Can I decline an accepted job offer and pursue another opportunity?

Oct 05, 2026 112 views 4 answers
Employment Law
Anonymous
Oct 05, 2026
Employment Law
► I have received a job offer from an IT company in India and accepted it by email. I am expected to join after completing my notice period and being formally relieved by my current employer. The offer letter contains a clause stating that, after accepting the offer, I should not engage with another company to seek another job offer. Exact wordings "You do hereby agree and confirm that: 1) You shall not pursue any other offer of employment by any other party during continuation of this offer 2) once you accept this offer of employment, you shall not engage with any other party for another employment/other engagement opportunity." Before joining, can I legally pursue and accept an offer from another company and withdraw my acceptance of the first offer? Is this restriction legally enforceable, and could withdrawing my acceptance result in any legal or financial liability?
112 views
4 answers

4 Answers

Oct 06, 2026

Dear client,

Yes. In principle, you can withdraw your acceptance and pursue another opportunity before joining the first company, but there is an important contractual distinction: the exact wording of the offer letter matters, and the company could potentially raise a contractual claim if the accepted offer has already become a binding contract and the withdrawal causes a legally recoverable loss.

Under Section 27 of the Indian Contract Act, 1872, agreements restraining a person from exercising a lawful profession, trade or employment are generally void to the extent of the restraint.

But your situation is different because you have not yet joined the company.

Therefore, I would not treat this clause as giving the company an absolute right to prevent you from looking for another job. The company would have to establish the contractual basis and the legal consequences of your withdrawal.

Hope this answer helps!

If you require detailed legal advice, discussion of your documents, or guidance regarding the further legal course of action, you may opt for a one to one-consultation

OLQ LAW FIRM

Oct 06, 2026

Dear Client,

Based on the facts provided, the clause in your offer letter restricting you from pursuing other employment after acceptance is not legally enforceable under Indian law, as such restrictions amount to restraint of trade under Section 27 of the Indian Contract Act, 1872. You are free to withdraw your acceptance before joining and accept another offer. Unless you have already received monetary benefits like a joining bonus or relocation allowance, there is no legal or financial liability.

That said, reputational considerations remain important, so you should communicate your withdrawal politely and professionally. Given the nuances of employment law and the importance of protecting your career interests, it would be advisable to consult with a lawyer one-on-one to review the offer letter and ensure you take the most appropriate steps.

Hope this clarifies your position.

Anik
Oct 06, 2026

Dear Client

You have the right to revoke your acceptance even before becoming a member, but since your acceptance was done via e-mail, it could be a breach of contract. Any liability or responsibility would depend on the terms of the offer letter, and whether or not the employer can prove a claim.

According to Indian laws, an offer accepted via e-mail can form a valid contract provided all the conditions for a valid contract are met. Thus, accepting an offer and then revoking it does not necessarily mean there will be no legal repercussions.

But the clauses that you have referred to above prohibit seeking any other employment opportunities once an offer of employment is accepted. Such clauses can be looked at as to whether they are enforceable and what are the liabilities for their breach. Section 27 of the Indian Contract Act, 1872 makes an agreement which restricts a person from exercising a lawful profession, trade, or business void to that extent. But this does not make every obligation under the offer letter invalid and does not mean that there will be no liabilities on withdrawing.

Check whether your offer letter has a particular clause for withdrawal, notice, bond, joining cost recovery, or liquidated damages. It will not be possible for the employer to automatically impose any amount just because you withdraw.

You should send the communication of withdrawal as early as possible in writing before the joining date.

I hope this answer helps. If you have any further query kindly do not hesitate to contact us. Thank you.

Oct 06, 2026

Dear client, 

It is likely enforceable, since it applies only during the offer’s continuation (before joining), not post-employment, Section 27, Contract Act voids only post-termination restraints. The company can’t force you to join (Section 14, Specific Relief Act bars specific performance of personal service contracts), its real remedies are withdrawing the offer or suing for damages, which needs proof of actual loss, which is hard to show. Breach risks losing the offer, not injunction or criminal liability. However, clarify with HR in writing. 

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