Issue link: https://maltatoday.uberflip.com/i/1538811
8 maltatoday | SUNDAY • 24 AUGUST 2025 OPINION & LAW A former aviation manager has won over €32,000 after a Maltese court ruled his employer broke a promise to renew his contract, despite claiming he'd walk away. This was confirmed in the judg- ment lawyer Charlene Baldacchino Gau- ci in the representation of Adrien Mal- gonne vs HOSI Malta Limited, decided on 31 July 2025 by Judge Henri Mizzi. Adrien Malgonne was employed by HO- SI Malta Ltd but seconded to work with Heliconia Aero Solution, a Moroccan avi- ation company. His fixed-term contract, running from January 2017 to December 2018, paid €11,808 per month. Although Heliconia was the entity where he worked on a daily baiss, HOSI was his formal em- ployer. In November 2017, the contract was amended to include a "pay-off" clause. If Heliconia terminated the contract, de- cided not to renew it or failed to replace it with another contract, HOSI would pay Malgonne a lump sum equal to three weeks' salary for each year of service, cal- culated from his start in the Heliconia group in February 2014. In 2017, HOSI underwent restructuring, prompting Malgonne to seek assurances about his future. He was told by HOSI's chairman, Daniel Sigaud that a new con- tract would be finalised, reflecting updated responsibilities, work patterns and salary. Between January and June 2018, Mal- gonne and his direct manager, Julien Hoff, repeatedly tried to initiate discussions with Heliconia's leadership about renewing or revising his contract. These efforts were unsuccessful, with CEO Chris Krajewski and HR Director Carlien Arents not en- gaging with him. In May 2018, Malgonne met Krajewski. Krajewski claimed Malgonne stated out- right that he did not intend to renew his contract. Malgonne denied this, saying he merely indicated he could not continue under the same conditions and wanted a renegotiation. No written record of this meeting existed, and Arents, who was said to have been informed of the conversation, did not testify. By mid-2018, Heliconia had hired some- one, which Malgonne took as confirma- tion no contract renewal was planned. He continued working until his contract expired in December 2018, providing a handover to the new hire. Malgonne maintained that the second condition, the non-renewal by decision of Heliconia applied. He argued that despite months of requests to open renewal talks, Heliconia's management ignored him and eventually hired his replacement before his contract ended. From his perspective, this clearly amounted to a decision not to renew, making him entitled to the €32,699 pay-off. HOSI rejected this view on two main grounds. Their first defence was unen- forceability. They claimed the clause was legally void because Heliconia, the entity that would actually decide on the renewal, was not a signatory to the contract, mak- ing the scenarios in the clause "inconceiv- able" in law. Their second line of defence was that, even if the clause is valid, the company ar- gued that the clause did not apply because Malgonne himself had told Heliconia's CEO, he would not renew his contract. According to them, this meant the non-re- newal was his initiative, not theirs, and thus outside the clause's scope. HOSI also argued that Maltese courts lacked jurisdiction. The court dismissed HOSI's preliminary objection that Maltese courts had no juris- diction since the company was domiciled in Malta. Furthermore, the contract itself contained a jurisdiction clause granting Maltese courts non-exclusive authority over disputes. The court also disagreed with HOSI's argument that the severance clause add- ed in November 2017 was unenforcea- ble because it referred to decisions made by Heliconia, which was not a signatory to the contract. The court noted that the contract explicitly described the second- ment arrangement—Malgonne was for- mally employed by HOSI but seconded to Heliconia. HOSI had voluntarily assumed liabili- ty for situations arising from Heliconia's actions, including termination or non-re- newal. The court also examined the conflicting accounts of the 11 May meeting between Malgonne and Heliconia's CEO. The court emphasised that there was no written record by Krajewski or anyone else confirming Malgonne's alleged refusal. Witnesses such as Julien Hoff and share- holder Aurelie Giraud described repeat- ed efforts by Malgonne to secure renewal talks. The court found Malgonne's version more believable. The court held that even if Malgonne had expressed a reluctance to continue under the same terms, it was still up to Heliconia to follow through on the promise to offer a renewed or revised contract, as stated in prior correspondence from the company chairman. No such of- fer was ever made. HOSI argued the payment should be cal- culated only from 2017, when Malgonne first signed a contract directly with it. The court rejected this, noting that the clause expressly stated the calculation should start from his entry into the Heliconia group on 1 February 2014. The court ordered HOSI to pay Mal- gonne €32,699 plus legal interest from the judgment date, and to bear the costs of the case. MALCOLM MIFSUD Mifsud & Mifsud Advocates Secondment clause enforced CONFERENCE tourism has an outsized economic impact. Business visitors tend to spend more than double the average tour- ist, and this premium spending has driven overall tourism revenue to an impressive €3.3 billion in 2024—a 23% year-on-year increase. Importantly, it's also flattening seasonality with major events hosted in the quieter months. Hotels report occupancy spikes of up to 20% between October and March. These results aren't just impressive— they're sustainable. They show what hap- pens when a country shifts from volume to value, focusing on quality, resilience, and long-term return. Over the past few years, the meetings, incentives, conferences and exhibitions (MICE) sector has moved from post-pan- demic recovery to record performance. While tourist arrivals in 2024 reached a record 3.56 million, 172,463 of those visi- tors travelled for business and professional purposes—an increase of 10% from the pre- vious year. This increase speaks volumes about the growing international confidence in Malta as an event destination. The importance of this shift goes well beyond top-line figures. Conference tour- ism has proven to be a resilient and prof- itable sector. Delegates don't just attend events but invest in the country. A 2022 study by E-Cubed Consultants revealed that the SiGMA conference alone gener- ated enough activity to sustain around 950 jobs across multiple sectors for an entire year. This isn't an isolated case. Malta has successfully hosted several high-profile international gatherings, including the Fi- nance Malta Conference, the WestMED Blue Economy Stakeholder Conference, the Mediterranean Tourism Forum, the EU-Startups Summit, and the ITU Global Innovation Forum. These events do more than fill hotel rooms—they position Malta as a serious player in innovation, finance, and global collaboration. Supporting this growth is an events infra- structure that has steadily matured. Over recent years, upgrades to several key facil- ities have created the capacity to host large- scale events with world-class technical set- ups, while still showcasing Malta's unique architectural charm and cultural heritage. These venues don't operate in isolation. They're part of a broader ecosystem that includes high-standard accommodation, experienced logistics providers, and a hos- pitality sector that consistently punches above its weight. The collective ability to deliver seamless, high-quality experiences is one of the island's greatest assets in the international events market. Yet for all the progress made, the next step in Malta's journey is clear—it's time to think bigger, more permanently. As inter- national demand grows and event formats become increasingly ambitious, the case for a purpose-built national conference centre with a seating capacity exceeding 5,000 be- comes stronger. A modern facility designed with scale, sustainability, and future-proof- ing in mind would not only relieve pressure on existing infrastructure but also position Malta to attract global flagship events that currently bypass smaller destinations. This kind of success doesn't happen by chance. It stems from a long-term vision to elevate the quality of Malta's tourism product. Through ongoing support for conferences and expos, the Malta Tour- ism Authority has played a central role in nurturing this sector, helping it mature into one of the most lucrative pillars of the tour- ism economy. This sector is also helping to attract long- term investment. Several fintech and block- chain companies that first visited Malta as conference attendees have since opened offices here. These are clear signs that the MICE industry is not just generating in- come—it is shaping the future of Malta's economic base. Rodrick Zerafa MICE: More than just numbers CEO at Servizzi Ewropej Malta This kind of success doesn't happen by chance. It stems from a long-term vision to elevate the quality of Malta's tourism product.