Contractual jurisdiction

Miller Brothers and F P Butler Ltd v Johnston (EAT TLR 18 April)

The employment terminated on 2 May 2000 and the employer and employee reached agreement on 13 May 2000. Article 3 of the Employment Tribunals Extension of Jurisdiction (England and Wales) Order 1994 provides: ‘Proceedings may be brought before an employment tribunal in respect of a claim of an employee for the recovery of damages or any other sum … if … (c) the claim arises or is outstanding on the termination of the employee’s employment’. Despite the unattractive results which might ensue, there was no alternative but to interpret the word ‘on’ in a temporal and not causative sense with the result that the agreement could not be said to ‘arise on’ the termination. Accordingly the tribunal had no jurisdiction to adjudicate on disputes arising out of the agreement.