Tyne and Wear Passenger Transport Executive (trading as Nexus) v National Union of Rail, Maritime and Transport Workers & Anor.

Tyne and Wear Passenger Transport Executive (trading as Nexus) v National Union of Rail, Maritime and Transport Workers & Anor.

Rectification cannot be granted of the Letter Agreement as a collective agreement because it is not legally binding under section 179(1) of the Trade Union and Labour Relations (Consolidation) Act 1992. Any rectification must be sought against the individual employees whose contracts incorporate the agreement. The current action is defective for proceeding only against the Unions. Further, Nexus is precluded by res judicata and/or abuse of process from raising rectification as a defence to the Anderson claimants' pre-complaint deductions, as it could and should have raised the issue in the original proceedings.

Parties
Claimant/respondent: Tyne and Wear Passenger Transport Executive (trading as Nexus); Defendant/appellant: National Union of Rail, Maritime and Transport Workers; Defendant/appellant: Unite the Union
Jurisdiction
England and Wales
Judgment Date
27 October 2022
Procedural Posture
Civil Appeal / Appeal From High Court to Court of Appeal (preliminary Issues and Strike Out Application)
Outcome
Appeal allowed; action dismissed.
Legal Topics
Rectification of Contract, Collective Agreements, Res Judicata, Abuse of Process, Unlawful Deduction of Wages
Employment Law Contract Law Equity Rectification of Contract Collective Agreements Res Judicata Abuse of Process Unlawful Deduction of Wages

Case Brief

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Parties

Tyne and Wear Passenger Transport Executive (trading as Nexus)

Claimant/respondent

National Union of Rail, Maritime and Transport Workers

Defendant/appellant

Unite the Union

Defendant/appellant

Procedural Posture

Civil Appeal / Appeal From High Court to Court of Appeal (preliminary Issues and Strike Out Application)

Legal Issues

  1. 1 Whether a collective agreement not intended to be legally binding can be rectified
  2. 2 Whether the proper parties to a rectification claim are the unions or the individual employees
  3. 3 Whether Nexus is estopped or otherwise precluded from raising rectification due to the prior Anderson proceedings

Ratio Decidendi

Rectification cannot be granted of the Letter Agreement as a collective agreement because it is not legally binding under section 179(1) of the Trade Union and Labour Relations (Consolidation) Act 1992. Any rectification must be sought against the individual employees whose contracts incorporate the agreement. The current action is defective for proceeding only against the Unions. Further, Nexus is precluded by res judicata and/or abuse of process from raising rectification as a defence to the Anderson claimants' pre-complaint deductions, as it could and should have raised the issue in the original proceedings.

Court Disposition

Appeal allowed; action dismissed.

Orders

  • The action is dismissed. Nexus must bring any rectification claim against individual employees, not the Unions.
  • Nexus is precluded from relying on rectification as a defence to the Anderson claimants' pre-complaint deductions.