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Employment Law

Legal guidance - compliance - software

02 MAY 2012

Tullett Prebon plc v BGC Brokers LLP [2011] IRLR 420

Constructive dismissal and duty of fidelity

22 February 2011

Court of Appeal

Maurice Kay VP, Hooper, Tomlinson LLJ

A Senior Executive of Tullett moved to BGC, a competitor. His contract of employment included 6-month restrictions on working for competitors. The executive sought to recruit whole teams (‘desks') from Tullett and 13 Tullett employees signed forward contracts with BGC - ie contracts that they would become employed by BGC when they were free to do so. The senior executive, BGC and some of those who had signed forward contracts then conspired by various means to get those who had signed forward contracts to move to BGC sooner than their contracts with Tullett allowed. Three of those who had signed forwards contracts then changed their minds and decided to stay with Tullett.

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