Failure to properly defend a public interest winding up petition can lead to significant financial claims against the directors, as well as the threat of director disqualification. Our brilliant team has successfully defended many directors facing these types of claims. Let us help you too.
Public interest winding up petitions are very serious court documents. Failure to deal with them properly can lead to
- the company being wound up;
- future personal liability for directors including claims for money and director disqualification.
It is for the Secretary of State to prove their case and for them to prove that, on the balance of probabilities, it is just and equitable (ie fair) that the company is wound up in the public interest.
In some instances, it is also open for the company to change the way that it operates. This can, subject to the degree that it does so, convince the court that it would not then be in the public interest to wind the company up.
As there is normally a period of a few months between the service of the winding up petition and the actual winding up hearing, a company may be able to show the court that it has “changed its ways” and no longer poses a threat to the public interest.
This can however be a difficult threshold to overcome and there have been cases where companies have completely ceased their original activities between the time the public interest winding up petition was presented and the hearing, yet the court still decided to wind them up in the public interest.
At Francis Wilks and Jones, we have experience in helping companies to defend Public Interest Winding Up Petitions. Our solicitors can advise a company through each stage of the process and maximise the chances of you defending the public interest winding up petition. Don’t delay, call us today.