Asking for bond breakage amount even though no service agreement having been signed on my part...
Sudipta Ray
(Querist) 30 September 2012
This query is : Resolved
In my previous company, I was given a project specific training which claimed to have signed a Service Agreement/Bond of 1 yr, breaking which I got to pay Rs 3,00,000/- as recoverable or breakage amount.But, till my last working day, I didn't sign any agreement/bond on paper physically with that company against which they can claim this amount if I leave the organization.
When I had requested them to share my relieving letter, they declined my request & instead of that, they were asking for Rs 3,00,000/- as recovery amount on the basis of I attended that training, without which they would not share any relieving/experience letter.
Need your advice whether do I need to pay this recovery amount even though I didn't sign any agreement on paper.
Can they legally force me to pay this amount only on the basis of I attended that training without any physical existence of Service Agreement in place.
If, I refuse to pay this amount what would be the consequence or what should I do right now to get my relieving letter.
ajay sethi
(Expert) 30 September 2012
you need to sign the agreement to be liable to pay the amount .
you cnat be forced to pay training amount if you have not signed any such agreement
Sudipta Ray
(Querist) 30 September 2012
Thanks sir for your quick response. It was very helpful.
What should I do if they repetitively reject my request to share relieving/release letter on the basis of this training recovery amount or take any legal action against me?
If I don't get this release letter, will this affect my career in future, though I have already received my "Resignation Acceptance Letter" from previous company.
ajay sethi
(Expert) 30 September 2012
if they take legal action you will have to defend the case . if company does not give relieving letter contact a local lawyer .
the choice before you is to bow to the dictates of company pay rs 3 lakhs or refuse to bow down to pressure .
Sudipta Ray
(Querist) 01 October 2012
Thanks for your valuable inputs.
One more thing, is it legally possible that they can do anything vindictive which can put my current job at stake.
ajay sethi
(Expert) 01 October 2012
an amicable settlement is best . however price of settlement is too high . so you have to be ready to defend any legal poceedings they may take
Sudipta Ray
(Querist) 02 October 2012
Thanks sir.
If I strongly defend myself on the basis of I didn't sign any agreement on paper so bond is not applicable, shall I get a better ground of winning this legal battle if needed or vice versa.
Guest
(Expert) 02 October 2012
Have you asked the management to supply a copy of the duly signed bond according to which the company wants you to deposit the bond breakage amount?
Kiran Kumar
(Expert) 02 October 2012
Mr. Ray, legally you are better placed.
the company may not go for lis in your case, they are just using the pressure tactics.
rest assured, if your matter is contested properly the things will not go against u.
prabhakar singh
(Expert) 02 October 2012
In absence of any bond or agreement signed they can not ask for any damages.They appear at a wrong step.They would not be able to get any decree from court against you.Denial of relieving if hampers your future ,you can sue them for damages caused.
Sudipta Ray
(Querist) 03 October 2012
Thank you all so much for your valuable inputs which would really boost up my confidence in putting up my perspective more firmly.
@PS Dhingra: I had asked for signed bond paper verbally but they couldn't share it as I didn't sign anything as such. I also asked them how this Service Agreement became applicable without my signature & consent, then they told me it became automatically applicable since you were aware of this bond & also attended the training.Now, I have planned to do a written communication for this signed bond paper.
One more thing, is there any possibility of losing my current job if previous company registers a legal case against me.
Also, are they bound to provide me the Relieving Letter irrespective of whether I settle F&F or not or issuance of Relieving Letter is completely dependent on F&F settlement.Because,right now, they will not share it until I settle F&F.
Guest
(Expert) 03 October 2012
Mr. Sudipta,
Question arises whether made claim verbally or in writing for compensation on account of breakage of bond. If not, you need not bother for any compensation. In that case, just write a simple letter to them to issue you experience letter. They have to issue you experience certificate.
But, if the demand is in writing, you should have avoided any verbal dialogue, but would have sent your request in writing to be made part of their record.
Sudipta Ray
(Querist) 03 October 2012
Mr. Dhingra,
I just had a conversation on my last working day regarding this recovery amount which they said would be adjusted in given F&F.But,After that I have made all communications in writing & also raised the concerns of why I am going to pay this recovery amount against which I didn't sign any agreement on paper at all. In reply, they are emphasizing on the point that you have to pay it because you attended the training.
Guest
(Expert) 03 October 2012
I have already given the hint to work on that.
Sudipta Ray
(Querist) 03 October 2012
Thanks Mr. Dhingra...
Guest
(Expert) 03 October 2012
You are welcome.
