I hired a fresher and gave Job with Contract for 1 Year. If she is leaving the Job Before 1 Year. She has to Pay Lease Breakage of 200000. (2 Lakh). But She suddenly discontinued the Job after 4 Months and Sent a Mail that her Health Condition is not Good and she cannot continue her Job. Company lost a Resource and Whatever Money we have Spent on her training become Waste. I was forced to replace another Resource with higher Cost. Company Lost so much money because of that. Is there a Way ..I can get the Lease Breakage amount from her. Please Advice. Thanks, Nagappan
First answer received in 10 minutes.
Lawyers are available now to answer your questions.
1) issue the fresher legal notice to pay sum of Rs 2 lakhs as she left your organisation before expiry of period of one year
2) mention that company had spent money on her training and on account of her failure to work during the contract period company had to incur expense of hiring and training another employee
3) if fresher fails to pay filesuit to recover the money with interest
1. Unless the employer invests considerable money in training the employee such restraint clause does not have any binding force.
2.In any event agreement in restraint of trade/profession is not valid.
3. there is no need to run after this candidate as you will have to make more expenses to recover the money mentioned in the agreement.
4.In future you may keep some security to ensure the stipulated service by the employee.
Sir, You can file recovery suit against for Rs.2 lakh as she discontinued working. But, I need to see your offer terms and conditions before suggesting legal remedy.
Thanks,
Adv.Niranjan,
mobile - .
It is legal in India to work with bonds that prescribe a reasonable penalty as compensation in case of breach. Bonds that are prima facie unconscionable are illegal. An employer expends resources to train his employee and hone his skills. Under contract law, a contract is invalid if it has been made by subjecting the other party to coercion, fraud, misrepresentation, or undue influence. A contract will also be invalid if it has been by mistake. However, an agreement that is entered into with free will; and without any of these invalidating criteria, is valid and legally binding.
In the event of breach of a contract, courts calculate damages by taking into account the actual loss that is borne by the employer. Actual loss suffered by the employer includes the expenses incurred in employee training and the loss suffered by violation of mandatory serving period stipulated in the employment bond.
In view of the above considerations, it is safe to conclude that contrary to the popular notion, employment bonds are not inherently void or invalid. Their enforce-ability depends upon the terms stipulated by them which, if not excessive or unreasonable, are perfectly capable of being legally enforced.
