Definition of self-employment

Case 3: The facts

James Haine worked under a series of contracts skippering a yacht and providing connected services. When his work came to an end, he brought a claim of unfair dismissal, arguing that he was employed under a contract of service and therefore an "employee" for the purposes of the Employment Rights Act.

The ruling

The parties had considered the nature of the contract when it was formed, and a tribunal found that their intention had been that it was a contract between two principals, making it a contract for services. The EAT agreed, adding that the level of control and freedom that Haine had when carrying out his work, as well as the fact that he was treated as self-employed in respect of tax and national insurance, supported the fact that he was an independent contractor and not an employee.

Haine v Rolls Royce EATS/0028/04