"(16) At about 4.30 p.m. on Thursday 11 March, Mrs Cooper returned to the shop. Miss Moor told Mrs Cooper about the incident of the tights and the tights packet, and said:
"Rebecca has taken a pair of tights. The packet is in the basket, but it is not written in the book yet."
"We'll wait till Friday to see if she pays. If she doesn't write them in the book or pay for them by Friday evening, I'll have no alternative but to sack her."
"Have you paid for all your shopping?"
"You haven't forgotten to pay for anything, have you?"
"No, I've paid for everything"
"Why have you not paid for these tights?"
"Oh, I forgot. I must have thrown the packet away this morning when I cleared out the wire basket"
"I am sorry, I don't believe you. I believe you took these with no intention of paying for them"
"... First of all, there must be established by the employer the fact of that belief; that the employer did believe it. Secondly, that the employer had in his mind reasonable grounds upon which to sustain that belief. And thirdly, we think, that the employer, at the stage at which he formed that belief on those grounds, at any rate at the final stage at which he formed that belief on those grounds, had carried out as much investigation into the matter as was reasonable in all the circumstances of the case."
" Employers suspecting an employee of misconduct justifying dismissal cannot justify their dismissal simply by stating an honest belief in his guilt. There must be reasonable grounds, and they must act reasonably in all the circumstances, having regard to equity and the substantial merits of the case. They do not have regard to equity in particular if they do not give him a fair opportunity of explaining before dismissing him. And they do not have regard to equity or the substantial merits of the case if they jump to conclusions which it would have been reasonable to postpone in all the circumstances until they had, per Arnold J in Burchell , "carried out as much investigation into the matter as was reasonable in all the circumstances of the case". That means that they must act reasonably in all the circumstances, and must make reasonable inquiries appropriate to the circumstances. If they form their belief hastily and act hastily upon it, without making the appropriate inquiries or giving the employee a fair opportunity to explain himself, their belief is not based on reasonable grounds and they are not acting reasonably."