Automatic mail forwarding and registered offices – #teamTLM

Do you know what the registered office of your company is? If it is your accountant or lawyers address, what do you do if they change address or no longer wish to act for you?

Mark is in semi-retirement mode, after a longer career in the law. He’s decided to close down his city practice, and just operate out of his home a few days per week.

Mark decides that it is convenient for him to just pay the Australia Post forwarding fee, so that all mail to his old office is redirected to his home address.

XYZ Pty Ltd has used Mark for many years as both lawyer and registered office. It is around the time that Mark moves, that XYZ is in dispute with their major supplier, TLM.

TLM issues XYZ with a statutory demand (“SD“) for unpaid debts, by registered post to XYZ’s registered office.

The same registered office that Mark has since moved out of. And the same office building that has since been demolished to make way for a new bypass.

XYZ argues that it never receives the SD, and TLM says it was never ‘returned to sender’.

XYZ faces the prospect of being wound up in insolvency, for not applying to set aside the SD within 21 days, and hefty legal bills.

What do you think, did XYZ “receive the SD” under the Corporations Act, or not?

teamTLM

The above story is an adaptation of a recent case handed down by the Victorian Supreme Court – Re AXF Group Pty Ltd [20119] VSC 671

XYZ, according to the case, failed to satisfy the court that it did not receive the SD, despite the circumstances it faced.

The court was critical of XYZ for not leading evidence of the practices of Australia Post, or evidence that someone from XYZ ever attended the old premises to check if the SD had been left there.   

insolvency SVVoidables

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