CANVEY Town Council will fight claims it forced its former town clerk to quit – but could be forced to pay out up to £66,200 if it loses.

Julie Abel, the fledgling council’s first town clerk, lodged a complaint of constructive dismissal last month after quitting the £47,000 a year post in June.

Now, after seeking legal advice, councillors have decided they have a strong case and are planning to challenge the claim at an employment tribunal.

Dave Blackwell, chairman of the personnel committee, said: “We are going to contest it 100 per cent.

“It’s going to be a bit of a legal wrangle, but our solicitors are more than confident we have got a strong case.”

The town council says it is covered by insurance, so taxpayers will not foot the bill for the claim. Nevertheless, Mr Blackwell admitted it was not ideal that councillors would be spending time and energy on fighting the case.

He said: “It just puts a spanner in the works when you’re trying to achieve something.”

The maximum amount a disgruntled employee can claim for constructive or unfair dismissal is £66,200.

Employment law expert Vital Ruwala, managing director of Ilford-based solicitors Employment Law Specialists, said: “Constructive dismissal may be claimed where an employee resigns in consequence of a fundamental breach of contract by his or her employer.

“This may be a breach of an express term, such as working hours, or an implied term such as the implied term of mutual trust and confidence.”

Problems at the town council first came to light in March when Mrs Abel clashed with councillors over plans to hold an Armed Forces day.

Many councillors were frustrated the town council, which was set up in May 2007, was not achieving results. They were behind staging the event, but Mrs Abel felt it would be impossible for herself and her part-time assistant, the only two members of staff at the time, to dedicate sufficient time to make the day a success.

Mrs Abel is thought to have gone off with stress a few days later and did not return to her post before she resigned in June. Mrs Abel has said she was unhappy about taking the action, but the council had a responsibility as an employer to comply with employment law.