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Ernst & Young has defended terminating a senior partner who was charged with assault after hours spent drinking with staff and clients, on the basis his conduct was likely to harm the firm's interests.

At the time, EY faced circumstances in which, "even more than usual, the potential for scrutiny of the firm and brand damage arising from the conduct of a partner was significant", ACT Supreme Court Justice David Mossop accepted.

The transaction tax team partner had rejoined EY in December 2021, having previously worked for it between 2013 and 2015. In November 2023 EY terminated his partnership after he was charged with common assault, following an altercation with a bar manager that was captured on CCTV.

In doing so, EY relied on the "just cause" provisions of its partnership agreement, which were defined as "any breach" of the regulations attached to the agreement, or any act that was "in the sole opinion of the Country Managing Partner, of such a nature that the relevant Partner's continuance as a Partner is likely to harm significantly the interests of the Firm or any Associated Entity"...