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Debt collection warning to firms after court rules consumer was harassed

Businesses have been urged to review their procedures for collecting debts after a consumer won a settlement from British Gas for harassment over unpaid bills.

The consumer took the firm to court after she received demands for payment of a bill that she was not responsible for. The court ruled that British Gas's behaviour was unlawful under the Protection from Harassment Act 1997. Chris Breen, a litigation expert at Pinsent Masons, said: "Companies chasing debts need to be aware that the way they pursue debts could be scrutinised and subject to claims under the Act." He added that firms should ensure that their complaints handling procedure is "effective" and that chasing a debt should not be carried out in an "aggressive and threatening way".

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