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Thread ID: 113477 2010-10-21 09:14:00 Small claims court manicminer (4219) PC World Chat
Post ID Timestamp Content User
1146755 2010-10-21 09:14:00 What happens if I take an Incorporated Society to the Small Claims Court (now called Disputes Tribunal) and they refuse to pay in the event a judgment is made against them? manicminer (4219)
1146756 2010-10-21 09:42:00 Have a look at the Offical document - scroll down the bottom of Questions / answers (www.justice.govt.nz) -- Basically
What happens if the order is not complied with?

You may apply to have the order enforced. Contact the Collections Unit at your local District Court.
wainuitech (129)
1146757 2010-10-21 09:53:00 Have a look at the Offical document - scroll down the bottom of Questions / answers (www.justice.govt.nz) -- Basically

Sure - I get that but in an Incorporated Society, none of the members are liable for debts incurred. If the Society doesn't have any assets other than cash in the bank (it's a non-profit group), how can a debt collection agency deal with that?

edit...ok found text...."....compulsory deductions from income or a bank account"
manicminer (4219)
1146758 2010-10-21 20:35:00 edit...ok found text...."....compulsory deductions from income or a bank account"

How it really works:
Fill out form for baliffs to go extract money/goods. You have to list money/goods they have.

When that fials, you then have to go to another actual court hearing where the debtor has to show evidence on income, assests and expenses.
Some agreement is made for payments. Of course, the debtor can not bother turning up. Then you have to complete more forms to get him to be made to turn up.
And on and on and on and on.

Yours is worse if it isn't even one individual........
pctek (84)
1146759 2010-10-21 20:39:00 Small claims court is a hassle. I was done once...still fuming over it. legod (4626)
1146760 2010-10-21 20:43:00 Ok - so what if they were to dispose of the cash in the bank prior to the small claims court hearing, leaving them with nothing? manicminer (4219)
1146761 2010-10-21 23:21:00 Nothing wrong with the Disputes Tribunal. It is quick, rough and ready by which I mean technical legal arguments don't go far.

If you obtain a judgement against an incorporated party, you then need to try and obtain a charging order against the bank account - assuming there are no assets to seize.

Alternatively you can apply to have the organisation wound up. That will cost you but usually gets their attention - unless there are no assets in which case......no luck.

If they empty the bank account before judgement, you have a problem. You'd need to apply to the Court to trace the money and show that it wasn't legitimately spent.

I can recall one organisation which lost an employment dispute to the tune of $27,000. Unfortunately there were no assets so the claimant got nothing. A hollow victory.

The only way you can know for certain is to proceed. Simple enough and there is a chance you'll succeed.
Winston001 (3612)
1146762 2010-10-21 23:51:00 Nothing wrong with the Disputes Tribunal . It is quick, rough and ready by which I mean technical legal arguments don't go far .

If you obtain a judgement against an incorporated party, you then need to try and obtain a charging order against the bank account - assuming there are no assets to seize .

Alternatively you can apply to have the organisation wound up . That will cost you but usually gets their attention - unless there are no assets in which case . . . . . . no luck .

If they empty the bank account before judgement, you have a problem . You'd need to apply to the Court to trace the money and show that it wasn't legitimately spent .

I can recall one organisation which lost an employment dispute to the tune of $27,000 . Unfortunately there were no assets so the claimant got nothing . A hollow victory .

The only way you can know for certain is to proceed . Simple enough and there is a chance you'll succeed .

Very good sound advice
prefect (6291)
1146763 2010-10-22 02:31:00 [QUOTE=Winston001;959952]Nothing wrong with the Disputes Tribunal. QUOTE]

Not at all.
But they don't chase your money for you.
You have to do all the hard work.
Even lawyers don't want to know unless you have loads of money - and if you did, it wouldn't be such a big deal chasing these guys up in the first place would it?
pctek (84)
1146764 2010-10-22 02:44:00 [QUOTE=Winston001;959952]Nothing wrong with the Disputes Tribunal. QUOTE]

Not at all.
But they don't chase your money for you.
You have to do all the hard work.
Even lawyers don't want to know unless you have loads of money - and if you did, it wouldn't be such a big deal chasing these guys up in the first place would it?

Quite right PC, if the judgement is in your favour,there should be more teeth available for you to recover said finding.
Cicero (40)
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