Cavenagh v William Evans Ltd [2012] EWCA Civ 697

  • Legal Body
    England and Wales Court of Appeal (EWCA)
  • Type of Claim / Jurisdiction
    Unfair Dismissal
Issues covered: Pay in Lieu of Notice; Gross Misconduct

The Claimant, Mr Cavenagh, was MD at the firm and was made redundant. He was entitled to receive a six-month payment in lieu of notice (PILON) payment but, as the company subsequently found out that he had been guilty of gross misconduct, they declined to make the payment. Mr Cavenagh sued for the debt owed. The Court concluded that the employer had no contractual right to withhold the money - the MD was dismissed under one clause and there was not another clause permitting the employer to withhold pay in lieu in the event that other information came to light

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This article is correct at 01/06/2012
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