Duplicate unfair dismissal claim struck out as abuse of process

What this case shows in practice

This case highlights the procedural hurdles that can arise when an employer goes into administration. The former employee, who had worked for Paperchase Products Ltd for eight years, was dismissed in 2018 and brought an unfair dismissal claim. But when the company entered administration, a legal moratorium stopped the claim from progressing. The tribunal warned the employee that he needed to get the administrator's consent or the insolvency court's permission to continue – but he did neither.

Instead of following that process, the employee presented a second, nearly identical claim. He also asked the tribunal to declare that the Secretary of State should pay him a basic award of £4,826, even though no tribunal had ever decided that his dismissal was unfair.

What the losing side could have done differently

The employee could have applied to the insolvency court for permission to continue the original claim, or sought the administrator's consent. By not doing so, he left the first claim stuck in limbo. Filing a duplicate claim was not a solution – the tribunal saw it as an abuse of process and struck it out.

As for the claim against the Secretary of State, the law is clear: the Secretary of State only pays a basic award if a tribunal has already found unfair dismissal and made an award. Without that decision, there was no legal basis for the declaration sought.

Why the result matters for similar claims

This case is a reminder that when an employer becomes insolvent, employees must follow the correct legal steps to keep their claims alive. Duplicating a claim is not a shortcut and can backfire. It also confirms that the Secretary of State's obligation to pay a basic award depends on a prior tribunal decision – employees cannot ask the tribunal to bypass that process.