Debt Recovery: Legal Solutions for Recovering What You’re Owed
We help businesses and individuals across Australia recover outstanding debts quickly, lawfully, and cost-effectively. Our debt recovery lawyers are here to help.
Unpaid invoices and overdue accounts can significantly impact your cash flow and business operations. Fortunately, Australian law offers clear avenues to recover debts—whether through negotiation, formal demands, or court action.
Process
Step-by-Step Debt Recovery Process
#1 Initial Review and Advice
We assess your case, including the debtor’s financial status and any available documentation (invoices, contracts, emails).
#2 Letter of Demand
A formal letter sent to the debtor demanding payment within a specified timeframe. Often, this step alone results in successful recovery without court involvement.
#3 Negotiation or Mediation
Where appropriate, we can negotiate payment plans or settle the matter through mediation—especially if preserving the business relationship is important.
#4 Court Proceedings
If the debt remains unpaid, we can initiate legal proceedings in the appropriate court or tribunal. This varies by the amount owed and your jurisdiction (e.g. Local Court, Magistrates’ Court, or District Court).
#5 Enforcement of Judgment
Once a court judgment is obtained, we can assist with enforcement actions such as:
- Winding-up applications (companies, over $4,000)
- Writs for seizure and sale of property
- Garnishee orders on wages or bank accounts
- Bankruptcy proceedings (individuals, over $10,000)
Why Choose a Debt Recovery Lawyer?
While debt collection agencies can handle simple cases, they lack the authority to provide legal advice or initiate court proceedings. A qualified debt recovery lawyer can:
- Advise you on the best legal strategy
- Draft enforceable legal documents
- Represent you in court if necessary
- Ensure compliance with Australian laws (e.g. harassment, consumer protection)
- Maximise your chances of full recovery
Our legal team acts fast, efficiently, and with full knowledge of your rights under Australian debt collection laws.
What Is Debt Recovery?
Debt recovery refers to the legal process of collecting unpaid money owed by individuals or businesses. It often involves:
- Issuing a letter of demand
- Negotiating a repayment agreement
- Filing a claim in a court or tribunal
- Enforcing a judgment (e.g. garnishee orders, bankruptcy proceedings, winding up companies)
Debt recovery law in Australia is governed by federal and state-based legislation, including the Australian Consumer Law, Uniform Civil Procedure Rules, and relevant court acts.
Common Debt Recovery Scenarios
We assist clients with:
- Overdue business accounts and invoices
- Unpaid loans or promissory notes
- Rent arrears and property-related debts
- Breach of contract claims
- Debt disputes involving goods and services
- Enforcement of court judgments
Whether you’re a sole trader, small business, creditor, landlord, or investor, timely legal action can make all the difference in recovering what you’re owed.
Industries We Serve
We provide debt recovery services across a range of industries, including:
- E-commerce and retail
- Trade and construction
- Professional services
- Landlords and real estate
- Manufacturing and wholesale
- Finance and lending
FAQS
How much does it cost to recover a debt?
Costs vary depending on the complexity and amount involved. We offer fixed fees for many services (such as letters of demand) and flexible arrangements for litigation.
What is the statute of limitations for debt recovery?
Generally, you must commence legal proceedings within 6 years of the debt becoming due. Time limits vary by state and type of debt—don’t delay seeking legal advice.
Can I charge interest or recovery costs?
Yes—if your contract allows it or if legislation permits. Our lawyers can review your agreements and advise you on enforceability.
Get Paid—
Let Us Help You Recover Your Debts
At Marjason & Marjason Solicitors, we understand that recovering debts is crucial to your business’s financial health. We offer straightforward, results-focused legal support to help you resolve unpaid debts efficiently.