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ARTICLE · 31 AUGUST 2017

Freezing orders – a strategic move by a plaintiff

Plaintiffs may need a court order that a defendant cannot deal with specific assets up to the amount claimed by him.

AustraliaLitigation, Mediation & Arbitration

A victory in court is hollow if a defendant has hidden or dissipated assets and is unable to pay the judgment debt.

In brief: A victory in court is hollow if a defendant has hidden or dissipated assets and is unable to pay the judgment debt. A useful tool in a plaintiff's arsenal is a freezing order – an order by the court that a defendant cannot deal with specific assets up to the amount claimed by you.

What you need to know:

  • When you bring proceedings against a defendant you need to consider the commercial reality of the situation as well as the legal merits of your case.
  • Although they are not granted lightly, freezing orders are an effective method of ensuring that a defendant has sufficient assets to satisfy any judgment amount ordered against it.

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