Latest Update
Has a further Payment on Account been paid?
On 28th March 2024, Menzies LLP was instructed by the Trustee to make a catch-up payment on account to those who did not receive a payment in January or have since provided evidence of different employment dates.
I didn’t receive the payment that was made in January. When will I receive the Payment on Account?
If you didn’t receive the Payment on Account that was distributed in January, this could be for a number of reasons. If you have now received an email from REBTL@Menzies.co.uk confirming that you will be included in the next payment of account, this will be distributed by no later than the end of March 2024.
I have been in correspondence with Menzies regarding my employment at Roadchef but have been asked to provide evidence of my employment and /or ID documents. What is the cut-off date for providing this information in order to be included in the Payment on Account at the end of March 2024?
If you are in correspondence with us and we are awaiting confirmation of your employment and /or ID documents, all evidence requested MUST be provided by no later than 21 March 2024 in order to be included in the Payment on Account at the end of March 2024.
What happens if I am unable to provide the evidence of my employment and/or ID documents by the 21st March 2024?
A further cut-off date will be given to provide the necessary documents prior to the final distribution. However, this cut-off period will be in 5 to 8 months’ time. Therefore, your payment on account will be included in your final distribution, which will be paid in 6 to 8 months’ time and you will receive one final distribution rather than two separate payments. However, if you fail to provide the necessary documents before the cut-off date for the final distribution, then in accordance with the Court Order we shall be unable to pay you any monies at all.
I received my Payment in Account in January, when will I receive the next payment?
The final distribution will be paid in 6-9 months’ time.
Why have I not yet received my first payment on account?
Assuming you have already been confirmed as a beneficiary to the Trust, you should have received the first payment on account last week by bank transfer or cheque. If not, you need to contact Menzies on 0330 912 9355 or via this new dedicated email address asap: REBTLpayment@menzies.co.uk. Menzies will then make the payment asap by bank transfer or cheque.
I received payment but the cheque has not cleared in my bank account – why is this?
We understand that due to a glitch affecting the distribution, a small number of payments have been refused. If this has happened to you, please contact Menzies on 0330 912 9355 or via the new dedicated email address asap: REBTLpayment@menzies.co.uk.
What should I do if I am experiencing problems of the above nature?
Please don’t hesitate to let us/Menzies know about this asap, so we can resolve the matter.
When will the Payment on Account be made?
The Board are pleased to confirm that the Payment on Account was made on 22 January 2024. If you have not received the money into your account, or your cheque in the post, by Friday 26th January then please contact us. It is anticipated that a final distribution will be paid in approximately 6 – 9 months time.
Can you give us an idea of how much the payments will be?
While the final amounts payable must remain subject to change, we expect each beneficiary to receive a total payment of between £200-£13,000 depending on their employment dates and length of service, according to a distribution model endorsed by the High Court. As you already know, any payment due to you will be made in two stages – an initial payment on account in the new year, followed by a second payment six to nine months later.
Is there an update following the Court hearing held on 11 October 2023?
Yes, the Trustee has now received the High Court’s decision and Order which will allow it to make the payment on account early in the New Year.
Was the High Court hearing held on 11 October 2023 to approve the distribution to beneficiaries?
Yes, the hearing took place on 11 October 2023. The Judge is considering the application and will make a judgement shortly. The result will be posted as soon as it becomes available.
Roadchef (Employee Benefits Trustees) Limited – Frequently Asked Questions
- Why am I receiving this letter?
According to the records held by Roadchef Limited (“the Company”) you were previously employed by the Company, or one of its subsidiaries, and are a beneficiary of the Roadchef (Employee Benefit Trust) Limited (“the Trustees”). The Board of Trustees (“the Board”) have instructed Menzies LLP (“Menzies”) to assist with the distribution of funds once High Court approval has been received.
- What is my entitlement?
The amount you will receive will depend on which category of beneficiary you are a member of. Your categorisation will be included in the initial covering letter from Menzies.
- What happens if my employment dates with Roadchef falls in two categories?
If you were employed by the Company, or one of its subsidiaries, in both 1998 and 2014 you may fall within two categories of beneficiary, even if your employment is not continuous between those dates. If that is the case, you will be paid as a member of each category.
- What do I do if I have been wrongly categorised?
If you believe you have been placed into the incorrect category, please provide full details of your employment with the Company, or one if its subsidiaries to REBTL@Menzies.co.uk or by post to Menzies LLP, 5th Floor, Hodge House, 114-116 St Mary Street, Cardiff, CF10 1DY within the next 28 days. Please provide evidence to support your employment details, such as contracts of employment, payslips, P45 etc.
- Who are Menzies LLP and why are they involved?
Menzies are a full-service accountancy firm. Menzies have been instructed by the Trustees to assist in the distribution of the funds held to beneficiaries. However, prior to any distribution being made approval must first be sought from the High Court. All updates on the progress of the court proceedings will be provided by the Trustees.
- Why am I being asked for my bank details?
The distribution will be paid to you via bank transfer, therefore please ensure that you complete and return the “request for bank details form” and return this within the next 28 days either by email REBTL@Menzies.co.uk or by post to Menzies LLP 5th Floor, Hodge House, 114-116 St Mary Street, Cardiff, CF10 1DY.
If you are unable to locate the “request for bank details form” please email REBTL@Menzies.co.uk or contact us on 0330 912 9355 in order for another form to be sent to you.
- Can my distribution be paid to another person?
For security reasons, we will be unable to pay your distribution into another person’s bank account. Should you wish for your distribution to be paid by cheque rather than bank transfer, please provide your written confirmation either by email to REBTL@Menzies.co.uk or write to us at Menzies LLP, 5th Floor, Hodge House, 114-116 St Mary Street, Cardiff, CF10 1DY.
- Will my bank details be verified prior to the distribution of funds?
Yes, if you have completed the “request for bank details form” and returned this via email, then a member of the Menzies team will call you on the contact details provided and ask you to confirm the bank details provided on the “request for bank details form”. This is carried out to ensure that no fraud is carried out.
- When will I receive my money?
You will receive a payment on account of the monies due to you as soon as possible after the High Court hearing. The final distribution of the monies due to you will be made approximately 6 months after the payment on account.
- Who should I contact if my details have changed?
If any of your personal details have changed, please email REBTL@Menzies.co.uk or write to us at Menzies LLP 5th Floor, Hodge House, 114-116 St Mary Street, Cardiff, CF10 1DY with details of the changes and copies of any supporting documents. Please ensure that you do this as soon as possible as otherwise this may hold up any distribution you are entitled to.
- Who should I contact if I have any queries in respect of the distribution?
The payment on account will be paid by bank transfer following the High Court hearing. If you have any queries in respect of the amount paid, please contact REBTL@Menzies.co.uk or call us on 0330 912 9355.
- Do I need to pay tax on the distributions received?
A confidential settlement has been provisionally agreed with HM Revenue and Customs (“HMRC”) which is subject to High Court approval. The Trustees hope that this will be given later this year. Until then, no further information can be provided.
- Who are the Trustees?
The Trustee is a company – Roadchef (Employee Benefits Trustees) Limited, acting by its board of Trustees.
- What is the Trustee’s role?
The Trustee’s role is to make informed decisions in the best interests of the beneficiaries which has included seeking professional advice in respect of the performance of this role and in particular on the recovery of funds due to beneficiaries.
- Can you provide a chronology of events?
| 1983 | Roadchef acquired in Management Buy Out (“MBO”), a percentage of shares are set aside for employees. |
| 1986 | A Roadchef Employee Benefit Trust (“EBT”) was established after discussions with the Government, GMB, Unity Bank and HMRC. One of the first tax efficient EBTs. |
| 1988 | A second EBT set up for senior managers (“EBT2”). |
| 1993 | Roadchef (Employees Benefit Trustees) Limited (“REBTL”) created to act as Trustee for the EBT. REBTL has never been Trustee of EBT2. |
| 1995 | 22,629,200 shares were transferred from EBT to EBT2, EBT2 granting options to Chief Executive. |
| 1998 July | Roadchef sold to third party. The Chief Executive receives sale proceeds of approximately £30million from the shares formerly held by the EBT and pays income tax to HMRC following receipt of sale proceeds. |
| 2000 | Concerns regarding actions taken in respect of transfer of shares from EBT to EBT2 surface. Staff and Union engage solicitors to advise them on a contingent basis and to review any avenues of recovery. |
| 2005 | Independent board of directors appointed to REBTL. |
| 2009 | The Board remain unsatisfied with the position and the possibility of litigation funding is first explored. |
| 2010 | Litigation funding obtained, and proceedings issued by REBTL. |
| 2013 | Trial of action in High Court. |
| 2014 January | Judgement was obtained but no decision on amount of damages. |
| 2014 | Parties appealed outcome of Judgment. Negotiations between all parties began. |
| 2014 November 19 | Confidential Settlement Agreement including the amount to be paid by Chief Executive negotiated between parties and confirmed in Court Order. |
| 2014/15 | Monies recovered by REBTL. |
| 2015 – 2022 | Negotiations with HMRC began and remained ongoing throughout, regarding any tax implications following the recovery of funds. |
| 2015-18 | REBTL continues to liaise with HMRC in order to obtain tax repayment from HMRC. |
| 2022 May | Provisional agreement reached with HMRC in respect of any tax implications. |
| 2022 July | REBTL makes an application to Court to formally approve the provisional agreement with HMRC and the distribution to beneficiaries. |
| 2023 February | Directions hearing held which orders the parties to agree a date for the final High Court hearing. |
| 2023 March | Provisional dates of hearing provided. |
| End of 2023 / beginning of 2024 | REBTL expects to be able to implement the decision of the Court. |
- Will more information regarding the history become available?
Various aspects of the case such as the agreement with the litigation funder, the Confidential Settlement Agreement and the provisional agreement with HMRC all contain strict confidentiality clauses which prevent the Board from disclosing any further information.
- What are the categories and subsets of beneficiaries?
As a result of the Court proceedings and the Confidential Settlement Agreement, there are three classes of beneficiary with a number of sub-classes within those classes.
3 main categories of beneficiaries:
- “Qualifying Employees” are those who had started employment with Roadchef or one of its subsidiaries before 1 January 1995, and were still employed by Roadchef on 8 July 1998 or had left employment between 1 January 1998 and 8 July 1998.
- “Non-Qualifying Employees” are those who had started employment with Roadchef between 1 January 1995 and 8 July 1998 and were still employed on 8 July 1998.
- “Current Employees” are those who were employed by Roadchef at the date of the Settlement Agreement on 19 November 2014.
These classes were represented in the High Court by Representative Beneficiaries in 2013/14 and will again be represented in the High Court this autumn.
Each class was divided into further categories based on the number of years employment with Roadchef prior to 8 July 1998 in the case of Qualifying Employees and Non-Qualifying Employees and prior to 19 November 2014 in the case of the Current Employees.
Subset of categories are:
Qualifying Beneficiary (subset 1):
- commenced employment with Roadchef, or one of its subsidiaries, on or before 1 January 1995; and
- remained employed on 8 July 1998.
Qualifying Beneficiary (subset 2):
- commenced employment with Roadchef, or one of its subsidiaries, on or before 1 January 1995; and
- were still employed on 8 July 1998.
Qualifying beneficiary (Subset 3):
- commenced employment with the Roadchef, or one of its subsidiaries, on or before 1 January 1995;
- were still employed on 1 January 1998; but
- had left that employment by 8 July 1998.
Non-Qualifying beneficiary (subset 1):
- commenced employment with the Roadchef, or one of its subsidiaries between 2 January 1995 and 31 December 1995; and
- remained in that employment on 8 July 1998.
Non-Qualifying beneficiary (subset 2):
- commenced employment with Roadchef, or one of its subsidiaries, between 1 January 1996 and 31 December 1996; and
- remained in that employment on 8 July 1998.
Non-Qualifying beneficiary (subset 3):
- commenced employment with Roadchef, or one of its subsidiaries between 1 January 1997 and 8 July 1998; and
- remained in that employment on 8 July 1998.
Current beneficiary (subset 1):
- commenced employment with Roadchef, or one of its subsidiaries, on or before 19 November 2011; and
- remained in this employment on 19 November 2014 (at least 3 years’ continuous employment at this date).
Current beneficiary (subset 2):
- Commenced employment with Roadchef, or one of its subsidiaries, on or between 20 November 2011 and 19 November 2012; and
- remained in this employment on 19 November 2014 (at least 2 years’ continuous employment at this date).
Current beneficiary (subset 3):
- Commenced employment with Roadchef, or one of its subsidiaries, on or between 20 November 2012 and 19 November 2013; and
- remained in this employment on 19 November 2014 (at least 1 years’ continuous employment at this date).
Current beneficiary (subset 4):
- commenced employment with Roadchef, or one of its subsidiaries, on or after 20 November 2013; and
- remained in this employment on19 November 2014 (less than a years’ continuous employment at this date)
The classes and subsets were set for the distribution of funds in the Trust in 1998 and then subsequently confirmed by Order of the High Court in 2014.
- If I am a Non-Qualifying beneficiary, does that mean I am entitled to a share in the trust?
Yes, all beneficiaries in each 3 categories (Qualifying, Non-Qualifying and Current) are entitled to share the payout from the Trust.
- If I were a Qualifying or Non-Qualifying beneficiary but was also employed by Roadchef on 19 November 2014, could I be in more than one category?
Yes. Beneficiaries may be in more than one category. The beneficiaries falling into this category will receive a distribution from each category.
- Do the beneficiaries classified as “current” have the right to receive a proportion of the distribution?
Yes, the Confidential Settlement Agreement reached in November 2014 and approved by Court Order ordered that the “current” beneficiaries are entitled to receive a proportion of the trust.
- Who is representing my interests in the High Court hearing?
Representative Beneficiaries have been appointed by the Court for each of the three classes of beneficiary to ensure that all beneficiaries’ interests are protected and taken into account. Each of the Representative Beneficiary is a member of one of the three beneficiary classes. The Representative Beneficiaries have each appointed their own solicitor and barrister to advise and represent them in the High Court proceedings.
- Who are these Representative Beneficiaries?
The Representative Beneficiaries are members of each of the three beneficiary classes and have been appointed by the Court.
- What is the Representative Beneficiaries Role?
The role of the Representative Beneficiaries, since their appointment, is to represent the members of each of the beneficiary classes. Their role is determined by the Court. They are also bound by the same confidentiality clauses as REBTL.
- How much will be distributed to beneficiaries?
The amount cannot be agreed until the High Court hearing has taken place.
- Has the fund been invested?
The Trust’s monies have been held in interest bearing client deposit accounts.
- Can you explain the terms “payment on account” and “distribution”?
A payment on account is a mechanism for the beneficiaries to receive money at the earliest opportunity. It is anticipated that the final distribution will following approximately 6 months following the Payment on Account, subject to receiving approval from the Court. This will allow a final opportunity for “missing” beneficiaries before the final distribution of funds are made.
- If more “missing” beneficiaries come forward, could this affect how much I will likely receive?
Yes, if more “missing” beneficiaries are found then this could affect the amount you will receive in the distribution. This is because funds will need to divided amongst all the beneficiaries who have been located.