The administrators had adopted the contracts of certain employees, who now claimed that the protective awards should have priority to the expenses of the administration.
Held: The payments did fall within paragraph 99(5) and do not have super-priority.
Responsibility for protective awards on insolvency.
Judges:
Lord Justice Clarke Lord Justice Jacob Lord Justice Neuberger
Citations:
[2005] EWCA Civ 1072, Times 26-Sep-2005, [2006] 2 BCLC 160
Links:
Statutes:
Insolvency Act 1986 Sch B1, Trade Union Labour Relations (Consolidation) Act 1992 189
Jurisdiction:
England and Wales
Citing:
Cited – In Re Hartlebury Printers Ltd 1992
Insolvency, at least per se, does not amount to a special circumstance exempting an employer from consulting employees on redundancy. Morritt J noted the distinction in the Directive between contemplated and projected redundancies and section 99 to . .
Appeal from – Krasner (Administrator of Globe Worsted Company Ltd and Huddersfield Fine Worsteds Ltd.) v Mcmath (Representing All Employees of the Companies) ChD 27-Jul-2005
. .
Cited – Powdrill and Another v Watson and Another HL 23-Mar-1995
A receiver of a companies assets, who employed former staff of the company, beyond an initial period of 14 days, becomes personally responsible for their employment contracts, and consequently becomes liable for making redundancy payments. The 1870 . .
Cited – Delaney v Staples HL 15-Apr-1992
The claimant had been dismissed but had been given no payment in lieu of notice. She claimed to the Industrial Tribunal that this was an unlawful deduction from her wages and that therefore the Industrial Tribunal had jurisdiction.
Held: The . .
Cited by:
Cited – McCartney and Unite The Union and Another v Nortel Networks UK Ltd (In Administration) ChD 22-Apr-2010
The administrators gave employees of the company notice of termination of their employment. Then administrators refused consent under para 43(6) to actions against the company in the Northern Ireland Industrial Tribunal for protective awards, unfair . .
Lists of cited by and citing cases may be incomplete.
Insolvency, Employment
Updated: 03 July 2022; Ref: scu.229333