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- Publisher
- Brill
- Copyright
- Copyright © Koninklijke Brill NV, Leiden, The Netherlands
- eISSN
- 2211-6028
- DOI
- 10.1163/221160296X00245
- Publisher site
- See Article on Publisher Site
Abstract
Wage guarantee - limited company and "lifting the corporate veil" - transfer of undertaking HEADNOTES The Supreme Court ruled on whether the purpose of certain arrangements made by the owners of Stigell Ky ("Ky" stands for limited partnership), formerly Stigma Ky, had been to transfer to the State, on the basis of the Act on Wage Guarantees, the liability for the wage claims of Stigma Ky, which had filed bankruptcy. The business of Stigma Ky had been continued as a limited company, Stigell Oy ("Oy" stands for limited company), to which most of the employees of Stigma Ky had been transferred, with the real authority over the new company having been retained by the partners of Stigma Ky. Facts In November 1991, the Employment District Office of Uusimaa, acting on behalf of the State, had paid the employees of Stigma Ky (limited partnership) a wage guarantee on the basis of the Wage Guarantee Act. Stigma Ky had filed for bankruptcy on 2 August 1991. The Employment District Office then decided that Stigma Ky, the liable partners of the limited partnership, and Stigell Oy were jointly liable for repayment of the wage guarantee to the State since the arrangements
Journal
International Labour Law Reports Online – Brill
Published: Jan 1, 1995