If a winding up petition has already been issued against a company, another creditor cannot issue a second petition. Only one winding up petition may be in existence at any one time.
However, that does not mean other creditors are powerless.
A creditor who is owed money may support the existing petition by serving a notice of intention to appear. In certain circumstances, a supporting creditor may even take over conduct of the petition.
These steps can significantly affect the outcome of the case and must be handled carefully.
At a glance
- Only one winding up petition may proceed at any one time.
- Other creditors may support an existing petition by serving a notice of intention to appear.
- Notice must be filed by 4pm on the last working day before the hearing.
- A supporting creditor may apply to substitute themselves as petitioner.
- Failure to follow the Insolvency Rules can prevent a creditor from being heard.
What is a notice of intention to appear?
A notice of intention to appear, often referred to as a notice of support, is a formal document filed by another creditor who wishes to support or oppose the existing winding up petition.
The notice confirms that the creditor:
- Is owed money by the company;
- Intends to appear at the hearing; and
- Either supports or opposes the petition.
The notice must be delivered to the original petitioning creditor (or their solicitors) and filed by 4pm on the last business day before the hearing.
Once served, the petitioning creditor must file a list of appearances at court, confirming which creditors intend to support or oppose the petition. This gives the supporting creditor a formal right to be heard at the hearing.
If notice is not given in time, the creditor may not be permitted to appear unless the court grants permission.
Why would a creditor support an existing petition?
Supporting an existing petition can protect a creditor’s position.
If the original petitioning creditor is paid and seeks to withdraw the petition, another creditor who has properly supported the petition may ask the court to continue the process.
Without formal support, the petition may simply be dismissed, leaving other creditors to begin enforcement again from the start.
Supporting the petition can therefore preserve leverage and avoid duplication of costs.
Can a supporting creditor take over the petition?
Yes, in certain circumstances.
Under rules 7.17 and 7.18 of the Insolvency Rules 2016, the court may substitute another creditor as petitioner.
Substitution may arise where the original petitioner:
- Is not entitled to present the petition;
- Fails to comply with advertising requirements;
- Fails to attend the hearing;
- Consents to dismissal or withdrawal; or
- Does not actively pursue the petition.
If substitution is ordered, the new petitioner must:
- Pay the statutory deposit;
- Amend and re-verify the petition;
- Re-serve and re-advertise where required;
- Comply with court directions within specified time limits.
Substitution is not automatic. The court will consider whether the creditor has standing and whether it is just to allow the petition to continue.
The debtor company may object to substitution at the hearing. Any objection should be made at that stage, not afterwards.
The strategic risks for both sides
For a debtor company, the involvement of supporting creditors increases risk. Even if the original petitioner is paid, another creditor may step in and continue the petition.
For the original petitioning creditor, supporting creditors can reduce control over the process. Once advertisement has taken place and support is registered, withdrawal may not bring finality.
For supporting creditors, failure to comply strictly with the timing and procedural rules may mean losing the right to participate.
The insolvency court expects precision. Procedural mistakes can have substantive consequences.
Representation at the hearing
Applications for substitution and contested support often require advocacy at the hearing itself.
The court will expect clear submissions on entitlement, procedural compliance and the justice of allowing substitution.
Early preparation and careful evidence are essential.
Speak to our team
Supporting or taking over a winding up petition is a technical process governed by strict insolvency rules.
We advise creditors seeking to protect their position and companies facing increased exposure due to supporting creditors.
If you are considering filing a notice of intention to appear or have received one, early advice can significantly affect the outcome of the petition.
