Upgrad LLM

need a legal assistance for employment notice period

Dear sir,

I am working for private high tech semiconductor chip design firm. I have resigned on 17th january. my employer has taken signature from all the employees on 10 rupees stamp paper. the content on stamp paper is as follows:

to hide company name I am using company name as ABC.

"The provisons of this agreement are, in effect, promises you, the employee, make to ABC in consideration for entering or continuing in employment of ABC. This agreement does not, however, include a promise of perpetual or continuing employment by ABC. ABC spends a substantial amount of effort, time and money in training its employees. All of ABC's employees are "at will" employees, which means that the relationship is freely entered into by both parties and that either ABC or you, the employee may terminate the relationship at any time, with or without cause, and with or without notice. while either you or ABC may terminate the employment relatiponship at any time, you are required to provide adequete notice of minimum of 3 months to ABC prior to resignation so that ABC has time to ensure proper transition of proper job responsibilities. If employee is failed to serve the notice period, he/she is liable to pay the 3 months salary to the company. In any case, management reserves the right to decide on the notice period and notice period recovery. In the event of termination of this employment by either you or ABC, and regardless of the reason, the provisons on confidentiality and the covenant not to compete of this agreement shall survive the termination of employment i.e. shall remain in effect. No person except for the president of ABC, has the authority to enter into an agreement for employment of you on other than an "at will" basis, and even the president may only do so in writing signed by him. You should not rely on any statement by anyone to the contrary"  


Above is the word by word content written on 10 rupees stamp paper. I have signed it, because we were told to sign it or quit company.

In my resignation, I have given a notice period of 1 month rather than 3 months. I am urging them to relieve my within a month. they are saying you'll have to serve 3 months notice period. I offered them 2 months notice at maximum, they are denying for that as well. then I offered them 2 months notice period service and 3 months salary. they are saying that we dont want money but want you to serve for three months.

1) keeping in mind above content of agreement Am I entitled to serve 3 months notice period especially when I am ready to pay them money for notice period.

2) what options I have, when they are not ready for notice period buyout.

3) I requested them a lot, but they are adamant on 3 months notice period. my new employer is not ready to wait for three months. On the ground of legality where do I stand?








It is believed that all transactions regarding your offer and company's response are verbal.

You may submit your notice of resignation in writing addressed to the good offices of your appointing authority, Chairman, Head-HR, mentioning effective date of resignation. You may mention that you are willing to tender notice pay @ basic pay ( or as per your appointment letter) and the same may be computed in your FNF statement and you shall pay  only after the FNF statement is supplied to you for the payables and receivables to you, by a crossed a/c payee cheque favoring the employer company against receipt on letterhead of the company under the original seal and signature by hand of the competent authority ( which seems to be the chairman).You may mention that acknowledgment of your notice of resignation be issued to you immediately. You may cover all your representations e.g. your offer to extend the notice to two months as per requirement of the company quoted to you by Mr/Ms.............during discussion on dated........

You may request the good offices to ensure that within effective date of resignation:  charge of your post and company property is taken from you and acknowledgment is issued to you on the spot, FNF statement, settlement of dues payable to you, work experience/service certificate, relieving letter, form 16, PF number/accumulation reports/ withdrawal-transfer forms, acceptance of resignation, NOC/NDC etc may be supplied to you.

You may mention that you are willing to cooperate and train any designated employee within and up to effective date of resignation and company may make the necessary arrangements and inform the concerned employee with a copy to you immediately.

Issue reminders in writing subsequent to your notice and finally submit resignation under proper acknowledgment.

If possible you may recommend some good and deserving candidates to your bosses and thus help your employer/line management. This is usually a situation for both the employer and employee hence look for ways and means to separate amicable without any heartburn and suffering loss at your end and causing loss and inconvenience to employer/line management. This is a time when employee has to apply his rapport, goodwil, negotiating, reasoning, persuasion, persistence skills.

You may cover all points fine tune your representation/notice of resignation. Let your employer state in writing what they have been stating verbally.

Even if you have signed on stamp paper you can not be forced/coerced/pressurized to remain in employment.

Your liability is max. to tender notice pay. You may keep last salary slip, POD of notice of resignation, reminder, final resignation, attendance record, appreciation mails, incentive record, appraisal copies, employee rule book, standing orders etc safely with you,



Thanks a lot kumar sir. below are clarifications.

1) I have sent resignation on 17th january through email. for this I haven't got any response.

2) I sent few mails requesting to relieve me earlier. also in the same mail I offered them 3 months pay and two months service also. for this they replied and said that its not about money but, its about finding your replacement.

3) I again sent a humble mail requesting for my relieving date. they replied and said it will be after three months.

4) I have suggested few good ex employees of the same organization who are willing to join their team. but they are not ready to accept them. I also suggested few fresh experienced people from market. they are not willing to proceed further with them as well.

5) I offered them 2 months service, 3months salary and after service if they need help, I can help them unofficially just to make sure this matter can be resolved amicably. they are not willing to take that help as well.

6) They verbally asked me to show my new employers offer. They said if you show that offer we may relieve you earlier. this means that they can relieve me earlier, but they are just trying to harrass me.


I have email records of all above conversations. The reason why I am writing it here is they have threatened me by saying that, If you go to court, you will loose because we have your sign on stamp paper. also they said we won't leave you easily, we won't to set an example in the company.


I have been working very dedicatedly for them. when required I worked for them for 50-60 hours continuously wthout sleep to make sure we grow together and it happened. we grew together. they also believe that I have been good to them and for which they have given many appriciation letters as well. This incident of resignation disappointed me heavily and I lost my trust on all employers. the way they showed their true colours was very disappointing part.


I think the messy part here is notice period and buyout of notice period. I dont know what provisions we have in indian law against this notice period and its buyout.




IP Lawyer & Trademark Attorney

Perfectly advised by Mr. Kumar. 


Should this conversations in writing be on some legal paper or stamp paper or simple paper is fine. I just want to make sure that it happens in a very legal way. I am planning to go ahead with all suggessions made by Mr. Kumar.


Thanks again for your important suggessions.



You have posted:

-"I have email records of all above conversations." Hope this covers in writing, candidates recommended by you experienced and fresher’s, and that you are willing to cooperate even after separation.

-"they replied and said that its not about money but, its about finding your replacement."

Finding replacement is not your job. if the company can not find replacement then ideally either the reporting authority/ senior should take charge. There are instances during which some of the employers even ask to extend the notice period/relieving date since they are not able to find replacement. Like you and company are so particular about declaration on stamp paper, can the company give you a declaration o stamp paper that after 3 months notice period company shall relive you with all honors even if it is not able to find the replacement.

You may try and send this teaser in writing.

Moreover you are not separating abruptly, you are tendering a reasonably good  notice of 1 or 2 months.

-"I again sent a humble mail requesting for my relieving date. they replied and said it will be after three months."

You should mention effective date of resignation in place of asking for relieving date. Kindly do it in your next communication in writing.

-"they have threatened me by saying that, If you go to court, you will loose because we have your sign on stamp paper'

It is their funeral and let them handle it. If the situation be your lawyer shall produce even SC judgments that bond can not flaunted at the employee. You have given enough communication to cooperate with company.

You may include the name, designation, dept of personnel with date, on which this thread was given to you. In the long run this shall benefit you.

-"I worked for them for 50-60 hours’ include all of such incidences in writing and this shall help you in the long run.

Employers do not marry employees and employees should not marry company.

You may tender notice of resignation with effective date of resignation by letter by redg/speed post. You may tender notice as suitable to you and include your intention to tender notice pay for the shortfall in notice period after the receipt of FNF statement. If Your efforts do not fetch you relief you can very well approach your lawyer and your lawyer shall handle the matter.


thanks a lot sir. I'll take your suggessions and will deal with these people.




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