Claimant v New Look Group Limited — 2021

Ms Burrows had started an Employment Tribunal claim in 2019 described in the reasons as constructive dismissal on the grounds of discrimination. The respondent later entered a Company Voluntary Arrangement in 2020 and argued that the claimant was caught by its terms, should discontinue the tribunal proceedings, and should instead lodge a claim with the CVA supervisor by 31 December 2020.

Employment Judge Allen considered the CVA documents and accepted the authority relied on for the proposition that a CVA does not offend s203 ERA, citing Re Britannia Heat Transfer Ltd [2007] B.P.I.R. 1038. The judge also found that Ms Burrows was a former employee and therefore a CVA creditor within the wording of the arrangement.

The tribunal held that the CVA did not prevent it from dealing with the merits of the claim. The decisive point was notice: although the respondent knew of Ms Burrows' claim and address, and there was nothing to prevent notice being given under IA 1986 s257(2B), she was not notified of the creditors' meeting at which the CVA was approved. On that basis, the judge concluded that she could proceed with her action against the respondent.