Rae v Blackrock International Ltd [2000] ScotCS 320 (15 December 2000)

Rae v Blackrock International Ltd [2000] ScotCS 320 (15 December 2000)

The pursuer's acceptance of participation in the Plan was made in substitution for any entitlement under Clause 3(b) of his employment contract to an equity-equivalent, as made clear by the employer at the relevant staff meeting and evidenced by the conduct of the parties. The appropriate period of notice to be implied in the contract is three months, based on industry practice and expert evidence.

Citation
[2000] ScotCS 320
Parties
Pursuer: Euan Rae; Defenders: Blackrock International Ltd
Jurisdiction
Scotland
Judgment Date
15 December 2000
Procedural Posture
Commercial Action (employment Contract Dispute) / Proof Before Answer (restricted to Specified Issues)
Outcome
Findings for the defenders on both issues; pursuer's claim to equity-equivalent dismissed; three months' notice implied.
Legal Topics
Variation of Employment Contract, Implied Terms (notice Period), Substitution of Contractual Entitlements, Interpretation of Employment Benefits
Employment Law Contract Law Variation of Employment Contract Implied Terms (notice Period) Substitution of Contractual Entitlements Interpretation of Employment Benefits

Case Brief

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Parties

Euan Rae

Pursuer

Blackrock International Ltd

Defenders

Procedural Posture

Commercial Action (employment Contract Dispute) / Proof Before Answer (restricted to Specified Issues)

Legal Issues

  1. 1 Whether acceptance of participation in the BlackRock International Ltd Long-term Deferred Compensation Plan extinguished the pursuer's entitlement to an equity-equivalent under Clause 3(b) of his contract of employment
  2. 2 What period of notice of termination is to be implied in the pursuer's contract of employment

Ratio Decidendi

The pursuer's acceptance of participation in the Plan was made in substitution for any entitlement under Clause 3(b) of his employment contract to an equity-equivalent, as made clear by the employer at the relevant staff meeting and evidenced by the conduct of the parties. The appropriate period of notice to be implied in the contract is three months, based on industry practice and expert evidence.

Court Disposition

Findings for the defenders on both issues; pursuer's claim to equity-equivalent dismissed; three months' notice implied.

Orders

  • Offer to participate in the Plan was accepted in substitution for any entitlement under Clause 3(b) to an equity-equivalent.
  • The period of reasonable notice of termination to be implied in the pursuer's contract is three months.