Company under Liquidation
Last February, our company had supplied materials to an MEP company in Doha and as per the terms it was agreed to settle the dues within six months. But now we came to know that the MEP company is in loss and they have initiated liquidation procedures. What will be the procedure followed by the appointed liquidator to identify the creditors to settle the claims? Please explain.
As per Article 312 of the Commercial companies’ law, due dates in respect of all the company debts shall expire upon the dissolution of company. The liquidator shall, by registered letter, notify all creditors on the commencement of liquidation, and shall invite them to submit their claims against the company. The notice shall be published in two local newspapers, of which one shall be in Arabic language, and also on the website of the company, if any, if the creditors or their places of residence are not known. In all cases, the notice to creditors for the submission of their claims shall include a period of not less than seventy-five days from the date of such notice, provided that publication of notice shall be repeated during such period after the expiry of one month thereof. If some creditors fail to submit their claims, their debts shall be deposited with the court custodian, until the claims are received from their owners or the claims are time barred by extinctive limitation.