Dear Sir,
Thank you very much for your advice ,please find below the service agreement ,Sir please i need your valuable advice on this .
SERVICE AGREEMENT (BOND) Category - C300
THIS INDENTURE is made on this _____________ (date of joining) between
_______________________________________ (Name of the Trainee), Son of /
Daughter of ______________________________________ (Parent’s name), Indian
inhabitant, residing at (Permanent Address): _______________________________
_____________________________________________________________________
_____________________________________________________________________
and hereinafter called the ‘Trainee’ (which expression shall unless it be repugnant to
the context or meaning thereof mean and include his/her heirs, executors and
administrators) of the FIRST PART;
AND
__ and hereinafter called the ‘Company’ (which expression shall unless it be
repugnant to the context or meaning thereof mean and include heirs, executors and
administrators) of the SECOND PART;
AND
___________________________________________ (Name of the Guarantor),
Indian inhabitant, residing at (Permanent Address) __________________________
_____________________________________________________________________
_____________________________________________________________________
and hereinafter called the ‘Guarantor’ (which expression shall unless it be repugnant
to the context or meaning thereof mean and include his/her heirs, executors and
administrators) of the THIRD PART;
WHEREAS the Company has agreed to recruit the Trainee to pursue a Training
Program offered by the Company for a duration of 12 Months or any further
extension thereto on a monthly consolidated stipend of Rs____________
) at the discretion of the Company (hereinafter for brevity sake
referred to as “the training”).
AND WHEREAS the Company is going to impart exposure and experience to the
Trainee during the course of the training and is also going to spend certain sums of
money on the Trainee and, the Trainee has agreed to the terms and conditions
hereinafter contained as well as in the Offer Letter issued to him / her;
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AND WHEREAS the Guarantor has agreed to guarantee the due observance and
performance of the terms and conditions herein contained on the part of the Trainee
without any breach or violation;
AND WHEREAS in order to assure itself, the Company has requested the Trainee
and the Guarantor to sign and execute this Service Agreement (Bond) as hereinafter
appearing.
NOW THIS INDENTURE WITNESSETH THAT IN CONSIDERATION OF
THE PREMISES, THE TRAINEE AND THE GUARANTOR DO AND EACH
OF THEM BOTH HEREBY AGREE, UNDERTAKE AND COVENANT WITH
THE COMPANY THAT:-
1. The Trainee has understood his / her responsibility and agreed to acquire knowledge and in the event he / she is offered employment with the Company post completion of the training, transmit the skills, knowledge and experience gained during the training to his / her colleagues, and to use the skills, and knowledge acquired in the training on the job.
2. The Trainee has agreed to diligently attend and complete the training to the satisfaction of the Company.
3. The Trainee has agreed and undertaken with the Company that after the successful completion of the training, in the event he / she is selected to be employed with the Company, he / she will faithfully serve the Company in whatever position he / she may be placed in by the Company for a minimum period of one year from the date of such appointment with the Company. The trainee further agrees and confirms that he / she will not engage in a similar business as that of the Company as an employee on any basis or in any other capacity whatsoever for a minimum of one year after ceasing to be in the Company’s employment on account of his / her leaving the Company for whatsoever reason including but not limited to resignation or dismissal or removal by the Company as aforesaid.
4. The Trainee agrees and undertakes that he / she shall not, directly or indirectly, either during the term of his / her training or thereafter, and in the event he / she is selected for appointment with the Company, during such appointment or thereafter disclose to anyone (except in the regular course of the Company’s business or as required by law), or use in any manner, any information acquired by the Trainee during his / her employment and training by the Company with respect to any clients, customers of the Company or any confidential aspect of the Company’s operations or affairs. Information subject to the provisions of this paragraph shall include, without limitation product information, process information, customer lists, supplier lists, etc., Company policies and procedures and financial information (including results, budgets and other financial plans and systems not already available with the public).
5. The Trainee with an intent to build his / her heirs, executors, administrators and legal representatives do hereby covenant with the Company that the Trainee shall from time to time and at all times keep the Company saved, harmless and indemnified from and against any loss or damage, sustained by the Company (the Computation whereof by the Company shall be final and binding on and be accepted by the Trainee/Employee without any demur or contestation) by virtue of the Trainee for any reason whatsoever not diligently attending and completing the training to the satisfaction of the Company and/or not continuing to serve the Company for a period of one year from the date of his / her appointment in regular employment (in the event, if he/she is offered the same) or divulgence, passing on, transfer, use, application or implementation by the Trainee of any information, details, data knowledge, techniques or names of the business, trade, administration, policies, management techniques, or relating to any matters or things connected to or with the Company procured, received, acquired or known by the Trainee as hereinbefore stated as also for the costs and expenses which the Company may have to initiate for enforcement of the terms, conditions and covenants herein contained.
6. The Company has at all times lien over and the authority of appropriating towards the recovery of the sum mentioned herein below, and any / all amounts receivable by the trainee / employee from the Company by way of stipend / salary, arrears of stipend / salary and all other types of remuneration, allowances and terminal benefits.
7. In the event of default or breach of any of the terms and conditions herein contained, the Trainee unconditionally agrees and undertakes to forthwith pay to the Company on demand a sum equivalent to Rs. 100000 as liquidated damages to the Company which is inclusive of the costs and expenses incurred by the Company for the Trainee and in the default of such payment within fifteen days from the date of demand with interest thereon at the rate of 12% per annum till payment or realization.
8. Notwithstanding anything contained hereinabove, the Company solely reserves the right to terminate the services of the Trainee at any time, with one month’s notice or pay in lieu or without prior notice at its discretion and take penal action as per the laws of the country, for breach of trust/agreement (terms and conditionsherein contained) / on account of non-performance, gross negligence/indiscipline/ non-adherence to the Company’s rules and regulations as revised from time to time in addition to any other action/inaction of the Trainee which is detrimental to the interest of the Company. The notice period upon absorption of the trainee in regular employment subject to successful completion of the training period is three months on either side.
9. The Guarantor do hereby agree that in the event of the Trainee in any manner and for any reason whatsoever committing breach or violation of any of the terms and conditions herein contained, the Guarantor shall forthwith on demand by the Company pay unto the Company the amount of the expenses incurred by the Company for the Training of the Trainee as may be certified by the Company ( which certificate the Guarantor agrees to accept without any demur or contestation ) together with the amount of liquidated damages in the sum of Rs. Rs. 100000/- together with the 18% interest thereon as aforesaid and the Guarantor do hereby further agrees that the liability of the Guarantor shall be joint and several with that of the Trainee and that any change or variation of the terms and conditions herein contained as between the Company and the Trainee or condonation or waiver by the Company of any breach by the Trainee of the terms and conditions herein contained or the rights of the Company hereunder, shall not absolve the Guarantor of his/her obligations herein in any manner whatsoever unless so done expressly in writing by the Company.
10. All Disputes or controversies or claims arising out of this Agreement shall be
resolved as and by way of Arbitration only. The Arbitral Tribunal shall consist of
a Sole Arbitrator, to be appointed by the Company. The Arbitration proceedings
shall be governed by The Arbitration and Conciliation Act 1996. The Language
of Arbitration shall be English and the venue of Arbitration shall be at Mumbai.
The award of Arbitration shall be final and binding on the parties of this
Agreement. It is agreed by and between the parties hereto that this Agreement
shall be subject to the exclusive jurisdiction of the courts of Mumbai.
Name & Signature of the `Trainee’:
Name:_________________________________________ Signature:
Name & Signature of the `Guarantor’:
Name::________________________________________ Signature:
For & On Behalf of the Company:
( Authorized Signatory )
Place: Mumbai
Date: _________
Witnesses:
1. Name: _______________________________________ Signature:
2. Name: _______________________________________ Signature:
thank you