Ottimo Property Services Ltd v Duncan & Anor (Transfer of Undertakings : Service Provision Change) [2015] UKEAT 0321_14_0901 (09 January 2015)

Ottimo Property Services Ltd v Duncan & Anor (Transfer of Undertakings : Service Provision Change) [2015] UKEAT 0321_14_0901 (09 January 2015)

The Employment Tribunal erred in interpreting 'client' as requiring a single legal entity. Regulation 3(1)(b) TUPE does not evidence a contrary intention to exclude the plural; 'the client' can include multiple legal entities provided their identity remains the same before and after the service provision change and there is sufficient commonality to ascertain intention under Regulation 3(3)(a)(ii).

Citation
[2015] UKEAT 0321_14_0901
Parties
Appellant: Ottimo Property Services Ltd; First Respondent: Mr Duncan; Second Respondent: Warwick Estate Properties Ltd
Jurisdiction
United Kingdom
Judgment Date
09 January 2015
Procedural Posture
Employment Appeal Tribunal / Appeal Against Employment Tribunal Judgment
Outcome
Appeal allowed; matter remitted to Employment Tribunal for reconsideration of SPC
Legal Topics
Transfer of Undertakings, Service Provision Change, TUPE Regulations, Interpretation of 'client'
Employment Law Transfer of Undertakings Service Provision Change TUPE Regulations Interpretation of 'client'

Case Brief

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Parties

Ottimo Property Services Ltd

Appellant

Mr Duncan

First Respondent

Warwick Estate Properties Ltd

Second Respondent

Procedural Posture

Employment Appeal Tribunal / Appeal Against Employment Tribunal Judgment

Legal Issues

  1. 1 Whether 'the client' under Regulation 3(1)(b) TUPE can include more than one legal entity
  2. 2 Whether the Employment Tribunal erred in interpreting 'client' as singular only
  3. 3 Whether there was a service provision change (SPC) under TUPE

Ratio Decidendi

The Employment Tribunal erred in interpreting 'client' as requiring a single legal entity. Regulation 3(1)(b) TUPE does not evidence a contrary intention to exclude the plural; 'the client' can include multiple legal entities provided their identity remains the same before and after the service provision change and there is sufficient commonality to ascertain intention under Regulation 3(3)(a)(ii).

Court Disposition

Appeal allowed; matter remitted to Employment Tribunal for reconsideration of SPC

Orders

  • Remit to same Employment Tribunal to reconsider whether there was a service provision change
  • Warwick to pay £1,000 towards Ottimo’s costs incurred by way of fees