Companies Act Section 324 — Debts of all descriptions to be admitted to proof
CHAPTER XX WINDING UP
Commercial / Corporate
Summary
In every winding up of a company, all debts and claims against the company can be put forward for proof, regardless of their nature. This includes debts that are payable only if some future event happens, claims that are due now or later, claims that are certain or uncertain, and claims that are only for damages without a fixed amount. The only exception is for insolvent companies, where the rules of this Act or the insolvency law will apply as appropriate.
When a debt or claim is uncertain in value—because it depends on a contingency, is only for damages, or for any other reason cannot be given a definite amount—a fair estimate of its value must be made, as far as possible, so that it can still be considered for proof.
Official Text
In every winding up (subject, in the case of insolvent companies, to the application in accordance with the provisions of this Act or of the law of insolvency), all debts payable on a contingency, and all claims against the company, present or future, certain or contingent, ascertained or sounding only in damages, shall be admissible to proof against the company, a just estimate being made, so far as possible, of the value of such debts or claims as may be subject to any contingency, or may sound only in damages, or for some other reason may not bear a certain value.