Statutory Demand

A document issued by someone who is owed a debt. The party receiving it has 18 days in which to apply to set it aside. You should take it seriously and contact the person pursuing you to discuss your situation with them. Likewise if your company is issuing a statutory demand against another company, make sure that the debt is due and owing to your company at the time of issue. If you are the creditor and have not received any communication after 21 days, you may proceed to petition for the compulsory winding up of a company or the bankruptcy of the individual.