Dealing with Bailiffs

Claiming Loss of Income from Improper Bailiff Action

When bailiffs act improperly — such as clamping or removing a vehicle unlawfully — the consequences can be financially devastating. If the affected party loses income because they are deprived of a vehicle used for work or trade, they may be entitled to claim compensation. This type of loss, known as consequential loss, is recoverable under English law when supported by evidence and tied directly to the bailiff’s wrongful conduct.

The statutory basis for such claims lies in the Torts (Interference with Goods) Act 1977. Under section 3, a person with possession or control of goods may sue for wrongful interference, including wrongful taking or retention. Section 4(2) provides that where damages are awarded, they may include consequential loss, such as loss of income, provided that such losses were a foreseeable result of the interference.

In cases involving vehicles wrongfully taken under enforcement powers, it is critical to show that the vehicle was used in the course of business or employment. This aligns with protections under Paragraph 4(1)(a) of Schedule 12 to the Tribunals, Courts and Enforcement Act 2007, which exempts from control goods that are “tools of the trade, business, profession or vocation” used by the debtor personally, subject to certain value limits.

If the vehicle is exempt and has been taken unlawfully, the party may recover losses suffered as a result of being unable to work or continue trade. The calculation should be supported by bank statements, tax records, business invoices, or a witness statement showing income levels. A practical method is to average the last 90 days of income, divide it by 90 to establish a daily rate, and then multiply by the number of days deprived of the vehicle.

This approach is recognised in civil proceedings and follows the principles of damages assessment set out in Livingstone v Rawyards Coal Co (1880) 5 App Cas 25, where the court ruled that the measure of damages should be “that sum of money which will put the party who has been wronged in the same position as he would have been in if he had not suffered the wrong.”

In addition to direct income loss, claimants may seek recovery of related expenses, including the cost of alternative transport (car hire, taxis, etc.), vehicle tax, insurance premiums, and disbursements. These claims are often supported under CPR 46.5 and CPR 44.3, which allow for the recovery of costs reasonably incurred as a result of the wrongful act.

To maximise the chance of recovery, the claim must be precise, evidence-led, and preferably supported by a written damages schedule. The use of a properly drafted witness statement and Form N260 (Summary Assessment of Costs) will strengthen the application, whether pursued as part of a Part 7 or Part 8 claim, or as a claim for damages following an injunction.

If improper bailiff action has caused you financial loss, contact me here for help preparing a professionally assessed damages claim and securing the compensation you are legally entitled to.