Parents Signature for retention clause in appointment letter is maintainable?
Querist :
Anonymous
(Querist) 28 March 2011
This query is : Resolved
Good morning Members
One of my client Company is issuing appointment letter to their employees, by issuing appointment letter my client mentioning retention clause that “employee should not leave the Company for 2 years” for this our client is taking signature from the employees parents (from father or mother).
My question is whether my client can take signature from Partners of employees for retention clause.
Whether it is void under the Contract Act?
Whether it can be enforceable by Law against employees and their Parents?
Whether it is maintainable by law?
Early advice will be thanks
Please quote the relevant section of Contract Act.
Need Urgent advice
Guest
(Expert) 28 March 2011
Totally unfair!
First of all, employees cannot be treated as bonded labour.
Secondly, parents have nothing to do with any contract between the employer and employee.
Third, even if the agreement is made to be signed by parents, that must be challenged in a court of law, as the agreement becomes induced to be signed against "free will" of the parent, under "coercion" and "undue influence" and falls within the purview of Sec.14, 15 & 16, respectively, of the Contract Act 1872, and becomes void under various sections of Chapter II of the Act.
Querist :
Anonymous
(Querist) 28 March 2011
Dear PS Dhingra, CEO, Dhingra Group, I expected same.
I am really impressed on your advice. You have given a very good answer.
Thank you sir.
Please extend your co-operation in future also.
Thanks once again for your good advice.
Querist :
Anonymous
(Querist) 28 March 2011
I really appropriate the answer of P.S Dhingr
Guest
(Expert) 28 March 2011
You are welcome.
In fact, companies mostly try to take undue advantage of unemployment by enforcing unlawful conditions on the cadidates seeking suitable employment. They even try to involve their parents also to doubly ensure about the consent of their parents also.
At most of the occasions not only the candidates, but also their parents become the target of such hard conditions imposed by the companies due to their compelling circumstances, but have to repent later when they want to leave the company on getting some better chance. They become quite helpless and at loss when the opportunity come in their favor.
So, I advice the candidates, better be very careful at the very initial stage than to repent later.
PS Dhingra
Chief Executive Officer
Dhingra Group of Management & Vigilance Consultants
New Delhi
[dcgroup1962@gmail.com]
