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Jo C.
Jo C., Barrister
Category: Law
Satisfied Customers: 31300
Experience:  Over 5 years in practice
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I have just been made redundant from a group of companies

Customer Question

Hello I have just been made redundant from a group of companies which I own 10% of, my side of the business is the only part of the group that is actually up in sales,this year 48% however the criteria for the redundancy is downturn in economic areas, downturn in sales and cash flow issues and the fact that the group has two MD,s of which I was one. the problem I have is that last september the main share holder asked me to leave and sent me a without predjudice letter which I completely rubbished ,then he changed his tact and actually said that it was my performance he was not happy with which again I rubbished him on considering I was the only one up in th company,So to remove me he has brought in a CEO ontwice the amount of money for him to tell the group and its employees that we have the above issues and jobs will be made redundant and mine was one of them as MD of my section. he has created a new role called technical director foe me and the other Md to apply for and considering I did not get the job even though sales is in this new role and the other candidate has no previous sales experience whatsoever and I did not know what the criteria was for the role I am somewhat annoyed. At my appeal hearing,which I am awaiting my judgement(which I know will not be in my favour) I discovered that my contract as MD from 2010 was produced however I have discovered which I brought to the panel hearing that the said major shareholder put into companies house a change of my job description to sales director of my company without my consent and acknowledgement, I beleive this is a witchunt to remove me and was wondering if this is actually a breach of my contract can you help
Submitted: 4 years ago.
Category: Law
Expert:  Alex J. replied 4 years ago.
Hi
Thank you for your question and welcome to Just Answer.
Do you have a shareholders agreement?
Kind regards
AJ
P.S please note I am online throughout the day so please do not be concerned if you do not hear from me right away.
Customer: replied 4 years ago.

Hello yes I do and the 10% is worth 100k ordinary shares when this was taken out in 2010

Customer: replied 4 years ago.

What they have said is that my shareholding is not a problem and I will remain a shareholder and director of the group, however they have taken away my right to earn money for my family and have said they will excercise a restictive covenant clause which is supposedly active for 12 months, they make me sick and to be honest Dealing with a bunch of fraudsters like this only infuriates me

Expert:  Alex J. replied 4 years ago.
Hi
Thank you.
Can you tell me what the restrictive covenant says? Is this contained in the SHA?
Would you be prepared to bring a tribunal claim for unfair dismissal?
Kind regards
AJ
Customer: replied 4 years ago.

Yes to the tribunal I have been told I will win this all day long, however due to this been personal I was wondering if there is a case for civil action as my character has been slanted as well as constructive. Also if I am put on gardening leave from 28/1/13 then this is finished on the 6/2/13 but the company sent out letters to all my customers telling them I had left to seek new opportunities on the 28/1/13 is this not a breach of my contract as well

Expert:  Alex J. replied 4 years ago.
Hi
Thank you.
I think the first point is they may have done you a favour by sending out that letter, at least non of your customers know you have left under a cloud. While I admit it is wrong that they did it without your consent
If you are to have a civil claim (other than the tribunal) we need to look at the shareholders agreement. Can you tell me about the restrictive covenants?
Which third party have they specifically slandered you to?
Kind regards
AJ
Customer: replied 4 years ago.

4 stars so far
Hello

I am looking at the shareholders contract what would you like like to look at

Cheers David

Expert:  Alex J. replied 4 years ago.
Hi
Thank you.
Is there any obligation on them to remunerate you for time spent as a director?
What restrictive covenants have you agreed to?
Which third parties have they slandered you to? And what have they said?
Kind regards
AJ
Customer: replied 4 years ago.

Hello

Sorry for the delay,watching football. There is nothing in the shareholding agreement about covenants however there was one in my contract which states that I cannot for 12 months go after any of the customers that might affect the company profits moving forward. I have had my job description changed on companies house a year after my contract was signed to sales director and this was done without prior knowledge or consent from me does this help. The main shareholder sent an email to all board directors and shareholders stating after a recent court case which the company won, that I was a poor witness and we would have won more money, I will not lie in court for anyone and we won the case and i asked for evidence to back up his unproffesional claim

Customer: replied 4 years ago.

4 stars

My renumeration is minimal, they have actually put me on statutory redundancy which is 5 weeks plus 1.9 days holiday on my contract it states after 3years a minimum of six weeks. Also unpaid bonuses unpaid telephone bills not sure what else

Cheers Dave

Expert:  Alex J. replied 4 years ago.
Hi
Thank you.
No problem you have here is any claim you make against the company is going to impact on the value of your shareholding.
Without a specific breach of the shareholders agreement you would have to rely on a claim for being slandered. Do you know whether the main shareholder said this to anyone else?
Kind regards
AJ
Customer: replied 4 years ago.

Hello

Yes he emailled all the shareholders and directors which I have a copy of saying what he said, also I have a Without Predjudice letter where in Sept of 2012 he asked me to leave the company because me and the other MD did not see eye to eye, then when I rubbished this and said what HR procedure have you followed to come up with this he then said it was not this it was actually my performance they were not happy with which again was rubbished as I am up 48% on last year and no-one else within the grop is up infact everyone else is down

Expert:  Alex J. replied 4 years ago.
Hi
Thank you.
I am going to write a response. I will respond to you by tomorrow at the latest kind regards
AJ
Expert:  Alex J. replied 4 years ago.
Hi
Thank you for your patience.
I am afraid I will have to opt out of this for the time being.
I will refer this to another expert.
Kind regards
AJ
Customer: replied 4 years ago.

Who is going to look at it then, if you are opting out? When will I be contacted?

Expert:  WendyW-Mod replied 4 years ago.

Hi, I am a moderator for this topic. It seems the Professional has left this conversation. This happens occasionally, and it's usually because the professional thinks that someone else might be a better match for your question. I've been working hard to find a new Professional to assist you right away, but sometimes finding the right Professional can take a little longer than expected.


I wonder whether you're ok with continuing to wait for an answer. If you are, please let me know and I will continue my search. If not, feel free to let me know and I will cancel this question for you.

Thank you!

Wendy

Customer: replied 4 years ago.

Hello

I have taken on solicitors now so you do not need to take this any further. However I would like to cancel my direct debit how do I go on about this

Kind Regards