| Restrictions | OK |
|---|---|
| Jurisdiction | Employment Relations Authority - Auckland |
| Reference No | AA 113/09 |
| Hearing date | 3 Apr 2009 |
| Determination date | 07 April 2009 |
| Member | R Arthur |
| Representation | B Turner, V Turner ; A Lornie (in person) |
| Location | Tauranga |
| Parties | Clinical Horizons Ltd t/a the Dentists v Lornie |
| Summary | RECOVERY OF MONIES – Applicant sought recovery of overpaid wages – Applicant identified substantial overpayment of annual leave after respondent ceased employment – Parties entered into mediated settlement which provided parties to abide by opinion of Labour Inspector as resolution of all issues – Labour Inspector concluded overpayment of $4,304 and parties agreed respondent would promptly pay sum owed – Respondent repaid $490 during five month period in part-payments varying in size – Respondent claimed no assets and no financial ability to pay outstanding sum in full therefore remainder should be repaid in instalments – Authority found repayment in instalments unjust because applicant remained “involuntary lender” to respondent – Found respondent had not explored all avenues available to repay debt in full – Found interest of 3.19 percent on $4,308 for period of 204 days appropriate – Applicant operated with interest-bearing overdraft which would have been reduced if sum repaid - Found further interest of 5.19 percent on outstanding sum for period of 42 days appropriate – PENALTY – Applicant sought penalty for breach of mediated settlement – Respondent claimed no breach because settlement did not set timing of repayment – Authority found settlement did not provide how and when payment was due and therefore no breach – Penalty declined – Payroll Administrator/Accountant |
| Result | Application granted (Recovery of monies) ; Application dismissed (Penalty); Interest (3.19%)($4,304.76 for 204 days ) (5.19%)($3,894.76 for 42 days) ; Disbursements in favour of applicant ($70)(Filing fee) |
| Main Category | Recovery of Monies |
| Statutes | ERA s149;ERA cl14, sch2 |
| Number of Pages | 4 |
| PDF File Link: | aa 113_09.pdf [pdf 19 KB] |