12 November 2018
How a Company can Commit Harassment
Harassment is often thought of as something carried out by an individual who is sending unwanted messages, making threats or behaving in a way that causes fear, alarm or distress.
But harassment is not always that simple.
A company can also be responsible for conduct that amounts to harassment. This may include:
- Repeated letters
- Phone calls
- Emails
- Debt demands
- Threats
- Pressure from their staff
- Actions taken by agents acting on the company’s behalf
For individuals, this can feel intimidating and exhausting. For businesses, employers and directors, it is a reminder that unfit for purpose systems, poorly automated processes or repeated contact can create real legal risk if the conduct goes too far.
What Is the Legal Definition of Harassment?
The Protection from Harassment Act 1997 was introduced to stop conduct which causes alarm or distress.
The Act makes it unlawful for a person to pursue a course of conduct which amounts to harassment of another person, and which they know or ought to know amounts to harassment.
In plain English, harassment usually involves repeated behaviour that crosses the line from ordinary contact, disagreement or commercial pressure into something oppressive, distressing or unreasonable.
A “course of conduct” normally means conduct on at least two occasions. That does not mean every annoying letter, rude email or difficult phone call will amount to harassment. The law is concerned with conduct that has become serious enough to cause alarm, distress or anxiety.
Harassment can be a criminal offence as well as leading to civil liability, including claims for damages or an injunction.
Can a Limited Company Commit Harassment?
Yes, a limited company can be liable for harassment.
This is important because company harassment is not always caused by one individual deliberately setting out to intimidate someone. It may come from repeated letters, computer-generated demands, poor customer records, unhelpful complaints handling or different employees continuing the same behaviour over time.
A company cannot automatically avoid responsibility by saying the contact came from a system, a department or an automated process.
The question is often whether the company knew, or should have known, that its conduct had crossed the line.
Common examples of company harassment may include:
- Repeated demands for payment when a debt is disputed
- Threatening letters sent after the company has been told its records are wrong
- Phone calls, emails or messages continuing after someone has asked for them to stop
- Pressure from a debt collection agency acting for the company
- Repeated threats of legal action without proper review
- Aggressive complaints handling
- Intimidating contact from managers, HR teams or senior staff
- Conduct by employees or agents acting on behalf of the business
Mistakes happen so a single administrative error is unlikely to be harassment on its own. The risk increases when the mistake is repeated, ignored or allowed to continue after the company has been advised there is a problem.
The British Gas Harassment Case
One of the best-known cases involving company harassment is Ferguson v British Gas.
British Gas repeatedly sent letters to Ms Ferguson claiming she owed money. She said she did not and that their letters included threats to disconnect her supply, start legal proceedings and report her to credit reference agencies.
The company argued that Ms Ferguson knew the demands were wrong, so she should not have been distressed by them. The court rejected that argument.
The case is important because it showed that repeated corporate conduct can potentially amount to harassment, even where letters are generated by a computer system rather than personally written by one individual.
For large organisations, this is a serious warning. Automated systems are not a shield if the outcome is repeated, threatening or distressing contact.
For more details on this case, please review:
Ferguson v British Gas [2009] EWCA Civ 46: judgment
The Kosar v Halifax Case
The point was later considered again in Kosar v Halifax.
In that case, the court confirmed that a company can be found liable for harassment under the Protection from Harassment Act.
Together, these cases show that harassment law is not limited to neighbours, stalkers or individuals. It can also apply to companies whose conduct causes alarm or distress through repeated contact, threats or unreasonable pressure.
For more details on this case, please review:
Kosar v Halifax [2011] EWHC 1050: judgment
Can Automated Letters or Computer Systems Amount to Harassment?
Yes, this is one of the most important practical points for companies, banks, utility providers, landlords, managing agents and debt collection teams.
A letter does not become harmless just because it was produced automatically. If a company keeps sending threatening or distressing correspondence after it has been told the information is wrong, the repeated contact may become legally risky.
That is especially true where the letters threaten serious consequences, such as:
- Court proceedings
- Debt recovery action
- Credit agency reporting
- Disconnection of services
- Enforcement action
- Additional fees or penalties
Automated systems are useful but they are not a defence to poor decision-making. A company still needs a process for stopping, reviewing or escalating contact when someone has raised a genuine dispute.
Company Harassment and Debt Collection
Many company harassment complaints arise from debt collection.
A company is entitled to recover money it is genuinely owed and it can send reminders, chase payment, issue proceedings and take legal advice where necessary. The problem comes when the contact becomes excessive, threatening or unreasonable, especially where:
- The debt is disputed
- The company has been given evidence that its records are wrong
- The person being contacted is vulnerable
- The same issue keeps being reopened
- The company keeps promising to stop but then starts again
- The tone of the letters or calls becomes intimidating
- Agents or debt collectors continue contact without checking the facts
Where a company has been told that its records may be wrong, it should NOT simply continue as if nothing has happened. Instead it should pause, investigate and keep a proper record of what has been reviewed.
A repeated failure to correct the problem can turn a simple administrative error into something much more serious.
Employer Liability for Harassment
There is also a workplace angle.
Employers can face harassment issues in different ways. Some cases involve employees complaining about bullying, unwanted conduct or discriminatory harassment at work. Others involve a company, manager or HR department applying repeated pressure in a way that may cause another employee alarm or distress.
Workplace harassment can fall under different areas of law depending on the facts. Harassment linked to a protected characteristic, such as age, disability, race, religion, sex or sexual orientation, may raise Equality Act issues. Other repeated behaviour causing alarm or distress may be considered separately under the Protection from Harassment Act.
For employers, the key point is simple: harassment complaints should not be brushed aside as ordinary workplace friction.
A sensible employer should:
- take complaints seriously
- keep written records
- investigate fairly
- avoid retaliatory behaviour
- separate the people involved where appropriate
- follow grievance or disciplinary procedures
- take legal advice where the situation is serious or escalating
Internal processes matter. A poor response to a harassment complaint can make the original problem much worse.
What Constitutes Harassment by a Company?
There is no single checklist that covers every situation. However, the following factors may be relevant:
- How many times the conduct happened
- Whether the company had already been told to stop
- Whether the company knew the information it relied on may be wrong
- If threats were made
- Whether the contact caused alarm, distress or anxiety
- Whether the person affected suffered financial loss
- Whether the behaviour was reasonable in the circumstances
- If the company had a proper process for reviewing complaints
- Whether the conduct was carried out by employees, agents or automated systems
A company does not have to behave perfectly. But once a mistake is pointed out, the business should respond properly.
Continuing the same conduct after a complaint has been made can make the position much worse.
Types of Harassment Involving Companies
Harassment by a company can take many different forms. It may involve customers, former customers, employees, directors, shareholders, contractors or members of the public.
Common types of harassment involving companies may include:
- Repeated debt demands
- Threatening letters or emails
- Unwanted calls or messages
- Pressure from collection agents
- Aggressive complaints handling
- Repeated contact after a dispute has been raised
- Workplace bullying or intimidation
- Retaliation after a complaint
- Unreasonable pressure from managers or HR
- Threats of legal action without proper basis
Each case will depend on its facts. The issue is not just whether the company made contact, the issue is whether the conduct became unreasonable, repeated and/or distressing.
How Do I Report a Company for Harassment?
If you believe a company is harassing you, the first step is usually to create a clear record.
You should consider keeping:
- Copies of letters, emails and text messages
- Dates and times of phone calls
- Names of anyone you spoke to
- Screenshots of online messages
- Notes of what was said
- Copies of complaints you have made
- Evidence showing why the company’s position is wrong
- Details of any distress, anxiety or financial loss caused
You may then want to send a clear written complaint to the company. The complaint should explain what has happened, why you say the conduct is wrong and what you want the company to do.
For example, you may ask the company to stop contacting you about a disputed issue, correct its records, withdraw a debt demand, apologise and compensate you for loss or distress.
If the issue relates to employment, you may need to use the employer’s grievance procedure. If the issue involves a regulated business, such as a bank, utility provider or professional firm, there may also be a formal complaints process or ombudsman route.
Where the behaviour is serious, threatening or continuing, you should take legal advice.
Can a Solicitor Send a Cease and Desist Letter for Harassment?
Yes a solicitor can write to a company demanding that the conduct stops. This is often referred to as a cease-and-desist letter and will usually set out:
- The conduct complained about
- Why it may amount to harassment
- What the company has already been told
- What steps the company must now take
- A deadline for response
- The consequences if the conduct continues
A well-drafted solicitor’s letter can be useful because it forces the company to review the issue properly. It also creates a formal record showing that the company has been put on notice, therefore we recommend NOT getting AI to write one for you.
That can be important if the behaviour continues.
Is Harassment Illegal?
Harassment can be illegal. It can be a criminal offence and it can also give rise to a civil claim too.
In a civil claim, the court may consider remedies such as damages or an injunction. Damages may include compensation for anxiety caused by the harassment and financial loss resulting from it.
An injunction can require a person or company to stop certain behaviour. If the conduct continues despite legal warnings or court orders, the consequences can become more serious.
Harassment law can overlap with employment law, discrimination law, debt recovery, consumer disputes and commercial litigation, it is important to get advice based on the facts.
What Should Companies Do to Reduce the Risk?
For companies, the lesson is not that they must stop enforcing debts, managing complaints or protecting their position, instead the lesson is that they must act reasonably.
A company should have clear internal processes for:
- Dealing with disputed debts
- Stopping automated letters where a complaint has been raised
- Escalating repeat complaints to a senior person
- Recording customer contact
- Handling vulnerable customers
- Managing employee grievances
- Training staff on harassment and complaints
- Reviewing third-party debt collection activity
- Checking whether threats of legal action are appropriate
Directors, HR managers and business owners should take particular care where a complaint has already been made. Continuing the same behaviour after the company has been told it is causing distress can increase the risk of a legal claim.
When Should You Speak to Harassment Solicitors?
You should consider taking legal advice if:
- A company continues contacting you after being told to stop
- You are receiving repeated threats about a disputed debt
- The behaviour is causing anxiety, distress or financial loss
- Your employer is not dealing properly with a harassment complaint
- You are a director or HR manager dealing with an escalating complaint
- You need a cease and desist letter
- You are considering court proceedings
- Your company has been accused of harassment
Early legal advice can often prevent a dispute from becoming more damaging, expensive or stressful.
How Feakes & Co Can Help
Feakes & Co Solicitors advise individuals, businesses, directors and employers on disputes involving harassment, complaints, debt demands, employment issues and civil claims.
We can help you understand whether the conduct may amount to harassment, what evidence is likely to matter and what practical steps should be taken next.
If you are being pursued by a company, we can advise you on your options and, where appropriate, write to them on your behalf.
If your business has received a harassment complaint, we can help you respond carefully, protect your position and reduce the risk of the situation escalating.
For advice about harassment, company disputes or civil litigation, contact Feakes & Co.
FAQs About Company Harassment
How do I report a company for harassment?
Start by keeping a clear record of the conduct. Save letters, emails, messages, call logs and notes of conversations. You can then complain to the company in writing, explain why the conduct is wrong and ask for it to stop.
If the issue involves employment, you may need to use an internal grievance process. If the company is regulated, there may also be a formal complaints or ombudsman route. If the behaviour continues, speak to a solicitor.
Is harassment illegal?
Yes, harassment can be a criminal offence and can also lead to civil liability. Depending on the facts, the court may award damages or grant an injunction to stop the behaviour.
What constitutes harassment by a company?
Harassment by a company may involve repeated contact, threats, debt demands, calls, letters, emails or pressure that causes alarm or distress. The conduct usually needs to happen more than once and must be serious enough to cross the line from ordinary business contact into unreasonable or oppressive behaviour.
What is meant by harassment?
Harassment means a course of conduct that causes alarm or distress and which the person or organisation responsible knows, or ought to know, amounts to harassment.
In company harassment cases, this can include repeated demands, threats or contact after the company has already been told there is a problem.
Can I send a cease-and-desist letter for harassment in the UK?
A cease-and-desist letter can be sent to a company where the conduct may amount to harassment. It is often better for this to come from a solicitor, especially where the behaviour is serious, repeated or likely to lead to legal proceedings.
The letter should explain the conduct complained about, why it may be unlawful and what the company must do to stop the problem.
Is a company harassing me if it keeps contacting me about a debt?
Not every debt demand will amount to harassment as a company is allowed to chase genuine debts.
However, repeated demands may become legally risky if the debt is disputed, the company has been given evidence that its records are wrong, or the contact becomes threatening, excessive or distressing.
Can harassment cause alarm or distress?
Yes, causing alarm or distress is central to many harassment complaints so the issue is whether the conduct, viewed as a whole, has gone beyond ordinary contact and become oppressive, unreasonable or distressing.
Can an employer be liable for harassment?
Employers can face legal risk where harassment occurs in the workplace, where managers or employees behave improperly, or where employee complaints are not handled properly.
The type of legal claim will depend on the facts. Some cases may involve discrimination law. Others may involve repeated conduct causing alarm or distress.
Should a business take a harassment complaint seriously?
Any business should take harassment complaints seriously and deal with them promptly. It should keep records, review what has happened, stop inappropriate contact where necessary and take advice where the complaint is serious or escalating.
Get more information about resolving disputes and litigation or call our team on 01291 639280 for assistance.