Can My Employer Really Take Legal Action Over This Unstamped Contract in India?

I live in India and I have signed a one-year contract with my employer. However, I now want to leave the company. When I sent my resignation email, they threatened to take legal action against me.

Regarding the Bond:

- The bond is on my company's letterhead.
- It does not contain any stamp paper.
- It does not have a company seal.
- The bond only states that "Legal Actions will be taken" if I break it, without specifying any further details.

I am seeking clarification on the legality of this bond and the potential actions that could be taken against me. My HR department has warned me that they may not provide me with an Experience Letter or a Release Letter. They have also claimed that other companies will not hire me and that my visa applications will always be rejected.

Can someone please advise me on this situation?

Understanding Your Employment Bond

The bond is for one year. How many days or months of employment have you completed? Have you been given any special training by the company? How much notice are you expected to give as per the offer letter?

If you want to resign, the company can do little about it. Every job contract will have an exit route. Follow the terms of your contract and leave. No contract can forcibly keep you in the company if you do not want to continue for whatever reasons. Yes, they can delay or even refuse an experience certificate or relieving letter, though legally they cannot do it.

Regards

Understanding the Bonded Labour System (Abolition) Act 1976

Are you and your employers aware of the provisions under the Bonded Labour System (Abolition) Act 1976 and the Bonded Labour System (Abolition) Rules 1976? Any action taken by them or denial of any of your rights for your resignation or the so-called "Breaking the bond" will go against them for the violation of your democratic rights.

In case they have sponsored or provided any training or had any financial liability against you, the same can be rightfully claimed by them, which is limited to the financial liability without any interest.

In addition to Mr. Rao and Mr. Gulati, I also suggest that the matter should be settled through the Arbitration Act of 1996 to avoid any confrontation.

Thanks and Regards,

Sumit Kumar Saxena

Thanks, Nathrao,

I have completed 60 days in the company. No training was given to me. There is no notice period in the contract. In the contract termination section, it's written that "Legal Actions will be taken" and nothing else.

Thank you, Mr. Rao, I have completed 60 days. No training was provided to me by the company, and no other expenses were incurred on my behalf. There is no notice period mentioned in the contract termination section of my bond; they only wrote, "Legal Actions will be taken."

Given what everyone is saying, can I conclude that I can terminate the contract immediately and join another company? What happens if they don't provide me with the relieving letter? My new employer does not require the Experience Letter and Relieving Letter. Can my current employer sue me and my new employer for any reason?