Restrictions OK
Jurisdiction Employment Relations Authority - Auckland
Reference No [2018] NZERA Auckland 68
Hearing date 27-Feb-18
Determination date 27 February 2018
Member R Arthur
Representation T Braun, R Hill ; D Hayes (3rd Res)
Location Hamilton
Parties Ford v New Zealand Dental Partners Ltd Partnership (in liquidation) t/a Clinico Denture and Hearing and Ors
Other Parties Australasian Dental Management Ltd (in liquidation) , Nicholson
Summary BREACH OF CONTRACT – Applicant sought damages against respondent for breaches of Employment Agreement (“EA”) – PENALTY – Applicant sought penalty for third respondents instigating and abetting first respondents breach of EA
Abstract AUTHORITY FOUND – BREACH OF CONTRACT: Employment Agreement breached in four ways. The first respondent failed to provide sufficient and reasonably requested financial information. Applicant was not allowed the opportunity to make a meaningful response to the proposition that his position was no longer sustainable. Third respondent conducted financial analysis on financial viability of applicant’s position. This information was not shared. First respondent breached its duty of fair treatment through third respondent’s derogatory comments. Respondent also breached duty of good faith owed to applicant. PENALTY: Third respondent’s actions which amounted to breach of EA were carried out deliberately and the manner which he did so instigated and abetted first respondent. Breaches were of a deliberate, repeated and extended nature. $10,000 penalty appropriate.
Result Applications granted ; Penalty ($10,000)(Payable to applicant) ; Costs in favour of applicant ($4,000)
Main Category Penalty
Statutes Companies Act 1993 s248(1)(c) ERA s4(1A)(c) ERA s4(1A)(b) ERA s133A ERA s134(2) ERA s135(2) ERA s135(4) ERA s136(2) ERA s174A ERA s174E ERA s236 Limited Partnerships Act 2008 s92
Cases Cited Brake v Grace Team Accounting Ltd [2013] NZEmpC 81 Bryan v Ultimate Ltd (in liq) [2013] NZERA Auckland 584 Grace Team Accounting Ltd v Brake [2014] NZCA 541 NZ Timber Industry Employees IUOW v Waimate Timber Company Ltd (1990) LC Christchurch CLC79/90, 7 November 1990 Peacock v The New Zealand Performance and Entertainment Workers’ Union [1990] 2 NZILR 257 (CA) Service Workers Union of Aotearoa Inc v Southern Pacific Hotel Corporation (New Zealand) Ltd [1993] 2 ERNZ 513 (EmpC)
Number of Pages 11
PDF File Link: 2018_NZERA_Auckland_68.pdf [pdf 46 KB]