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What is a “walking-possession” agreement?

Controlled Goods Agreements are a critical part of the Taking Control of Goods Regulations 2013, governed by Reg 6 and 7. It’s important to remember that an unsigned Regulation 15 Controlled Good Agreement is not binding – if you’re presented with one in this form then it should be assessed as an abandoned levy. Equally, another person cannot legally sign such documents on your behalf without holding power-of-attorney or being appointed as a deputy by the Court Of Protection under Mental Capacity Act 2005 regulations.

What is walking possession? (taking control of goods)

Sharpening their debt-recovery tactics, Shergroup officers can issue a Notice of Enforcement to collect any outstanding dues. After seven days (barring Sundays and Bank Holidays), if the debtor fails to meet payment demands, an officer may take possession of goods as part of reclaiming debts due -a process known as ‘Taking Control’.

When entering into an agreement which involves a debtor and creditor, it’s important to ensure that the legal title of any goods is clearly indicated. Without this acknowledgement, the contract may be deemed invalid according to common law regulations. However, when enforced by high court enforcement officers who take control of these items on behalf of creditors, owners have recourse – they can file claims against their respective debtors using Form N1 and EX160a in county courts as laid out by Taking Control Goods: National Standards 2014, making sure those creditors responsible for enforcing agents remain accountable for their actions.

When entering into an agreement, it is paramount that the bailiff makes clear to all involved parties when the title of goods is transferred as security for a debt. If this does not occur then common law states the contract may be invalidated. In cases where High Court Enforcement Officers take control of said goods, owners can reclaim their property by filing a Form N1 and EX160a in county court proceedings against CREDITORs; both documents falling under standards set out by Taking Control Of Goods: National Standards 2014 which holds creditors accountable for enforcement agents they employ on their behalf.

Walking Possession Agreement Letter/ Controlled Goods Agreement Letter From HMRC

I confirm that the property specified in this agreement is under distraint, with myself granting access to authorised persons at any time for inspection or completion of distress. As I have not abandoned it by removing said items, I will adhere to paying walking possession fees and ensuring no other parties gain control over the inventory listed on our dated document. Additionally, should anyone else try to impose further levies upon these assets due held in my custody -I shall immediately notify you accordingly. Furthermore, I agree to pay a fee associated with walking possession as well as permit access at any time for an authorized person’s inspection or completion of distress activities. Lastly, should another party attempt to claim these properties through other means such as levy or execution – they will be informed immediately that you are already in rightful ownership thereof.

  • You have retained the right to reclaim your distressed property, indicating that you haven’t given up on it just yet.
  • This property is in a state of legal detention and its custodianship rests with anyone who can access it.
  • I pledge to honor my obligations by ensuring that any specified property remains on the premises, unless of course given explicit consent from the Commissioners and conditions they deem fit.
  • Property owners could soon face surprise visits from authorised personnel to ensure their distress is in line with regulations, allowing for full inspection and necessary completion.
  • I firmly commit to safeguarding this property from any and all external ownership.
  • I’ll advise anyone aiming to seize, harm or access your property that I already have possession of it. Any such attempts will be notified to you immediately.
  • If the amount due is not paid by cash or banker’s draft, including relevant costs, charges and fees incurred throughout this process to you as creditor – at any time after that point, you may exercise your right to sell the property.
  • I will ensure that no specified property is removed from the premises without prior consent from the Commissioners and any other required conditions.

Following an HMRC Distraint Notice, after a five-day period has elapsed and payment is still outstanding, your business premises may face further action in the form of a Walking Possession Agreement (WPA). An Enforcement Officer will arrive with this document – granting them permission to seize pre listed assets stated on the distraint. The bailiff now owns these goods legally which cannot be prevented from removal nor relocation or sale without their consent. However, you can continue using them for commercial purposes as long as necessary until collected by the bailiff.

Taking possession of a property is not something to be taken lightly – the stakes are high for all involved. If you have received an unsolicited Walking Possession Agreement, don’t lose hope! Shergroup can provide free expert advice from one of our licensed insolvency practitioners and ensure that your rights as a homeowner or tenant will remain secure during this vital process.

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Last updated | 19 July 2023

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