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Transfer of undertakings: Transfer of "stable economic entity" required

This report relates to 1 case(s)

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    Ledernes Hovedorganisation, acting for Rygaard v Dansk Arbejdsgiverforening, acting for Strø Mølle Akustik A/S [1996] IRLR 51 ECJ (0 other reports)

The EC "Business Transfers" Directive presupposes the transfer of a "stable economic entity" whose activity is not limited to the performance of one specific works contract, rules the European Court of Justice in Ledernes Hovedorganisation, acting on behalf of Ole Rygaard v Dansk Arbejdsgiverforening, acting on behalf of Strø Mølle Akustik A/S. Accordingly, the Directive will not normally apply where an undertaking transfers to another undertaking specified building work with a view to the completion of that work.