Fired in the Franchise Shuffle? Why This Clinic Manager’s Claim Was Thrown Out

When a business changes hands, what happens to the employees? Do their jobs continue automatically? Or can they be quietly cut adrift in the chaos of a takeover? That’s exactly what happened to Patrycja Kupiec — a clinic manager caught in the middle of a franchise transfer that left her out of work and out of options.

She turned to the Fair Work Commission, claiming she’d been unfairly dismissed. But in a complex decision, the Commission ruled it had no jurisdiction to hear her case — not because she did anything wrong, but because she was never legally employed by the new operator at all.

Here’s what happened — and why this case is a cautionary tale for anyone working through a business handover.

A new owner, no clear answers

Patrycja had been employed by Shariff Investments as manager of a cosmetic skin clinic located inside Westfield Knox. In early 2025, the franchisor behind Australian Skin Clinics stepped in to replace Shariff Investments due to financial trouble, bringing in a new operator — ASC Knox Pty Ltd.

The problem? No one clearly told Patrycja whether her job was continuing — and under what terms.

On Friday 31 January, her then-employer, Mr Shariff, told her the business had been sold and that from the next day, “you have a new owner.” She turned up to work on Saturday as usual, opened the clinic, and started her shift. Staff from the new operator were present, and no one told her to leave. She was even asked to circulate an agreement to other workers on behalf of the incoming owner.

It all looked like business as usual. But behind the scenes, nothing was legally formalised.

The secondment agreement that changed everything

That same day, Patrycja was asked to sign a “secondment agreement.” On paper, it was simple: she’d continue working at the same clinic, under the supervision of the new owner, but her employment would still be with Shariff Investments — not ASC Knox.

The agreement was clear. It stated that signing it did not create an employment relationship with the new franchisee.

Patrycja later said she didn’t fully understand the document when she signed it. English wasn’t her first language, and her husband, who usually helped her with these matters, wasn’t available at the time. But she signed it anyway, and even forwarded it to other staff on request.

A few days later, she was told by the new operator that the secondment agreement would not apply to her, and that her employment had already ended under Shariff Investments. She was shocked — and filed for unfair dismissal.

Was she dismissed? Or never employed at all?

That’s the key question the Fair Work Commission had to decide.

To be eligible to claim unfair dismissal, a worker must be an employee of the business accused of the dismissal. Patrycja argued she was employed by ASC Knox after the takeover. She pointed to texts and WhatsApp messages that seemed to welcome her as part of the team, as well as her continued presence at the clinic doing her regular job.

But the Commission disagreed.

Despite all the confusion and informal arrangements, there was no evidence of a formal offer or acceptance of employment from ASC Knox. No contract, no pay slip, no written acknowledgment. In fact, the only document she signed — the secondment agreement — said the opposite.

Even though she worked that day, the Commission found she was still (at least technically) employed by Shariff Investments — and that meant she couldn’t meet the minimum employment threshold with the new operator.

As the Commissioner put it, the evidence that she had ever been employed by ASC Knox was “entirely circumstantial.” Her claim was dismissed.

Key Employee Takeaways

This case is a warning for workers caught in the middle of a franchise or business sale. Just because your day-to-day duties stay the same, doesn’t mean your legal relationship does.

Here are some key takeaways:

• Employment doesn’t automatically transfer when a business changes hands. It depends on whether the new owner explicitly agrees to hire you.

• A secondment agreement is not a job offer. Even if you’re reporting to someone new, you may still technically be employed by the old business — and your rights will depend on that.

• Verbal cues, texts and day-to-day interactions aren’t enough. You need formal documentation to prove a new employment relationship exists.

• Without proof of employment, the Commission may not even hear your case. It’s not about whether your treatment was fair — it’s about whether you were legally employed in the first place.