This information sheet explains the consequences of a sequestration order having been made against a debtor.

This information sheet explains how to apply for a substituted service order and provides a brief guide on the affidavit evidence that should accompany such an application.

About this information sheet

This information sheet sets out general information on the options available to a debtor who is served with a Creditor's Petition to make them a bankrupt. This includes general information on how to oppose a petition where valid legal grounds exist and asking for more time to pay the debt or get legal or financial advice.

Checklist for creditor's petition in bankruptcy proceedings

This information sheet sets out general information on how to apply to the Court for a sequestration order that makes someone a bankrupt. Proceedings to make someone a bankrupt are commenced by filing (or presenting) a Creditor’s Petition in the Federal Court of Australia (FCA) or the Federal Circuit and Family Court of Australia (Division 2) (FCFCOA). It deals only with petitions that rely upon a debtor’s failure to comply with a Bankruptcy Notice as the act of bankruptcy.

In general federal law proceedings, the Court normally awards costs to a successful party. They are intended to reimburse a party (usually the successful one) for their legal costs. The costs awarded are normally only part of the costs incurred. These are referred to as party-party costs. Costs may be awarded before a final hearing; for example if a party has not complied with a timetable and the other party brings the matter back to court for further directions.

The Federal Circuit and Family Court of Australia (the Court) deals with a wide range of matters, sharing jurisdiction with the Federal Court of Australia and, in some cases, state courts. The Court’s rules and procedures are simpler and less formal, and aim to reduce the cost and number of court appearances for clients.

This information notice establishes the manner in which files in the Federal Circuit and Family Court of Australia may be constituted.

The Federal Circuit and Family Court of Australia has developed new rules of court for all proceedings in the Court with effect from 1 September 2021. Various new Practice Directions and Information Notices have been issued to accompany the new rules. This Practice Direction formally revokes a number of outdated or superseded Practice Directions and Information Notices issued by the Family Court of Australia or Federal Circuit Court of Australia prior to the commencement of the operation of the Court on 1 September 2021.