Breaking a Job Bond: What Can My Friend Do When the Company Refuses Payment?

Dear friends,

I want to ask about a job bond with the company. One of my friends needs to quit from the company; he has a bond with that company but wants to break the bond and is ready to pay the specified amount to the company. However, the company is now saying that they will not accept the money nor release him, and the company has provided this in writing.

Now, if my friend quits from the company:
1) Shall the company take any action?
2) What should my friend do in this situation?

Please help me urgently.

Ranjeet Kulkarni.

Dear Ranjeet,

When the bond was signed, did the company specify that no breach of contract would be considered? Is it only for your friend that the company is not calculating the notice period, or does the same principle apply to all the other associates as well?

In case there was an instance where people breached the bond and the company collected the notice pay, your friend can proceed to join the new company without any worries. However, if it is the other way around, he will have to stay back since the consequences will be terrible.

I hope I am clear.

Regards,
Srilatha

Hi Ranjit,

As per constitutional law, everybody has the freedom to choose his/her employment. According to the Indian Constitutional Law, Article 21, 22, and 16, an employee has the freedom to join an employer. However, your friend has made an agreement with the company. In it, if either the company breaks the bond with the employee, then they have to follow the condition or vice versa. No employer can hold any employee for a lifetime, even if he/she signs a bond, because it is against the Indian constitution. It abolishes the freedom of the worker and promotes slavery. Even animals cannot be indulged in the same.

Your friend can happily join another company, they just need an acceptance signature on the resignation and a relieving letter from the head.

Regards,
Virendra

Dear Ranjeet,

A service bond as a mere retention tool does not stand good in law. A bond is valid if the employer spends or invests in the employee for the same amount. The bond amount is also subject to proving that your employer has spent the amount on your training, making you resourceful, and that before the time you asked for an exit, thereby causing the employer a loss on the project you are deputed on.

Additionally, no contract can be forever; it is supposed to be time-bound. Also, all bonds have an amount assigned, and you can surely leave if you pay the amount. The company can't hold you after you pay.

Many cases like your friends' are documented on the site listed below. Refer to them before making any decision:
http://en.allexperts.com/q/Indian-Law-1798/

Kind regards