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Deepak (NA)     19 December 2011

Leagl action against bond break

Hi Experts,

I joined with a MNC software company in india in MArch'2010 as Project Trainee Engineer. the company has signed me a bond on Rs 10/ Rs 20 rupee stamp paper(which i dont remember clearly) of amount Rs 1 Lac for 2 years. I left the company in Oct'2010 due to some severe family problems and asked the company officials to give me 3-4 months LWP which they refused to grant and they mailed me to report immediatly that time.

After that i did not had any conversation with comapany and didnt receive any termination/abscondation letter. Now after a long time, in last week, the company is sending me a letter asking to pay the bond amount with in 10 days else they will take a legal action.

I want to ask that what type of legal action can be taken against me?

Thanks!



Learning

 7 Replies

Kumar Doab (FIN)     19 December 2011

If there is an arbitration clause in the bond signed by you company can send you notice for arbitration, and or can file civil suite.

Since the company has supplied a letter at your address company must have terminated your services and must have filed the copy of termination order in your personnel file kept with them.

Company should have supplied you a reminder/notice/communication stating either to join duties within a specified date or your services shall be terminated. Company should have supplied you termination order.

The question arises while company could supply you the recent letter mentioned by you why the company failed to supply you the reminder/notice/communication and termination order?

At a later stage company can produce the copy from their file and claim same was dispatched from their end.

Did you inform company in writing about your unavoidable family problems at home and apply for leave in writing and did you reply to the mail of company vide which company refused to grant you the leave, and do you have acknowledgment of all communications supplied by you?

It shall be appropriate to show all the records to a competent and experienced service lawyer and brief your case in detail and submit a carefully drafted and structured rely to company‘s letter, covering all points and build record in your favor. You should mention that no bond which claims to have signed by you was ever provided by you although you have been clamoring in person to get certified copies of loads of all forms/documents etc. which company made you to sign.

You may demand to examine your personnel file, in writing. You should proceed under expert advice of your lawyer.

You have committed the same mistake which majority of the employees make and suffer later.

If you can you should apply your negotiation, persistence, persuasion, reasoning skills and obtain a waiver and this shall be the quickest and easiest solution.

1 Like

Deepak (NA)     19 December 2011

hi Kumar,

Thanks for your quick response!! i appreciate it.!

Well, i want to know more about civil suite?

And comapny didnt supplied any termination letter to me.

And i had informed my manager through mails about my family problems, leave application, i have all these mail communication in my personal mail account where they refused for leave and asked to report to office.

If i go with the help of any expert lawyer, can that also end up with some negotiation? since i have read Labour law which states that Training Bonds are legal, so i may not be able to skip this situation just by hiring a lawyer.

And they have provided a phone number in their last letter. Shall i make use of it and do some negotiation for bond amount ?

In short actually, before putting my situation here, i was planning to ignore any further more communication/letter/notices to the company. how much iit can cause me later?

Kumar Doab (FIN)     19 December 2011

Did you read the bond while signing it? The amount expressed as Rs.1 Lack is as liquidated damages or cost of training?

Have you undergone some specialized training that was aimed to add to your qualification, specialized skill, and if yes what was the amount spent by company? Was it worth 1 Lack?

You can negotiate on your own or you can contest the demand of the company thru your lawyer. Choice is yours. It shall be appropriate if you record the telephonic conversation which you can use at an appropriate time in appropriate forum. While you record you must utter the date, time, phone number from which you are calling and phone number at which you are calling, reference number of the letter received by you and date in which company has given the phone number and ask the name designation department name of the company address of the person whom you negotiate.

If your company imparts training to add to your qualification etc worth Rs.1000/ and claims damages worth Rs 1 Lack it is not legal.

You need to give inputs to your lawyer and all records and if you do not have copy of the bond you need to get it and it is your right to get it. If you are not able to get it your lawyer shall get it for you.

If your company is fair and in involves with a legal bond, then it is not providing the copy to employee? How can an employee agree to pay a huge amount of Rs. 1 lack without looking at the so called legally valid bond? The amount of Rs. 1 lack is equivalent to salary of how many months? At the end of the day would you be getting salary from company or paying salary to the company?

You may proceed as deemed fit at your end.

 

1 Like

Deepak (NA)     20 December 2011

Hi Kumar,

Will that be ok if i post the bond paper here as image after removing some direct info?

Kumar Doab (FIN)     20 December 2011

You may post the bond and copy of emails you have exchanged and letter you have received.

However it shall be appropriate to consult your lawyer with all records as your lawyer may need some inputs which you can give in person.

1 Like

Deepak (NA)     20 December 2011

Can you please suggest some expert lawyer in banglore to consult with since i dont have any links?

Kumar Doab (FIN)     20 December 2011

Regret not aware of any lawyer at Banglore.

Your near and dear ones, colleagues, elders can guide you to an able lawyer.

If you wish you can approach LCI lawyers. Name of some of the lawyers is featured on the bottom of this page. You may visit the profile and connect.

It is always beneficial to have access to a trained legal mind/lawyer/law firm at your location. A wise advice in time can protect from legal trap and losses.

1 Like

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