• Initiating legal action against absconding employee

An employee of ours just sent a resignation letter and left without serving the 2 month notice period or doing any knowledge transfer. He worked on core parts of our software and it is extremely difficult to get someone new to understand the code since he never did any documentation either. Employee refusing to pay up since he saying he not bothered about relieving letter. 

What action can I take? I want to teach this person a lesson for the absolute unprofessionalism he has shown. Not serving notice + not paying + no handover / documentation of work (this has cost us most).

Please advise if through legal pressure can get something done?
Asked 6 years ago in Business Law

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15 Answers

Dear Concenred,

Yes you can file complaints under the various provision of Criminal Law. You may choose to file a complaint under Data Theft and cheating and he would be forced to come to you and do the needful as per our requirments as this person will certainly not want himself to be dragged in Criminal case - especially when he is in IT field.

SO fastest and best way is file a cheating and theft case on him.

Best of Luck

Atulay Nehra
Advocate, Noida
1308 Answers
58 Consultations

5.0 on 5.0

1. refer to the job contract if any as this is essential to fix the burden on him on breach of contract.

2.if there is no such contract then it will be very difficult to initiate legal action.

3.In breach of terms of contract one can file civil suit for damages.But if no such agreement establishing breach of agreement is most difficult job.

4.however there is no harm in sending him a legal notice and then file suit for damage so other employee may not think of emulating himin future.

Devajyoti Barman
Advocate, Kolkata
22824 Answers
488 Consultations

5.0 on 5.0

Employment is a sort of contract. As per the Indian Contract Act no contract can be enforced on any person if the contract which is being so enforced causes any harm to the person on whom it is enforced and if performed would violate principles of natural justices. The agreed terms have to be fulfilled by either party.

A company generally expects the employee to serve his full notice period, assuming he might have some responsibilities which needs handover. The conditions mentioned in the appointment letter for notice period are very important to answer such a question. If there is a non compliance happened the company can claim damages and compensation from the employee. The company has a right to PENALISE from the absconding employee. As per Sec 368 of Indian Penal Code if any person or institute holds back any document or any use any legal document or threatens any legal suits or actions and thus forces a person to perform any act against his wishes or which is illegal or wrong as per the statute of Law of the land.

The Supreme Court of India has clearly stated that no employee can be forcefully employed against his will, just because he has signed a contract with the employer. The court also has stated that the employer can not hold back any personal document of the employees as they are earned by the employees and the company has no claim on the same. And there is no bond, then company cannot claim roughly Rs.1 Lacs as recovery, even company will not have such supporting docs to prove.

Ajay N S
Advocate, Ernakulam
4073 Answers
111 Consultations

5.0 on 5.0

1) issue notice calling upon employee to pay 2 months for failure to serve the 2 months notice period

2) also call upon employee to show cause as to why he should not be declared an absconder as he left without serving the notice period

Ajay Sethi
Advocate, Mumbai
94726 Answers
7536 Consultations

5.0 on 5.0

1. Do you have a written contract executed with him? If the answer to this question is in affirmative then you can file a suit for recovery of money and damages on account of breach of contract against him in the civil court.

2. If he has also not handed over the documents of which he had the custody in his capacity as an employee of the company then you can also file a criminal complaint for criminal breach of trust and cheating under section 406/420 IPC to serve as a deterrent for other employees.

Ashish Davessar
Advocate, Jaipur
30763 Answers
972 Consultations

5.0 on 5.0

Hi,

1. As he not relieved from your company officially, you can send him legal notice asking for the clarification.

2. I need to understand the terms and conditions mentioned on the offer, so that i can suggest whether it can be criminal offence.

thanks,

niranjan,

mob - .

Niranjan
Advocate, Bangalore
844 Answers
9 Consultations

4.9 on 5.0

1) you are entitled to recover from your employee 2 months salary as per terms of your appointment letter

2) there must be clause that in case employee resigns he has to give x days of notice

3) in your case employee resigned and left organisation before acceptance of his resignation

4) you can declare employee an absconder and terminate his services

Ajay Sethi
Advocate, Mumbai
94726 Answers
7536 Consultations

5.0 on 5.0

It is the criminal offence of cheating and criminal conspiracy u/s 420,120A of IPC .

You can discuss with us for more info.

Niranjan
Advocate, Bangalore
844 Answers
9 Consultations

4.9 on 5.0

You can right away send him a legal notice with regards to his unprofessional behavior.

Regards

Anilesh Tewari
Advocate, New Delhi
18078 Answers
377 Consultations

5.0 on 5.0

This is sufficient, you can send him a legal notice and then if he fails to respond you can file a civil suit for specific performance of contract.

Regards

Anilesh Tewari
Advocate, New Delhi
18078 Answers
377 Consultations

5.0 on 5.0

he can committed an offence of cheating u/s 420 IPC. you can register FIR against him. he has caused you wrongful loss by causing delay your project.

Shivendra Pratap Singh
Advocate, Lucknow
5127 Answers
78 Consultations

4.9 on 5.0

If he is doing any damages directly or indirectly in your company then you can file case against him for damages .As per Indian Penal Code if any person or institute holds back any document or any use of any legal document or threatens any legal suits or actions and thus forces a person to perform any act against his wishes or which is illegal or wrong as per the statute of Law of the land.

In the case of compensation your company can ask as per appointment letter.

Ajay N S
Advocate, Ernakulam
4073 Answers
111 Consultations

5.0 on 5.0

What action can I take? I want to teach this person a lesson for the absolute unprofessionalism he has shown. Not serving notice + not paying + no handover / documentation of work (this has cost us most).

You have to refer to the employment offer letter for the clauses binding on the employee while he accepted the employment offer.

If he is required to pay the notice period or serve the same, you may inform him about this in your legal notice to him.

In the same notice you may instruct him to handover the company's property or else to face legal action both under civil and criminal laws on this.

You may even declare him as absconder as his resignation without following proper procedures is not in accordance with law and hence rejected.

You can engage the services of an advocate to issue a proper and strongly worded legal notice first and then initiate action as per provisions of law.

T Kalaiselvan
Advocate, Vellore
84925 Answers
2196 Consultations

5.0 on 5.0

You can recover the notice period amount alone and not the bonus paid amount.

The bonus payment is in order and you cannot make any claim over it.

The bonus amount is towards the past performance and not for future performance.

T Kalaiselvan
Advocate, Vellore
84925 Answers
2196 Consultations

5.0 on 5.0

Suit for damages on account of breach of contract is the proper remedy in your case. You can recover the bonus amount as well.

Ashish Davessar
Advocate, Jaipur
30763 Answers
972 Consultations

5.0 on 5.0

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