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Peter Waddell vs Big Motoring World – What the High Court judgement revealed

We look in detail at the judgment fin this report rom our court reporting team, who covered the Peter Waddell battle in the High Court from day one

Time 9:15 am, August 1, 2026

The sacking of Big Motoring World founder as CEO was not wrongful dismissal despite a ‘deliberate process to remove him come what may’, a judge ruled yesterday.

Peter Waddell, 59, was fired as CEO of the used car supermarket following claims of gross misconduct in what he called a ‘planned coup’.

The multi-millionaire was accused of bullying and intimidating employees, including using racist language, and the judge found several incidents amounted to gross misconduct.

He was accused of making comments about liking women ‘on their hands and knees’ and ordering a colleague to bring him a lemon meringue pie after a disagreement.

Waddell claimed wrongful dismissal by Bluebell Cars – the ultimate holding company of Big Motoring World.

He remained the majority shareholder of Big Motoring World after his removal as CEO but was unable to control the company he founded.

Waddell said the company ‘performed disastrously’ after he was replaced by new CEO Laurence Vaughan who he accused of being part of the plot to oust him.

In the judgement given yesterday following a seven week hearing earlier this year, Mr Justice Marcus Smith ruled that the removal of Waddell did not amount to wrongful dismissal as he was guilty of misconduct.

But the judge found there was unfair prejudice to Waddell’s holding company as the majority share owner in the business.

He said the company pursued ‘a deliberate process to remove Mr Waddell as CEO come what may.’

He said Vaughan, who took over as CEO, was ‘indifferent’ as to whether the reasons for Waddell’s dismissal were well-founded or not.

The judge said those running the holding company did not have any interest in reforming Waddell.

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‘They wanted him gone,’ the judge said.

But the judge found that Waddell had been guilty of some examples of gross misconduct so his summary dismissal was lawful.

‘The claim for wrongful dismissal therefore fails,’ the judge said.


The judgement follows a seven-week trial at the High Court in London which began in February. Car Dealer covered the case extensively.

Waddell grew up in care in Glasgow and was homeless as a teenager but became a used car salesman and set up Big Motoring World.

He claimed he only appears to shout at employees because he is deaf and said that because of his dyslexia he uses nicknames to help him remember people.

Alan Gourgey, KC, representing Waddell, earlier described the sacking as a plot to oust Waddell organised by Vaughan and others.

He said: ‘The steps taken were invalid and Mr Waddell was wrongfully excluded and removed.

‘We contend the steps taken, the investigation, suspension and dismissal of Mr Waddell all took place pursuant to a carefully conceived plan.

‘A plan which was not disclosed to Mr Waddell – this all took place behind his back.

‘Mr Waddell was not given an opportunity to present his case and that investigation was unfair and discriminatory in relation to his disabilities.’

James Laddie, KC, for Bluebell cars, claimed Waddell ran Big Motoring World as a ‘fiefdom’.

He said: ’No one could fail to be impressed by the success of Mr Waddell as a businessman – even more so given the challenges he had to overcome in order to reach the position in life he did.

‘He got there through skill, determination, and force of personality.

‘He created a major business but in doing so he created a fiefdom.

‘A work place that took no dissent and where, due to the control he had over the business he was also unfortunately free to give vent to the sexist, racist and bullying aspects of his character.

‘He was effectively unchecked in his ability to do so by virtue of the power he wielded at the helm of the organisation.

‘That sort of behaviour simply cannot be tolerated in the leader of a 21st century business especially one regulated by the financial conduct authority.

‘The steps taken to exclude Mr Waddell from his business were taken after an investigation that was comprehensive and looked at in the round entirely fair.

‘And the removal of Mr Waddell from his business was nothing less than he deserved.’

£600,000 salary

Vaughan, who took over from Waddell on a £600,000 salary, denied ousting the former CEO saying he could have ‘got any job I wanted’.

He said: ’There was always quite a lot of churn because of the kind of business I was doing.

‘If I’d wanted more income I could have found more roles. I am approached very regularly for roles.

‘If I’d wanted to earn more money I could have.

‘Every job I’ve applied for in the last 30 years I’ve got.’

After being dismissed Waddell invested in Big Transport Limited, but later resigned.

Mr Justice Marcus Smith said that the company’s misconduct process had failed and many of the incidents were never the subject of the grievance process.

The judge said it was significant that minority shareholder Freshstream waited until March 2024 to act against Waddell.

He said: ‘Mr Waddell was confident and assertive in his business. He enjoyed the car business, and felt in his comfort zone. He is a highly intelligent man, if not an intellectual.

‘His attention to detail within the business was minute and driven. Within the business, Mr Waddell liked socialising, and saw Big as a family.

’However, it was a family with Mr Waddell very much at its head, and I am in no doubt that Mr Waddell’s employees did not entirely reciprocate these warm feelings.

‘Mr Waddell was also very good at his job, and he expected high standards from his staff.

‘Thus, whilst Mr Waddell could be generous to staff, he was also demanding and – when crossed – capable of losing his temper

‘I am in no doubt that Mr Waddell could lose his temper, and did so on multiple occasions. I am satisfied that when he did, his language could be unpleasant.

‘Nor do I accept that every time Mr Waddell shouted or used unpleasant language, he did so because he had lost his temper.

‘Mr Waddell has a domineering and controlling personality. He leads from the front, and he imposes his will on those around him.

‘There was an extensive CCTV system throughout Big, and Mr Waddell used it as a tool of control to monitor and improve performance.’

Incidents

The judge said Waddell used nicknames ‘as a means of control’ and ‘putting subordinates in their place’.

The judge found that when interviewing a woman for the role of compliance officer Waddell told her ‘I’ve got other brown friends too.’

But he found that Waddell did not bully an employee causing them to leave as had been alleged.

The judge said Waddell had told an employee to ‘go and talk to the brown one and tell her to get off the phone.’

He also found that Waddell’s comment in a meeting that ‘we get three weeks out of four’ in relation to female staff’s menstrual cycles, did not amount to harassment.

Waddell also asked staff at a team meeting who had recently had sex, the judge said.

In October 2023 Waddell told a cleaner ‘I bet you’d like to suck my d**k as well but I’m a married man’ while reprimanding her for her parking.

The judge said this was a case of gross misconduct justifying dismissal.

Waddell also referred to Hindus as ‘Hyundais’, the judge said.

The judge said Mr Waddell stroked a female employee on the back and told her ‘you should be glad I am a married man.’

He later told her she looked ‘absolutely ravishing’ referring to her as ‘the Iron Lady’.

In January 2024 he also told a receptionist ‘that’s how I like my women – on their hands and knees.’

The judge said this was ‘bullying and harassing conduct’ with a ‘sexual element’ and said it amounted to gross misconduct.

However, Mr Justice Marcus Smith said he did not accept Mr Fardad’s claim that he was ‘taken by surprise’ when he received a list of Mr Waddell’s alleged misconduct on 1 March 2024.

‘The plan to remove Mr Waddell by misconduct had been going on for two months,’ the judge said.

The judge said the company did not breach the Equality Act in the deadline by giving Waddell a short deadline to respond to claims despite his dyslexia.

But he said there was a ‘bad faith attempt’ by Vaughan and Fardad to accelerate the misconduct proceedings against Waddell.

The judge said: ‘Neither Big nor Freshstream had any interest in reforming Mr Waddell: they wanted him gone.

‘It is, therefore, tempting to say that what Big should have done is not summarily dismiss Mr Waddell in April 2024, but give him the talking to and final warning that should have occurred months previously.

‘That is a temptation I have resisted. It was for Big to decide whether to accept Mr Waddell’s repudiatory breach of contract.

‘Having found such repudiatory breaches to exist, the acceptance of the repudiation cannot be revisited and Mr Waddell has been summarily dismissed.’

What happens next?

The judgment does not immediately return Waddell to the management of Big Motoring World, award him damages or require Freshstream to sell its stake.

A further hearing will now be required to deal with the consequences of the ruling and outstanding matters. The judgment did not determine the final remedy to be awarded to Waddell’s holding company either.

Waddell will meanwhile be required to return certain company documents to Big Motoring World after the court rejected the wrongful-dismissal claim on which his refusal to return them had been based. The manner in which the documents are returned is to be agreed between the parties.

The approved judgment runs to 498 pages and follows a trial heard over several weeks between February 16 and April 1.

Comments from both sides on the case can be found here: Who won what? Waddell and Big Motoring World both claim victory after High Court ruling.

Reporting: Central News and Car Dealer staff

James Baggott's avatar

James is the founder and editor-in-chief of Car Dealer Magazine, and CEO of parent company Baize Group. James has been a motoring journalist for more than 20 years writing about cars and the car industry.



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