RSH (NA) 13 March 2010

Arbitrator Notice after LDN

Hello Experts!

I have received arbitrator's notice after the Legal Demand Notice on behalf of my previous employer.

Background - I signed the work contract for 5 yrs with Arbitration clause (Arbitrator will be decided by the employer as per the contract). But With in 7 months employer and me mutually decided to close the work/unit and my dues were cleared. I started my own work after 8 months of similar work, my ex employer sent me Legal Demand Notice which I replied (denying and rebuts all the allegations and averments, which are contrary to record/law and totally absurd, illegal and untenable).

Now my Ex Employer sends me Arbitration Notice.

What is legal stand here?

Also, my reply was based on the suggestions/guidance/examples given by the respected lawyers here on the forum.

Please help!

Best

RSH

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3 Replies

Rama mohan Acharya (Manager HR(Legal)) 13 March 2010

As you & ur employer closed the work and if the terms of the mutual agreement is documented,then arbitration clause of the original agreement has become void.

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RSH (NA) 13 March 2010

Thanks Rama!

Yes I have a proof! that my Ex Employer itself asked me to close down the division/work/service as profit was NOT what we estimated, and I agreed to it and paid my due salary/share. Later they themself refer me as an ex employee to 3rd party. I have all this conversation in EMAIL (one to one).

Contract also binds me not to start any similar work and contact ex emplyee's clients for business.

Now they are claiming money from me as a damages.

What should I do here now?

It is a sole arbitrator case not common.

Please guide