header-logo header-logo

In the line of duty

istock_000007405540medium_4

Rob Weir QC & Vijay Ganapathy examine a parent company’s liability to an employee of its subsidiary

In Chandler v Cape plc [2012] EWCA Civ 525, the Court of Appeal held that a parent company can owe a direct duty of care to its subsidiary’s employees in appropriate circumstances and gave valuable guidance on what those circumstances might be. It upheld the decision at first instance that Cape plc owed and breached its duty to Mr Chandler, an employee of its subsidiary. This is the first case in which a parent company has been found liable to one of its subsidiary’s employees in negligence and opens the way for other cases in which a similar duty might be imposed.

Mr Chandler worked for Cape Products for a short period in the late 1950s and early 1960s. His work in a yard exposed him to substantial quantities of asbestos dust, which emanated from a factory on-site. When he subsequently contracted asbestosis as a result of this work,

If you are not a subscriber, subscribe now to read this content
If you are already a subscriber sign in
...or Register for two weeks' free access to subscriber content

MOVERS & SHAKERS

Gilson Gray—Linda Pope

Gilson Gray—Linda Pope

Partner joins family law team inLondon

Jackson Lees Group—five promotions

Jackson Lees Group—five promotions

Private client division announces five new partners

Taylor Wessing—Max Millington

Taylor Wessing—Max Millington

Banking and finance team welcomes partner in London

NEWS
The landmark Supreme Court’s decision in Johnson v FirstRand Bank Ltd—along with Rukhadze v Recovery Partners—redefine fiduciary duties in commercial fraud. Writing in NLJ this week, Mary Young of Kingsley Napley analyses the implications of the rulings
Barristers Ben Keith of 5 St Andrew’s Hill and Rhys Davies of Temple Garden Chambers use the arrest of Simon Leviev—the so-called Tinder Swindler—to explore the realities of Interpol red notices, in this week's NLJ
Mazur v Charles Russell Speechlys [2025] has upended assumptions about who may conduct litigation, warn Kevin Latham and Fraser Barnstaple of Kings Chambers in this week's NLJ. But is it as catastrophic as first feared?
Lord Sales has been appointed to become the Deputy President of the Supreme Court after Lord Hodge retires at the end of the year
Limited liability partnerships (LLPs) are reportedly in the firing line in Chancellor Rachel Reeves upcoming Autumn budget
back-to-top-scroll