Private car park debts

Information about debt recovery by private car park operators.

This topic covers
Private car park operators trying to recover a debt from people that enter and use their car park, including:
- why these debts are different to fines
- how a private car park operator might try to recover the debt
- how a consumer can respond to the debt
- breach of contract claims
- claims in the NSW Civil and Administrative Tribunal (NCAT).
The operators are usually alleging that the driver hasn't followed the terms or rules of the agreement about parking in that area or facility.

Time limit	Action
Six years	For private car park operators to start legal action for a breach of contract.
28 calendar days	To respond to a Statement of Claim. If you do nothing, the creditor (the private car park operator) can ask the Court to make a default judgment against you.
Six months	For a creditor to serve Statement of Claim, from the date it is filed with the Court.
Nine months	For a creditor to apply for default judgment, from the date of filing the Statement of Claim.
12 years	For a creditor to enforce a judgment.
Three years	To apply to the Consumer and Commercial Division of the NSW Civil and Administrative Tribunal (NCAT), from the time when when the cause of action arose. This can depend on your circumstances, for example, it may be when the goods or services were supplied, or when the problem first occurred.

Organisation

Organisation	Responsibilities
Small Claims Division of the Local Court NSW	Can determine claims of less than $20,000. Private car park operators may claim that a debt is owed to them because of a breach of contract.
NSW Civil and Administrative Tribunal (NCAT)	Hears consumer claims or claims alleging unfair contract,

Legislation

Authority	Covers
Fair Trading Act 1987 (NSW)	Rules that apply to businesses providing goods and services.
Competition and Consumer Act 2010 (Cth), Schedule 2 Australian Consumer Law (ACL)	Unfair contract provisions.

Common term	Definition
Contract	An agreement that is legally binding if it meets certain requirements, such as having an offer and acceptance between the parties and consideration (benefit to each party by agreeing to do or not do something).
Defence	The document a defendant can file if they dispute the debt claimed by the plaintiff in a Statement of Claim.
Defendant	If the creditor starts legal action against the debtor, the debtor is called the defendant.
Fine	An amount of money that must be paid to a government authority, usually Revenue NSW, when a law or rule is disobeyed. A fine is also called a penalty notice or infringement notice. A private car park debt may look like a fine, but it is different.
Plaintiff	A person who starts a civil case against another person in court.
Statement of Claim	A document used by the plaintiff to start a civil case in court. It tells the Court and the defendant what the plaintiff is claiming and why.

Organisation	Fee
Local Court of NSW	Fees
NSW Civil and Administrative Tribunal (NCAT)	Fees at NCAT

Organisation	Forms
Uniform Civil Procedure Rules (UCPR)	Civil forms
NSW Civil and Administrative Tribunal (NCAT)	Consumer claims

Organisation	Type	Costs
Small Claims Division of the Local Court NSW	Legal costs	You can claim legal costs if you are successful in your case and have a lawyer representing you in the Local Court. If you are in the Small Claims Division of the Local Court, the amount you can claim is based on a scale of fees.
NSW Civil and Administrative Tribunal (NCAT)	Legal costs	Generally, each party in NCAT pays their own costs, unless there are special circumstances.

Organisation

Type

Costs

Small Claims Division of the Local Court NSW

Legal costs

You can claim legal costs if you are successful in your case and have a lawyer representing you in the Local Court.

If you are in the Small Claims Division of the Local Court, the amount you can claim is based on a scale of fees.

NSW Civil and Administrative Tribunal (NCAT)

Legal costs

Generally, each party in NCAT pays their own costs, unless there are special circumstances.

Frequently Asked Questions