Key Takeaways
- If your company faces a winding-up petition in England & Wales, you may apply for an adjournment to delay or stop the hearing and protect your business from immediate insolvency action.
- Courts will only grant adjournments in specific situations, such as when you need time to pay, are actively negotiating settlement, or have evidence disputing the debt or underlying insolvency.
- Failing to take prompt action can result in your company being compulsorily liquidated and its assets put at risk.
- Applications for adjournment must be made in good time, supported by clear evidence, and must comply with strict notice and service requirements.
- The process involves serving the application on all relevant parties and filing supporting evidence, usually at least five clear business days before the hearing.
- If your request for adjournment is refused, the winding-up petition can proceed at the next hearing – making fast, specialist legal advice essential.
- We are rated Excellent on Trustpilot with over 130 five-star reviews and a 4.9/5 rating from clients.
- Our experienced solicitors provide urgent, tailored support to delay, adjourn, or contest a winding-up petition, giving your company the best possible chance of survival.
For expert advice and immediate support, call 0207 459 4037 or book a free consultation with our specialist team.
How Can You Delay or Stop a Winding-Up Petition Hearing in the UK?
Receiving a winding-up petition is a critical event for any business. Delays or complacency risk compulsory liquidation, loss of control, and irreparable reputational damage. Acting fast is non-negotiable.
A company in England & Wales can apply for an adjournment—a court-sanctioned delay—of a winding-up petition hearing. If successful, this can buy you weeks to pay the debt, finalise negotiations, marshal evidence, or restructure finances, sometimes leading to the petition being dismissed entirely.
Engage our expert insolvency solicitors as soon as possible to discuss your options and preserve your business.
Can a Company Delay or Stop a Winding-Up Petition Hearing in the UK?
Yes, your company has a legal right to seek an adjournment of a winding-up petition hearing. Courts in England & Wales will consider “adjournment winding-up petition UK” applications if you demonstrate genuine grounds. These might include a real dispute over the petition debt, ongoing negotiations with the creditor, or imminent settlement funds.
An adjournment gives you increasing leverage to negotiate, refinance, pay the debt, or otherwise resolve the issue before full liquidation proceedings commence.
If your company needs urgent guidance on securing an adjournment, contact us for a strategy session with one of our specialist lawyers.
What Is a Winding-Up Petition and Why Is It So Serious?
A winding-up petition is a formal step by a creditor to force a company into liquidation through the courts, typically under the Insolvency Act 1986. Once filed, it places your business in immediate danger—even before any winding-up order is made.
Key risks include:
- Banks often freeze business accounts when notified of a petition, halting cash flow instantly.
- The petition is advertised in the Gazette, damaging reputation and supplier confidence.
- If a winding-up order is made, the Official Receiver liquidates company assets, and directors risk personal claims for wrongful trading.
Atlas Electronics Ltd in Birmingham faced a £97,000 supplier petition. Days after the petition was advertised, the bank froze the trading account, payroll was missed, and major clients suspended business. A timely adjournment application could have enabled settlement talks and prevented operational disaster.
Time and proactive legal advice can make the difference between survival and immediate closure.
What Are the Legal Grounds for an Adjournment of a Winding-Up Petition?
The courts consider several clear legal grounds for adjourning a winding-up petition:
- Genuine Dispute: Evidence that the debt is seriously disputed with credible evidence (e.g. full defence documents or expert reports).
- Time Needed for Payment: Demonstrable need for extra time to pay, with supporting proof such as bank statements or agreed repayment plans.
- Negotiations in Progress: Documented settlement negotiations, particularly where the creditor indicates willingness to compromise.
- Pending Court Proceedings: Related cases ongoing that might affect liability or amount owed.
- Refinancing or Sale of Assets: Clear evidence of imminent funds—such as signed financing deals or asset sale agreements.
- Bonds or Security Offered: Proposals to provide security, undertakings, or guarantees as comfort to the creditor and the court.
Courts expect real, specific evidence—not mere promises or vague intentions. To improve your chances, provide contracts for refinancing, written settlement proposals, or bank evidence of incoming funds.
Our team can advise immediately if your grounds for adjournment are likely to succeed and what documentation you should assemble.
To learn more about further ways to contest petitions, see our guide on How to Stop a Winding-Up Petition.
How to Apply for an Adjournment of a Winding-Up Petition: Step-by-Step
Moving fast and getting the procedure right is critical. The steps usually are:
- Draft an Application Notice: Set out why you seek adjournment, referencing precise grounds.
- Prepare Evidence: Gather supporting details—bank statements, contracts, emails, court documents.
- Observe Notice Requirements: Serve the application and supporting evidence on all relevant parties, including the petitioning creditor and the Official Receiver, at least five clear business days before the hearing (Companies (Winding Up) Rules 2016, r.7.14).
- File with the Court: Submit your paperwork as early as possible.
- Serve All Parties: Copy must reach all interested parties without fail—late or missed service usually means automatic refusal.
- Attend the Hearing: Be ready to present arguments and answer the Judge’s questions.
Regency Consulting Ltd had clear evidence of a pending client payment that would fully settle a £40,000 debt, but accidentally served their application on creditors four, not five, business days beforehand. The petition was not adjourned due to non-compliance, and the opportunity to negotiate was lost.
Missing deadlines—by even a day—can be catastrophic. Take action immediately and let us handle the process.
What Evidence and Arguments Help Secure a Petition Adjournment?
Courts demand clear, credible, and written evidence—not speculation—before granting adjournments of winding-up petitions.
The most persuasive evidence often includes:
- Correspondence clearly disputing the debt, with documentary backup (contracts, statements, expert opinions, if relevant).
- Bank statements or financial documents showing availability of settlement funds.
- Proof of ongoing or imminent finance (e.g. signed facility letters, loan approvals).
- Draft undertakings, bonds, or escrow arrangements.
- Court claim documents in cases with parallel litigation.
Providing a viable, documented pathway to debt settlement or dispute resolution dramatically increases your chances of an adjournment. Oral assurances or last-minute promises without backing evidence almost always fail.
If you need fast support gathering these documents, speak to our team and we can help you build a persuasive evidence pack.
What Laws and Deadlines Apply to Winding-Up Petition Adjournments in the UK?
All adjournment applications are rigorously governed by law:
- Insolvency Act 1986 (s122–125): Sets out who may present winding-up petitions and on what grounds.
- Companies (Winding Up) Rules 2016 (Rule 7.14): Requires service of applications and evidence at least five clear business days before the hearing.
- Civil Procedure Rules Part 25: May apply where applications involve interim relief or undertakings.
- Court Practice Directions: Can set local rules around document format, remote hearings, and electronic filing.
Failure to strictly observe procedural rules and deadlines is likely to end your adjournment bid, barring truly exceptional circumstances.
The sooner you act after a winding-up petition arrives, the greater your procedural and strategic options. If the deadline looms, contact our lawyers immediately to protect your interests.
What Do the Courts Say About Adjournment Winding-Up Petition Applications?
| Case | Facts | Outcome | Key Legal Principle |
|---|---|---|---|
| Re A Company (No. 012209 of 1991) [1992] BCLC 865 | Disputed debt and evidence of active negotiations | Adjournment granted | Genuine disputes and realistic settlement talks favour adjournment. |
| Re Claybridge Shipping SA [1997] 1 BCLC 572 | Imminent refinancing and signed funding agreements | Adjournment granted | Finalised refinancing or asset sales are persuasive. |
| Re Bayoil SA [1999] 1 WLR 147 | Only unsubstantiated defence offered, no documentary proof | Adjournment refused | Hearsay or vague assertions are insufficient; evidence rules. |
| Salford Estates (No.2) Ltd v Altomart Ltd [2014] EWCA Civ 575 | Ongoing arbitration and disputed liability | Adjournment granted | Parallel litigation/arbitration can justify a stay. |
The courts consistently grant adjournments where a genuine dispute of debt is evidenced, negotiations are active and documented, or payment is imminent and verified. Lack of evidence, however, leads to refusal and immediate risk of liquidation.
What Happens If the Court Grants or Refuses Your Adjournment Application?
If the application is granted:
- The winding-up hearing date is postponed, usually for 4–8 weeks.
- You gain extra time to negotiate, pay, or build evidence and resolve disputes.
- Bank accounts may remain frozen, but the court could allow use of funds for limited purposes.
If refused:
- The petition proceeds immediately at the next hearing.
- The court can make a winding-up order on the spot.
- Your company faces compulsory liquidation, with the Official Receiver appointed and directors losing control over assets.
Marlow Foods Ltd was denied an adjournment having presented only draft, unsigned settlement terms with no proof of funds. Within minutes, the court made a winding-up order and the directors immediately lost control of the company’s £950,000 in assets.
The quality and timing of your application is vital. Do not rely on weak or incomplete documentation. Our lawyers are experienced in preparing persuasive, evidence-driven adjournment applications.
How to Maximise Your Chances of Delaying or Stopping a Winding-Up Petition Hearing
Give your business the best prospect of survival by following these strategies:
- Engage Creditors Early: Good-faith negotiation is proven to help—ask for creditor support or time to pay as soon as possible.
- Submit Robust Evidence: Prepare and present supporting evidence clearly and in writing.
- Offer Security or Undertakings: Use bonds, guarantees, or formal offers to satisfy the court and creditor.
- Instruct Specialist Lawyers: The legal process is unforgiving; specialist representation ensures compliance and persuasive argument.
- Maintain Transparency: Full and timely disclosure helps—courts favour businesses acting in good faith.
Lumina Health Ltd faced an HMRC winding-up petition for £220,000 in tax arrears. By instructing our team early, providing signed evidence of new finance, and producing a draft consent order accepted by HMRC, the company achieved a four-week adjournment and settled all debts before the next hearing—saving over 40 jobs.
For additional tips, you may also find our guide on Support for Companies Facing a Winding-Up Petition useful.
For urgent, outcome-focused help, speak to one of our experienced lawyers now.
Our Winning Approach to Adjournment of Winding-Up Petitions
Our experienced litigation solicitors deliver strategic, results-driven support for clients facing winding-up petitions across England & Wales. We offer:
- Rapid Appraisal: Direct access to senior lawyers for early-stage assessment and advice.
- Transparent Costs: Fixed fees and, where appropriate, success-based retainers to suit your circumstances.
- Robust Evidence Handling: Secure digital intake of sensitive documents for immediate action.
- Strategic Negotiation: Innovative bond and consent order drafting to satisfy both creditors and courts.
- Proven Results: A track record of successfully delaying or dismissing winding-up petitions for clients in diverse industries, from technology to construction.
Our tailored approach gives clients the very best chance of protecting their business, reputation, and future. For specialist winding-up petition support, get in touch today.
Frequently Asked Questions
How quickly must I apply to adjourn a winding-up petition hearing?
You must serve your adjournment application and all evidence at least five clear business days before the scheduled hearing on the Court, the petitioning creditor, and all other relevant parties. Delay reduces your options and can result in outright refusal.
What kind of evidence will the court accept for an adjournment?
Courts prioritise written, documented evidence such as detailed creditor correspondence, bank statements proving ability to pay, draft undertakings, and copies of related court or arbitration proceedings.
Can an adjournment be granted more than once?
Yes, but the court will only allow multiple adjournments if you can show genuine new developments or compelling grounds each time. Repeated requests lacking substance risk refusal.
Does offering a bond or security increase my chances of delay?
Offering tangible security such as a bond, guarantee, or court-held funds improves your prospects and reassures both creditor and court that payment or settlement is realistic.
Can I settle a winding-up petition after it is presented?
Yes, provided the creditor consents and notifies the court of settlement. Petitions can be dismissed or withdrawn anytime before a final order.
What happens to my bank accounts during an adjournment?
Company bank accounts are usually frozen after the petition is advertised. Courts may allow partial unfreezing in select cases, subject to strict evidence and undertakings.
Is it possible to challenge a winding-up order after refusal of adjournment?
Appeals are available against such orders, but they are expensive, time-limited, and often difficult. Early, robust legal representation drastically improves outcomes.
Will the adjournment hearing be in public?
Yes, hearings for winding-up petitions and their adjournments are held in open court.
Does an adjournment affect my company’s credit rating?
Even with an adjournment, the fact a winding-up petition has been presented and advertised will have a negative impact on your business’s credit rating.
Do I need a solicitor to apply for a winding-up petition adjournment?
While you can represent yourself, instructing a specialist solicitor is strongly recommended given the technicalities, risk of procedural mistakes, and high stakes involved.
Get Immediate Help to Delay Your Winding-Up Petition Hearing
Knowing how to delay or stop a winding-up petition hearing can be the decisive step to save your business from liquidation. Acting without hesitation, gathering comprehensive evidence, and instructing an expert solicitor are key to giving your company the lifeline it urgently needs.
Our experienced lawyers move swiftly to evaluate your options, prepare the strongest possible application, and represent you at court. From evidence review to urgent hearing attendance, we are ready to defend your interests and protect your company from immediate insolvency risks.
