In Hypervolt Ltd v Jackson [2026] EAT 45, the Employment Appeal Tribunal (EAT) clarified the correct approach to reconsideration applications following a Rule 21 default judgment.
The judgment arose after the employer failed to respond to a claim served at an outdated address. Although the employer later applied to submit a late response and for reconsideration, the tribunal rejected the application solely because it was out of time.
The EAT held this was an error of law. It confirmed that tribunals must apply the mandatory two-stage process set out in rule 72 of the Tribunal Rules 2013 (now rule 70 of the Employment Tribunal Procedure Rules 2024). First, under rule 70(2), the tribunal must consider whether there is “no reasonable prospect” of the decision being varied or revoked. If there is a reasonable prospect, the application must proceed to full consideration. Moreover, the tribunal must also consider whether extending time is in the interests of justice under rule 5.
The case was remitted, reinforcing that procedural time limits should not override fairness where the merits justify reconsideration.
