Setting aside a Bankruptcy Notice
In many cases, the easiest way to set aside a bankruptcy notice is to set aside a Default Judgment (See Setting Aside a Default Judgment) or appealing if you are within time and attempting to adjourn the bankruptcy proceedings. Sometimes, a combination of approaches is required as some matters do not always delay or stay bankruptcy proceedings.
If you have been issued with a bankruptcy notice, any challenge to the bankruptcy notice must occur within a time period of 21 days. After the 21-day time period, if not challenged, an act of bankruptcy has occurred regardless of if the bankruptcy notice is later set aside.
If you believe you have been served a bankruptcy notice, contact Gibbs Wright Lawyers today to set aside your bankruptcy notice.
How Bankruptcy works
Making an individual bankrupt is a serious matter which can be devastating on a person’s finances, now, during the bankruptcy period, and after the bankruptcy. As such, the courts take a strict approach to make sure everything is correct before making someone bankrupt.
You might be able to set aside the original judgment, the bankruptcy notice might be incorrect, service may not be appropriately effected.
To bankrupt an individual, there are five key steps:
- Obtaining a court judgment or order against the individual (including any State or Federal Court and any tribunals/commissions judgments that can be registered in court;
- Applying for a bankruptcy notice;
- Serving the bankruptcy notice on the individual and giving them 21 days to pay;
- Filing a creditors petition with the court; and
- The court granting a sequestration order making the person bankrupt.