LCF In The Media October - January 2022-23

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IN THE MEDIA

OCTOBER - JANUARY 2022-23

CORPORATE, COMMERCIAL & EMPLOYMENT

Law

relationships

Report – when employment
come to an end with James Austin
CORPORATE, COMMERCIAL & EMPLOYMENT

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Football fever is building after England’s 6-2 opening match defeat of Iran on Monday.

Many games are taking place during UK office hours, prompting firms to consider the best way to handle the situation.

James Austin, a partner and employment law specialist at LCF Law in Harrogate, said many firms wanted to be flexible to foster goodwill but “some staff may feign illness or try to book holidays”.

He said it was sensible for companies to inform staff what is allowed and what is expected, adding:

“It’s important to remember that normal holiday rules apply, but businesses may want to relax the rules if they think they will be quieter during certain matches. It could also be a nice way to reward employees who will be grateful and give even more back to the business in return.”

Mr Austin said no business had to let staff watch matches but if they allowed them to do so at work they “must check that the required license is in place and carry out a risk assessment”, adding:

“Employees of different nationalities must be treated equally as allowing England fans to watch England games but not allowing Welsh fans to watch Welsh games, for example, could lead to claims of discrimination.

“Employees should be reminded that they are still at work, so are expected to behave professionally and that derogatory comments about different nationalities, or sexist or racist remarks will not be tolerated and may result in disciplinary action.

“Employers should also carefully consider whether to allow alcohol to be drunk during matches viewed in the workplace and bear in mind the problems this may cause.”

CORPORATE, COMMERCIAL & EMPLOYMENT
How can employers avoid scoring an own goal during the World Cup?
A Harrogate lawyer has issued legal advice to companies wrestling with the thorny issue of whether to give staff time off to watch the World Cup.

Sick leave and working from home Mr Austin warned companies to be wary of taking action against staff who phone in sick. He said:

“Whilst managers may have their suspicions about an employee being sick on certain match days, whether any action can be taken will depend on any evidence that they were not truly sick.”

He added holding back to work interviews, for all sickness absence, can help deter people from feigning sickness.

He also cautioned firms against being heavy-handed against staff working from home who they suspect are tuned into matches.

“If a business chooses to monitor work output via technology and monitoring system logins, they will need to comply with data protection rules including GDPR. This will involve informing staff in advance of what they intend to do and why, as well as how long they will retain any information.

“An alternative approach could be for managers to send a reminder that watching football during working hours is not acceptable and may result in disciplinary action.”

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CORPORATE, COMMERCIAL
& EMPLOYMENT

The perils of the work Christmas party

As the Christmas party season gets into full swing employers must be aware of their responsibilities and potential liabilities arising from behaviour at festive celebrations.

For employment lawyers, Decembers and Januarys are filled with questions and enquiries from employers in the aftermath of work Christmas parties.

Questions, questions

Things like ‘There’s an awkwardness between Rob and Sheila since the party and it’s affecting the team. What can we do?’

‘Gary insulted the chief exec, and his wife. Can we sack him?’ ‘Julie made inappropriate advances towards Ben and now he’s bringing a sexual harassment claim against us. Can you help?’ ‘Gavin injured himself on the dance floor and is blaming us. What should we do?’

Considerations for Christmas parties

As a result, we’ve compiled a list of considerations for employers organising Christmas parties:

• Remind staff it’s a work-related event so unacceptable behaviour could result in disciplinary action, and you could provide examples of such behaviour, like discriminatory language.

• Consider limiting the amount of alcohol, providing alcohol free drinks, and ensuring there is plenty of food to reduce the prospects of drunken incidents.

• Provide phone numbers for local taxi firms to ensure nobody drink drives.

• To reduce the prospect of claims that the party was not inclusive, all staff should be invited, including those who are on sick, or maternity, or paternity leave.

• Check that the venue is accessible by people with disabilities and has suitable toilet facilities.

CORPORATE, COMMERCIAL & EMPLOYMENT

• Ensure that vegetarian or other food options are available for employees with religious or other dietary requirements, and again provide non-alcoholic drink options for those who don’t drink alcohol.

• You may also want to ask staff not to post any photographs of the party on social media platforms or at least set boundaries of what they can post.

Do I go to parties?

After reading that advice you may be thinking that I never go to work Christmas parties, or any parties, because I’m never invited. You may be right! Nonetheless, after a couple of years without Christmas parties, many partygoers might want to let their hair down more than usual and that could lead to more undesirable incidents.

So, if you think you have a Rob and Sheila, a Gary, Julie or Gavin; you may still want to follow these guidelines or give me a call so I can help you avoid some of the other frequent Christmas party mishaps. I don’t mind if you want to call me Scrooge when we talk!

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CORPORATE, COMMERCIAL & EMPLOYMENT

MBO completed at commercial interior design firm

An interiors firm with bases in Newcastle and York has been acquired by three of its senior leadership team in a management buyout.

Ben Johnson Ltd, which works with firms to design and fit out office spaces, operates across the North East and Yorkshire from its own offices at Hoults Yard in Newcastle and Middlethorpe Business Park near York. Emma Dodsley, Lee Fleming and Matthew Day have become equal shareholders in the company following a deal for an undisclosed sum.

The trio will continue their respective roles in sales and marketing, finance and operations and delivery. The firm has said the deal is part of a planned succession strategy which also included the sale of Ben Johnson’s Technology Managed Print Services business in 2018, and its Workplace Supplies business in 2019.

Exiting owner Adrian Rumble, who has been managing director of Ben Johnson Ltd since 2003, said: “I am so proud of my exceptional, forward-thinking management team who have completed this MBO of Ben Johnson Ltd. I am confident that the company will continue to grow and be highly successful under their innovative leadership. This is a positive succession step for the company that maintains the significant provenance of Ben Johnson Ltd as a progressive brand.”

Emma Dodsley, who joined the company in 2010, added: “I have worked for the business for over 12 years and am immensely proud to be part of this great team. Along with my new partners, I’m excited to continue driving the business forward, enabling us to grow our team, explore new opportunities and further establish Ben Johnson Ltd as a leader in the commercial interiors field.”

Lee Fleming, Emma Dodsley and Matthew Day were advised by Susan Clark at LCF Law, who is a partner in LCF Law’s corporate team. She said: “Ben Johnson Ltd is a successful and longstanding Yorkshire business with a rich heritage and solid reputation across the north of England and beyond.

CORPORATE, COMMERCIAL & EMPLOYMENT

“We’re also fortunate to have first-hand experience of the quality of Ben Johnson’s work, following the company overseeing the interior design and fit-outs of three of our offices in Leeds, Bradford and Harrogate. It’s been a pleasure to guide Lee, Emma and Matt through this MBO, and there’s no doubt the business is in safe hands and has an exciting future ahead.”

ALSO APPEARED IN

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• Insider Media Ltd

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CORPORATE, COMMERCIAL & EMPLOYMENT

Yorkshire advisors drive vehicle specialists into employee ownership trust

Yorkshire advisers have supported a commercial vehicle rental and fleet management company on its move to employee ownership.

The Herd Group has achieved significant year-on-year growth since it was founded in 2014. It now employs a 30-strong team and operates throughout the UK.

The company is now owned by its employees, after transferring into an Employee Ownership Trust (EOT).

The Herd Group was advised by Cathy Cook from Yorkshire-based LCF Law, and Kate Naylor from Sagars Accountants, an AAB group company, provided tax and accountancy advice.

Cathy Cook, a partner in LCF Law’s corporate department, said: “Herd Group is a respected and leading brand, recognised as an industry leader within the commercial vehicle rental and fleet management markets. The company was keen to safeguard its values and everything that sets it apart from its competitors and creating an EOT offered the best way of achieving this.

“This also offers tax advantages for both current shareholders and employees, and crucially has enabled the directors to transfer ownership of the company to the team, whilst retaining shares and continuing to be involved in the business to mentor the senior team. All this makes it an exciting time for Herd Group and we’re looking forward to seeing the business continue to grow and thrive.”

Kate Naylor, from Sagars Accountants, added: “Having worked with Nigel, Jason and Herd Group for a number of years, I was absolutely delighted to help them with this next stage of their journey, and I am looking forward to seeing how the group and the brand flourishes under this new regime.”

CORPORATE, COMMERCIAL & EMPLOYMENT
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ALSO APPEARED IN • Yorkshire Insider Daily • Business Van Manager • Business Up North • The Yorkshire Times • Bdaily READ ARTICLE ONLINE
CORPORATE, COMMERCIAL
EMPLOYMENT

PERSONAL LAW

How to safeguard family wealth and assets

WHEN families and high-net-worth individuals are deciding how best to pass money, assets, property and other long-term investments to future generations, a common question comes up.

Whether it is possible to benefit from and protect assets now, while ensuring they stay in the family when the time is right?

This has made FICs a useful tool in estate succession planning, for those who want to safeguard their wealth for their family.

An FIC is a company that invests rather than trades, and the investments frequently consist of shares and equity portfolios or property.

Articles of association and a shareholders’ agreement are drafted to meet the specific needs of the family.

In addition, different classes of shares can be distributed to family members that determine voting rights, entitlement to income and rights to capital should the FIC be wound up, with the founder having the option to retain all voting shares.

One reason people might us an FIC is that assets and wealth are protected in the event of a divorce.

This is because FICs are generally beyond the reach of family courts and its articles of association can restrict the transfer of shares to nonfamily members and spouses.

The control of an FIC rests with its directors, who determine what investments the company makes and the dividend it pays shareholders.

A major attraction is FICs are tax efficient. No lifetime inheritance tax (IHT) charges arise on transferring wealth and assets into an FIC.

This is a key benefit over trusts, which are now subjected to a 20per cent initial IHT charge if the amount transferred into the trust exceeds the individual’s available nil rate band of £325,000.

With an FIC, if the founder survives seven years after gifting shares in the FIC to family members, the value of the gift will fall outside the estate of the founder for IHT purposes.

PERSONAL LAW

Crucially, income and gains are taxed at the corporation tax rate in an FIC, which is significantly lower than income tax and capital gains tax rates on trusts.

Finally, FICs also offer a degree of privacy because it can be structured as an unlimited company meaning there is no requirement to file publicly available annual accounts with Companies House.

However, FICs can be complex so it’s important to seek professional legal and financial advice to maximise the benefits, avoid tax issues and structure it in a way that meets the specific requirements and objectives of the family, both now and in the future.

* Haroon Qayum is from LCF Law’s personal law team in Bradford.

He advises families and individuals on all aspects of private client law. He is a member of the highly regarded Society of Trust and Estate Practitioners (STEP) and holds the professional body’s advanced certificates for Advising Family Businesses and Cross-Border Estates.

Contact Haroon by emailing haroon.qayum@lcf.co.uk or calling (01274) 848 800.

LCF Law is an award-winning full-service law firm, which operates regionally, nationally, and internationally, with more than 125 people and 25 partners across offices in Bradford, Ilkley, Leeds and Harrogate.

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• Telegraph & Argus (print & online)

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PERSONAL LAW

FAMILY LAW

Divorce applications soar following law change earlier this year

New data reveals divorce applications have reached their highest level for a decade, after ‘no-fault’ legislation was introduced earlier this year, and this national trend is being mirrored in Yorkshire, according to LCF Law’s family law department in Harrogate, which is currently inundated with enquiries.

The changes to the Divorce, Dissolution and Separation Act 2020, which were introduced in April, is the biggest shake up of divorce laws for 50 years. It now means married couples in England and Wales can now divorce more amicably, without assigning blame.

Prior to this couples had to state why they were divorcing, with the three most common legal reasons being allegations of the other’s unreasonable behaviour, allegations of adultery, or the fact that they have been already separated for two years, provided their spouse agreed.

Instead, now couples can divorce on the grounds of ‘irreconcilable differences,’ either individually or together, and without having to set out reasons for the breakdown of the marriage or have a dispute about who was at fault.

Now data from the Ministry of Justice (MoJ) has revealed there were 33,566 divorce applications between April and June, with 33,234 of these made under the new no-fault divorce legislation. This was the highest number of applications for more than a decade and is a 22% increase on the same period in 2021.

The figures also reveal that 78% of applications were from sole applicants, with 22% coming from joint applicants, including those for the dissolution of civil partnerships.

Rachel Spencer Robb, who is a partner and head of LCF Law’s Family Law team in Yorkshire, said: “It’s no surprise that divorce applications are on the up following the introduction of no-fault legislation. We had a lot of clients who chose to delay starting divorce proceedings until after the changes in April, because they knew it would make the process less argumentative from the outset and as a result, we’ve been very busy this year.

FAMILY LAW

“However, it remains to be seen whether this increase will last and whether simplifying the procedure results in higher levels of divorce over the longer term, or if this year’s increase is largely due to pent-up demand following the introduction of this new legislation, as well as the return to normal after the pandemic.”

Rachel added: “Ultimately though, the new laws are having the desired effect. Removing the need for evidence of one party being to blame for the failure of the marriage has reduced the acrimony and conflict that often arises during a breakdown of marriage This is incredibly positive particularly where children are involved and takes away an area of dispute that can fan the flames of what can often already by a hostile or toxic situation between the parties.

“In addition, previously unless a person could prove there was adultery, unreasonable behaviour or desertion, the only way they could divorce without their spouse agreeing to it, was to live apart for five years. Removing the option for either spouse to contest the divorce now prevents this scenario and has been another major positive of the new laws.”

Other newly introduced changes mean there is now a minimum period of 20 weeks, between starting proceedings and applying for a conditional order. This has been introduced in response to concerns that the reforms make divorce a quicker and easier option for couples and has been designed to encourage ‘meaningful’ reflection.

Once 20 weeks have passed, there is a minimum wait of six weeks before a final order can be made. It’s also no longer possible to contest a divorce, except on limited grounds, including jurisdiction.

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• Yorkshire Insider Daily

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FAMILY LAW

Law Report - families feel the pinch

FAMILY LAW

REAL ESTATE

In 10: Solicitor, Emily Hickling profile

Solicitor, Emily Hickling from LCF Law, who works in the real estate division of the Yorkshire-based law firm is the latest regional business professional in the hot seat as we give her just 10 minutes to answer our 10 burning questions.

What does a typical working day for you involve?

My first task is always preparing my ‘to do’ list. I deal with a variety of matters, so it is important to keep up-to-date and organised.

My tasks vary accordingly, but I am often raising enquiries on a contract pack, negotiating a commercial lease or dealing with a completion. Every day is different and keeps me on my toes.

What makes your company special?

We have a great team with a broad variety of knowledge and experience. This ensures we can provide a great standard of service to our clients but is also beneficial internally. When I first joined LCF Law as a newly qualified solicitor, I was very appreciative to have such a supportive and approachable team.

Do you dress up or down for work?

We often wear smart to smart casual dress, depending on whether we have meetings arranged. I think it is important to create a professional yet personal first impression. This is of course excluding Halloween - this year the firm has a ‘best fancy dress’ competition!

What piece of advice would you give your 18-year-old self?

Have fun! I was always very focused on my studies, particularly in the stressful exam season. Looking back, I would tell myself that everything happens for a reason and to just believe in yourself.

What’s your favourite Yorkshire venue for an event or team away day?

As part of LCF’s well-being initiative, we were divided into departmental teams for ‘wellbeing bingo’. One of our goals was a team walk and my department visited Shibden Park enjoying the walk around the grounds and pond. We plan to do it more often!

10
REAL ESTATE

How do you prefer to travel for business?

I travel by train where possible, and if travelling home after a long day, I can enjoy a good book! Otherwise, I tend to drive.

What’s your favourite place in Yorkshire to relax?

I’m very much a home bird so love to relax by visiting my family. I also enjoy a spa day or shopping trip with my friends – you can’t beat it and would highly recommend Rudding Park Spa or Titanic Spa. Haworth is lovely and not too far near me, so I like to explore the independent shops there too.

Where is your favourite place to eat in Yorkshire, and what dish do you recommend?

There are a couple of gastro pubs near my village including The White Horse and Ring O’ Bells which are very cosy and the staff are always welcoming. I can never resist their Sunday dinners or chunky chips!

What do you miss most about Yorkshire when you’re away?

Yorkshire puddings, Yorkshire tea and my family!

Do you have any business rules that you swear by?

Be approachable, open and honest and always do your best.

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North East Post
Lancashire Times
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Cumbria Times
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REAL ESTATE

DISPUTES

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End of the Section 21 eviction notice and its possible effects

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LCF Law scores new disputes lawyer

LCF Law has bolstered its disputes team with the appointment of solicitor Will Bates.

“He has an impressive track-record for getting the best possible outcome for his clients and is also skilled at mediation. He is a welcome addition to our team.”

He has advised companies and individuals on all types of commercial disputes over the last five years and has particular expertise in sportrelated disputes.

A keen cricketer, Bates is captain of Harrogate Cricket Club’s first team, and he also coaches at the club.

Bates said: “I wanted to join LCF Law because its disputes and litigation team has a great reputation for being cohesive and effective on behalf of a broad spectrum of clients. The firm is also well-known for encouraging career progression.”

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Bates (pictured) joins LCF Law, which employs more than 135 people and 24 partners across offices in Leeds, Bradford, Harrogate and Ilkley, from McCormicks Solicitors. Charles Abraham, head of the disputes team at LCF Law, said: “Will will be working on a wide range of commercial disputes, as an associate solicitor in our six-partner dispute resolution team.
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