WHEN IS A DEBT DUE OR ACCRUING?
A debt is a sum of money which is now payable, or will become payable in the future because of a present obligation.
A debt cannot be attached if there is some condition which has to be fulfilled before it becomes payable from the garnishee to the debtor.
If the debt only becomes payable by the garnishee upon the happening of a necessary event, then it is not attachable.
PRIORITY WHEN RECEIVER APPOINTED
If a receiver is appointed to a company after obtaining the attachment of but before the garnishee pays, the receiver has a better claim than the creditor. If the garnishee has already paid the creditor by the time the receiver is appointed, the receiver cannot take action against the creditor for the return of the debt.
NEED MORE INFORMATION
Behan Legal advises and assists clients on these important issues. For an appointment, call 03 9646 0344.
Telephone:
(+61)3 9646 3334
POSTAL ADDRESS:
PO Box 745 Port Melbourne Victoria
Australia 3207