Responding to a statutory demand: a guide for companies | Practical Law

Responding to a statutory demand: a guide for companies | Practical Law

A statutory demand is often the first stage in compulsory liquidation proceedings before a creditor presents a winding-up petition. It is essential that a company's directors deal with a statutory demand promptly and appropriately. This note is a practical guide to the issues that a company should consider if a creditor serves a statutory demand.

Responding to a statutory demand: a guide for companies

Practical Law UK Practice Note 1-383-1160 (Approx. 22 pages)

Responding to a statutory demand: a guide for companies

MaintainedEngland, Wales
A statutory demand is often the first stage in compulsory liquidation proceedings before a creditor presents a winding-up petition. It is essential that a company's directors deal with a statutory demand promptly and appropriately. This note is a practical guide to the issues that a company should consider if a creditor serves a statutory demand.
Note: The remaining temporary measures that were introduced in response to the COVID-19 pandemic expired without renewal on 31 March 2022. See Legal update, Remaining temporary insolvency measures will expire on 31 March 2022.
Other restrictions on winding-up and bankruptcy petitions concerning COVID-related arrears of commercial rent continue to apply under the Commercial Rent (Coronavirus) Act 2022. See Practice note, COVID-19: Commercial Rent (Coronavirus) Act 2022: rent arbitration and the implications for enforcement.