| Restrictions | OK |
|---|---|
| Jurisdiction | Employment Relations Authority - Wellington |
| Reference No | [2011] NZERA Wellington 28 |
| Determination date | 23 February 2011 |
| Member | G J Wood |
| Representation | P O'Sullivan ; S Davies, T Cleary |
| Location | Wellington |
| Parties | Gini v Literacy Training Ltd & Anor |
| Other Parties | Clareburt-Sturgess |
| Summary | PRACTICE AND PROCEDURE - Second respondent sought to have claims against her dismissed - Second respondent managing director of first respondent - Second respondent claimed no employment relationship between her and applicant - First respondent did not oppose application - Applicant opposed application on three grounds - Firstly, claimed second respondent properly a party as penalty sought for inciting, instigating, aiding or abetting breach of employment agreement - Secondly, claimed second respondent “inextricably and integrally involved as employer regardless of any notion of labelling and limitation of liability” - Thirdly, claimed was compelling argument for lifting corporate veil - Authority found applicant’s claims for inciting, instigating, aiding or abetting breaches of employment agreement by first respondent could only be determined in substantive investigation meeting - Second respondent’s application dismissed - Authority noted applicant faced substantial hurdles to overcome if was to be successful in claim that second respondent was employer - Found applicant offered and accepted employment first respondent - Found principles of limited liability companies and liability of directors well established - Authority noted common law had long held corporate veil not to be lifted lightly - Applicant informed given formidable obstacles facing if unsuccessful Authority would consider claim for indemnity costs by second respondent |
| Result | Application dismissed ; No order for costs |
| Main Category | Practice & Procedure |
| Statutes | ERA s134(2) |
| Cases Cited | Salomon v Salomon & Co Ltd [1897] AC 22 |
| Number of Pages | 3 |
| PDF File Link: | 2011_NZERA_Wellington_28.pdf [pdf 11 KB] |