Willow Oak Developments Ltd T/A Windsor Recruitment v Silverwood and others: EAT 5 Oct 2005

EAT Where employees are dismissed for refusal to sign a new contract containing proposed covenants in restraint of trade, the test is no different from that in respect of dismissal for refusing to sign a fresh contract in any other case, namely that, in respect of the proposed terms said to be unreasonable, it is not that the defence of some other substantial reason is not available, but that the reasonableness of the terms falls to be considered under s98(4), in accordance with the line of authorities recently summarised in Scott v Richardson EATS/0074/04: Forshaw v Archcraft Ltd [2005] IRLR 600 not followed. However, the Tribunal’s alternative decision that there was an unfair procedure and that Polkey did not apply meant that the finding of unfair dismissal stood and/or that there was no ground for remission.


The Honourable Mr Justice Burton


UKEAT/0339/05, [2005] UKEAT 0339 – 05 – 2010


Bailii, EATn


Employment Rights Act 1996 89(1)(b)


England and Wales


CitedSt John of God (Care Services) Ltd v Brooks and others EAT 8-Apr-1992
The appellant had suffered a reduction in its income. It made an offer to staff, on the point of dismissing for refusal to sign, of less favourable terms, including reduced pay and holiday entitlement and the abolition of overtime rates for weekend . .

Cited by:

Appeal fromWillow Oak Developments Ltd. (T/A Windsor Recruitment) v Silverwood and others CA 25-May-2006
The employer appealed a finding that he had been unreasonable in seeking to vary the employment contracts of his staff by adding post employment restrictive covenants, and that the consequent dismissals were unfair. Copies of the new contracts had . .
Lists of cited by and citing cases may be incomplete.


Updated: 04 July 2022; Ref: scu.231529