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United Kingdom discretionary bonusimplied termsdiscretion rationality

Taylor v Motability Finance Ltd

[2004] EWHC 2619 (Comm)
JurisdictionUnited Kingdom
CourtHigh Court (Commercial Court)
Year2004
StatusPersuasive authority

Key Principle

Where an employer has a contractual discretion to award a bonus, that discretion is subject to an implied term that it will not be exercised irrationally, perversely or in bad faith, so the employer's decision is reviewable by the court against a genuine-and-rational standard.

Area of Law

General

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