Frequently Asked Questions
- Do I Have To Meet With My Creditors?
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<p>In the vast majority of Bankruptcies and Proposals there are no Meetings of Creditors. The creditors have the opportunity to request a meeting in which all of your creditors are invited to attend, but these are rarely deemed necessary. If a creditor has questions it is more common for them to ask the Trustee to obtain a response by correspondence. </p>
<p>If a creditor wishes to call a meeting, subject to certain guidelines, the Trustee is obliged to do so. At the meeting the creditors have a right to ask reasonable questions relative to your assets, your income and any transactions you have entered into in the recent past. Meetings are often requested where a creditor believes that some assets are not accounted for or to ensure the Trustee has a satisfactory means of disposing of the assets. In some Bankruptcies and Division 1 Proposals, Meetings of Creditors are mandatory. The debtor’s attendance at the meeting is also mandatory, except in some extreme cases. In these meetings the Trustee will provide the creditors with information; seek the creditor’s approval to act as the Trustee; and determine how any assets will be liquidated.</p>
<p>Although it is mandatory for a debtor to attend his creditors meeting, it is rare for any creditors to attend in person.</p>
DISCLAIMER
All of the information on this website is provided as general information to those seeking general answers to their questions.
This information should not be construed as professional advice.
Every insolvency situation is different and the outcome of each will very depending on its unique circumstances.
Do not rely on this information, or take any steps which are based upon this information without first seeking professional advice.
To obtain specific professional advice a questionnaire must be completed and a personal evaluation conducted by our Trustee.