Mr K Davidson v Monarch Legal Ltd and 2 others — 2025

Mr Davidson brought claims against Monarch Legal Ltd, Ms L Shields and Mr C Mackay for notice pay, holiday pay, arrears of pay and commission. No response was lodged by any respondent. A late postponement application by the first respondent was refused, and the attending representatives were not allowed to take an active part in the hearing; Ms Shields joined by telephone but was also not permitted to participate.

The tribunal rejected the claimant's attempt to fix personal liability on the individual respondents. It held that liability for breach of contract and unlawful deduction from wages can only lie with an employer, and that Timis and anor v Osipov 2019 ICR 655 did not support liability for notice pay or wages. The claims against the second and third respondents were dismissed. The tribunal also declined to apply any ACAS uplift, saying it was not satisfied that this would be just and equitable in the circumstances.

On the merits, the tribunal found that Mr Davidson was wrongfully dismissed and contractually entitled to three months' notice, with no contractual right for payment in lieu. On an average monthly pay of £2,417, it awarded £7,251 notice pay, £558.69 in pension contributions during the notice period, and £1,375 for accrued holiday during the notice period, making £9,364.86 gross. It found that he had taken all holiday due for 2024 and that no further payment was due on that basis.

The tribunal also found that he had not been paid for work in December 2024. It awarded £1,592.07 for hours worked between 1 and 16 December 2024, £750 for three days' holiday, £180.17 in employer pension contributions, and £567 unpaid commission, totalling £2,909.07 gross before tax and national insurance deductions. It found that he had taken reasonable steps to mitigate his losses and had provided sufficient documentary evidence for the calculation.