In Gibb v Maidstone & Tunbridge Wells NHS Trust  IRLR 786 CA, the Court of Appeal held that a compromise agreement entered into by an NHS trust and its chief executive was not so irrationally generous as to be ultra vires, as subsequently argued by the trust.
The Court of Appeal has held that an NHS trust was entitled to take into account a CEO's previous good record and negative prospects of obtaining future employment when making a severance payment.
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