Insolvency Made Clear: A Guide for Debtors

Contents
Chapter 3 Should a debtor go bankrupt? 39
Chapter 4
Chapter 5
3.1 Is the debtor solvent on the ‘balance sheet’ basis? 39
3.2 Other factors 41
Box 11: Immigration reasons 43
3.3 Voluntary bankruptcy 43
Statutory demands and unsuccessful
execution of judgments 45
4.1 Types of debt 45
4.2 What is a statutory demand? 47
4.3 Service of a statutory demand 48
4.4 Consequences of a statutory demand 49
Box 12:
Time limits if the debtor is outside England and
Wales 49
4.5 Expedited demand 49
4.6 Application to set aside the statutory demand 50
4.6.1 How to make the application 50
4.6.2 Contents of application 50
Box 13: Challenging HMRC tax assessments 53
Box 14: Applications out of time 56
4.7 Statutory demands in respect of debts not immediately
payable57
4.8 Initial review by the court 57
Box 15: Court delays 58
4.9 The first hearing 58
4.10 The substantive hearing 59
4.11 Orders at the hearing 59
4.12 Challenging the statutory demand 60
Box 16: Execution of judgment 62
Bankruptcy petitions and bankruptcy hearings
69
5.1 What is a bankruptcy petition? 69
ix