[Susan Pardy]

Hi everyone,
To keep it brief I have a property owned by a company (in the name of a Super Pty Ltd) that was deregistered in 2014. Does anyone have any advice on what actions for debt recovery might be available? (ie. we are debating whether the entity – the ratepayer – actually “exists”). Obviously we could always fall back on 5 years arrears if we had to, but would prefer not to wait that long.
Thanks
Susan

[John Towers]

Hi Susan,

To take legal action you would need to request ASIC for the company to be reinstated/registered.

Then you would follow normal recovery processes.

JT

[David Simons]

Hi Susan

You are correct in stating that a company ceases to exist when it has been deregistered. The Corporations Act actually says it ceases to exist – and the assets vest in ASIC. Don’t get excited about that last bit though. ASIC don’t pay creditors.

John is 100% correct.

However, re-instating a company can be an expensive process as it takes a Supreme Court application. Though the costs would probably end up on the property you would want to be comfortable that they can be paid in the end.

Sale of Land for Rates is another option. Make sure you notify ASIC when you are sending out your notices etc.

[Author]

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