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Service agreement

(Querist) 20 January 2015 This query is : Resolved 
Hi All,

I need a major advice from you all.

I was working with a small private firm in Bangalore which made me sign a bond of 18 months and as a security deposited my Class 10th and 12th certificates. The compensation that the employee had to pay was 1.8 lacs if he breaks the bond. The pay was also very minimal there (only 5.3k monthly in 2011).

I had no options but to join at that time but later I left that company just like that and was not able to reclaim my documents as they were asking for 1.8 lacs.I served this company only for 3 months. (In a way I absconded from work)

I got a better opprotunity and I found a new job. Once I got a call from that company and they wanted me to talk and negotiate on the terms of the pay but I told that I would not be able to pay any amount.

Now I need to get my documents back and its almost been 3-4 years since then.

If I contact them will that in anyways hamper my current job if they find out where I am working ?
Or will I have to pay the amount ?

Please can you all advise if in any way I can claim back my document.

The bond copy that they made me sign is with them and I do not have the copy of it as they did not give.

Please suggest me what to do.

They have not takes any action in regards to the service agreement.

Another option for me would be to get a duplicate copy issued from my Board, but if there is any way if I can get the same copy back from them that would be great as due to some hectic work schedule I am unable to travel and complete the process of getting a duplicate copy issued from my Board.


Please advice on this

many thanks

Kumar Doab (Expert) 20 January 2015
1. The state of Kerala had notified the Min. Wages for IT employees. Like wise Karnataka might have notified the Min. Wages for IT employees too........
Otherwise also Rs.5300/pm seems to be below Min. Wages and employer can be penalized………..thru Inspector appointed under this Act as well as Inspector appointed under Karnataka Shops and Commercial Establishments Act……………..
You can check further from many of the IT/ITeS employees unions, Trade Unions list of which is available at Dept. of Labor website of Karnataka also and includes AITUC/INTUC/BMS,CITU etc…..o/o Labor Commissioner that circulates such notifications, Labor Law Consultant/Service matters lawyers/HR consultants………

2. Did the company supply the salary slips each month showing statutory deduction of PF,ESIC? If No; it have violated the Payment of wages Act;Sec13A………and Inspector appointed under this Act can proceed to penalize………the record has to be maintained for 3years…..
You shall be covered by this Act…..

3. Then the employer has to maintain various forms/registers pertaining to payment of wages,attendance,OT etc under Karnataka Shops and Commercial Establishments Rules and Inspector appointed under this Act can act to penalize the company……………
You can demand the copies thru Inspector and also pursue RTI route…..
4. Did the company pay OT for extra hours, double wages for national/gazetted holidays, compensatory off etc…..i.e. beyond 8 hrs/day…48 hrs/week…….and the cap on OT hours is explained in Shops and Commercial Establishments Act………..
5. Did the company provide PF,ESIC,bonus?
You are eligible for all…….and can demand PF number and a/c slips, ESIC number/card, payment of Bonus…..and lodge complaint thru RPFC in nearest PF office, jurisdictional ESIC office, o/o Labor commissioner….
6. Did the company supply Form16? If No you can lodge complaint with jurisdictional CIT-TDS, and ITO-TDS where you file ITR…….

7. Did the company issue appointment letter? If NO it is violation of Karnataka Shops and Commercial Establishments Act………
The Labor Inspector in local o/o Labor Commissioner might also be functioning as Inspector under all above mentioned Acts…

8. You must show all docs on record to an able labor Law Consultant/Service matters lawyer/Law firm including job advt.,job application,interview call leter,selection letter, offer letter,appointment letter, HR policy/Service Rules and regulations and any other rule/policy mentioned in appointment letter, Employee handbook,Bond, all communications on record, awards/rewards,appreciations, business/revenue/profits fetched by you……………..etc before you proceed further and start writing to the company……………..and preferably let your lawyer draft your representations……..
The Bond was drafted in lieu of what extra Ordinary favor by the company e.g. some certified training from some certified Instt. That added to the qualification? Is the reason for the bond stated in Bond? When was the Bond was placed before you ; before or after signing appointment letter and was it stated in any of the communication that on joining you will have to sign the bond due to reason……..?
The liquidated damages stated in the Bond may not necessarily have to be paid on demand and may have to be proved………………….

If there was no such consideration your lawyer opine that BOND was unconscionable, unreasonable, illegal,VOID…….

Your lawyer may opine to mention that some document is claimed as signed by you and some monies are being demanded from you, without supplying the certified copy of the document to you and it should be supplied at once so as to go thru it…………………….and that you has posted the resignation by post and attach the copy……



Before that you should ( preferably as per draft prepared by your lawyer…..and if and only if your lawyer advices for it……addressed to good offices of appointing authority/MD) in a gentle manner decline stating NO training or extra Ordinary favor was granted to you for which Bond was envisaged, and you have contributed (highlight everything) hence good offices of appointing authority should take back the demand of Bond amounts…………………………and thereafter cite prorated amounts too in a language that can be perceived as if you are forced………….


You may find the following threads as relevant…..


http://www.lawyersclubindia.com/experts/Relieving-from-my-company-514871.asp#.VL4g7ISUcqM


http://www.lawyersclubindia.com/experts/Software-employment-bond-510346.asp#.VL4kvoSUcqM


9. The notice period for 3 months of service as per Karnataka Shops and Commercial Establishments Act is NIL>>>>hence no notice pay can be adjusted in FnF statement.

10 The company is calling you so as to try and extract the monies without giving any opportunity to you for contesting them……..
Have you recorded the calls and meetings?
You can rightfully take a Union Leader with you…..

11. The company can not have any lien on original certificates that is your property and in threads with similar queries employees have affirmed that even a call by Havaldar/Munshi/ASI was sufficient for the company to release the certificates at once……

You may reply to all points pointwise..
Anand Bali Adv. (Expert) 20 January 2015
1. The bond is illegal and can not be enforced by Law against you.
2. Only three month's salary they can deduct out of your pending Full and final.
3. No body can retain your certificates and mark sheets as it it illegal and you can file a criminal complaint against them by name of company and persons both.
4. You are required to first send a legal notice to the company mentioning that nothing extra for the training and building your work skills better have been done from them as to how the given bond is not operative against you and if they do not comply with it and return your documents you file a police complaint against them for holding your documents illegally.
Kumar Doab (Expert) 20 January 2015

The notice period for 3 months of service as per Karnataka Shops and Commercial Establishments Act is NIL>>>>hence no notice pay can be adjusted in FnF statement.

The company can not deduct a penny leave apart 3 months salary...

Abscondment is misconduct and company can terminate citing misconduct and loss of lein on employment........and has to issue show cause notice, provide natural justice.........and supply service certificate with payment of FnF wages on last day in office....


It has already been pointed out how to handle it.
Anupam (Querist) 20 January 2015
Hi All,

Many thanks for your suggestions.

I have absconded so can I ask them now after 2-3 years to return my marksheets ?

And in such case can they in any possible way cause any harm on my current employment ?

And if three months pay is required would that be what I was getting that time ?

In addition to above I did not server any notice period and 18 months was the bond period.

Please let me know whether I should approach that company legally and file a complaint if they disagree to return my marksheets otherwise, or else I should somehow get duplicate copies issued from my board.

And also should I demand them to send a copy of the bond which they had made me sign ?



Thanks for your help
Guest (Expert) 20 January 2015
Your mark sheet is your personal property, the employer does not have the right to detain that with him. You can ask for return. Other things rests on your service conditions with that organisation.
Rajendra K Goyal (Expert) 21 January 2015
Ask for return of your marks sheets, these are your personal property.
Guest (Expert) 21 January 2015
Well Advised by Experts Mr.Kumar Doab,And Mr.P.S.Dhingra
Anupam (Querist) 21 January 2015
Hi All,

Many thanks for your responses.

I have send a mail to the concerned person for reclaiming my documents. Will see what they reply.

Just one more thing, the bond period was 18 months and the intial salary that I drew was 5k monthly, but the bond amount they kept in case I break it was 1.8 lacs.
Also I had left in 3 months.

So is there any possiblity that they can take any legal actions again me now when they did not do anything for past 2 years?

Also if this is in any way going to affect my current employment ?



Kumar Doab (Expert) 21 January 2015
All of the queries have already been answered, including what you should do.

First thing first: Meet an able Labor Law Consultant/service Matters Lawyer and show all docs on record and give inputs in person and preferably let your counsel draft your communications so as to defend your interest in the long run..

You can stop the company to act on what they want to do and do not speculate.....

Instead prepare to handle the situation by meeting your lawyer.......

The company can not and should not approach your next/current employer as your employer has nothing to do with the matter and does not owe anything to past employer.......

YOur lawyer may opine that such act may get termed as 'Discriminatory retaliation'....

If you have not faked any thing to current employer you should not be scared......
Don't conceal anything from your lawyer so that your lawyer prepares for everything and proceeds to defend you.


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