There are many options to take when served with a winding up petition – and our experience since 2002 dealing with 100’s of petitions for companies and directors means that we can advise on the right course of action for you. But don’t delay – quick action is vital to avoid the worst consequences of a petition.
Having a winding up order reversed is often of critical importance to a company served with a winding up order. There are different grounds to have a winding up order reversed and we can advise you on the best way to do this. These include
- applying to strike out the petition if it is subject to a genuine dispute or you have a valid cross claim against the debtor;
- applying for an injunction to stop advertisement in the London Gazette;
- negotiating a settlement of the petition and having it withdrawn;
- paying the debt in full and having it dismissed.
Much depends on your company circumstances and the whether the claim against you is a good one or not. Our team are experts in quick and decisive action.
However, it is important not to overlook the possible need for a validation order as well
- whilst working out how to achieve reversing the winding up order, it is also very important to understand that you cannot legally trade a company and make payments out of the company bank account unless you have a validation order in place;
- a validation order is a bespoke kind of court order which gives permission for certain payments e.g. to staff or key suppliers to be made without personal risk to directors or other key management people;
- therefore, as part of the process of having the winding up order reversed, it is of critical importance to understand that court permission is needed in order to continue to trade.
If you are threatened with a frozen bank account situation or if you actually have had the bank account frozen and are looking to unfreeze the company bank account, a validation order is also the way to do this.
It is often a combination of applying to have the winding up order reversed as well as the validation order which can help secure the longer term success of the company and deal with the immediate problems arising from the winding up petition.
Our team of winding up petition & validation order solicitors at Francis Wilks & Jones are specialists in reversing winding up orders and helping companies to keep trading. Contact one of our friendly team today.