As the debtor, removing the petition from the court record can stop the bank freezing the account or the petition being supported by another creditor. It will also safe guard your money if you are the petitioner. There are a number of ways to ensure that a petition is withdrawn form court - let our expert team help.
The answer is yes – it is possible to withdraw a winding up petition and at Francis Wilks & Jones, we can help you with that process.
What to do if you are the creditor / petitioner
If you are a petitioner (i.e. the person or company who has issued the winding up order) you can arrange for the winding up petition to be withdrawn prior to the actual winding up petition hearing date. Normally this would happen when the winding up petition debt has been paid by the debtor.
In order to have the winding up petition withdrawn
- a formal application needs to be made on-line to the court; and
- the court needs to have confirmation from the debtor company that the issue of legal costs has also been dealt with.
Our team at Francis Wilks & Jones can assist you with this process.
It is important if you have been paid the winding up petition debt to ensure that the winding up petition is withdrawn as soon as possible. This will stop another creditor “supporting” the winding up order. This can then stop you from an early withdrawal of the winding up order. Ultimately, if the supporting creditor then winds the company up, any money you received after the winding up petition was issued will have to be paid back to the liquidator.
Winding up petition withdrawal therefore is an important aspect that always needs to be considered.
What to do if you are the debtor
If you have received a winding up order, then clearly very important to have the winding up petition withdrawn if at all possible.
Normally, the person or company who has issued the winding up order against you will only agree to it being withdrawn if the debt is paid. Or if it can be shown that it is subject to a genuine and substantial dispute.
If you are faced with this situation as a recipient of a winding up order, then you can contact us and we can advise you the best way to ensure that the winding up petition is withdrawn. There are always options available, such as
- negotiating a payment plan;
- seeking external finance;
- speaking to a restructuring expert;
- disputing the underlying debt.
Whatever your situation, one of our friendly team can help. Don’t delay – contact one of our experts today.