Company liquidation leaves customer-owned items in the workshop

The workshop contains more than company stock

After a winding-up order, customers ask to collect items left with the business for repair, storage or installation. Tell the liquidator what is held and preserve the records identifying it. Do not assume every item on the premises is company property, but do not release goods privately on the strength of a caller's claim either. The actual interests and collection arrangements need checking.

Create a factual custody list

Record item descriptions, serial numbers, location, condition and the job or delivery reference. Identify the customer said to own each item and the documents supporting that description. Note mixed components or incomplete assemblies. Keep photographs where appropriate and lawful. A careful inventory can help prevent similar items being confused without purporting to settle disputed title.

Provide the location and records

ASIC says directors must assist the external administrator with property and company records. Give the liquidator the custody list and supporting agreements, including any unpaid work or disputed instructions associated with an item. Do not decide that an unpaid invoice automatically permits retention or that a customer assertion requires immediate release. Those questions need assessment under the actual arrangements.

Source: ASIC: Insolvency for directors

Consider a hypothetical mixed workshop

Imagine two customers leaving similar motors for repair, while the company also owns a spare motor of the same type. A hurried collection could deliver the wrong item or omit components. Accurate serial references and job records help the practitioner identify the issue. The example concerns custody and verification, not a declaration that any particular customer's ownership claim must succeed.

Route collection requests consistently

Give callers the verified contact process agreed with the liquidator. Record urgent concerns, such as essential equipment or approaching site access limits, without promising an outcome. Do not let staff make separate informal arrangements or remove items before the authorised position is clear. Where a claim is disputed, preserve the goods and records and follow appropriate instructions.

Keep the handover traceable

If release is authorised, record the precise item, recipient, authority and collection details. Retain acknowledgement with the custody record. If items remain unresolved, make their location and status clear to the liquidator. The practical aim is an orderly account of what the company is holding for others, reducing mistakes while the legal and commercial interests are properly assessed.