Company statutory demand dispute
For a company to seek to defend a statutory demand, it must be shown that the statutory demand debt is disputed on substantial grounds. Substantial grounds are subject to various different comments in the courts but those grounds must be real as opposed to “frivolous” and a “mere honest belief that payment is not due” is simply not sufficient.
Therefore, if a company is faced with a statutory demand which it believes is disputed (eg due to the poor quality of the goods or services which have been provided), then it is important that it communicates this fact quickly to the statutory demand creditor. The quicker this is done, the higher the likelihood is that statutory demand creditor will agree not to proceed with statutory demand enforcement.
If the statutory demand is based on a judgment then it is not possible to dispute the statutory demand judgment debt. By that stage, it is too late for the company to dispute the statutory demand as the court judgment is binding unless it is set aside. Set aside of a judgment can only be done in limited circumstances and must be done quickly. If such an application was made, it would have the effect of putting the statutory demand on hold.
Contact an expert statutory demand solicitor now
Our expert team of statutory demand solicitors at Francis Wilks & Jones are here to help you with any type of statutory demand enquiry or question. Contact one of our expert friendly statutory demand lawyers now for your confidential statutory demand consultation. Whatever your statutory demand requirements, we can show you stat demand examples of similar cases we have successfully assisted with. Call us now. We are here to help.
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