Your fault comes in specific performance of agreement and the department can initiate legal proceedings to recover the amount due please speak to the department and try to settle down the amount so that the legal proceeding should not be started
Is there a way avoid paying the surety bond amount
I had joined a central government department in May, 2014. At the time of joining I was asked to sign a surety bond for 5 years. The penalty for breaking the bond was Rs 2 lac or actual salary drawn (whichever is less). I resigned from the post in August, 2018 as I got another job in state government i.e. I worked for 4 years & 3 months (in central government). The problem is that I had not applied through proper channel. I joined the state government in September, 2018 after submitting a resignation in central government. The competent authority verbally agreed to accept the resignation and assured me that the bond amount will be waived off. However, in the meantime he (competent authority) got retirement (my bad luck). Now they are sending me letters to pay the bond amount so that my resignation is accepted. They also intimated that if I didn't respond they will inform the state government about the same. Kindly guide me whether there is a way for me to avoid paying the bond amount or otherwise.
Asked 5 years ago in Labour
First answer received in 10 minutes.
Lawyers are available now to answer your questions.
12 Answers
I meant " Is there a way to avoid paying the surety bond amount"
Asked 5 years ago
You have signed surety bind for 5 years and agreed to pay Rs 2 lakhs or actual salary which ever is less
2) since you did not serve for period of 5 years and resigned within period of 5 years govt can seek to enforce the bond amount
3) take the plea that you don’t have to pay Rs 2 lakhs but only Rs 30000 being amount payable for period of shortfall of 9 moths or so
4) offer to pay Rs 30000
5) bond cannot be transferred since you did not apply through proper channel
1) Yes, there is a way to avoid but you have to file case in the Labour Court. As the retired officer already has accepted your resignation letter and relieved you from services, so at that time nobody took any objection nor asked for bond amount as the retired officer had waived off bond amount.
Hello,
No, you have to pay the amount
Regards
you will have to pay the entire sum of the bond to honor the agreement.
1. The agreement in restraint of trade is void u/s 27 of the Indian Contract Act.
2. So the Bind even if voluntarily executed by you is not legally binding upon you since its terms are stifling and made even though no extraordinary expenditure was incurred for you for imparting any special training.
3. SO they can not refuse to accept your resignation merely for breaching the terms of Bind.
So rest assured on this account.
See in this situation you can request the authority to waive the bond amount otherwise there is no way around you have to pay the same other wise it will hamper your new joining if no proper relieving letter and resignation is given.
Write a letter seeing waiver of the bond amount showing that you complete service of more then 4 years and you have worked hard if they waive same then in that case only you can get relief.
You may have to pay proportionate amount out of the bond amount.
You may make a representation to the competent authority to waive the payment being a very negligible amount.
It depends on the discretion of the authorities concerned.
They are right please negotiate with them on the ground of delay in accepting the resignation that to waive off the remaining period of bond to avoid harassment.
If you are abiding by the conditions of bond they cant do anything. you just follow the terms of the bond. ;et themdo whatever they want to.
Send them reply that you opted for technical resignation.
