Monetary limit changes: Queensland Courts & bankruptcy changes

On 3 August 2010 the Civil and Criminal Jurisdiction Reform and Modernisation Amendments Bill 2010 was passed by the Queensland parliament.

From 1 September 2010 the Bill will substantially increase the monetary limits of the Magistrates and District Courts.  The new limit of the courts and QCAT are as follows:

The increased monetary limits will only take effect in relation to matters commenced after the enactment of the new provisions. Matters instituted before that date will be subject to the pre-existing jurisdictional limits as if the amendments had not been passed.

Recent amendments to the Bankruptcy Act 1966 (Cth) increased the minimum threshold associated with:

• the issue of a bankruptcy notice
• a creditor’s petition for bankruptcy from $2,000 to $5,000.

The bankruptcy changes took effect from 11 August 2010.  Creditors are no longer able to present a creditor’s petition based upon a judgment or order in an amount less than $5,000, irrespective of whether the act of bankruptcy occurred before or after the amendments to the Bankruptcy Act took effect.

For more information regarding this alert, please contact any member of Cooper Grace Ward’s Litigation and Dispute Resolution Team on 07 3231 2444.