Alex is Sprintlaw’s co-founder and principal lawyer. Alex previously worked at a top-tier firm as a lawyer specialising in technology and media contracts, and founded a digital agency which he sold in 2015.
As a small business owner, you’ll occasionally need to put facts in writing and formally declare they’re true. Two common ways to do this in Australia are a statutory declaration and an affidavit.
At first glance, they can look very similar. Both involve a written statement you sign in front of an authorised witness. But they’re used in different situations, have different legal consequences, and can affect how your business handles disputes, payments, tenders and regulatory requests.
In this guide, we’ll unpack statutory declaration vs affidavit in plain English, so you know which one to use, how to execute it correctly, and how to reduce risk when your business is asked to sign one.
What Is A Statutory Declaration?
A statutory declaration is a written statement of facts that you declare to be true. It’s usually used outside of court proceedings. In Australia, statutory declarations are governed at the Commonwealth level and also by each state and territory, and must be signed in front of an authorised witness.
Businesses often use statutory declarations to confirm practical facts, such as:
- Confirming the receipt or loss of a document
- Explaining why a deadline was missed or why records are incomplete
- Stating that goods were delivered or that a warranty replacement was provided
- Verifying identity or authority for an account or application
- Supporting claims with insurers or government agencies
Making a false statutory declaration is a serious offence and can attract criminal penalties. So, only declare facts you can genuinely stand behind and keep supporting records.
If you need a refresher on when and how they’re used in NSW, this overview of statutory declarations in NSW is a practical place to start.
What Is An Affidavit?
An affidavit is also a written statement of facts you swear or affirm to be true, but it’s primarily used in legal proceedings (for example, in a court case or tribunal). You sign an affidavit in front of an authorised witness, often a lawyer or Justice of the Peace, and it may need to follow a court’s specific form and formatting requirements.
Affidavits are a common way to present evidence in court, especially when the facts are not in dispute or where a matter is decided “on the papers.” Because they are used as evidence, accuracy and completeness are critical. If your business gives an affidavit, you should expect that its contents might be scrutinised and, in some cases, that you or your staff could be cross-examined about it.
As with statutory declarations, false statements in an affidavit can amount to perjury or other offences-so treat them with the same level of care as any evidence presented in a formal dispute.
Statutory Declaration vs Affidavit: What’s The Difference For Businesses?
Both documents put important facts on the record, but they serve different purposes. Here’s how to think about it from a business perspective:
- Purpose:
- Statutory declaration: General administrative or commercial uses outside of court (e.g. confirming goods delivered, explaining a discrepancy).
- Affidavit: Evidence used in legal proceedings or tribunal matters.
- Formality:
- Statutory declaration: Formal, but typically simpler and used by agencies, banks, suppliers or customers for verification.
- Affidavit: More formal, usually tied to specific court or tribunal rules.
- Witnessing:
- Statutory declaration: Must be witnessed by an authorised person (list varies by jurisdiction).
- Affidavit: Must be sworn or affirmed before an authorised witness; courts often require particular wording.
- Consequences:
- Statutory declaration: False statements are a criminal offence under relevant legislation.
- Affidavit: False statements can amount to perjury and carry severe penalties.
- Use Cases:
- Statutory declaration: Tender processes, government forms, supplier/customer verifications, internal administrative purposes.
- Affidavit: Court disputes (debt recovery, injunctions, urgent applications), tribunal matters, enforcement steps.
A simple rule of thumb: if it’s for court, expect to use an affidavit. If it’s for an administrative or commercial purpose outside court, a statutory declaration is usually suitable.
When Should A Business Use Each Document?
Common Situations For Statutory Declarations
While every business is different, these are common scenarios where a statutory declaration makes sense:
- Tenders and procurement: A customer asks your business to confirm no conflicts of interest or to declare your supply chain meets certain standards.
- Banking and finance: A lender requests a declaration about ownership, authority or the existence of certain documents.
- Government dealings: Agencies may ask for a declaration to support grants, rebates or regulatory filings.
- Supplier or customer requests: To verify an incident, delivery or the condition of returned goods.
- Insurance claims: To confirm timelines, losses, or steps taken following an incident.
These situations typically don’t require the rules and formats that courts impose on evidence. A well-prepared statutory declaration can satisfy the requirement without escalating to court-level formality.
Common Situations For Affidavits
Affidavits become relevant when you’re in a legal process. For example:
- Debt recovery: You’re seeking judgment for unpaid invoices and need to present evidence of the debt and steps taken.
- Injunctions and urgent applications: You need to move quickly and put verified facts in front of a judge.
- Tribunal matters: Certain tribunals require affidavits to support applications or responses.
- Enforcement: When enforcing judgments, your lawyers may prepare affidavits to prove service or compliance steps.
If a court or tribunal is involved, follow their prescribed format and filing rules. This is one of those times where getting legal guidance early can save time, cost and stress.
Who Can Witness And How Do You Sign Correctly?
Whether you’re signing a statutory declaration or an affidavit, proper witnessing and execution are essential. Mistakes can render the document invalid or cause delays in your process.
Who Can Witness?
Only certain people can witness. The list depends on whether you’re using a Commonwealth or state/territory form and, for affidavits, which court or tribunal is involved.
To avoid guesswork, check the eligibility list and ensure your chosen person is authorised. For a quick refresher on common categories and practical tips, see who can witness a signature.
How Should We Sign?
Follow the formatting and signing instructions on the form precisely. That often includes:
- Signing in the presence of the authorised witness (don’t sign beforehand)
- Initialling any corrections
- Ensuring names, dates and capacities match your records (e.g. director vs manager)
- Using the correct jurat or declaration wording (especially for affidavits)
If you’re coordinating signatures across multiple people or entities, it’s worth revisiting the legal requirements for signing documents in Australia, which explains capacity, authority and execution basics in plain English.
Electronic Or Remote Witnessing?
Rules around electronic execution and remote witnessing have evolved and can differ by jurisdiction, document type and court. Some forms of remote witnessing have been made permanent in certain states and territories, while others still require traditional “in person” signing.
Before you plan a video call signing, confirm the current rules that apply to your document and location. For NSW, this overview of remote witnessing in NSW is a helpful guide. It’s also useful to understand the practical differences between wet ink and electronic signatures so you can choose the right method for the situation.
Counterparts And Multiple Signers
Where several people need to sign, you may be able to sign in counterparts, but be careful-court affidavits and some statutory forms have specific rules. If counterparts are allowed, make sure the final compiled document is complete and consistent. A short explainer on signed in counterpart can help you set this up smoothly.
How To Manage Risk When You’re Asked To Sign
It’s completely reasonable to pause before signing a statutory declaration or affidavit on behalf of your business. Here’s a simple, low-stress process to reduce risk and move quickly:
1) Confirm The Purpose And Audience
Ask who is requesting the document, why they need it, and how it will be used. If it’s for an internal administrative purpose or a supplier’s file, a statutory declaration may suffice. If it’s for a court or tribunal, you’re likely dealing with an affidavit.
2) Gather Evidence And Attach Where Appropriate
Don’t rely on memory alone. Pull the underlying records-emails, invoices, delivery dockets, logs-and cross-check dates and names. Where allowed, attach key documents as exhibits so the statement is supported on its face.
3) Check Authority To Sign
Ensure the person signing has clear authority. For day-to-day matters, businesses often use an Authority to Act to document who can sign on behalf of the company for particular tasks or accounts. Clarity on authority reduces disputes and prevents you from having to re-execute documents.
4) Use The Correct Form And Wording
Affidavits often require court-specific forms or at least a jurat that matches the applicable rules. Statutory declarations should use the correct Commonwealth or state/territory form. Using the wrong form can cause delays or rejection.
5) Choose The Right Witness
Line up an authorised witness who meets the requirements for your document and jurisdiction. Confirm in advance what ID or details they need to record.
6) Consider Whether A Deed Or Agreement Is More Appropriate
Sometimes a party asks for a declaration of liability or a promise to do something within a statutory declaration. That’s not always the best tool. If you’re creating binding obligations or settling a dispute, a deed may be more suitable than a mere declaration, and a tailored Deed of Release and Settlement can properly document the terms.
7) Keep A Clean Paper Trail
Save the final signed version and all supporting documents together. If you provided a statutory declaration to a government agency, customer or bank, note the date and purpose for easy reference later.
Execution Details That Often Trip Businesses Up
A few recurring issues can derail well-intentioned declarations and affidavits. Keeping these in mind will save you time:
- Capacity mismatch: The signatory writes “Manager” when they’re actually a director, or vice versa. Ensure the capacity matches your records and what the form expects.
- Out-of-date forms: Forms and wording change. Download the latest version from the relevant authority or court.
- Wrong jurisdiction: Using a state form when a Commonwealth form is required (or the reverse). Check the instructions carefully.
- Missing exhibits: Referring to attachments that aren’t actually attached or aren’t marked and initialled correctly.
- Inconsistent dates: The declaration date doesn’t match attached documents, or the witness date is before the signatory date.
- Electronic execution assumptions: Assuming video witnessing is permitted when it isn’t for that document type or court. Confirm first.
If your business executes many documents, it’s worth documenting internal sign-off steps and creating simple checklists. Over time, this reduces errors and speeds up processes.
Related Documents Businesses Commonly Need
While statutory declarations and affidavits are about stating facts, many business situations call for clear contracts or deeds. Having the right document for the job can avoid repeated requests for declarations and keep matters legally tight. Consider keeping these on hand:
- Authority to Act: Confirms that a person or third party is authorised to deal with banks, suppliers or agencies for your company.
- Deed: Useful when you need a binding promise or settlement without the need to prove consideration (often used for releases or settlements).
- Deed of Release and Settlement: Formalises the resolution of a dispute or claim, usually more appropriate than a simple declaration of intent.
- Signing rules: A quick reference to help your team execute documents correctly and avoid invalid signatures.
- Electronic signatures: Understand when e-signing is acceptable and when wet ink is still required.
Not every situation needs each of these, but having the right template and clear internal processes will reduce back-and-forth and protect your position.
FAQs From Small Businesses
Can we convert a statutory declaration into an affidavit later?
Not directly. They’re different document types with different purposes and formats. If a matter escalates to court, you’ll usually prepare a new affidavit that follows the court’s rules, even if it covers similar facts.
Who decides whether we need a statutory declaration or an affidavit?
The requesting party or the governing rules usually decide. For example, a tender pack might require a statutory declaration, while a court will require an affidavit. If you’re unsure, ask the requester or check the relevant procedure.
Can we use video witnessing for either document?
Sometimes. Remote witnessing is permitted in certain jurisdictions and contexts, and rules keep evolving. Check current rules for your state or territory and the specific document type, and consider the guidance on remote witnessing in NSW for local examples.
Do we need a lawyer to make a statutory declaration?
Not always. Many businesses prepare straightforward statutory declarations themselves. That said, if the facts are sensitive, if there’s a risk of litigation, or if the wording could affect your rights, it’s wise to get advice before signing.
Key Takeaways
- A statutory declaration is typically used outside court to formally confirm facts; an affidavit is used as evidence in court or tribunal proceedings.
- Both require authorised witnessing and accurate wording; false statements can lead to serious penalties.
- Choose the right document for the purpose: tenders, banks and agencies commonly ask for statutory declarations, while courts require affidavits.
- Execution matters: check authority, use the right form, line up an authorised witness, and follow signing rules to avoid delays.
- If you’re creating obligations or resolving disputes, consider using a deed or a settlement document rather than relying on a declaration.
- When in doubt-especially if litigation is possible-get legal guidance before you sign to protect your business.
If you’d like a consultation on preparing or reviewing a statutory declaration or affidavit for your business, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no-obligations chat.








