to liquidated claims. Instead, unless the company can show a genuine dispute about the claim, a presumption of insolvency arises if the debt is not paid. This serves the public interests by preventing or discouraging insolvent companies from continuing to trade.
For more, download the paper (as an adobe acrobat pdf – 83KB)
For further information, please contact:
- Michael QuinlanPartner,
Sydney
Ph: +61 2 9230 4411
Michael.Quinlan@allens.com.au