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Breach of contract: Stigma must be real or substantial cause of failure to obtain employment

This report relates to 1 case(s)

  • expand disabled

    Bank of Credit and Commerce International SA (in liquidation) v Ali and others (No 3) [2002] IRLR 460 CA (0 other reports)

Key points

  • In Bank of Credit and Commerce International SA (in liquidation) v Ali and others (No.3) [2002] IRLR 460, the Court of Appeal holds that, where a claimant alleges that stigma resulting from his or her previous employment affected his or her employment prospects, it was for him or her to prove that the stigma had a real or substantial effect on his or her obtaining employment.
  • The single question to be determined is: but for the former employer's breach of the implied trust and confidence term identified in Malik and another v BCCI SA (in liquidation) [1997] IRLR 462, what would the prospective employer have done, and what would have been the outcome for the claimant? The whole history of the individual's search for employment will be relevant to that determination.