LMC Drains Ltd & Anor v Waugh

MR JUSTICE WOOD (PRESIDENT ): On 10th April 1989 it was common ground that the Applicant, Mr Waugh, was dismissed from his employment as a service engineer by the first respondent on 10th April 1989. It was the case for that Respondent that he had only been employed since 6th March 1989 hence he did not have two years' continuous employment to found jurisdiction against them. It was the case for the second Respondent that it had never employed the Applicant.

The Applicant contended that from February 1987 he had been successively employed in the same business and that by reason of the provisions of the 1978 Act or under the Transfer of Undertakings (Protection of Employment) Regulations 1981 he had the relevant continuity of service.

The Tribunal found in favour of the Applicant and both LMC Drains Ltd (LMC) and Metro-Rod Services Ltd (Metro) now appeal.

On 22nd July 1985 Geoffrey Frederick White trading as Tyne Rod acquired from Metro a right and licence to operate the "Metro Rod business in an area which was defined in the agreement and called "the territory". It consisted in the main of the North East of England as far as Berwick in the North, Peterlee in the South and Haltwhistle in the West. The invoices for work done were headed "Metro Rod" and underneath were named "Tyne Rod".

On 12th June 1987 Metro entered into an agreement with Stuart Graham Carr trading as Tees Rod in terms which were very similar to the agreement with Mr White save that the territory was on Teesside.