Understanding Contract Termination: Can the Other Party End the Agreement Too?

I just wanted to know, when a contract is signed, do I have the right to terminate it? Is there any provision for the other party to terminate the same on their account?

When can the opposite party revoke any contract? (Note: the terms to terminate are only one-sided, that is our company's.) But still, does the other party have any right to revoke the contract?

Dear,

If you have made any contract in which you have kept a provision that only you can terminate the contract, and others cannot, then this contract is void ab initio. Both parties should have the same right to terminate the contract. I think you have received the answer to both of your questions.

You have made a contract where whenever you want someone to terminate, you terminate, and when others want to terminate, they cannot. It seems that you still want to have bonded labor.

Thank you.

J. S. Malik

Thanks for the reply. It's not that we have any provision that only I have the right to terminate, but since we have made a contract in such a way that it's written within it that we can terminate this contract at any time, but it's nowhere written about any rights of the other party. So just wanted to confirm. Take care.

Dear Jhwahar,

This is a matter of Contract Law and not of the Contract Labour (R&A) Act, 1970.

Regards,
R.N. Khola
Skylark Associates, Gurgaon
(Labour Law and Legal Consultants)
09810405361

Hi,

Please note that all employment contracts need to be bilateral. Any unilateral contract that gives the right of termination to management (with advance notice or pay in lieu of) but does not provide a similar right to the employee is not a valid service contract.

Best,
Jai.

Even if there is no explicit termination clause, a party claiming breach of contract or non-performance by the other party can always give a termination notice. Even in the absence of a clause, a party can terminate provided the same is based on some valid ground, force majeure, etc. This is a principle of natural justice, equity, and fair play by which all contracts are guided.