| Restrictions | OK |
|---|---|
| Jurisdiction | Employment Relations Authority - Christchurch |
| Reference No | [2011] NZERA Christchurch 53 |
| Hearing date | 14 Apr 2011 |
| Determination date | 20 April 2011 |
| Member | J Crichton |
| Representation | T Jackson ; S Menzies |
| Location | Timaru |
| Parties | Lamb v Burnside Dairy Farms 2008 Ltd |
| Summary | INJUNCTION – Application for interim reinstatement pending substantive hearing – Applicant made redundant after restructuring - Authority noted reinstatement no longer primary remedy – Authority found earlier legislation no longer applied irrespective of dismissal date – Noted could not be too reliant on earlier case law as reinstatement no longer preferred remedy – Noted when determining whether applicant had arguable case also needed to take into account practicality of reinstatement – Applicant claimed redundancy a sham after failed agreement between parties to buy applicant’s shares in respondent – Applicant claimed condition of employment application that applicant maintained shareholding while employed – Respondent denied was a condition of employment or that was agreement to buy applicant’s shares – No completed agreement or any other document to support applicant’s claim – Respondent claimed applicant offered to resign if shares purchased and respondent did not agree to purchase – Respondent claimed sale of shares instead governed by Shareholders’ Agreement – Authority found applicant did not have arguable case or, alternatively, very weak case – Found restructuring by respondent lawful exercise of management discretion after confirming applicant would not resign if shares not purchased – Found applicant not required to hold shares as part of employment and no agreement between parties respondent would buy shares if applicant resigned – Found applicant demanded respondent buy shares in return for resignation – Noted applicant given opportunity to apply for new role and respondent provided applicant’s accommodation two months after termination - Found balance of convenience favoured respondent – Noted dispute over sale of shares outside Authority’s jurisdiction - Found overall justice of case also favoured respondent – Application for interim reinstatement declined - Manager |
| Result | Application dismissed ; Costs reserved |
| Main Category | Injunction |
| Statutes | ERA s125;ERA s127(4);Employment Relations Amendment Act 2010 s16 |
| Cases Cited | Burtton v Talley's Group Limited unreported, Colgan CJ, 14 September 2010, CRC 36/10; CRC 37/10 |
| Number of Pages | 5 |
| PDF File Link: | 2011_NZERA_Christchurch_53.pdf [pdf 18 KB] |