Mr S Hodson & others as per attached schedule v Transvalair (UK) Limited — 2025

This was a preliminary hearing in a multiple claim brought by Mr S Hodson and others. The issue was whether there had been a relevant transfer between Transvalair (UK) Limited and AHK Designs Limited under TUPE after AHK bought Victoria Plum Ltd's business and assets in administration on 29 September 2023. The tribunal noted that Victoria Plum employees transferred to AHK, while TVA had for years provided final-mile delivery services for Victoria Plum under a dedicated contract using a dedicated fleet and delivery hubs.

On the business transfer argument under Regulation 3(1)(a), the tribunal accepted that TVA's delivery operation for Victoria Plum could amount to an organised grouping of resources. It nevertheless held that there was no transfer of assets, employees, the contract, goodwill or customers from TVA to AHK, and no basis for finding that an economic entity retained its identity after 29 September 2023. The tribunal accepted Mr Khurshid's denial that TVA had been deliberately kept uninformed, and found that the deliveries on 30 September 2023 were carried out while TVA still believed it was servicing Victoria Plum and stopped once AHK informed it of the position.

On the service provision change argument under Regulation 3(1)(b), the tribunal applied the approach in Hunter and held that the regulation requires the same client throughout. Victoria Plum was TVA's client before 29 September 2023, but AHK did not become TVA's client simply because it acquired the Victoria Plum business and continued trading. The contract between Victoria Plum and TVA did not novate to AHK, AHK had not instructed TVA to carry out the later deliveries, and the tribunal found no evidence of insourcing, second-generation outsourcing, or a subsequent contractor arrangement. It therefore found no relevant transfer under either limb of TUPE and stated that AHK should be dismissed from the proceedings.