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Rajeev K (Manager)     28 January 2014

Odd terms of appointment letter


Dear Sirs,

I have recently attended an interview and the prospective employer has sent me the appointment letter stating that the appointment is for a fixed period of 3 years.

It further states that during the 3 years I cannot leave the services of the company but if the company so desires they can terminate my services by giving 3 months notice.

I have highlighted this anomaly to them and stated that legally the terms need to be equal to both parties and that if I cannot leave the services of the company for 3 years then the company should not terminate me for the same period. Conversely if the company can terminate my services with a notice period of 3 months then I should also have the same right.

The company has refused to change the terms.

Query - is such a one sided contract legal and binding?


 3 Replies

Rohan (Manager- Legal)     28 January 2014

Hello The beauty of the Indian Contract law is such that any thing agreed by a consenting adult on paper becomes binding (provided that the content is not illegal or logically unachievable). Here in this case, the clause in the Letter will be binding if you sign it and accept the Employment.

Avadhesh Paliwal (advocate)     28 January 2014

very good reply

Kumar Doab (FIN)     29 January 2014

The contract of employment should provide equitable discretion to both employer and employee.

Such terms in contract drafted by employer can easily be termed arbitrary.

You have the option to decline to accept such terms.

It is FTC.

If you are young then it is better to be with companies with good HR practices before you are overage.

Do not waste your youth and time with such  employers.


In case of issues approach a competent and experienced labor consultant/service lawyer.






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