Q&As

Can a creditor claim from a debtor company the costs of drafting, preparing and serving both a statutory demand and subsequent winding-up petition, and if not, why not?

read titleRead full title
Produced in partnership with Caroline Clark
Published on LexisPSL on 25/01/2017

The following Restructuring & Insolvency Q&A produced in partnership with Caroline Clark provides comprehensive and up to date legal information covering:

  • Can a creditor claim from a debtor company the costs of drafting, preparing and serving both a statutory demand and subsequent winding-up petition, and if not, why not?
  • Costs involved in a winding-up petition
  • Costs involved in a statutory demand

Can a creditor claim from a debtor company the costs of drafting, preparing and serving both a statutory demand and subsequent winding-up petition, and if not, why not?

STOP PRESS: From 6 April 2017, the Insolvency Rules 1986, SI 1986/1925 were revoked and replaced by the Insolvency (England and Wales) Rules 2016 (IR 2016), SI 2016/1024. The content in this Q&A may have been affected by this change.

Costs involved in a winding-up petition

The costs or expenses that may be paid from the estate of a company in liquidation are set out in the Insolvency Rules 1986, SI 1986/1925 (IR 1986). It will be appreciated that there are frequently only limited funds in an insolvent estate and the priority of payment of the different expenses is accordingly also set out in the IR 1986, SI 1986/1925.

IR 1986, SI 1986/1925, r 4.218(3) sets out the expenses that may be paid from the estate of a company in liquidation, and the

Popular documents