How to Serve a Bankruptcy Notice

Once AFSA issues a Bankruptcy Notice (“Notice”), you are responsible for arranging its service on the debtor. This must be done within six months of the date the Notice was issued.

There are several methods available to serve a Bankruptcy Notice, as outlined in Regulation 16.01 of the Bankruptcy Regulations 1996. These include the following:

Personal Service

This involves a process server locating the debtor, identifying them, and physically handing over the Notice. An Affidavit of Service is then sworn, confirming that personal service took place. This is the most reliable method and the hardest for a debtor to dispute, but it is also the most expensive. It may also be ineffective if the debtor is actively avoiding service.

Service by Post

The Notice may be posted to the debtor’s last known address. This method is cost-effective and useful when the debtor is avoiding face-to-face service. However, while service is presumed under this method, it is not guaranteed. The person posting the Notice should swear an affidavit confirming the date and method of posting. If challenged in court, the debtor may claim the Notice was never received.

Delivery to the Debtor’s Address

The Notice can also be delivered to the debtor’s current or last known address without handing it to them directly. This offers more certainty than posting, but still relies on a presumption that the debtor received it.

Facsimile or Electronic Transmission

If the debtor’s fax number or email address is known and active (particularly if there has been prior correspondence), service can be effected via electronic transmission. An affidavit confirming this method of service should also be prepared.

Substituted Service

The methods of service permitted by Regulation 16.01 are now quite broad. However, in circumstances where the permitted means of service are not available, it is possible to seek alternative orders from the court regarding substituted service. If it can demonstrated to the Court in a particular case that any other method/s of service are likely to bring the document to the debtor’s attention then the court may order service by such method/s.

If you are in need of advice concerning bankruptcy proceedings then get in touch with your nearest Prime Lawyers Office.

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