Companies Act 2014 section 571

Provisions as to applications for winding up

Section 571 sets out who may present a petition to the court to wind up a company, the conditions that certain petitioners must satisfy, and the obligation on directors to notify employees when the company itself petitions for winding up.

• A winding-up petition may be presented by the company itself, by any creditor (including contingent or prospective creditors), or by any contributory (shareholder), acting alone or jointly.
• When a company presents its own winding-up petition, its directors must notify all employees and, where applicable, employee representatives at the time of presentation or as soon as reasonably practicable afterwards.
• A contingent or prospective creditor must provide security for costs deemed reasonable by the court and establish a prima facie case for winding up before the court will hear the petition.
• A contributory may only petition if the shares were originally allotted to them or held and registered in their name for at least 6 months during the 18 months before the winding up commenced, or if the shares devolved on them through the death of a former holder.