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Director Held to be an Employee and Awarded Compensation under Unfair Dismissals Acts

posted 5 months ago

Facts: The Complainant was one of two original directors of the Respondent, Tile & Wood Factory Outlet (Limerick) Limited, along with her husband when the company was set up on 21st April 2016 as a single-member company. The Complainant and her husband separated in August 2019 and commenced family court proceedings in May 2020. Their son was appointed as a director in November 2020.

The Complainant was terminated by removal from the Board of Directors on 29th September 2021, by way of an ordinary resolution pursuant to Section 146 Companies Act 2014. She was paid until 21st October 2021. The Complainant submitted that she was not only a director but also an employee and that her termination amounted to an unfair dismissal. The Respondent submitted that she was only ever a director and that she was not covered by the Unfair Dismissals Acts.

 

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