Commerzbank AG v James Keen [2006] EWCA Civ 1536; [2007] IRLR 132

In Commerzbank AG v Keen the Court of Appeal confirmed that, in exercising a discretion, an employer should not behave in any way irrationally or perversely and considered what an employee would need to demonstrate in respect of an irrational or perverse decision. The Court also held that section 3 of the Unfair Contract Terms Act 1977 does not apply to employment contracts.

http://www.bailii.org/ew/cases/EWCA/Civ/2006/1536.html

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