saiconsult
1899

Hello Sagar
No body can assure that some thing will happen and some thing will not happen.There are all posibilities since a contract of employment is a slippery wicket. So far as legality of the issue is concerned, I may say that law is a double edged weapon,. If you consult a lawyer, one may cite one hundred reasons as to why a legal action is possible and another can cite equal number of reasons as to why a legal action is not possible.Therefore a prudent thing can be to contact the future employer and ask him whether they are any possiblities that post will be on hold and inform him that you are resigning the previous job in the hope of joining the new job and thsu you will be taking a risk, if the psot is kept on hold or disbanded. Get things cleared from the employer himself.
B.Saikumar

From India, Mumbai
Theerapong TH
1

Have you already signed the employment contract? If yes, legal action could start in an event of rejection taken by employer.
From Thailand, Bangkok
gkmbsss61
2

Dear Sagar,
U should not take legal action.
Pl note tt by giving Offer Letter, it is not guarantee of offering/giving job to a candidate.
Depends on conditions related to work/project and comp. financial condition, yr offer may be stopped also.
Being a good technical person, u better to search for other job.
Maintain confidence and hardwork.
All The Best.
Tks
BGK Murthy
Hyd.

From India, Hyderabad
Gurgaon HR
94

Hi Sagar,
First of all don't be negative, this happens in very very rear case because of n number of sudden changes.
Well, you are seeking for the responses "if it happens" then what?.. See employers are practicing in giving "Letter of Offer" and "Letter of Intent" both are considered as "Offer Letter" but there is a huge difference in it. "Letter of Offer" attracts legal complications and on the other hand "Letter of Intent" is not the legal binding.
If in case employer nullify the offer given to the employee before joining will attract legal action. In that legal bound if employer willy nilly hire the employee to avoid complications even that will not full fill employee's goal because may be employer terminate the employee in probation period.
We need to inquire everything about the company before accepting the offer letter same as the employer inquire about the employee before and after giving offer of employment.
Chill HR

From India, Gurgaon
kamalkantps
314

Dear Sagar,

Let me address this issue legally.

This issue falls under Indian Contract Act. When an offer is made and accepted and such acceptance is communicated to the other party it automatically becomes an agreement. In the case above one party already acted upon it as he must have resigned from his first company.

According to Section 5 of Indian Contract Act an offer may be revoked at any time before the communication of its acceptance is complete as against the proposer, but not afterwards. The Section is reproduced below

"5.Revocation of proposals and acceptances. - A proposal may be revoked at any time before the communication of its acceptance is complete as against the proposer, but not afterwards.

An acceptance may be revoked at any time before the communication of the acceptance is complete as against the acceptor, but not afterwards."


So once you accepted their offer and communicated its acceptance to them they are bound by the agreement. All you have to do is to formally accept it by any means like by email or post or personally but i would recommend a written acceptance like Email or Post.

If somebody revokes the offer at the time of joining they can be dragged to Court under The Specific Relief Act for non peformance of the contract and the agreement may be enforced specifically.

So in My Opinion it is not a Cakewalk to play with someonce career, dont worry legally a lot can be done. And as far as the question of letting you join and terminating afterwards is concerned, they have to show your under performance and you can challange that in Labour Court. However action speeks louder than words, a person if performs well the Company never think of terminating him. So dont worry and proceed with your career.

Feel free to revert in case any clarification is needed.

From India, New Delhi
kknair
199

Dear all, There are known instances where due to compelling circumstances, an organisation had to withdraw the offer of appointment. While any legal action in the matter is not heard of, but since there is a unilateral revocation of contract, speaking in legal terms from the perspective of Contract Act 1872, such a revocation is bad and is accordingly actionable. All direct losses caused due to such revocation are payable by the organisation. KK
From India, Bhopal
saiconsult
1899

I feel one may be treading a grey area if one contemplates action on the basis of acceptance of a mere offer of employment and whether one can enfoce specific performance of a contract of servcie under civil jurisdiction. It needs some furher enquiry and analysis.
B.Saikumar

From India, Mumbai
kamalkantps
314

Dear Saikumar,

Law of Contract says that if a party acts upon the representation/offer/proposal of other party and the other party revokes such representation/offer/proposal making the first party incur some losses such party have to make good to the party who incurred losses.

Here on getting offer from a company and him being interested in that offer an employee resigns from his services of his employer. His employer accepts his resignation and when he is relieved from his services the company revokes the offer saying they do not need him any more. In such case what is the fault of such employee that the left his job and now jobless.

Same way when you enter in to a restaurant and order something and they prepare it you cannot cancel the order and walk out without paying. It is the general principle which is applicable everywhere. Also in this situation. Yes mostly it is a civil matter but can be decided if right kind of Advocate is fighting your case. These matters can be specifically enforced for sure.

From India, New Delhi
saiconsult
1899

Dear kamal Kant
Thanks for clarifying the matter.I have only some apprehensions.It means he can also claim damages for loss of job.I strongly feel that employees who act on offers and then resign from jobs acting on such job promises/offers which latter are withheld, shall have a an effective and expeditious remedy for justice.Of course, as you said, a good advocate can make out a case.
B.Saikumar

From India, Mumbai
nkulsh
86

While the two law professionals fight it out in this court of HR professionals...:-) , let me meanwhile tell you what can happen from a HR perspective. You have accepted their offer and have given (read communicated a joining date) and they have confirmed this as well via email. You have also simultaneously after receiving their confirmation started your exit formalities in the current organization.

No organization will stop your joining unless of some very drastic conditions...

1. The company is going bankrupt or stopping operations

2. Your back ground check and verification have come back negative

These are the only 2 reasons why a company will stop a candidate from joining after completing exit formalities. In either of the 2 cases, you don't stand a chance in the court of law, irrespective of what the law experts tell you.

If any company does it for any other reason apart from the above 2, you will have full right with a strong case to take legal action ( that's a different debate on how long it will take you to get a decision and what impact it will have on your career). But remember, a company will always be more stronger than you and you will have to have a rather clean record (professionally and documentation wise) to stand a chance to win this case. In my 22 years in HR, i do not remember a single resume that does not have false information that i can use in the court of law to prove a candidate lied...:-) and especially in IT... So whatever you do, choose wisely...

For everyone else it is but just another case/incident. For you, it is your LIFE and life is always about the choices you make...:-)

Cheers.

From India, Delhi
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