Form · Debt Recovery & Civil Enforcement
Bankruptcy notice application (AFSA online) and creditor's statutory demand: checklist
A checklist for the two insolvency demands: a bankruptcy notice against an individual judgment debtor, applied for online through AFSA, and a creditor's statutory demand against a company, with thresholds, timing, service and the traps that get them set aside.
- Kind
- Form. A form to complete, or a guide to completing an official one.
- Where it applies
- Australia
- AI use
- Red Keep AI out of the decisive steps. A lawyer does the work.
- Law stated as at
- 17 October 2026
- Status
- Maintained. Checked against the cited sources on 17 October 2026.
- Version
- 1
- Source
- Link to the official form. Licence: © Commonwealth of Australia (AFSA) — link only; ASIC Form 509H and court forms are link only
Where this comes from
The official form is published by afsa.gov.au; this page is a completion guide. Last checked on 2026-10-17.
When to use it
Use when an individual has an unpaid final judgment of at least the statutory minimum, or a company owes an undisputed debt of at least the statutory minimum, and the client is prepared to pursue bankruptcy or winding up. Do not use either as a routine collection letter or where the debt is genuinely disputed.
How AI may be used
Lawyer-led. AI may extract the judgment details, the debtor's exact name and the amounts from the sealed judgment and the ledger, and list any figure the lawyer's draft does not support, but the lawyer prepares and checks the demand.
AI may
- Extract the debtor's exact name, ACN or address, the judgment date and the judgment amount from the sealed judgment
- List every figure in the lawyer's draft that no judgment line or ledger entry supports
- Diarise the service deadline and the 21-day compliance period from the service date the lawyer confirms
AI must not
- Must not prepare the bankruptcy notice application or statutory demand
- Must not decide whether a debt is genuinely disputed or whether an offsetting claim exists
- Must not prepare any part of the affidavit verifying the debt
The lawyer checks
- The debt meets the current statutory minimum and the judgment is final and in time
- Names, amounts and interest exactly match the judgment and the prescribed form
- There is no genuine dispute or offsetting claim (for a statutory demand)
- Service is valid and the compliance date is correctly calculated
Method: how the Green, Yellow and Red levels are decided. This is guidance for planning, not legal advice.
Official form
Open the official form. Always use the current version from the issuer. Licence: © Commonwealth of Australia (AFSA) — link only; ASIC Form 509H and court forms are link only.
Read the full text
The full text is for signed-in accounts. It is free. When you sign in you can:
- read the whole precedent, with its drafting notes beside it;
- copy it, or download it as a Word file or Markdown;
- add it to your firm’s knowledge base, so colleagues can find it;
- let the AI tools you connect read it from that knowledge base.
The summary, the law it rests on and the AI-use guidance above stay public. Privacy.
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All precedents for Debt Recovery & Civil Enforcement · Tasks and AI use in this area