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In the case of Dunn v AAH Ltd, the Court of Appeal held that an employee who had failed to follow instructions to report on risks within the operation of his company to head office in Germany was fairly dismissed for gross misconduct.
The Court found that the upshot of the employee’s neglect meant that the company had been unable to assess the risk for themselves and as such, the company had lost trust and confidence in the employee.
The case supports the view that where an employee has acted in such a way as to have destroyed the trust and confidence in an employment relationship, an employer is entitled to consider that the contract has been breached and as such, is entitled to terminate the contract.
