Process Servers vs Bailiffs

There has been some controversial discussions as to whether or not a process server is carrying out a regulated activity. Unlike bailiffs, who are big, scary and on a mission to collect debts, a process servers job is subtle a bit like a courier expect serving legal documents.

The hot topic of debate for the Financial Services Authority is to determine if a process server who engages in a ‘pure process’ is precluded from being categorised under the definition of undertaking a regulated activity.

A ‘pure process’ falls within the definition of:

• A process server who is instructed by a firm to serve documents as part prior to initiation of Court proceedings.
• A process server who serves a variety of documents ranging from claim forms, bankruptcy petitions, statutory demands and summons. Some of the documents such as bankruptcy petitions and statutory demands relate to debts which are owed to the creditor.
• A process server will of course be aware of the legal nature of the documents however, not the specifics of the underlying issues in the case.
• A process server will take steps to ensure that the individual being served understands nature of the document i.e. the matter is currently in court and that it is important that they see a solicitor. A process server cannot engage in discussions, negotiations or offer advice in respect of the content of the document. It is not within their remit or expertise any such discussions should take place with their solicitor/representative.

A process server does not collect debts or serve consumer credit agreements as this fall into the category of debt collection which is considered as a regulated activity. This should be left to bailiffs who are well averse in this area and engage in negotiations regarding the payment of debts. Bailiffs have the right to remove goods from the debtor to recover any debts owed, this is usually following a county court judgement which they are instructed to enforce.

The Financial Conduct Authority having reviewed this area have concluded that a pure process server does not fall with the realms of debt collection and therefore should not be considered as a regulated activity. This will come as a relief to most process servers as there would otherwise have been a lot of red tape around the practices of being a process server.

Although at present this area is not considered as a regulated activity, most process servers should keep up to date with any future proposed changes in legislation.

Originally published at www.safeserve.info.