Law Blog

Most people have regular financial commitments/ bills to pay in the following areas:

• Rent
• Mortgage repayments
• Car loan repayments
• Insurance premiums
  
• Children expenses - school bills, medicine etc
  
• Utilities (electricity, gas, water)
• Health
  
• Council rates
• Body corporate fees
• Phone & Internet
• Bank fees
  

Of course many people have far more financial liabilities than the above list so it isn't surprising that during times of natural disaster such as the 2010/ 2011 Queensland floods many people cannot cope when the financial stresses of bills coming due are added to the anxieties of the natural disaster itself.

It has been heartening to see many companies taking out full page newspaper advertisements as well as TV, Internet and radio ads telling their customers not to worry because they have proactively extended terms of payments for flood victims.

Unfortunately such gestures are not across the board and some companies to whom money is owed will choose to enforce what is known as the "black letter law", insisting that customers must pay bills on time even though the customer has a flood damaged house or a missing relative.

Since the 2010/ 2011 flood disaster in Queensland, all levels of government (local, state and federal) have called for companies to exercise compassion when dealing with flood victims. Many companies will heed this call, but many will not.

If you find yourself at the receiving end of an obstinate, aggressive or just plain unreasonable company to whom you owe money, the first thing to do is to politely request that you receive an extension to the due date of payment. If possible, put this request in writing and make sure you also ask that you are not penalised for this payment extension.

If your request and the company's reply are both in writing and the company chooses not to grant you an extension, you will have a record of the company's rudeness and lack of compassion which you may be able to show to your lawyer, local member of parliament, newspaper, councilor or the relevant ombudsman.

However, it is important to realise that in most situations companies will not be legally required to extend your terms of payment. So it is therefore very important for you to approach the situation with politeness and frame your request for extension of a due date as just that - a request (not an order or demand).

Most companies will realise that denying support to victims of a disaster is very bad for business in the long term, especially when their lack of compassion is visible in writing.

This website contains general information only. This website does not contain any legal advice. If you require legal advice, contact an Australian Legal Practitioner.