I'm currently in my notice period. Previously, I received an offer, but the company sent a document stating that I would join their organization after the notice period, or else I would need to pay 2 lakhs if not (not on a stamp paper, just their company letterhead), which I signed and sent back. Now, I have received another offer with higher compensation. If I choose not to join the organization I was previously offered, will they take any legal actions (I mean, is it possible as I didn't sign on a stamp paper)?
From India, Bengaluru
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From India, Bengaluru
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Even if it is signed on a stamp paper, the employer cannot take any legal action against an employee for leaving the company. It is true that the employer can demand training costs that were exclusively incurred on the employee. However, random training will not constitute exclusive training.
From India, Kannur
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4526From India, Kannur
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I didn't even join the organization. I just signed their document stating that I would join their organization, or else I would pay 2 lakh. However, I received a counteroffer with more compensation. Can you tell me if it is possible for them to proceed legally?
From India, Bengaluru
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From India, Bengaluru
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Hi, You had accepted an offer but are now not joining the company and planning to join another company. Not an issue. After accepting an offer, it is not necessary to join that employer. What is wrong is joining an organization and then leaving without providing any information, which is not legally right. An employer cannot demand 2 Lakhs just for not honoring the offer letter. Please ignore it. Legally, it will not be valid.
From India, Madras
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From India, Madras
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Legal Clarification on Negative Covenants in Employment Agreements.pdf