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Employment status and business transfers: Trustee of shares was not an "employee" as company lacked control over him

This report relates to 1 case(s)

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    Bunting v Hertel (UK) Ltd [2001] All ER (D) 328 (Jun) EAT (0 other reports)

In Bunting and others v Hertel (UK) Ltd 28.6.01 EAT 1453/99 and others, the EAT held that the sole director and controlling trustee shareholder of a company and his wife, the company secretary, could not claim the protection of the Transfer of Undertakings (Protection of Employment) Regulations 1981 because they were not employees of the original undertaking. Although they received payments subject to deductions appropriate to employee status, the company could not assert control over them. In any case, the EAT held, the TUPE Regulations did not apply as the original undertaking did not retain its identity after the transfer.