Part 8Civil debt recovery

Part 8—Civil debt recovery 48—Interpretation (1) In this Part— civil debt determination—see section 49(3); Court means the Magistrates Court; debt means an amount of money owed to a public authority that is recoverable in a court of competent jurisdiction, but does not include a pecuniary sum or an amount payable under an expiation notice; debtor—see section 49(1); enforcement notice—see section 51; public authority means— (a) an administrative unit or other agency or instrumentality of the Crown; or (b) any incorporated or unincorporated body— (iii) established or subject to control or direction by the Governor, a Minister of the Crown or any instrumentality or agency of the Crown (whether or not established by or under an Act or an enactment); or (c) a person or body declared by the regulations to be a public authority for the purposes of this Part, but does not include a prescribed public authority. (2) Unless the contrary intention appears, a reference in this Part to a debt includes a reference to— (a) the amount outstanding of such a debt or, if a number of debts have been aggregated, the amount outstanding of the aggregated debts; and (b) any fees, charges or other amounts which are, in accordance with this Part, added to and form part of such a debt. Division 2—Recovery of civil debt 49—Notification of debt (1) A public authority may notify the Chief Recovery Officer, in a form approved by the Chief Recovery Officer, of a debt owed to the authority by a person (the debtor). (2) A notification under subsection (1)— (a) must not be given unless the public authority has provided the debtor with an invoice for, and given the debtor a reasonable opportunity to pay, the alleged debt; and (b) must include advice to the Chief Recovery Officer as to whether the debtor is under a legal disability and, if so, the name of a person representing, or acting on behalf of, the debtor. (3) If the Chief Recovery Officer receives a notification under subsection (1) and is satisfied that the requirements of subsection (2)(a) have been met, the Chief Recovery Officer— (a) may make a determination (a civil debt determination) that the debt is owed by the debtor to the public authority; and (b) must, if a civil debt determination is made, by notice in writing— (i) notify the debtor of the determination; and (ii) inform the debtor of the Chief Recovery Officer's enforcement powers under Division 5; and (iii) invite the debtor to contact the Chief Recovery Officer for the purpose of entering into an arrangement under section 57 for payment of the debt. (4) The Chief Recovery Officer may not make a determination under subsection (3) if the Court would not have the jurisdiction to hear and determine an action for a sum of money equal to the amount of the debt claimed by the public authority. 50—Application to Court in relation to debt (1) A debtor who disputes the existence, or the amount, of a debt the subject of a civil debt determination may, within 1 month after receiving notice of the determination, apply to the Court for revocation or variation of the determination. (2) The public authority to which the debt is owed is the respondent to an application under this section and bears the onus of proving, on the balance of probabilities, that the debt is owed by the debtor. (3) The Court may, on an application under this section, affirm, vary or revoke the civil debt determination. (4) The Court may, in the Court's discretion, extend the time for making an application under this section even if the time for making the application has ended. (5) A proceeding on an application made to the Court under this section is a minor statutory proceeding for the purposes of the Magistrates Court Act 1991 unless the amount claimed to be owed by the debtor exceeds $12 000. (6) No fee is payable on an application under this section. 51—Enforcement action (1) Subject to subsection (3), the Chief Recovery Officer may exercise a power under Division 5 in relation to a debtor who has been notified of a civil debt determination if— (a) the debtor is taken under subsection (2) to have admitted liability for the debt; or (b) the determination has been confirmed or varied by the Court on an application under section 50. (2) A debtor will be taken to have admitted liability for a debt to which a civil debt determination relates if— (a) the debtor has not— (i) within 1 month of receiving the determination—entered into an arrangement under section 57; or (ii) within the time allowed under section 50—made application to the Court for the determination to be varied or revoked; or (b) an arrangement entered into with the Chief Recovery Officer under section 57 has terminated. (3) The Chief Recovery Officer— (a) must, before exercising a power under Division 5 Subdivision 2— (i) make a determination that the power is to be exercised; and (ii) give the debtor written notice of the determination (an enforcement notice); and (b) may not exercise the power if the determination is revoked under this Division. (4) An enforcement notice must include advice to the debtor of the debtors' right to request internal review of the determination under section 52 52—Internal review of decision to take enforcement action (1) A debtor who has received an enforcement notice and is aggrieved by the determination to which the notice relates may apply in a form approved by the Chief Recovery Officer for review of the determination (an internal review). (2) An application for internal review must be made within 30 days after the day on which the applicant received the enforcement notice, or within such further period (if any) as the Chief Recovery Officer, either before or after the end of that period, allows. (3) The Chief Recovery Officer must, on receiving an application, review the determination. (4) The Chief Recovery Officer may make a decision confirming, varying or revoking the determination. 53—Review of decision to take enforcement action (1) A debtor aggrieved by a decision of the Chief Recovery Officer on an internal review to confirm or vary a determination may apply to the Court for review of the decision. (2) In proceedings under this section, the Chief Recovery Officer bears the onus of proving the correctness of the decision. (3) If the Chief Recovery Officer did not give reasons in writing at the time of making the decision, the Chief Recovery Officer must do so on request made within 28 days of the making of the decision. (4) An application under subsection (1) must be made— (a) within 28 days of the making of the decision; or (b) if a request for reasons in writing is made under subsection (3)—within 28 days after receipt of the reasons in writing. (5) The Court may, in the Court's discretion, extend the time for making an application under this section even if the time for making the application has ended. (6) A proceeding on an application made to the Court under this section is a minor statutory proceeding for the purposes of the Magistrates Court Act 1991 unless the amount of the debt to which the determination confirmed or varied by the Chief Recovery Officer relates exceeds $12 000. (7) No fee is payable on an application under this section. 54—Effect of review proceedings on decision being reviewed (1) The commencement of an internal review of a determination under section 52 or proceedings for a review of a decision by the Court under section 53 does not affect the operation of the determination to which the review relates or prevent the taking of action to implement the determination unless an order is made under subsection (2). (2) On or after the commencement of an internal review or proceedings for the review of a decision, the reviewer may, on application or on the reviewer's own initiative, make an order staying or varying the operation or the implementation of the whole or a part of the determination to which the review relates pending the determination of the matter, or until such time (whether before or after the determination of the matter) as the reviewer may specify, if the reviewer is satisfied that it is just and reasonable in the circumstances to make the order. (3) An order by a reviewer under this section— (a) is subject to such conditions as are specified in the order; and (b) may be varied or revoked by further order of the reviewer or, if the order was made on an internal review, by further order of the Court. (4) In this section— reviewer means— (a) in the case of an internal review—the person conducting the review; and (b) in the case of a review conducted by the Court—the Court. 55—Costs Any costs incurred by the Chief Recovery Officer in relation to the exercise of powers and functions under this Part are added to and form part of the debt owed by the debtor. 56—Interest on debts (1) A debt that is the subject of a civil debt determination under this Part bears interest at the prescribed rate from the date of the civil debt determination. (2) In subsection (1), the prescribed rate of interest is the rate prescribed under the rules of the Magistrates Court for the purposes of section 35(1) of the Magistrates Court Act 1991.