• Resignation without notice

I have left the employment of the organisation and send an email stating my resignation and also the fact that I will not be serving the 2 months notice period. I have not asked for any relieving letter or documentation.

Today, I have received an email from my previous boss asking me to pay 2 months salary to them in lieu of notice period. My new employer waived my relieving letter thus I do not need it. Can my previous company take legal action for the 2 months' notice period?
Asked 8 years ago in Labour

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8 Answers

Hello,

Yes your previous employer is at the liberty to take legal action against you to pay the salary in lieu of the notice period, if the same is given in the employment agreement.

They can not charge the salary in lieu of notice period only if such clause does not exist in your employment terms.

regards

Anilesh Tewari
Advocate, New Delhi
18103 Answers
377 Consultations

You can share the copy of the employment agreement for a concrete advise.

Anilesh Tewari
Advocate, New Delhi
18103 Answers
377 Consultations

You are bound to pay 2 months salary in lieu of notice period

2) if you fail to pay your ex employer can sue you to recover said amount with interest

Ajay Sethi
Advocate, Mumbai
100075 Answers
8172 Consultations

If there is any agreement with regard to service during notice period then you are legally liable to comply with it.

If you don't then it is breach of agreement which gives rise to civil wrong for which the employer can very well file suit for damages.

However such suit is very unlikely due to time and expenses involved.

So act accordingly.

Devajyoti Barman
Advocate, Kolkata
23669 Answers
538 Consultations

Basically, they are empowered to do so in terms of the employment agreement. However, if this amount would be too less cumulatively, they aren't expected to take any legal recourse because, to do this, they'll entail generous expenses. Also, legal proceedings go on for a long period of time, so mostly they should not do this misadventure.

Vibhanshu Srivastava
Advocate, Lucknow
9770 Answers
323 Consultations

If it is mentioned in the employment agreement that notice period of 2 months is necessary and it is mandatory for the employee then you have to follow this condition.

If no penalty has been mentioned in the employment agreement if employee resigned without giving 2 months mandatory notice period. Then you should challenge this notice before either labour Tribunal or before Civil Court. According to Section 74 of the Indian Contract Act is any amount of penalty has not be mentioned in the agreement for breach of the contract then party to the contract cannot claim an amount for breach of the agreement. In this condition the court has power under section 74 of the Indian Contract Act to decide fair penalty or compensation for the breach of contract. In your situation 2 month salary in lieu of not giving notice period is too harsh and you should challenge it. 

Shivendra Pratap Singh
Advocate, Lucknow
5127 Answers
78 Consultations

1. That you do not want to be relived by your employer does not absolve you from your liability to serve the notice period.

2. The previous employer can surely sue you for the recovery of 2 months salary apart from compensation.

Ashish Davessar
Advocate, Jaipur
30843 Answers
982 Consultations

The previous employer has sent you the notice demanding the amount in lieu of the notice period, however since you have are no more interested in getting relieving letter and also since it may not make any impact to your new employment, you may ignore it.

Please confirm if you have signed any conditions in the employment offer letter.

T Kalaiselvan
Advocate, Vellore
90278 Answers
2510 Consultations

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