The solicitor argued that paragraph 66(6) of Schedule 12 only applies to “persons” having the enforcement power conferred to them as well as the creditor and enforcement agents.
- (6)A related party is either of the following (if different from the enforcement agent)—
(a)the person on whom the enforcement power is conferred,
The court agreed the creditor conferred the power to the directors (or ‘officers’) of the bailiff company who then conferred the enforcement power to an enforcement agent, making the director a “related party” under paragraph 66(6).
The case involved an HCEO and their regulations do not require HCEO’s - whom we already know are personally liable for their agents - to have indemnity insurance to protect themselves from liability from failed or non-compliant enforcement.
It means any directors of a bailiff company having the enforcement power conferred to it, are now personally liable, and litigation should be addressed to them.