- Using a cross-claim to challenge a winding-up petition—not a chance for another bite at the apple (Re Saint Benedicts Land Trust Ltd)
- What are the practical implications of this case?
- What was the background?
- The debt
- The petitioners’ case
- The company’s case
- What did the court decide?
- Extant debt?
- Case details
Restructuring & Insolvency analysis: The court held that where a company seeks to dispute a winding-up petition on the grounds that it has a cross-claim against the petitioners, that cross-claim must—(i) exceed the petition debt, (ii) be serious and genuine, and (iii) be one which the company has been unable to litigate pre-petition. In this case, the judge considered that the company failed under all three, but explored the third in particular, noting that the issues raised by the company in its prospective cross-claim ought to have and could have been raised for determination in the earlier proceedings which had ultimately given rise to the petitioned debt. Written by Kirstin Fleming, managing associate, and Matthew Finnie, associate, at Addleshaw Goddard LLP.
Sign in or take a trial to read the full analysis.
To continue reading this news article, as well as thousands of others like it, sign in to LexisPSL or register for a free trial