Laing v Thistle Hotels Plc [2001] ScotCS 95 (23 April 2001)

Laing v Thistle Hotels Plc [2001] ScotCS 95 (23 April 2001)

The contractual redundancy payment scheme must be read in line with the statutory concept of redundancy, meaning entitlement does not arise if suitable alternative employment is offered and unreasonably refused; the case turns on the suitability of the alternative employment offered and the reasonableness of the pursuer's refusal, requiring further inquiry.

Citation
[2001] ScotCS 95
Parties
Pursuer: Gordon Laing; Defenders: Thistle Hotels Plc
Jurisdiction
Scotland
Judgment Date
23 April 2001
Procedural Posture
Commercial Action (employment/redundancy) / Interlocutory Opinion on Relevancy and Construction of Redundancy Entitlement; Case Put Out by Order for Further Inquiry
Outcome
Case put out By Order for inquiry into suitability of alternative employment and reasonableness of refusal; no final determination on redundancy payment at this stage.
Legal Topics
Redundancy Payments, Alternative Employment, Contractual Interpretation, Statutory Redundancy Scheme
Employment Law Contract Law Redundancy Payments Alternative Employment Contractual Interpretation Statutory Redundancy Scheme

Case Brief

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Parties

Gordon Laing

Pursuer

Thistle Hotels Plc

Defenders

Procedural Posture

Commercial Action (employment/redundancy) / Interlocutory Opinion on Relevancy and Construction of Redundancy Entitlement; Case Put Out by Order for Further Inquiry

Legal Issues

  1. 1 Whether the pursuer is contractually entitled to a redundancy payment upon his post becoming redundant despite being offered alternative employment
  2. 2 Whether the contractual scheme requires the employee to accept any alternative employment or only suitable alternative employment
  3. 3 Whether the reasonableness of the employee's refusal of alternative employment is relevant to redundancy entitlement

Ratio Decidendi

The contractual redundancy payment scheme must be read in line with the statutory concept of redundancy, meaning entitlement does not arise if suitable alternative employment is offered and unreasonably refused; the case turns on the suitability of the alternative employment offered and the reasonableness of the pursuer's refusal, requiring further inquiry.

Court Disposition

Case put out By Order for inquiry into suitability of alternative employment and reasonableness of refusal; no final determination on redundancy payment at this stage.

Orders

  • Case to be put out By Order to discuss arrangements for inquiry into suitability and reasonableness issues.