A winding up petition is not the end of the road. Petitions in Singapore are filed in the High Court under Section 124 of the Insolvency, Restructuring and Dissolution Act 2018 (IRDA), but petitions can — and frequently are — withdrawn. The most common scenario is a creditor petition that is settled or compromised before the first hearing. The court will only allow withdrawal in a controlled way, however, because once the petition is advertised it has consequences far beyond the two parties before the court.
This 2026 guide explains the procedure, statutory basis and practical conditions for withdrawing a winding up petition in Singapore — from the petitioner’s perspective, the company’s perspective, and the perspective of supporting or opposing creditors.
What Is a Winding Up Petition Withdrawal?
A “withdrawal” of a winding up petition is the petitioner’s formal abandonment of the application before a winding up order is made. It is not the same as a dismissal (which is a court refusal of the petition on the merits) or a substitution (where a supporting creditor takes over).
Withdrawal of a winding up petition is typically requested because the underlying debt has been paid or otherwise settled, the parties have entered into a payment plan or compromise, or the petitioner has reconsidered the strategic and commercial implications of pursuing the petition to a winding up order.
Legal Basis
The substantive power is found in Section 124(1) IRDA, which sets out who may present a winding up petition. The procedural framework for withdrawal is set out in the Insolvency, Restructuring and Dissolution (Corporate Insolvency and Restructuring) Rules 2020, particularly Rules 67–69 governing withdrawal, dismissal and substitution.
The key principle is that, after advertisement, the petition is treated as a class remedy for the benefit of all creditors — not just the petitioning creditor. The petitioner therefore cannot unilaterally withdraw once the petition has been advertised; the court’s leave is required, and the court will hear any creditor who wants to be substituted as petitioner.
Who Can Apply to Withdraw?
Only the petitioning creditor (or, where multiple petitioners, all of them acting together) can apply for withdrawal. A company that is the subject of the petition cannot itself withdraw the petition — its remedy is to apply to dispute and dismiss the petition.
Supporting creditors who have given notice of their intention to appear can object to the withdrawal and seek to be substituted as petitioner — see our companion guide to substitution of petitioners.
The Step-by-Step Withdrawal Process
Step 1: Determine whether the petition has been advertised
The procedure differs depending on whether the advertisement of the petition has been published. Advertisement is required at least 7 clear days before the hearing date and is published in the Government Gazette and one English-language daily newspaper.
Step 2: Before advertisement — simpler withdrawal
If the petitioner withdraws before advertisement, the procedural threshold is lower. The petitioner files a notice of withdrawal (Form CIR-69) with the court. Because no creditor class is yet on notice, the court will normally permit withdrawal without scrutiny, often without an oral hearing.
Step 3: After advertisement — leave of court required
Once the petition has been advertised, the petitioner must file an application for leave to withdraw together with a supporting affidavit. The affidavit must set out:
- The reason for the withdrawal (most often, that the underlying debt has been paid or compromised).
- Whether any creditor has given notice of intention to appear at the petition hearing.
- Whether the petitioner is aware of any creditor who would wish to be substituted as petitioner.
- Whether the petitioner has received any payment from a third party (and if so, the amount, to ensure there has been no preferential payment in the wind-up of which creditors should be informed).
Step 4: Service of the withdrawal application
The withdrawal application and supporting affidavit must be served on the company and on every creditor who has given notice of intention to appear under Rule 67. This gives supporting creditors a chance to oppose the withdrawal and seek substitution.
Step 5: Hearing of the withdrawal application
The court will consider whether to grant leave. If no creditor objects and no creditor seeks substitution, leave is typically granted, and the petition is dismissed by consent. If a creditor seeks to be substituted, the court will hear that application before deciding whether to allow the withdrawal at all.
Step 6: Costs
The petitioner who withdraws after advertisement is generally responsible for its own costs and may be ordered to pay the company’s costs, particularly if the petition was misconceived or unreasonably brought. Where settlement has been reached, costs are usually addressed in the settlement agreement and reflected in the consent order.
Documents Required for a Withdrawal Application
| Document | Purpose |
|---|---|
| Originating summons (or application within the petition) | The formal application to the court for leave to withdraw |
| Affidavit in support | Sets out the reasons, any payment received, and the position of other creditors |
| Settlement agreement (if any) | Often exhibited to the affidavit; provides commercial context |
| Notices of intention to appear from supporting creditors (if any) | Exhibited so the court can see who will be affected |
| Draft consent order | Where withdrawal is by consent of company and supporting creditors |
| Affidavit of service | Demonstrates that the application has been served on the company and supporting creditors |
Timeline and Costs
| Stage | Typical Timeline | Indicative Costs |
|---|---|---|
| Pre-advertisement withdrawal | 1–2 weeks from filing notice | S$500 court filing + S$2,000–S$5,000 legal costs |
| Post-advertisement withdrawal (uncontested) | 2–4 weeks | S$500 court filing + S$5,000–S$15,000 legal costs |
| Post-advertisement withdrawal (substitution sought) | 1–3 months | S$500 court filing + S$15,000–S$40,000+ legal costs |
| Newspaper advertisement reversal (if needed) | 1–2 weeks | S$1,000–S$2,500 advertisement |
What Happens After Withdrawal Is Granted
If the court grants leave to withdraw, the petition is dismissed and any restraining or interim orders fall away. The company’s name no longer appears on the active petition list in the cause book, and entries reflecting the petition can be removed from the company’s litigation searches over time.
Note however that a withdrawn petition will still appear on a comprehensive Singapore litigation search for some time, and banks or counterparties conducting due diligence may flag it. Companies that have been the subject of a withdrawn petition often need to provide explanations to lenders, suppliers and customers for an extended period.
Frequently Asked Questions
1. Can the petitioner withdraw and then refile later?
Yes, but only if the debt is owed again or remains unpaid. A withdrawal is not a final adjudication on the debt. However, the court will look unfavourably on serial petitions presented as a debt collection tactic.
2. What if a supporting creditor wants to take over?
A creditor that filed a notice of intention to appear can apply to be substituted as the petitioner under Rule 68. The court will normally allow substitution if the supporting creditor has a valid claim and the original petitioner’s withdrawal would otherwise unfairly prejudice the class of creditors.
3. Does the company need to consent to the withdrawal?
The company’s consent is not strictly required because withdrawal is the petitioner’s act. In practice, however, withdrawal almost always follows a settlement that has been agreed between the petitioner and the company, so consent is implicit.
4. What if the petitioner died or has gone into liquidation?
If the petitioner is no longer able to prosecute the petition (e.g. death, dissolution), the petition will be dismissed unless another creditor applies to be substituted within a reasonable time.
5. Can the withdrawal be conditional on payment?
Yes — settlement agreements often condition the withdrawal application on receipt of cleared funds. Until the funds clear, the petitioner can preserve its position. Conditional consent orders are commonly used.
Practical Strategic Considerations
- Settle early — before advertisement. The procedural and reputational costs of withdrawal escalate sharply once the petition is advertised.
- Document the settlement properly. A clean settlement agreement with a consent order avoids future arguments about who agreed to what.
- Address supporting creditors proactively. If a known creditor has filed a notice of intention to appear, engage them before filing the withdrawal application.
- Recognise the residual reputational impact. Even a withdrawn petition can affect bank facilities, customer relationships and director appointments.
Need Help With This Matter?
If your company is facing this situation, Raffles Corporate Services can assist with the groundwork — ACRA filings, compliance documentation, and coordinating with experienced Singapore law firms. For matters requiring court proceedings, we work with a panel of experienced Singapore law firms who offer cost-effective and efficient legal service and advice.
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This article is for general information only and does not constitute legal advice. For advice specific to your situation, please consult a qualified Singapore Advocate and Solicitor.
— The Editorial Team, Raffles Corporate Services