BRITISH VIRGIN ISLANDS
HIGH COURT (COMMERCIAL DIVISION)
STATUTORY DEMAND – WHETHER BONA FIDE DISPUTE ON SUBSTANTIAL GROUNDS – WHETHER DEBT DUE AND PAYABLE AT DATE OF SERVICE OF STATUTORY DEMAND – WHETHER DEBTOR COMPANY ESTOPPED BY CONVENTION FROM DENYING THAT DEBT DUE AND PAYABLE AT THE DATE OF SERVICE
On 19 June 2012 Tiberius Investments & Capital Limited (the “Applicant”) applied to set aside service on it of a statutory demand made by Viken Securities Inc. (the “Respondent”). On the facts the Court held that there was a substantial dispute as to whether any particular sum of money had become due and payable by the Applicant by the 5 June 2012, the date when the demand was served. The Judge held that based on the material produced it could not be shown that there was a shared assumption that the Applicant had incurred a liability to make a repayment by any particular date at all, such that when the statutory demand was served on 5 June 2012 the Company was already in default.