A law firm principal has taken a legal recruitment agency to court over his dissatisfaction with a new employee.
Rodney Sahay, the principal of Brisbane firm Stephens & Tozer, has disputed a $13,848 fee owed to Scotsco – trading as Focus Legal Recruitment – for the placement of a solicitor whose restraint to trade clause had caused some dissatisfaction in his services.
Despite keeping the solicitor on as an employee, Mr Sahay paid the agency the first instalment but refused to pay the balance.
When Scotsco complained, an adjudicator found the placement had been fulfilled as the solicitor in question remained employed and there had been no attempt to terminate this employment so Mr Sahay could seek a replacement candidate from the agency.
On Friday (18 August), the Queensland Civil and Administrative Tribunal refused Mr Sahay’s application for leave to appeal.
The adjudicator found that while there had been a discussion about a settlement negotiation between the parties, this was never finalised.
On 1 December 2021, Mr Sahay offered to settle the dispute for $3,066 and set a deadline of 3 December.
Three days after the offer lapsed, Scotsco asked how long it would take for the payment to be made if the $3,066 was accepted.
Despite Mr Sahay asserting Scotsco agreed to settle the following day, there was no evidence of an agreement reached on that date.
This was supported by a 10 December email in which Scotsco asked Mr Sahay to forward an “appropriate deed of settlement”. The adjudicator found this was evidence that no agreement had been reached and agreed to prior to this email being sent.
Scotsco had also been cleared of allegations of misleading Mr Sahay or deliberately keeping information from him and the firm.
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