1Under r 5.23(2)(c) of the Federal Court Rules 2011, where a defendant deliberately fails to file a defence and communicates an intention not to participate, the court may enter default judgment if satisfied on the face of the statement of claim that the plaintiff is entitled to the relief sought, without requiring proof by way of evidence.
2In an insolvent trading claim under s 588M of the Corporations Act 2001, the presumption of insolvency under s 588E(4) arising from failure to keep proper financial records may be relied upon on the pleadings in a default judgment application, and a debt need not be due and payable to constitute a 'debt incurred' for the purposes of s 588G.
3An unpleaded suggestion by the defendant's solicitor that a particular creditor's debt should be excluded — on the basis it was a long-term liability repayable only as the company could afford — does not displace admitted allegations in an unanswered statement of claim.
