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srilawsby aturio
As enacted
Contents

Part XV

410. Court may set aside demand

Official English translation. Where it differs from the Sinhala or Tamil text, the Act itself says which text prevails.

(1)

On the application of the company, on which a statutory demand has been served the court may set aside a statutory demand where it is satisfied that –

(a)

the sum is disputed on grounds that appear to be substantial;

(b)

the company appears to have a counterclaim, set-off or cross-demand, and the amount specified in the demand less the amount of that counterclaim, set-off or cross-demand appears not to exceed the prescribed amount;

or

(c)

the demand should be set aside for some other reason.

(2)

An application under subsection (1) shall be –

(a)

made within ten working days after service of the demand on the company; and

(b)

in such form as may be prescribed.

(3)

An application under subsection (1) suspends the time for compliance with the demand.

(4)

Where the court refuses an application under subsection (1), the time for compliance with the demand shall run again from the date of the refusal.

(5)

In making an order under subsection (1), the court may, as may be necessary –

(a)

impose any term or condition; and

(b)

make any other ancillary order.

Read on from s 411

Part XVI

Read on from Part XVI

Part XVII

Read on from Part XVII

Schedules