Breach of contract
The High Court has listed some of the factors that a court may take into account when determining whether or not a provision, for example a provision in a disciplinary procedure, is apt for incorporation into an employee's contract of employment.
This case demonstrates the importance of employers complying with the terms of contractual staff handbooks and dealing with grievance appeals properly.
The Court of Appeal has held that an employer in the financial sector that poached staff from a rival could not enforce dishonestly obtained forward contracts with employees who later decided not to move.
Ceri Hughes, David Parry, and Carly Mather, associates at Addleshaw Goddard, detail the latest rulings.
In Dunn and anor v AAH Ltd [2010] EWCA Civ 183 CA, the Court of Appeal held that an employee was guilty of gross misconduct in failing to report a serious financial risk faced by his employer to its parent company. His contract expressly required such a report to be made, and it was not sufficient that he had reported all relevant matters to his line manager.
In Malone and others v British Airways plc [2010] IRLR 431 HC, the High Court held that the provisions of a collective agreement purporting to set "minimum" cabin crew numbers for different routes and types of craft were not incorporated into individual employees' contracts of employment. In any event, an injunction would not be granted to restrain the employer from reducing cabin crew numbers below the levels specified, and, even if there had been a breach of contract, any award for damages would be for a nominal amount only.
Helen Samuel, associate solicitor and Anna Bridges, associate solicitor, at Addleshaw Goddard, detail the latest rulings.
In Bateman and others v Asda Stores Ltd EAT/0221/09, the EAT held that the employer was entitled to change its employees' pay arrangements without their consent because it had reserved a clear contractual right to make unilateral variations to their terms and conditions of employment.
Susannah Jarvis (associate) and Kate Williams (professional support lawyer), Addleshaw Goddard, analyse important recent rulings.
In Tapere v South London and Maudsley NHS Trust EAT/0410/08, the EAT held that, in requiring a transferred employee to move to a location outside the scope of the mobility clause in her original contract of employment with the transferor, the transferee had acted in fundamental breach of contract. The employee's subsequent resignation therefore amounted to a constructive dismissal. Further, the transferee's attempt to move her place of work amounted to a substantial change in her working conditions to her material detriment. She was, therefore, also entitled to be treated as having been dismissed under reg.4(9) of the TUPE Regulations.
HR and legal information and guidance relating to breach of contract.