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The document is a statutory demand form under the Insolvency Act 1986, outlining the process for creditors to claim debts from companies. It includes instructions for creditors on how to detail the debt, including interest and charges, and emphasizes the importance of responding within 21 days to avoid potential winding-up proceedings against the company.

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What is the minimum amount to issue a statutory demand?

A statutory demand is a notice that creditors can issue to demand payment of a debt or debts. Minimum amount for a statutory demand: $4,000. This minimum amount was increased on 1 July 2021.

What is the minimum amount for a statutory demand?

Is there a minimum level of debt required for a creditor to serve a statutory demand? There is no minimum amount that you must owe before a creditor can serve a statutory demand.

What is a statutory demand for?

You can make a statutory demand to ask for payment of a debt from an individual or company. Anyone whos owed money (the creditor) can make a statutory demand. You do not need a lawyer. If the debts over 6 years old, you cannot usually make a statutory demand.

What is the issuance of statutory demand?

A statutory demand under section 6A of the Ordinance must be dated, and be signed either by the creditor himself or by a person stating himself to be authorized to make the demand on the creditors behalf. The statutory demand must specify whether it is made under section 6A(1) or (2) of the Ordinance.

What is the point of a statutory demand?

What is a statutory demand? A statutory demand is a kind of written warning from a creditor. It will state that if you dont pay your debt or come to another arrangement thats acceptable to the creditor, they may start court proceedings to make you bankrupt.

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What are the risks of statutory demand?

A statutory demand poses an existential threat for the recipient company. If a company receives a statutory demand and does nothing, it risks being wound up by Court order. One ground for setting aside a statutory demand is that there is a genuine dispute about the debt which is the subject of the statutory demand.

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What is the minimum amount to issue a statutory demand?

What is the minimum amount for a statutory demand?

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What are the risks of statutory demand?

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