Restoration of companies

The registrar of companies receives around 1,200 applications for restoration each year.

The most common reason for restoration is to enable a company to resume trading and/or to release any assets it held upon dissolution.

Another reason for restoration is where a party wishes to take litigation action against a company for damages, for example for personal injuries.An application for restoration must be served on the registrar of companies (as defendant) and also the treasury solicitor (or the relevant duchy depending upon the situation of the company's registered office address) at least working 10 days prior to the hearing.

This is to allow the registrar sufficient time to carry out certain investigations and for him to instruct the treasury solicitor (who acts on his behalf).

If the registrar and the treasury solicitor are not given at least 10 days' notice, the registrar will insist that the claimant seeks a short adjournment.

There will be no exceptions to this.If the purpose of the application is for litigation action, such as a personal injury claim, the above information should be particularly borne in mind where there may be any question of a limitation period expiring.It is the normal practice of the registrar to seek the delivery of outstanding accounts, annual returns and any other documents in an acceptable form prior to the hearing before giving his consent to the application.

These documents should be delivered to the registrar at least five working days before the hearing, to allow sufficient time for them to be examined and processed, as they may have to be returned for amendment.

If the restoration is required to pursue litigation, the registrar will normally require an undertaking to the court to inform the registrar immediately upon its conclusion.

This is to enable the registrar to commence action to strike the company off the register at the appropriate time.

A member of the company must be joined in the application to give any undertakings required by the registrar and to be responsible for his costs of the application.The registrar of the companies court in London usually hears restoration cases in chambers once a week on Friday afternoons.

Cases are also heard at district registries and county courts that have the authority to wind up companies.

The treasury solicitor (or his agent) will attend the hearing on behalf of the registrar of companies.

Alternatively, the registrar may agree to the hearing proceeding by way of a consent order, in order to keep the costs of the application to a minimum.

If the court grants the order sought, an office copy must be delivered to the registrar to enable him to effect the company's restoration.For further information on restoration matters, please contact Steve Roberts, tel: (029) 20 380443 or Leighton Jones, tel: (029) 20 380069.

You can also visit our Web site (www.companieshouse.gov.uk).