Legal News

Day v Haine and another [2008] EWCA Civ 626; [2008] WLR (D) 188

“Where a company had failed to comply with its statutory obligation to consult its workforce before going into liquidation and subsequently protective awards were made by an employment tribunal, the obligation had arisen before the liquidation and the protective awards were therefore contingent debts of the company within rr 12.3 and 13.12 of the Insolvency Rules 1986 and provable in the liquidation. Moreover, the failure to consult concerning collective redundancies also infringed European law which the United Kingdom was under a duty to implement and to ensure that the penalty for infringement would be effective, proportionate and dissuasive.”

WLR Daily, 12th June 2008

Source: www.lawreports.co.uk

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