The Fair Work Commission has handed an unfair dismissal victory to an employee of a Melbourne company who lived and worked in New Zealand. The employee was dismissed via text after failing to meet sales targets. The Commission found he was entitled to make a Fair Work claim because his signed employment contract was received by email at the company’s Victorian office. This meant that the contract was legally formed in Australia. The worker’s termination was ruled unfair as he was denied procedural fairness.
In this article, we look at the events of this unfair dismissal VIC case: David Sanderson v Brightest Australia Pty. Ltd. [2026] . Later, we examine why Fair Work ruled that a US national who had never set foot in Australia was allowed to pursue a general protections claim.
David Sanderson, who lived and worked in New Zealand, started working for Melbourne-based app development company Brightest Australia on 16 September 2024. The company engaged Mr. Sanderson to sell its subscription service Flexi Plan to New Zealand customers. His employment contract contained two clauses outlining the disciplinary process for underperformance.
Clause 13 required a verbal warning for a first offence and a written warning for a second. Termination of employment could only happen once those warnings had been dispensed. Clause 24, however, created a parallel pathway. It provided that if the worker failed to meet monthly sales targets, the company could terminate his employment on one week’s written notice.
Over his 15-month employment, Mr. Sanderson’s contract required him to generate 75 Flexi Plan sales. He said he achieved 32, though some did not result in customers payments. Mr. Sanderson argued he could not meet targets due to the quality of leads generated by Brightest Australia’s advertising.
In July 2025, Mr. Sanderson’s boss sent him two emails with the subject line “Performance Warning.” The first highlighted that only one Flexi Plan had been signed in each of the previous two months. Mr. Sanderson replied, saying that he had been unwell and that the quality of leads was “quite low.” He told his boss “we can’t produce wine from water.”
On 8 December 2025, Mr. Sanderson was summarily dismissed via text. He then received an email confirming his termination of employment. Brightest Australia cited his inability to meet the expectations of his role. He received one week’s pay in lieu of notice. Mr. Sanderson was not called to a meeting before the decision was made. He was given no opportunity to respond, and was not taken through any step of the clause 13 disciplinary procedure.
Mr. Sanderson argued the following in his Fair Work unfair dismissal claim:
In response to Mr. Sanderson’s Fair Work unfair dismissal claim, Brightest Australia filed a jurisdictional objection. It argued the Fair Work Commission had no power to hear it. This was because Mr. Sanderson lived and worked entirely in New Zealand and performed no meaningful work in Australia. Brightest Australia therefore contended that Mr. Sanderson fell outside the reach of the Fair Work Act 2009.
On the merits of his claim, the company maintained that it had warned him about his performance in the July 2025 emails, in addition to verbal warnings. The company contended that Mr. Sanderson’s sales figures were too low to justify his continued employment.
The Fair Work Commission heard Mr. Sanderson’s Fair Work unfair dismissal claim in May 2026. It ruled that he did have the right to make the claim based on the following findings:
Having confirmed jurisdiction, the Fair Work Commission found that Brightest Australia had not complied with the Small Business Fair Dismissal Code. It ruled that the dismissal was harsh, unjust and unreasonable for the following reasons:
The Fair Work Commission concluded that Mr. Sanderson’s employment would not have continued for more than two further weeks. Brightest Australia was therefore ordered to pay him the equivalent of two weeks’ gross pay.
Another case of an overseas-based worker who filed a Fair Work claim is Gautam Parimoo v Lake Resources N.L. [2023]. It involved an American executive who was hired by an Australian mining company to work at a lithium mine in Argentina. The employer argued that his Fair Work general protections claim should be thrown out as he had never set foot in Australia. However, the Fair Work Commission found that his employment contract was accepted by email and received at the employer’s Sydney office. He was therefore legally “engaged” in Australia and his claim was allowed to proceed.
US citizen Gautam Parimoo began working for Sydney-headquartered mining company Lake Resources NL as chief operating officer in October 2021. The company manages several international lithium mining operations, primarily in Argentina. Mr. Parimoo was first approached about the Lake Resources role by a recruiter based in Chile. Three rounds of job interviews followed. Mr. Parimoo attended via video conferencing from overseas, while Lake Resources representatives joined from Sydney and Perth.
As part of the hiring process, Lake Resources’ technical director emailed Mr. Parimoo a final copy of an executive services agreement. Mr. Parimoo signed the agreement the next day without making changes and emailed it back to the director. The director then countersigned the document and sent a copy back to Mr. Parimoo on 24 October 2021 for “your files.”
Mr. Parimoo’s role centred on the development of the Kachi Lithium Brine Project in Argentina. He performed all duties in Argentina throughout his entire period of employment. He never travelled to Australia for work. On 9 January 2023, Lake Resources dismissed Mr. Parimoo effective immediately, with payment made in lieu of notice. Mr. Parimoo later lodged a Fair Work general protections claim alleging that his dismissal contravened Part 3-1 of the Fair Work Act 2009.
Lake Resources lodged a jurisdictional objection in response to Mr. Parimoo’s Fair Work general protections claim. It argued that Mr. Parimoo fell within the exclusion in section 35(3) of the Fair Work Act 2009. This provides that an employee employed by an Australian employer is not an “Australian-based employee” if they were engaged outside Australia to perform duties outside Australia. Lake Resources argued to the Fair Work Commission:
In response to the jurisdictional objection, Mr. Parimoo argued to the Fair Work Commission:
A judgement on the jurisdictional objection to Mr. Parimoo’s Fair Work general protections took place in October 2023. The Fair Work Commission ruled that he was entitled to make the claim based on the following findings:
Yes, but only in certain circumstances. An overseas employee can bring a Fair Work unfair dismissal or general protections claim if they qualify as an Australian-based employee under the Fair Work Act 2009. This turns on whether the employee is employed by an Australian employer and was not engaged outside Australia to also perform duties outside Australia.
David Sanderson v Brightest Australia Pty Ltd [2026] is a prime example. Mr. Sanderson was a New Zealand-based worker employed by an Australian company. He lived and worked entirely in New Zealand and performed no work in Australia. Despite this, the Fair Work Commission found he was an Australian-based employee because his signed employment contract was received by email at the company’s Victorian office. This meant that his contract was formed in Australia, entitling him to Fair Work protections.
An “Australian-based employee” is defined in section 35(2) of the Fair Work Act 2009. A person qualifies if their primary place of work is in Australia, if they are employed by an Australian employer, or if they are prescribed by the regulations. However, under section 35(3), employees who are employed by an Australian employer are excluded if they were engaged outside Australia to perform duties outside Australia.
In Gautam Parimoo v Lake Resources N.L. [2023], Mr. Parimoo was employed by an Australian company but did not perform any work in Australia. The Fair Work Commission found that his employer had received his signed contract by email at its Sydney office. This meant that his contract was formed in Sydney. He was therefore not excluded under section 35(3) and qualified as an Australian-based employee.
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If so, it is important to seek advice quickly. Strict time limits apply to Fair Work claims, and missing a deadline can cost you the right to pursue your case entirely. We at Australian Workplace Discrimination Representatives assist employees across Australia with unfair dismissal, Fair Work general protections claims, forced resignation and sexual harassment matters.
Your first consultation with us is free and confidential. Contact us today on 1800 333 666.