Court-Ordered Company Liquidation (Creditor)

Purpose of this Guide: Use this plan when acting for a creditor seeking to wind up a company that is unable to pay its debts in New Zealand. It guides the practitioner through verifying the debt, serving a statutory demand, initiating court proceedings in the High Court, advertising the application, and obtaining a liquidation order. This guide is designed to ensure strict compliance with statutory timeframes and procedural rules, reducing the risk of cost penalties or strike-out applications.

Jurisdiction: High Court of New Zealand, operating under a national jurisdiction. The parent plan focuses on the undisputed commercial debt pathway (requiring a verifying affidavit), while the fork covers the judgment debt pathway (where a court judgment has already been sealed).

The Process at a Glance: First, confirm the debt is due and undisputed, and check the company status on the register. Draft and serve a statutory demand in Form 9. If the debtor company does not comply or apply to set aside the demand within 15 working days, they are presumed insolvent. You then have 30 working days to file a statement of claim and notice of proceeding in the High Court. Personally serve the proceeding at the registered office, notify the Registrar within 7 working days, and monitor the 10-day voluntary liquidation loophole. Finally, advertise the application in the New Zealand Gazette and a local newspaper, and appear at the High Court hearing to obtain the liquidation order.