Compulsory Liquidation is ordered by the High Court, the liquidator’s actions are reported to the Court and often Court approval is required before undertaking action. A compulsory liquidation usually arises when a company cannot pay its debts and a winding up petition by one or more creditors is presented to the court. A compulsory liquidator must provide the Court with an affidavit of suitability. Once the company is wound up and assets realised preferential and secured creditors such as the Revenue Commissioners and employees of the company are paid first, followed by unsecured creditors.
We have been appointed compulsory liquidator by the High Court on numerous occasions. We are recognised as professional and experienced practitioners who can expedite the liquidation in a timely and efficient manner, reducing the burden on creditors and directors alike.
Compulsory liquidations are also appropriate in situations where there is a deadlock among the directors and shareholders of a company. This may result in a compulsory winding-up even where the company is solvent.
For further information about our Compulsory Liquidation department please contact:
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