Statutory Demands in Debt Collection: Background

Statutory Demands are the first step in the insolvency process and the core of many commercial debt collection processes. They are used by Creditors to prove that the person it is served on (‘the Debtor’) is insolvent. A Debtor is insolvent, and is capable of being adjudged bankrupt, if they cannot pay their debts as and when they fall due. Creditors can satisfy this requirement, and effectively demonstrate that a Debtor cannot pay their debts [...]