Cullen Liquidator Targets Subbies With Preferential Payment Demands

While the law is an ass in regard to preferential payments or voidable preferences, almost always adding insult to injury, we just cannot ask him to cease and desist because under the Corporations Act, he is obliged to do it.

There is a major problem in that some trade contractors do not take this seriously. They think that because they are just mum and dad contractors it will go away but it won't. You need to defend it or you will lose.

Anyone who has received a letter of demand needs to take it very seriously. The Liquidator is an officer of the Court so despite what you might feel, you must treat him with respect.

Don't think for one minute that if you decide to have an emotionally good time and tell him where to go, that he will go there. It will then become substantially harder for you.

Usually they give you 14 days to respond, taking into account the time the letter takes to get to you, that might only leave a few days for you to form your response.

Money is tight in the building industry, trade contractors simply do not have the funds to pay back the money even if it is proven that it was a preferential payment.

They don't have the money for lawyers and might attempt to deal with the matter on the cheap.

This is a recipe for disaster.

If you don't know where to go to get help, or if you are terrified of dealing with this mind numbing, crippling affront after already suffering a financial loss to a fully QBCC licensed builder like Cullen was, contact us as we may be able to help you or point you in the right direction.

Like most normal people, you would have thought that if they were licensed, then they must have met the Minimum Financial Requirements (MFR) to obtain that license in February 2016.

Currently our experts are helping a number of subbies defend these "unfair" claims.

Any information you provide to us will be treated in the strictest confidence.

support@subbiesunited.com.au