Statutory Demand on Company

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About this document

  1. One of the biggest frustrations in doing business is not getting paid what you’re owed.
  2. A statutory demand is a legal document demanding payment from a company who owes you money over $1,000.
  3. If the company then fails to pay you within 15 working days of the date of demand, you can apply to the court to place the company into liquidation.
  4. No company wants to be placed into liquidation if it believes it has a future. As such, this is a very powerful document.

You will need to know:

  • The details of the company which owes the money;
  • How much is owed;
  • The date when payment was due;
  • Whether you would consider entering into a Compromise with the Debtor Company, for payment of the debt to be repaid to you over time and perhaps with interest added.
  • A due date for payment, or for the Debtor Company to provide you with a Compromise to consider within a specified date.

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Document length

1-2 pages

Document type


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