Time and time again we hear from clients whose debtors have moved to Australia. If your debtor is contactable in Australia (phone number, email address, physical address) recovery is always possible. Each debt is different and we have certainly managed to recover funds from debtors in Australia in the past; however, recovery options via the court are limited. If you have a NZ court order against a debtor who now resides in Australia, there are very few options available for enforcement of the judgment. If you have an Australian phone number for the debtor, the court can attempt an Assessment of Financial Means. However there are some differences in possible outcomes if the assessment is successful. It may result in an order for automatic payment or the debtor may offer to pay.If a debtor resided in NZ and the assessment via phone was unsuccessful then a hearing would be ordered. Unfortunately if the debtor has already moved to Australia, court documents cannot be served on them personally by a bailiff and therefore the process stops there. No order can be made. To issue a warrant for the arrest of the debtor, again a New Zealand address for service would be required. When a debtor resides in NZ, the court is able to issue an attachment order which is an order for an employer to deduct payment/s from their employees salary (or benefit if this applies). When the debtor has moved to Australia, the court is unable to issue an attachment order. So if you hear a whisper through the grapevine that your debtor is crossing the ditch, act quickly! You have more options to pursue your debtor if they are still in New Zealand.Contact CollectIT on 07 834 9111 to discuss any of your outstanding debtors.
