Dear All,
There are a lot of posts on breaking the Bond and Service Bond. Freshers who join the Corporates need not hesitate to sign a genuine Training Bond after seeing the amount provided the Corporate is genuinely going to provide Training by sending the person overseas and not within the Country. The legality is questionable if it is just a sham document when no real training by sending the person overseas is done.
Service Bond is a tricky thing as it can be construed as an unlawful infringement of the Freedom to practice any profession or to carry on any occupation, trade, or business guaranteed under the Constitution of India. The legality is questionable.
Therefore, exercise caution before signing is advised rather than to regret later and seek to escape from its clutches. For the Employer, it is a tool to retain talent and for the employee a real "hand-cuff".
With Regards
Mobile: 9025792684.
From India, Bangalore
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204There are a lot of posts on breaking the Bond and Service Bond. Freshers who join the Corporates need not hesitate to sign a genuine Training Bond after seeing the amount provided the Corporate is genuinely going to provide Training by sending the person overseas and not within the Country. The legality is questionable if it is just a sham document when no real training by sending the person overseas is done.
Service Bond is a tricky thing as it can be construed as an unlawful infringement of the Freedom to practice any profession or to carry on any occupation, trade, or business guaranteed under the Constitution of India. The legality is questionable.
Therefore, exercise caution before signing is advised rather than to regret later and seek to escape from its clutches. For the Employer, it is a tool to retain talent and for the employee a real "hand-cuff".
With Regards
Mobile: 9025792684.
From India, Bangalore
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Bond Agreement Legal Concerns
I have signed a bond agreement for 3 years with a Ltd. Co. Now, I have left it, and the company wants to file a case against me. My question is whether the company can succeed against me or not?
My Contract Terms:
1. For 3 years of employment.
2. Payment of compensation of Rs. 50,000 if broken within 1 year.
3. The bond agreement is signed on A4 size computer paper with no stamp paper, whether judicial or non-judicial.
4. The witness was an employee of another company but under the same management (they are the company people).
5. The agreement shows my two positions as a) APPOINTMENT ON RETAINERSHIP BASIS AS ACCOUNTS MANAGER b) AGREEMENT AS AN EMPLOYEE. Now, how can I be a RETAINER & EMPLOYEE at the same time?
6. The company has kept a security deposit of Rs. 18,000.00, my first month's salary. Again, they have not paid me my last month's (March) salary. In summary, only one cheque has been issued by them in my account after deducting TDS of 10% as a professional but without any bonus, gratuity, leave, medical compensation, etc. Nothing has been mentioned in my agreement.
7. The contract is one-sided with company benefits compared to me. It only speaks of Rs. 18,000 salary.
8. The company used to transfer me to different units for working under different companies with no relation to the company in which I have been appointed.
9. Lastly, the company has not trained me. I am well experienced, and in fact, they are using my experience to accomplish their objectives. So, how can they be demanding compensation from me?
Friends, I think bonds are not legal in Indian courts under Article 19 of the Constitution and under Section 27 of the Indian Contract Act.
PLEASE HELP
Regards,
SAIBAL
From India, Guwahati
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I have signed a bond agreement for 3 years with a Ltd. Co. Now, I have left it, and the company wants to file a case against me. My question is whether the company can succeed against me or not?
My Contract Terms:
1. For 3 years of employment.
2. Payment of compensation of Rs. 50,000 if broken within 1 year.
3. The bond agreement is signed on A4 size computer paper with no stamp paper, whether judicial or non-judicial.
4. The witness was an employee of another company but under the same management (they are the company people).
5. The agreement shows my two positions as a) APPOINTMENT ON RETAINERSHIP BASIS AS ACCOUNTS MANAGER b) AGREEMENT AS AN EMPLOYEE. Now, how can I be a RETAINER & EMPLOYEE at the same time?
6. The company has kept a security deposit of Rs. 18,000.00, my first month's salary. Again, they have not paid me my last month's (March) salary. In summary, only one cheque has been issued by them in my account after deducting TDS of 10% as a professional but without any bonus, gratuity, leave, medical compensation, etc. Nothing has been mentioned in my agreement.
7. The contract is one-sided with company benefits compared to me. It only speaks of Rs. 18,000 salary.
8. The company used to transfer me to different units for working under different companies with no relation to the company in which I have been appointed.
9. Lastly, the company has not trained me. I am well experienced, and in fact, they are using my experience to accomplish their objectives. So, how can they be demanding compensation from me?
Friends, I think bonds are not legal in Indian courts under Article 19 of the Constitution and under Section 27 of the Indian Contract Act.
PLEASE HELP
Regards,
SAIBAL
From India, Guwahati
Acknowledge(0)Amend(0)
Dear Friends, I have signed a bond agreement for 3 years with a Ltd. Co. Now, I have left it, and the Co. wants to file a case against me. Now, my question is whether the Co. can succeed against me or not?
My Contract Terms:
1. For 3 years of Employment
2. Payment of Compensation of Rs. 50,000 if broken within 1 year
3. The Bond Agreement is signed on A4 size computer paper with no Stamp Paper, whether Judicial or Non-Judicial.
4. The witness was an employee of another Co. but under the same management (they are the Co. people).
5. The agreement shows my two positions as a) APPOINTMENT ON RETAINERSHIP BASIS AS ACCOUNTS MANAGER b) AGREEMENT AS AN EMPLOYEE. Now, how can I be a RETAINER & EMPLOYER at the same time?
6. The Company has kept a security deposit of Rs. 18,000.00 from my first month's salary. Additionally, they have not paid me my last month's (March) salary. In summary, only one cheque has been issued by them in my account after deducting TDS of 10% as a professional, but without any Bonus, Gratuity, Leave, Medical Compensation, etc. Nothing has been mentioned in my Agreement.
7. The Contract is one-sided with Co. benefits compared to me. It only speaks of a Rs. 18,000 salary.
8. The Co. used to transfer me to different units for working under different companies with no relation to the Co. in which I have been appointed.
9. Lastly, the Co. has not trained me. I am well-experienced, and in fact, they are using my experience to accomplish their objectives. So, how can they be demanding compensation from me?
Friends, I think Bonds are not legal in INDIAN COURTS, under Article 19 of the Constitution and Under 27 of the Indian Contract Act.
PLEASE HELP
Regards,
SAIBAL
From India, Guwahati
Acknowledge(0)Amend(0)
My Contract Terms:
1. For 3 years of Employment
2. Payment of Compensation of Rs. 50,000 if broken within 1 year
3. The Bond Agreement is signed on A4 size computer paper with no Stamp Paper, whether Judicial or Non-Judicial.
4. The witness was an employee of another Co. but under the same management (they are the Co. people).
5. The agreement shows my two positions as a) APPOINTMENT ON RETAINERSHIP BASIS AS ACCOUNTS MANAGER b) AGREEMENT AS AN EMPLOYEE. Now, how can I be a RETAINER & EMPLOYER at the same time?
6. The Company has kept a security deposit of Rs. 18,000.00 from my first month's salary. Additionally, they have not paid me my last month's (March) salary. In summary, only one cheque has been issued by them in my account after deducting TDS of 10% as a professional, but without any Bonus, Gratuity, Leave, Medical Compensation, etc. Nothing has been mentioned in my Agreement.
7. The Contract is one-sided with Co. benefits compared to me. It only speaks of a Rs. 18,000 salary.
8. The Co. used to transfer me to different units for working under different companies with no relation to the Co. in which I have been appointed.
9. Lastly, the Co. has not trained me. I am well-experienced, and in fact, they are using my experience to accomplish their objectives. So, how can they be demanding compensation from me?
Friends, I think Bonds are not legal in INDIAN COURTS, under Article 19 of the Constitution and Under 27 of the Indian Contract Act.
PLEASE HELP
Regards,
SAIBAL
From India, Guwahati
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TRAINING BOND 2012.docx
Employer suit for breaking service bond within 3 yrs - Delhi HC 5.9.2014.pdf