Creditors’ Bankruptcy and Winding up Petitions
01 September 2022
Following a stay throughout the pandemic period, new creditors’ bankruptcy petitions (Non- Crown) will be able to be presented from Monday 5th September 2022 provided they meet the Guidance for Bankruptcy and Companies Masters Courts recently issued.
This requires that:
(i) The petition debt is grounded on a court judgment, decree or other court order; AND
(ii) The petition is grounded on a statutory demand dated and served on or after 1st June 2022.
New Crown creditors’ bankruptcy petitions can also now be presented from Monday 5th September 2022. These will be accepted on the same basis as prior to the pandemic.
The timing for presenting winding up petitions remains unclear with the latest information advising that Guidance on Creditors’ Winding Up petitions has been deferred until after the new proposed permanent moratorium rules come into effect.
Whilst this opening for new bankruptcy petitions will move matters closer to normal procedures, it can be expected that there will remain a limit on the ability to process the likely significant number of petitions pending, due to court resources.
How can BDO help?
More detailed information or advice for anyone affected, either as a debtor or creditor, can be obtained by contacting one of the BDO NI Advisory team.