Supreme Court checklist for defects in applications to set aside a statutory demand

The Supreme Court of Victoria uses a checklist to 'groom' applications to set aside statutory demands for any problems before the first return of the matter for directions. The checklist is attached below. 

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Setting aside statutory demands: A way around the 21-day requirement for affidavits in support?

The Court of Appeal in Imagebuild Group Pty Ltd v Fokust Pty Ltd [2017] VSCA 131 (31 May 2017) has confirmed that affidavits in support of applications to set aside statutory demands cannot merely explain the delay in filing an affidavit in support within 21 days of the statutory demand being served (pursuant to s 459G(2) and (3) of the Corporations Act 2001).

However an affidavit filed and served within 21 days which explains delay and verifies on the basis of instructions or otherwise the contents of a ‘foreshadowed affidavit’ to be sworn, may be sufficient to constitute a supporting affidavit.

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How to evict a commercial tenant - Part 2 of 2

Evicting a commercial tenant - Part 2 of 2

The full article (5214 words) considers:

  • Re-entry by proceedings

  • Making an ‘unequivocal claim’ for possession

  • Fundamental breach and repudiation

  • When is a breach fundamental?

  • Repudiation

  • Loss of bargain damages

  • Waiver

  • Notice requirements

  • Defective Notices

  • Time limits for remedying a notice

  • Service of a notice

  • What if the tenant has a counterclaim?

  • The nature of set-off

  • Equitable set-off

  • Effect of ouster clauses

Can I sue on my informal contract?

Barristers are asked all the time whether an informal agreement is binding. By informal agreement, I mean a consensus of sorts arrived at between parties which is not recorded in any elaborate formal document. 

Informal agreements may be made by: 

1)   Oral agreement;

2)   The exchange of correspondence; 

3)   Heads of agreement; or

4)   A memorandum of understanding. 

Following the making of an informal agreement, parties often continue to negotiate in the expectation that they will be able to incorporate further terms – yet to be agreed – in the formal document. 

In the event that the formal document is not executed, a question arises: Is the agreement legally binding and enforcible? It’s a deceptively simple question but not always easy to answer. 

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How to prepare or oppose a payment claim under the Security of Payments Act

Are you a solicitor acting for a contractor or sub-contractor owed outstanding progress payments for works pursuant to a construction contract (within the meaning of the Domestic Building Contracts Act)?

If so, a Payment Claim under the BCISP Act (“Act”) may be a relatively speedy way to recover this sum for your client.

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How to evict a commercial tenant - Part 1 of 2

Whether acting for a landlord or tenant, the eviction of commercial tenants is vastly different to the rules governing the eviction of residential tenants. This is because the Courts and VCAT consider commercial tenancies to be long-term binding contracts between commercial parties. 

While residential tenancy rules in Victoria allow landlords to evict tenants for little reason or no reason at all (in 120 days), the law treats commercial tenancies very differently. There are more protections in place for commercial tenants to ensure they can build a business from a premises and potentially sell any goodwill attached to a particular location.

Termination of commercial tenancies involves knowledge of the principles of contract law, termination and waiver, notices, the Property Law Act (section 146), equitable set-off, exercise of options, and other common law concepts such as taking possession and conversion of goods.

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Affidavits in support of statutory demands must include a "statement of belief that there is no genuine dispute"

Statutory demands issued for a non-judgment debt must be accompanied by an affidavit which states, inter alia, the deponent’s belief that that there is no genuine dispute about the debt. 

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Claiming interest on a statutory demand

In a recent case before an Associate Justice in the Supreme Court of Victoria (unreported) a creditor who issued a statutory demand pursuant to a judgment debt and claimed additional interest without a verifying affidavit withdrew the demand. The court ordered the creditor to pay the alleged debtor's costs on an indemnity basis. 

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How to list urgent commercial matters in the Supreme Court practice court

From 29 February 2016, the Supreme Court will no longer hear urgent applications involving a commercial dispute in the general practice court, but by referral to the Commercial Court duty judge or Corporations List managing judge. 

This procedure applies for all the common urgent commercial applications: injunctions, caveat removals, mareva and freezing orders. 

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Setting aside a statutory demand: what must an applicant establish?

The terms of s 459H of the Corporations Act and the authorities make clear that, on an application to set aside a statutory demand, the applicant is required only to establish a genuine dispute or offsetting claim. The applicant is required to evidence the assertions relevant to the alleged dispute or offsetting claim only to the extent necessary for that primary task.

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