I would like to add further to the discussion that if such were the case, no ex-serviceman could join any PSU or government jobs after taking premature retirement from the armed forces with F&F dues. So, restricting a PSU employee from pursuing any vocation after termination would amount to discrimination.
From India, Pune
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13From India, Pune
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Was ex gratia paid to all those who took VRS? When you left by VRS, how many years of service did you put in? The prior condition that if you opt for VRS and take ex gratia, then you cannot get/seek employment in the State Government/PSU is legally valid. You will have to refund the ex gratia amount. You can quote various judgments, but specific details of why the judgment has come need analysis. I agree with the learned member Shri Dhingra in his opinion. Your current employer will take action when the previous PSU writes to them. The source of PSU finance is basically the Government, and the rules are by and large common.
From India, Pune
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From India, Pune
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Was ex gratia paid to all those who took VRS? - Yes
When you left by VRS, how many years of service did you put in? - 16
The prior condition that if you opt for VRS and take ex gratia, then you cannot get/seek employment in State Government/PSU is valid legally. It is violating contract act 27 and a number of supreme court decisions (no employer can restrict an employee after termination).
You will have to refund the ex gratia amount. It is violating contract act 73 (no loss suffered by PSU 1).
You can quote various judgments, but specific details of why the judgment has come need analysis - yes.
I agree with learned member Shri Dhingra in his opinion - fine.
Your current employer will take action when the previous PSU writes to them. The rules state "dishonesty against the company and within company premises" is misconduct. If the employer is allowed to initiate disciplinary action for any problem outside the company, no employee will be safe (like housing loan default, credit card default, phone bill, house tax, etc. - which are all pertaining to Government agencies).
The source of PSU finance is basically the Government, and rules are by and large common - yes. But, any contract has to be signed as per legal provisions. Any contract violating the contract act is invalid and not enforceable.
From India, Salem
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When you left by VRS, how many years of service did you put in? - 16
The prior condition that if you opt for VRS and take ex gratia, then you cannot get/seek employment in State Government/PSU is valid legally. It is violating contract act 27 and a number of supreme court decisions (no employer can restrict an employee after termination).
You will have to refund the ex gratia amount. It is violating contract act 73 (no loss suffered by PSU 1).
You can quote various judgments, but specific details of why the judgment has come need analysis - yes.
I agree with learned member Shri Dhingra in his opinion - fine.
Your current employer will take action when the previous PSU writes to them. The rules state "dishonesty against the company and within company premises" is misconduct. If the employer is allowed to initiate disciplinary action for any problem outside the company, no employee will be safe (like housing loan default, credit card default, phone bill, house tax, etc. - which are all pertaining to Government agencies).
The source of PSU finance is basically the Government, and rules are by and large common - yes. But, any contract has to be signed as per legal provisions. Any contract violating the contract act is invalid and not enforceable.
From India, Salem
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Well, if you are so sure about the legal position, all the best. People have given opinions. Remember, PSUs also have their legal advisors, and no such term or condition will be approved by the respective State Government if it violates the law. This condition of refunding ex gratia is seen in VRS offers made by various state PSUs.
From India, Pune
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From India, Pune
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I need a transfer letter format for the sister concern company as new employees from my company are being transferred from the parent company to the sister concern. Request you to please send me the format for that.
Thank you.
From India, Mumbai
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Thank you.
From India, Mumbai
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Nathrao ji,
Sorry for not appearing on the site for about 50 days due to ill health on account of post-operative problems and other preoccupations. Also, I am thankful to you for agreeing with my viewpoint.
Anyway, let the anonymous author be happy with his own contentions. As per my guess, it was not his practical or personal problem. Rather, probably as a law student, it can be his moot court problem or a regular law school essay on a particular theoretical problem with reference to the citations he put. At Lawyers Club India, I usually avoid responding to such students' exercises, specifically of the anonymous authors, as they start putting a lot of supplementary questions resulting in a waste of precious time of other members just to solve their own academic exercises.
Here, I thought most people come with their own personal or official problems to expect some guidance in doing things appropriately. So, I tried to solve his problem by virtue of my knowledge and experience.
Had he some real problem of his own, he would have come forward with the real situation faced by him along with the case history, other backgrounds, and the present status of his case with the whole lot of references that he subsequently brought one by one as well as his own contentions to call for opinions of other experts with practical experience. These moot court problems or the academic exercises have nothing to do with the practical aspects of law. These exercises are meant just to make mock exercises of mock courts to know how effectively, rightly or wrongly, the law students can justify their point. You would have noticed, initially he simply put an academic type of question without discussing the background of his case, circumstances, and characteristics of the case if he really would have faced such a problem.
So, let him be happy with his own contentions and try his luck practically in a real court of law with such type of his own contentions when he becomes a qualified lawyer.
From India, Delhi
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Sorry for not appearing on the site for about 50 days due to ill health on account of post-operative problems and other preoccupations. Also, I am thankful to you for agreeing with my viewpoint.
Anyway, let the anonymous author be happy with his own contentions. As per my guess, it was not his practical or personal problem. Rather, probably as a law student, it can be his moot court problem or a regular law school essay on a particular theoretical problem with reference to the citations he put. At Lawyers Club India, I usually avoid responding to such students' exercises, specifically of the anonymous authors, as they start putting a lot of supplementary questions resulting in a waste of precious time of other members just to solve their own academic exercises.
Here, I thought most people come with their own personal or official problems to expect some guidance in doing things appropriately. So, I tried to solve his problem by virtue of my knowledge and experience.
Had he some real problem of his own, he would have come forward with the real situation faced by him along with the case history, other backgrounds, and the present status of his case with the whole lot of references that he subsequently brought one by one as well as his own contentions to call for opinions of other experts with practical experience. These moot court problems or the academic exercises have nothing to do with the practical aspects of law. These exercises are meant just to make mock exercises of mock courts to know how effectively, rightly or wrongly, the law students can justify their point. You would have noticed, initially he simply put an academic type of question without discussing the background of his case, circumstances, and characteristics of the case if he really would have faced such a problem.
So, let him be happy with his own contentions and try his luck practically in a real court of law with such type of his own contentions when he becomes a qualified lawyer.
From India, Delhi
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Mr. Selvan,
Thank you for showing concern for my health. I am recovering gradually. I shall view the link when I find it convenient and am comfortable sitting for long periods before my desktop. Currently, I can only say that the Contract Act is not only the basis for regulating all appointments but should also be considered a supplementary tool to the service rules.
Regarding the legal aspect of the case, it is rare to find similarities between cases, as this depends on the nature, characteristics, and the ground realities of the cases being compared.
From India, Delhi
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Thank you for showing concern for my health. I am recovering gradually. I shall view the link when I find it convenient and am comfortable sitting for long periods before my desktop. Currently, I can only say that the Contract Act is not only the basis for regulating all appointments but should also be considered a supplementary tool to the service rules.
Regarding the legal aspect of the case, it is rare to find similarities between cases, as this depends on the nature, characteristics, and the ground realities of the cases being compared.
From India, Delhi
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I came across an article by an eminent SC lawyer, explaining in detail why an employer cannot enforce ANY condition on an employee after the period of employment (after retirement, resignation, dismissal, VRS, etc.). It is applicable for all cases of bond, undertaking, appointment order, or any other type of promise to do or not do something like not doing some business, not joining a competitor, not joining another PSU, etc. This article will be very useful for many people.
From India, Salem
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From India, Salem
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Mr. Sas,
You should not forget that the condition was imposed prior to leaving service and that the agreement of the employee with his employer was sacrosanct for the purpose of service laws read with the contract act. However, if you believe that an article by some lawyer can render the law as null and void, nobody prohibits you from doing so, provided you are able to convince the judge that there is no need to follow the law of the land in view of such an article.
From India, Delhi
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You should not forget that the condition was imposed prior to leaving service and that the agreement of the employee with his employer was sacrosanct for the purpose of service laws read with the contract act. However, if you believe that an article by some lawyer can render the law as null and void, nobody prohibits you from doing so, provided you are able to convince the judge that there is no need to follow the law of the land in view of such an article.
From India, Delhi
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Mr. Sas,
In Section 27 of the Contract Act, there is an exception as well, which the article has referred to but which you intended to ignore. I won't make it easy for you by providing a ready-made answer to your academic query. I would only advise you to reread at least the full part of the paragraphs on the 2nd page of the article that refer to Justice A.P. Sen's judgment.
Moreover, I have already clarified that in your case, the condition was imposed prior to leaving service and that the agreement of the employee with his employer was sacrosanct for the purpose of service laws as read with the Contract Act.
However, if you believe that an article by some lawyer can render the law null and void, that is a sheer misunderstanding. A judge in the case is not bound to follow the text of any such article. I stress once again, it is not any article written by any Supreme Court lawyer based on any judgment that could render the law of the land null and void. It is the reality of the situation, characteristics, circumstances, etc., attached to the case in particular that allow the law to be interpreted correctly in the courts of law.
From India, Delhi
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In Section 27 of the Contract Act, there is an exception as well, which the article has referred to but which you intended to ignore. I won't make it easy for you by providing a ready-made answer to your academic query. I would only advise you to reread at least the full part of the paragraphs on the 2nd page of the article that refer to Justice A.P. Sen's judgment.
Moreover, I have already clarified that in your case, the condition was imposed prior to leaving service and that the agreement of the employee with his employer was sacrosanct for the purpose of service laws as read with the Contract Act.
However, if you believe that an article by some lawyer can render the law null and void, that is a sheer misunderstanding. A judge in the case is not bound to follow the text of any such article. I stress once again, it is not any article written by any Supreme Court lawyer based on any judgment that could render the law of the land null and void. It is the reality of the situation, characteristics, circumstances, etc., attached to the case in particular that allow the law to be interpreted correctly in the courts of law.
From India, Delhi
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