Contract/Commercial

Transfer of Undertakings

May 4th

Glasgow

Transfer of Undertakings: The Common Law - & The Contract (Third Party Rights) (Scotland) Act 2017

May 4th

2 - 5pm

Speaker: Michael Upton, Advocate

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£180+VAT
£135+VAT (Member price)

3hrs CPD

When ownership of a business changes, many employment lawyers are familiar with the Transfer of Undertakings (Protection of Employment) Regulations’ imposition on the transferee of responsibility for employees. The common law has a much lower profile, but can be just as important - and applies to creditors generally, not just to employees’ rights. There is a consistent line of Scots case-law from 1861 to 2015 on the liability of the transferee for debts of a business it has acquired. However, common-law liability depends greatly on the particular circumstances of the transfer, and the underlying rationale of the rules is obscure and controversial. It is an area in which English and Scots law differ to an unusual degree. This seminar will cover these topics including:

  • When an acquirer of a business is liable for pre-acquisition debts
  • What kinds of business transfers are affected
  • Whether a business-transfer agreement can regulate creditors’ claims
  • The importance of consideration
  • The unexplored limits of liability
  • Comparison with corporate capital-maintenance and gratuitous alienation rules
  • The new third-party rights legislation
  • The event begins at 2pm. Delegate registration is open from 1:30pm.

    Michael Upton has practised as an advocate for 26 years and has extensive experience of commercial, corporate, property, agricultural, planning and tax litigation. He has advised or represented numerous public bodies including H.M.R.C. and Scottish Water and 15 of Scotland’s local authorities, as well as Aviva Insurance, Barratt Group, Carillion Construction, J. & E. Shepherd, the Financial Services Compensation Scheme, Mrs. Ann Gloag, Greenpeace, Hamilton Academicals, John Lewis and the Libyan Government He been a member of the panel of instructors for candidate solicitor-advocates for the Law Society of Scotland for 14 years.