Restrictions OK
Jurisdiction Employment Relations Authority - Wellington
Reference No WA 160/08
Hearing date 4 Dec 2008
Determination date 04 December 2008
Member D Asher
Representation P Mitchell ; C Mason
Location Wellington
Parties Bullock v Capital Project Management Ltd
Summary COMPLIANCE ORDER – Applicant sought compliance with consent determination and record of settlement – Respondent alleged applicant breached confidentiality provisions of settlement so had invalidated entitlement to payment – At investigation meeting, respondent argued could not afford to pay settlement – No evidence to support claim that applicant breached settlement – Applicant denied breaching settlement – Authority entirely accepted applicant’s position and submissions - Authority found respondent, via sole director (“M”), deliberately and cynically breached settlement agreement and consent determination – Found respondent fabricated breach of confidentiality allegation to avoid payment – Authority did not accept that respondent’s financial position accurately represented in financial statement provided – Authority found M obstructed Authority’s investigation and failed to act in good faith towards applicant – Compliance ordered - PENALTY – Significant penalty awarded for deliberate breach of settlement agreement and consent determination – Penalty payable to applicant – Authority noted M also risking penalty under s134(2) Employment Relations Act 2000 (“ERA”) for actively abetting breach – Authority noted failure to comply could escalate problem to risks of further penalties, imprisonment and sequestration under s140(6) ERA - COSTS – Costs in favour of applicant – Authority awarded higher sum than that sought by applicant
Result Compliance ordered ; Application granted (Penalty) ; Penalty ($5,000)(Payable to applicant) ; Costs in favour of applicant ($1,200)
Main Category Compliance Order
Statutes ERA s134;ERA s134(2);ERA s135(2)(b);ERA s136(2);ERA s140(6);ERA s174
Cases Cited PBO Limited (formerly Rush Security Limited) v Da Cruz [2005] 1 ERNZ 808
Number of Pages 5
PDF File Link: wa 160_08.pdf [pdf 20 KB]