Claim for wages against business partner bears no fruit
09 Aug 06John Fisher met Roy Fisher through a mutual interest in their local Filipino club (both men married Filipino ladies and were members of the club). John was a dairy farmer. Roy owned an orchard and operated a lemon juice processing business. The two men shared a love of the land and became good friends. In the period from 1988 to 1995 John assisted Roy in the orchard and lemon juice business. From 1989 John promoted the sale of imported goods on behalf of Roy's company Delaroy Marketing. John later worked and invested in Roy's businesses.
The relationship soured and in 2005 John filed a claim against Roy seeking arrears of wages, holiday pay and interest for the period from 1988 to 2002. The Employment Relations Authority considered whether John was at any time an employee of Roy and therefore entitled to wages. It decided the work John did in the orchard for Roy was as a friend, that his marketing work was as a commission only sales agent and that as a business partner John helped out in the businesses but there was no expectation he would be paid a wage until the businesses were established. The Authority concluded John was never an employee of Roy and his claim was dismissed.
The relationship soured and in 2005 John filed a claim against Roy seeking arrears of wages, holiday pay and interest for the period from 1988 to 2002. The Employment Relations Authority considered whether John was at any time an employee of Roy and therefore entitled to wages. It decided the work John did in the orchard for Roy was as a friend, that his marketing work was as a commission only sales agent and that as a business partner John helped out in the businesses but there was no expectation he would be paid a wage until the businesses were established. The Authority concluded John was never an employee of Roy and his claim was dismissed.
