Queensland Law Society v Warren

The Queensland Law Society (the applicant) sought a sequestration order against the estate of Alexia Margaret Warren (the respondent). The dispute concerned the respondent's failure to pay a debt owed to the applicant, which had arisen from a previous court order requiring the respondent to pay costs. The matter was heard in the Supreme Court of Queensland.

The primary legal issue before the Court was whether the respondent was unable to pay her debts, thereby satisfying the grounds for a sequestration order under the *Bankruptcy Act 1966* (Cth). This involved determining if the debt was presently payable and if the respondent had demonstrated an inability to meet her financial obligations.

Judge Vasta found that the respondent had failed to pay the costs ordered by the Court, and that this debt remained outstanding. The Court was satisfied that the respondent was unable to pay her debts, as evidenced by her lack of response to demands for payment and the absence of any indication of solvency. Consequently, the Court made a sequestration order against the respondent's estate and appointed David Lewis Clout as trustee. The applicant's costs were ordered to be paid from the estate.