Fiducia TogetherTUPE for buyers and sellers
What TUPE means when you are the one buying or selling a business or a contract.
Please note: This page explains what a term means. It is general information, not legal, financial, tax or investment advice, and it does not know anything about your business. Before you sign, file or commit to anything, check it with an accountant, a solicitor, or the official guidance we link to.
What it means
Where TUPE applies, employees transfer automatically with their terms and continuous service, along with liabilities.
Why it matters
For a buyer it means inheriting people, their terms, and any existing claims. For a seller it means informing and consulting, and providing employee liability information.
What it looks like in practice
Due diligence must cover employment: contracts, holiday accrued, outstanding grievances, disciplinary history, and any pending claims. Price it in.
What to watch out for
Harmonising terms after a transfer, which is generally void if the reason is the transfer. And failing to inform and consult, which carries an award of up to thirteen weeks' pay per affected employee.
Where to get proper advice
An employment solicitor on both sides. This is technical and the penalties are per employee.
Where to read more
Last reviewed 2026-08-28 by Fiducia Together · Next review due 2027-08-28
Please note: This page explains what a term means. It is general information, not legal, financial, tax or investment advice, and it does not know anything about your business. Before you sign, file or commit to anything, check it with an accountant, a solicitor, or the official guidance we link to.