What Is The Impact of Breach of Contract

Two senior members of a Liverpool construction company, our client, both submitted letters of resignation within a short period of time. Both employees received substantial salaries, one of £85,00 and the other of £65,000.

One employee was responsible for contracts in the building company and the other was responsible for sales. The behaviour of both were suspicious to the client, their employer. During discussions, the client tried to establish why they were leaving and broker a new contract of employment.

At the same time the client received information from a current customer. They stated that one of the employees had told them they were now self-employed. Furthermore, they could discuss contract work.

This would be in breach of the terms of contract of the employees. Expert Investigations Group conducted data background enquiries. We established that a company had been set up under an alias name of the two employees.

The Surveillance Operation

Upon them leaving their employment, Expert Investigations placed surveillance on the two individuals. This was in order to establish their movements and any business activities. We learned that they had rented industrial premises which they started working from. Worse, this business was in direct competition with their previous employer and in breach of their contracts.

Surveillance showed the ex-employees visiting current contractors, visiting current clients and visiting current suppliers of their previous employer. In addition to the surveillance the two computers which the former employees used were data mined and information was recovered which also confirmed the breach-of-contract. The data from the computers showed that for two months prior to leaving their employment the employees had begun to divert contracts to their new company. In addition, a business plan was found on the computer and a list of data which had been extracted onto a portable device from the company computers.

All of the information supplied to the client and their Solicitors and the evidence was used in the legal civil process.

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