Offer accepted but didn't join - company went to court and summons to pay huge amount - CiteHR
Rkn61
Hr Manager
Hrkpati
Sr.manager Hr & Legal
Tajsateesh
Recruitment/talent Acquisition, Career Counselling
Pon1965
Construction
Ryan
India's 1st Strategic Strengths Coach, Corporate
Richarishabh
Hr Generalist
+1 Other

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Hi, Few months back i got offer letter and i accepted the offer. The offer letter has terms and conditions. And i didn't sign on the document in written however i gave email acceptance.

But at the end i didn't join the company because company has serious issues frequent management changes and frequently terminating the employees. Generally after issuing the offer we have to send acceptance within day or two it is hard to find about company progress.

The company took it serious for not joining and went to court and summons to pay huge amount more than lakh and said breach of contract also asked me to pay court charges. I asked why i need to pay that much amount and i never informed that if i didn't join i need to pay that much amount.

I have following questions:

1) Did i make legally any wrong thing here?

2) Shall i pay the money to them, but that much amount is huge for me.

3) Is email acceptance legal?

4) Is this come under information act 2000, breach of contract?

Thanks..

HI
What were the terms of the offer which you were asked to sign?
What did you state in your email acceptance?
While I would suggest you consult a lawyer, my understanding of this process is that the offer letter is an intent to offer employment should certain conditions be met, not a guarantee of employment.
What are the terms of the offer where the company's liability is mentioned in case they have to withdraw the employment offer? If such terms exist, then it becomes a contract as per the terms of equal justice.
If this goes to court, it is the companies onus to prove that they have spent this amount of money beyond what is necessary as part of their need to hire manpower, to attract only you as a special candidate. Can they do that?
Next time, if you see such clauses on the offer letter, do not join because such organizations are bound to have issues and will surely have higher than normal attrition.
Regards

Just ignore their letter/ The conditions will be sacrosanct once the employer - employee relationship is developed. Till such time, neither party can claim damages unless one party financially affected by other party.
Pon

Please find attached general terms and conditions.
In email acceptance i wrote this:
Thanks for providing opportunity to work with you, I am going on vacation tomorrow so i will come back by Sat day. So i can only resign on <Date>. So My joining date would be <Date>. Please let me know if it not works with you


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File Type: txt general terms.txt (2.8 KB, 326 views)

The document you attached contains no mention of the consequences of not joining the organization.
Please tell them this. If they still persist, I am pretty sure you can sue them for harassment.
As I said earlier, speak to a lawyer for proper advice.
Regards

Hello Mahi82,
Ryan Barretto is right--your attachment is applicable MORE for those who joined. It refers to Probation, etc--NOTHING related to lapse/refusal to join.
Also, pl clarify/confirm IF you got any reply to the mail you sent--the wordings you used implicitly mean that you are expecting their reply before you resign. It's NOT a de-facto Acceptance of the Offer--PRESUMING you mentioned the FULL mail you sent them.
Reg their 'breach of contract' aspect, was anything mentioned in any of their mails about the amount or any reference to such a thing?
And, like Ryan suggested hire a advocate & send them a legal Notice for mental harassment--in short: go for the counter-attack.
I also wouldn't rule-out taking this to the local media--check with your advocate before you do it.
All the Best.
Rgds,
TS

Hello Mahi,

I hope the problem is solved. If not, other 2 members have given right advice. They can not claim anything unless they have spent anything for hiring you with your consent, which by the way is not possible. Ignore their mail. This is done by a few companies to pressurize you to join as most of the time candidates only have skin thin knowledge or no knowledge about legal issues. This is not the right thing to do for a company, I myself have placed several offers and many got rejected after first acceptance. This really would have no legal consequences. Infact, a case of mental harassment could be filed from your end, and you could in that case definitely claim the amount that they have asked you to pay or even more, whatever you deem right. Although, I wouldn\'t suggest you to do that as it will only disturb your peace of mind. Best thing is to send a mail to them saying that you are aware of whatever legal actions could be taken against you for what you have done. Nothing become a contract unless it is on stamp paper. And an acceptance of offer does not bind you in the way the concerned company has shown. Also, they can take no legal measures, unless you were formally in written informed about their holding right to claim the said amount, that too on stamp paper.

It is only an Offer letter. That is a Letter of Indent. (That is Company is offering you a position for ... rupees remuneration.
You are not legally bound to pay anything to the Company.
Even if a company issues Appointment Order and the appointee is not joining, no company can take legal action.
Now-a-days even Courts accept E-mails as a document.
Thanks
R K Nair

Dear Mahi82,
I have gone through the general terms and conditions you placed on records. Let me say that the offer(you narrated) itself is not complete. Unless full facts inclusive of the full offer of appointment is placed for a view our opinion cannot be firm and clear. I hope you agree with it.
S.K.Johri

Dear Friends,
A contract contains Offer, Acceptance and Remuneration (Consideration) . Here in this issue all the three have taken place. The company have spent on advertisement or consultancy or any other money on offering the candidate. After all having conversations with the candidate, company have sellected him to hire. Offer letter with the terms , whatever may be has been mailed to the candidate and got accepted in return mail. Here it is final that the candidate has mailed the consent. Immediately the company have paid to the related parties . Here on breach of contract, the company can claim damages as per Section 73 of the Indian Contract Act. The company can provide a bill of consultancy or a Real Advet. in this regard which is the enough proof of spending money towards his sellection. But this will have multi facited arguments in court of law.
Sr. Manager HR & Legal


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