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What are the consequences for a creditor who takes over carriage of the petition from another creditor in a compulsory winding up?

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Published by a ÑÇÖÞÉ«ÇéÍø Restructuring & Insolvency expert
Published on: 07 June 2018
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The Compulsory winding up process

A Compulsory liquidation is commenced by court order. Most frequently, such an action is commenced by a company’s creditors. For information on when creditors can issue a winding-up petition see: Compulsory liquidation—overview at the section entitled ‘By its creditors’. See also Practice Note: Compulsory liquidation—issuing a petition.

The Winding up process can be issued in the County Court that has jurisdiction to wind up the company if the amount of the company's paid up share capital does not exceed £120,000; alternatively the High Court has the jurisdiction to wind up any company in England and Wales. There are requirements as to the form of the winding up petition, the information that the winding up petition must include, service of the winding-up petition, advertisement of

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United Kingdom
Key definition:
Compulsory winding up definition
What does Compulsory winding up mean?

The court supervised process by which a company's assets are realised for the benefit of its creditors.

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