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Is a company administrator able to make dismissals for economic, technical or organisational reasons (ETO) and then sell the business on without passing TUPE liability for them to the purchaser? Yes, if…"
"Hi Matthew, Sorry I've not been in touch since we met, I suddenly got bombarded with dismissal cases which take priority over everything!
However this came through from the court of Appeal today and I thought it may be interesting to you. You…"
"Excellent post Kieron. I've worked for a firm of Insolvency Practitioners for 16 years and have often thought how useful it may be to chat to people just starting out on their business ventures or those facing a glitch in trading - not to hawk…"
Following the success of our first lunchtime meeting (over 50 people there) We're doing it again. Same Place Chambers Business Centre, Chapel Road, Hollinwood, OL8 4QQ. Same time 11:30 am same buzz and its free!No 40 second Pitches, no speeches just a great way to meet like minded business people. See More
Come to the Oldham Business Network Breakfast! Free Networking with other local business owners.It's a week later than usual due to the Easter break , the next OBN social is on Wednesday 10th April at Kitty's Riverside Café Bar in Uppermill.Why bother?A warm atmosphere,Open to all - no registration needed,Lots of like minded business owners,It's Free,No Agenda,No 40/60 seconds rounds to prepare and pesent,No need to bring referrals,No Timekeeping,No Dress Code,This event is now well…See More
"Good Afternoon Matthew,
Welcome to OBN, I would like to speak to you with regards to Greater Manchester Chamber Commerce, It is the largest Chamber of Commerce in the UK with a 5,000-strong membership. We provide first-class business support to…"
We are a firm of Insolvency Practitioners based in central Manchester dealing with all aspects of business recovery and personal insolvency work. From large companies, to sole traders, to individuals struggling with debt, we offer support, advice and solutions.
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The employment tribunal had found that the reason dismissals were made by the football club’s administrator was to continue trading the business, with an ultimate objective of selling it on to a purchaser waiting in the wings. It followed that the dismissals were made for ETO reasons so that liability did not pass to the club’s purchaser. The EAT rejected that approach as contrary to Spaceright Europe Ltd v Baillavoine. It held that the administrator's admitted intention of selling the club on meant that the dismissals could not be made for ETO reasons. That meant that liability passed to the Club’s purchaser.
The Court of Appeal finds that the EAT had been wrong to reverse the tribunal. Administrators “will almost always have a transfer of the undertaking as their ultimate objective” but that does not mean that the reason for dismissals made by them will always be to make the business more attractive to a purchaser. They can also be made to allow the business to carrying on trading. On the facts the dismissals at the Club had been made for that reason, so liability did not pass to the purchaser.
The case will be of considerable importance to insolvency professionals. It marks a partial retreat from Spaceright and a recognition (notably in the firm concurring judgment of Briggs LJ) of the importance of the wider policy objective of corporate rescue.
Welcome to OBN, I would like to speak to you with regards to Greater Manchester Chamber Commerce, It is the largest Chamber of Commerce in the UK with a 5,000-strong membership. We provide first-class business support to companies of all shapes and sizes through a range of sector-based membership services and networking opportunities, specifically tailored to meet the needs of your business.
please can you contact me when you are available to chat.