strikeoff

Strike-off is the formal removal of a company from the official register of companies, resulting in its dissolution. It is commonly used to wind up defunct or dormant entities and to reduce the number of active registered entities.

There are two main forms: voluntary strike-off and compulsory strike-off. Voluntary strike-off is initiated by the company through a formal application to the registrar (for example, Companies House in the United Kingdom) using a strike-off notice. The company typically must confirm it has not traded or carried on business, has no outstanding liabilities, and that all members consent. The registrar publishes a notice in the official gazette and, after a waiting period during which objections may be raised, the company is struck off.

Compulsory strike-off may be initiated by the registrar for failure to comply with filing requirements, inactivity, or other grounds set by law. This process also involves notices to interested parties and a right to object; if the decision to strike off proceeds, the company is removed from the register.

Effects and restoration: Once struck off, the company ceases to exist as a legal entity. Assets, if any, may vest in the state or be handled according to local law, and creditors may seek remedies through other avenues. In many jurisdictions, a struck-off company can apply for restoration to the register within a defined period after dissolution, allowing it to resume legal existence if granted.

In other jurisdictions, strike-off is known as deregistration or dissolution and follows similar principles, though the specific rules and procedures vary.