If a judgment has been entered against you, the judgment creditor may ask you to provide them with a financial statement and copies of your bank statements and pay slips. You may be wondering what power the judgment creditor has to require you to provide this information.

The simple answer is, a judgment creditor can utilise the various enforcement procedures to obtain evidence of your financial situation to assist them with recovering the judgment debt from you.

Examination Notice

An examination notice is a form that is posted to you which requires you to complete and return a financial statement, along with copies of your financial documents. The notice will provide you with a deadline of at least 28 days in which to complete and return the documents to the judgment creditor.

Should you not return a completed financial statement or the requisite documents by the deadline stated on the notice, the judgment creditor may apply to the court for an examination order (see below) to be held.

The financial information and documents that will typically be requested are:

  • Employment details
  • Salary/wage slips
  • Bank statements
  • Motor vehicle registration papers
  • Lane titles
  • Income tax returns
  • Loans
  • Centrelink statements

Examination Order

An examination order is an order by the court that requires you to attend court to be examined as to your financial situation and to produce the requested documents. This is known as an examination hearing. The order will need to be personally served on you. It will state the time, date and location where you are required to attend, as well as the documents you must bring. You should be prepared to answer questions about your assets, employment, expenses, and ability to repay the judgment debt.

If you are unable to attend the examination hearing, you should contact the judgment creditor as soon as possible to arrange an alternative time to adjourn the examination hearing to. You may otherwise provide the financial documents to the judgment creditor before the examination and seek that the court date is cancelled.

Arrest Warrant

If you do not attend the examination hearing, the court may make an order that you comply with the examination order by providing the requisite documents within 14 days, or you may be arrested for the purposes of being brought before the court for the examination.

Key Takeaways

If judgment has been entered against you, do not ignore attempts to enforce judgment. Obtain legal advice and consider engaging with the creditor to discuss how the mater may be resolved.