Winding up proceedings
Sydney Law Firm engaged to wind up the Client – A construction company engaged a Sydney Law Firm to issued a s 459E Corporations Act 2001 Statutory Demand on the client. Not responding to the Statutory Demand within 21 days would effectively mean the client was insolvent, paving the way for liquidation of the Client company.
On behalf of the client an application was filed in the Supreme Court challenging the demand and claiming the construction company had breached its own contract by performing variations without written authorisation.
The demand was successfully set aside on the basis that the client had a genuine dispute and further the construction company paid the client’s legal costs.