| Commentary

(i) Transfer of business

| Commentary

(i)     Transfer of business

At common law, if an employer transferred his undertaking to another he would thereby terminate the contracts of employment of the relevant employees, because he would have put it out of his power to continue to employ them. The common law rule has however been modified to a large extent by the Transfer of Undertakings (Protection of Employment) Regulations 2006 SI 2006/246 (replacing the original 1981 Regulations) which provide for an automatic transfer of the contracts of employment from the transferor employer to the transferee employer: see F [80] ff.

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