Restrictions OK
Jurisdiction Employment Relations Authority - Christchurch
Reference No CA 62/10
Hearing date 4 Mar 2010
Determination date 12 March 2010
Member J Crichton
Representation K Coulston ; G McLeish
Location Christchurch
Parties Blacklock and Anor v Fairlie Groggy Hotel Ltd
Other Parties Blacklock
Summary JURISDICTION – Applicants alleged employed by respondent and claimed unpaid wages – Respondent claimed applicants not employees but partners in business venture – Applicants employed by previous owners and sought to purchase hotel in partnership with third party when placed on market – Respondent company incorporated to be legal entity owning hotel – Respondent argued entered partnership with applicants – Applicants paid wages with PAYE deducted and weekly amount for entertainment expenses – Applicants introduced sum used as cash float – Applicants denied existence of partnership agreement – Applicants claimed paid modest salaries because all business could afford – Authority found no employment relationship – Found applicants based in Fairlie while respondent in Christchurch – Found applicants gave draft partnership agreement to respondent and extremely coincidental agreement with respondent in exactly similar terms to previous agreement with third party – Found parties were friends which made partnership agreement more likely even though no written agreement – Found deduction of PAYE not indicative of employment relationship – Found partnership agreement – COSTS – Costs to lie where they fall
Result Application dismissed ; Costs to lie where they fall
Main Category Jurisdiction
Number of Pages 6
PDF File Link: ca 62_10.pdf [pdf 24 KB]