Clarification on the application of TUPE to administrations

The Employment Appeal Tribunal (EAT) held in OTG Ltd v Barke (2011 UKEAT) that TUPE will apply to transfer employees when a company goes into administration, including on a pre-pack administration. This decision overturns the leading case of Oakland v Wellswood (Yorkshire) Ltd, which found that TUPE did not apply to "pre-packs".

Filed under:
United Kingdom, Employment & Labor, Insolvency & Restructuring, Litigation, Faegre Baker Daniels LLP, Debt, Liquidation, Precondition, Transfer of Undertakings (Protection of Employment) Regulations 2006 (UK), Employment Appeal Tribunal
Authors:
Alex Denny , Victoria Pengelly
Location:
United Kingdom
Firm:
Faegre Baker Daniels LLP
Buyers in pre pack are responsible for liabilities arising post TUPE transfer

The Employment Appeal Tribunal (EAT) has held inPressure Coolers Ltd v Molley UKEAT/0272/10 that when a transferor under TUPE is subject to insolvency proceedings not instituted with a view to liquidating the transferor's assets, the Secretary of State will only meet employment liabilities that arise before the transfer.

Filed under:
USA, Employment & Labor, Insolvency & Restructuring, Litigation, Faegre Baker Daniels LLP, Discrimination, Liability (financial accounting), Liquidation, Unfair dismissal, Precondition, Transfer of Undertakings (Protection of Employment) Regulations 2006 (UK), Employment Appeal Tribunal
Authors:
Anna Byford , Alex Denny , Victoria Pengelly
Location:
USA
Firm:
Faegre Baker Daniels LLP
Employee rights after liquidation: FT Q&A

I am a director and employee of a small media company which has now been put into liquidation by the chief executive due to mounting debts.  The company is due to close any time soon, which means I will then be unemployed.  What rights, if any, do I have as an employee and is there any scope for compensation.

Filed under:
USA, Employment & Labor, Insolvency & Restructuring, Faegre Baker Daniels LLP, Wage, Unsecured debt, Employment tribunal, National Insurance, Debt, Liability (financial accounting), Liquidation, Unfair dismissal, Liquidator (law), Chief executive officer
Authors:
Victoria Pengelly
Location:
USA
Firm:
Faegre Baker Daniels LLP