Contract Enforceability
Mathew
(Querist) 16 June 2010
This query is : Resolved
Hello,
I joined a company and they made me sign a contract which state that I have to give them a four month notice before leaving. But in one day i figured that the company was a fraud company as many employees of the company whom i met on day 1 gave very bad feedback. there was huge misrepresentation from compnay side. .So i met the officials on day 2 of my employment and quit. Now they have send me a legal notice asking for a payment of 4 lacks which is the salary for 4 months. the agreement is just on white paper and not stamp paper etc. I didnt take any payment etc from the company. Should i pay up ? Is the contract enforceable against me ?
Thanks in advance for the advice.
VIJAY K. TEOTIA
(Expert) 16 June 2010
First of all, check from your offer letter/appoint letter that whether there your appointment was of permanent nature from the date of joining or there is any provision period, if there is any provision period than notice period generally do not apply during probation. further without going through the appointment letter and the legal notice considered opinion is not possible. contract of employment need not to be registered. however you can challenge the contract and you will need to prove that you signature were obtained fraudently and your acceptence to the terms was not free consent, you were not allowed to read the contract.
Heaven 2011
(Expert) 16 June 2010
To add with Mr. Teotia kindly remember that when you are telling that the agreement was just on a white paper then it would carry no legal bindings; at least it should be in the letter head of the company concerned. Further there should be a definition of the salary to be payable like basic/basic+ D.A etc. It is not that the company once in a fine morning will force you to pay 4 lacs because of your resignation. Mr Teoja has advised you rightly but you may send another legal notice thru your lawyer.
Raj Kumar Makkad
(Expert) 16 June 2010
I agree with Asis Sil but add that do not send any reply to company and let them initiate legal action. Generally such fradulant companies do not move further.
