ARTICLE · 01 AUGUST 2020

Refusing a creditor request for information in an insolvent administration

Bartier Perry Solicitors

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A creditor has a right under the Insolvency Practice Schedule to request information from an external administrator.

AustraliaInsolvency/Bankruptcy/Re-Structuring

Phoebe Martin (Formerly With Bartier Perry)

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When is it not reasonable to comply with a creditor's request for information and might personal costs orders follow if the external administrator gets it wrong?

A creditor has a right under s70-45 of the Insolvency Practice Schedule (IPS) to request information and documents from an external administrator. The external administrator must comply with the request, except in three prescribed circumstances:

The material is not relevant to the external administration;
The external administrator would breach duties in relation to the external administration if the external administrator was to comply with the request; or
It is otherwise not reasonable in the circumstances to comply with the request.

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