When Lockdown DPNs Get Personal
Lockdown DPN's place immediate personal liability on your company's unpaid debts.
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Statutory Trustee
Impartial management of trust operations and compliance.
A Statutory Trustee is an impartial, court-appointed professional who manages the sale of jointly owned properties when co-owners can’t reach an agreement.
TTJ Advisory’s Statutory Trustee services manage the entire process—handling disputes, separations, divorces, or bankruptcy cases—ensuring a fair and efficient sale, from agent coordination to the distribution of proceeds.
When joint property owners can’t agree on how to handle a sale—whether it’s choosing a buyer, setting a price, or finalising terms—courts may appoint a Statutory Trustee to step in. Statutory Trustees are often appointed when:
Divorcing spouses disagree on how to sell shared property
Investment partners are dissolving their business or partnership
Bankruptcy proceedings require a structured sale, especially when only one co-owner is bankrupt
In complex situations like these, the Statutory Trustee can take full control of the property, coordinating the sale process impartially and without needing agreement from all parties.
With experience in complex property sales and dispute resolution, TTJ Advisory provides trusted Statutory Trustee services that deliver stability and fairness
Our approach includes:
Unbiased Representation
We act as a neutral third party to ensure a balanced outcome.
Professional Management
With real estate and legal expertise, we manage every aspect of the sale.
Commitment to Fair Outcomes
Our goal is to deliver the best possible results for all co-owners involved.
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What if the company can’t pay debts to creditors?In this case, you may need a Voluntary Administrator (VA) or a Small Business Restructuring (SBR) practitioner. TTJ Advisory can help by: Identifying tax debts tied to director penalties, Negotiating with creditors for debt compromises, Generating working capital through restructuring to address outstanding debts, and Sourcing funding through future profits, personal contributions, or third-party funds. This proactive approach gives you a structured plan to manage debts while preserving the company's ability to operate.
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Is liquidation necessary if i can’t pay the debts?In cases where there is no chance of recovery, commencing liquidation will stop the clock on the DPN and help directors avoid personal liability under certain circumstances. Our in house liquidator will assist you through the process.
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I have been issued a lockdown DPN - what do I do next?Lockdown Director Penalty Notices (DPNs) are issued to directors when a company fails to submit its business activity statements (BAS), instalment activity statements, or superannuation guarantee statements within three months of the due date. Once a lockdown DPN is issued, the penalty becomes fixed, meaning the director is personally liable for the unpaid debt. This liability cannot be removed or cancelled through any other means except by paying off the debt in full. Placing the company into voluntary administration or liquidation will not extinguish this personal liability.
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What are your options once you receive a lockdown DPN?Pay the Debt in Full: The most direct and essential option is to pay off the company’s tax debt in full. This is the only way to clear the liability imposed by a Lockdown DPN. Personal Insolvency Agreement (PIA): This is a legally binding agreement where the director makes a proposal to creditors (such as the ATO) to settle the debts over time or partially. A PIA allows the director to avoid bankruptcy, but it requires the appointment of a bankruptcy trustee to manage the agreement. The trustee will take control of the director's assets and administer the terms of the agreement, including negotiating with creditors. Bankruptcy: If the director is unable to pay the debt or arrange a PIA, declaring bankruptcy may be the final option. In this case, a bankruptcy trustee is appointed to manage the director’s assets and debts. The trustee will oversee the liquidation of assets to pay off the debts and handle communications with creditors, including the ATO.
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How are creditor payments prioritised in liquidation?Payments follow a set order, prioritising employee entitlements and secured creditors before other unsecured debts. Unsecured creditors can file claims and receive distributions based on available funds and the priority order.
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Frequently Asked Questions
How TTJ Advisory Supports You as a Statutory Trustee
01
Independent Oversight of the Sale
We take a neutral stance to ensure a fair and efficient property sale, avoiding conflicts among co-owners.
02
Market Expertise
TTJ Advisory collaborates with real estate professionals to secure the best market value for your property.
Transparent Communication
We keep all parties informed throughout the process, providing regular updates and documentation for transparency.
03
04
Efficient Sale Process
From valuation to sale closure, we handle every detail to meet deadlines while maximising sale potential.
05
Fair Distribution of Proceeds
After the sale, TTJ Advisory ensures funds are correctly distributed to all co-owners and reimburses any trustee expenses.