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ARTICLE · 30 JULY 2014

TUPE Update - July 2014

Charles Russell Speechlys LLP
Charles Russell Speechlys LLP
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Charles Russell Speechlys LLP

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The EAT’s decision in Jackson Lloyds Limited v Smith is a reminder that even where an acquisition is structured as a share transfer, there may be a TUPE transfer.

United KingdomEmployment and HR
Bob Mecrate-Butcher
Bob Mecrate-Butcher

TUPE AND SHARE ACQUISITIONS - A REMINDER OF THE RISKS

The EAT's decision in Jackson Lloyds Limited v Smith is a reminder that even where an acquisition is structured as a share transfer there may also be a TUPE transfer. This, and an earlier case, illustrate that if a process of integration takes place too quickly resulting in the business being purchased being no longer controlled by the purchased entity there will be a risk of there being a TUPE transfer.

SERVICE PROVISION CHANGE TRANSFERS - RELEVANCE OF CONTRACTUAL TERMS

Two recent cases looked at the relevance of contractual documentation in determining whether there has been a SPC transfer. The cases providing opposing views on the importance of the contract terms when identifying the activities.

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