Kinnear was sacked just a month ago
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Joe Kinnear is considering legal action over his sacking by Luton, who appointed Mike Newell to succeed him as manager after a telephone vote last
week.
The Hatters claim the letters of dismissal received by Kinnear and his number two Mick Harford last month were merely the result of a "misunderstanding".
But Newell was still appointed manager after beating the former Wimbledon boss in a poll of Luton players, season ticket holders, directors, shareholders and
supporters.
Now Kinnear is considering court action, claiming he is owed two months wages.
He told BBC Three Counties Radio: "I didn't want it to go down this route to be honest. It doesn't solve anything but there's nothing left for me to do."
Kinnear was apparently employed on a lucrative personal contract by Mike Watson-Challis, who resigned as Hatters chairman following a takeover by a consortium of anonymous investors.
Luton claim the consultant who signed his letter of dismissal had no authority to do so, and managing director John Gurney offered Kinnear a two-year deal to return if he won the telephone poll.
But Kinnear said: "He (Gurney) had 101 different things in the contract. There was gobbledegook like 'he does this, you will do this, he will do that'. But I'm not a puppet manager."
Kinnear claims his request for more time so a solicitor could examine the document was refused.
He also criticised Gurney's handling of the affair, saying: "The three occasions I've tried to fix up meetings with Gurney he's not bothered to turn up."
Despite the threat of legal action, Kinnear admitted he
consider returning to the club if Luton were under different ownership.
"Most certainly so in the future if the opportunity arises.
"I've had two smashing seasons at Luton and loved every minute of it. I'm a loyal person. I had 10 years at Wimbledon."