Section 142

This section applies where a winding up order has been made by the court in Scotland. If both the company's creditors and the company's contributories decide that a liquidation committee should be established, a liquidation committee is to be established in accordance with the rules. If only the company's creditors, or only the company's contributories, decide that a liquidation committee should be established, a liquidation committee is to be established in accordance with the rules unless the court orders otherwise. A “liquidation committee” is a committee having such functions as are conferred on it by or under this Act. A liquidator appointed by the court other than under section 139(4)(a) must seek a decision from the company's creditors and contributories as to whether a liquidation committee should be established if requested, in accordance with the rules, to do so by one-tenth in value of the company's creditors. Where in the case of any winding up there is for the time being no liquidation committee, the functions of such a committee are vested in the court except to the extent that the rules otherwise provide. A “liquidation committee” is a committee having the powers and duties conferred and imposed on it by this Act, and such of the powers and duties of commissioners in a sequestration as may be conferred and imposed on such committees by the rules.

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Source: legislation.gov.uk · retrieved 2026-09-04