HomeFWJ TakeawayResourcesThe winding up court hearing

A number of different things can happen at a winding up petition court hearing - from a formal winding up order to a dismissal or adjournment. Our team can provide all the help you need, whether you are a creditor or debtor. Call us today.

When a winding up petition is issued, the court will always insert in the winding up petition itself what is commonly known as a “return date”.  That is a date usually set 8-10 weeks in the future and at which the creditor and the debtor can attend court (either in person or online).

The purpose of attending on the winding up return date can be varied but usually it covers the following:

The petitioning creditor can attend on that day and ask that the company be wound up.

 In order to obtain a winding up order, the petitioning creditor will firstly have to demonstrate to the court that all the requirements of the winding up petition process have been met. These include demonstrating proper service of the winding up petition, advertisement of the winding up petition in the London Gazette, filing of the certificate of compliance, certificate of supporting creditors and certificate of continuing debt.

The petitioning creditor may alternatively attend the hearing seeking an adjournment (a delay) of the winding up petition.  

That may occur if the petitioning creditor (or its lawyers) is in negotiations with the debtor over payment and the debtor requires more time to pay the winding up petition debt.  In those circumstances, the court will ordinarily grant one adjournment of the winding up petition, but unless there are exceptional circumstances, it will not grant more than one adjournment of the winding up petition. 

Therefore, careful thought needs to be given as to the length of time that you are seeking by way of an adjournment of the winding up petition as you only get one chance of doing this.
 

A petitioning creditor may attend court to ask for the winding up petition to be dismissed. 

The petitioning creditor will usually do this in circumstances where the winding up petition debt has been paid and it is keen to ensure that the winding up petition is dismissed from court and no supporting creditors are in attendance at court.

The winding up petition court hearings themselves are very interesting.  The court room is packed with many barristers attending on behalf of all of the different petitioning creditors.  All winding up petitions are listed in approximately 3-4 hours and it is very important that someone with experience attends the winding up petition court if they want to make representations to the judge.

This is because the judge has to get through over 100 winding up petitions in a very short time frame and if you miss your slot, the winding up petition is dismissed and you have to start the entire winding up petition process all over again.

Hearing of petition – Rule 7.31 of the Insolvency (England and Wales) Rules 2016

1.  On the return day, or at any time after it, the court—

 (a) must, where the petition is presented by a person who is not a relevant office-holder, give directions;

 (b) may, in any other case, give directions; or

 (c) may, in either case, make any such order as it sees fit.

2. In particular, the court may give directions relating to the following matters—

 (a) service or delivery of the petition, whether in connection with the venue for a further hearing, or for any other purpose;

 (b) whether particulars of claim and defence are to be delivered, and generally as to the procedure on the petition;

 (c) whether and if so by what means, notice of the petition is to be given;

 (d) the manner in which any evidence is to be provided at any hearing before the judge and in particular (but without prejudice to the generality of the above) as to—

   (i) the taking of evidence wholly or in part by witness statement or orally,

   (ii) the cross-examination of any person who has made a witness statement, and

   (iii) the matters to be dealt with in evidence; and

 (e) any other matter affecting the procedure on the petition or in connection with the hearing and disposal of the petition.

3. In giving directions the court must consider whether a copy of the petition should be served on or delivered to any of the persons specified in rule 7.9.


Please contact one of our expert winding up petition lawyers now for your informal consultation. At Francis Wilks & Jones, we have all the winding up petition experience needed to handle any type of winding up petition problem.  We offer quick and effective winding up petition advice, whatever your situation. Don’t delay.

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