Stop, Stay, Cancel a Winding Up Petition

[tops321]

Hi there

If a winding up petition has been presented is it possible to stop or cancel it?

If so, what form would you do this on?

Also, if it did get stopped and you paid the amount owed to the creditor would the petition still carry on?


Thanks for any info

 

[Robert Moore]

Has the petition been advertised? when was it served? When is the hearing? You should have the solicitors details of the petitioner on the winding up petition. I suggest you contact them

 

[tops321]

I'm really just inquiring for the near future. It hasnt been petitioned yet.

What good would it do if you knew who the petitioners solictor was? I they suspend the petition if full payment is offered?

Is this the same with hmrc?

 

[smo]

If you have the money to pay the creditors why are you not paying them and waiting for them to petition you??

 

[internetspaceships]

If you have the money to pay the creditors why are you not paying them and waiting for them to petition you??

A very good point because when it's issued, you are royally screwed.

If you have the money then don't you think you should pay it?

 

[tops321]

I think the question came across wrong. I was actually just inquiring whether this was possible.

 

[Alan R Price]

A petition, once issued, can normally only be withdrawn with the consent of the court. It has to be done by formal application. The petitioning creditor can however withdraw a petition before it is advertised.

If the debtor company pays the petition debt, it is possible for another creditor to take over carriage of the petition before it is dismissed. In that circumstance, the petition continues. Interestingly, if a winding up order is then made on that petition, the original creditor will have to refund the money he received to the company (i.e. its liquidator) since the payment will be deemed a void disposition under s127 of the Insolvency Act 1986.

 

[Legalbeagle]

Agree with Alan.

Once issued, the debt and costs have to be paid, and the petition withdrawn before the risk is averted. If the debt is paid prior to the advert being published, then usually it can be withdrawn without too much fuss.

Once a petition is issued, the costs are usually more of an issue than the debt !