Gillies v Downer EDI Ltd [2011] NSWSC 1055

Gillies v Downer EDI Ltd [2011] NSWSC 1055

Downer breached the contract of employment by failing to properly pay all entitlements due to Mr Gillies on termination and by not effecting summary dismissal in accordance with the contract's requirements. Mr Gillies did not engage in misconduct justifying summary dismissal. The Addendum (POS) was part of Mr Gillies' contract, entitling him to a performance bonus. Mr Gillies was also entitled to accrued bonus pool amounts and long service leave calculated to the date of effective termination. The car loan was satisfied by return of the vehicle. Damages for loss of opportunity did not arise as there was no relevant breach.

Jurisdiction
Australia
Judgment Date
09 September 2011
Procedural Posture
Principal Judgment / Judgment After Trial
Outcome
Judgment for the plaintiff on the Statement of Claim; judgment for the cross-defendant on the cross-claim; cross-claim dismissed.
Legal Topics
['interpretation of Employment Contract' 'misconduct and Summary Dismissal' 'damages for Breach of Contract' 'long Service Leave Entitlements' 'bonus and Incentive Schemes' 'termination of Employment']
['employment Law' 'contract Law'] ['interpretation of Employment Contract' 'misconduct and Summary Dismissal' 'damages for Breach of Contract' 'long Service Leave Entitlements' 'bonus and Incentive Schemes' 'termination of Employment']

Case Brief

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Procedural Posture

Principal Judgment / Judgment After Trial

Legal Issues

  1. 1 ["Whether Mr Gillies' employment was wrongfully terminated" 'Whether Mr Gillies engaged in misconduct justifying summary dismissal' 'Whether the Addendum (Phantom Option Scheme) formed part of the contract' 'Entitlements due on termination including bonus, long service leave, and car loan' 'Whether damages for loss of opportunity were available' 'Whether implied obligations of good faith or mutual trust were breached']

Ratio Decidendi

Downer breached the contract of employment by failing to properly pay all entitlements due to Mr Gillies on termination and by not effecting summary dismissal in accordance with the contract's requirements. Mr Gillies did not engage in misconduct justifying summary dismissal. The Addendum (POS) was part of Mr Gillies' contract, entitling him to a performance bonus. Mr Gillies was also entitled to accrued bonus pool amounts and long service leave calculated to the date of effective termination. The car loan was satisfied by return of the vehicle. Damages for loss of opportunity did not arise as there was no relevant breach.

Court Disposition

Judgment for the plaintiff on the Statement of Claim; judgment for the cross-defendant on the cross-claim; cross-claim dismissed.

Orders

  • ['Judgment for the plaintiff on the Statement of Claim.' 'Judgment for the cross-defendant on the cross-claim.' 'Cross-claim dismissed.' 'Parties to file an agreed form of orders to reflect calculation of amounts owing in accordance with the reasons for judgment.' 'Failing agreement, plaintiff to file proposed order...