Company Takeover; Employed Director Redundancy?

Unused LLB

Registered User
Messages
1
I've been asked by friends to find out the legal and tax position of a rather unusual (to me situation), but a it's been 5 years since I last looked at an Employment Law book, I'm beyond rusty so hope someone can give me some guidance.

A father and son, one shareholding Chairman, the other a shareholding employed Director, are in the process of selling their company. They are the sole shareholders, although there are 2 other non-shareholding Directors within the company.

It has been suggested to the son that because he has a contract of employment he might be entitled to redundancy or termination of office compensation.

Is this correct? And if so, how should he go about obtaining this? There may be other redundancies once the purchasing company have had the opportunity to undertake a period of consultation, but I'm assuming that those employees' situation will follow a more standard redundancy process.

I've done as much reading as my time allows, but I'm finding lots of conflicting information, and my Employment Law books are so ridiculously out of date as to be no use.

Any advice and guidance is appreciated.
 
Back
Top