4 Answers
Dear Client,
Based on the facts you have provided, your friend’s refusal to travel due to severe clinical depression is supported by medical records. So it may not be treated as a wilful breach of contract.
The company can still take action as per the employment agreement. But under Section 74 of the Indian Contract Act, 1872, they cannot just recover the full bond amount as a penalty. They will have to prove it as reasonable compensation for their actual loss.
Also, if his low performance is connected to his medical condition, it will be difficult for the company to enforce the entire bond amount.
The final outcome will depend on the bond terms, the medical evidence, and the details of the case. For any further queries, feel free to contact OLQ.
Dear sir/ mam , as per your query
According to Under Sec 56 of Indian Contract Act, contract becomes impossible if person is medically unfit. With valid medical proof, he can legally refuse travel. Company cannot force him.
Under Section 74 of the Indian Contract Act, the giant penalty amounts written in job bonds are rarely fully enforced. A company can fire you, but they cannot make you pay a massive, random fine just because you are leaving. By law, they can only get back the exact amount of money they actually lost. The employer must prove this loss in court.
You are required to connect with OLQ Team and provide necessary details so that we can guide you on this matter.
Dear Sir/Mam
Your friend can refuse the US relocation on psychiatric grounds and cannot be legally forced to travel or work against his will. Under Section 56 of The Indian Contract Act,1872, it clearly states that an agreement to do an act if it becomes impossible to perform due to any circumstances , in your case, is the proven medical illness making him unfit for travel, cannot be imposed with any penalties and the contract becomes void.
Further, according to Section 74 of the Indian Contract Act, 1872, the company cannot claim a massive penalty; it can only claim any financial loss caused to it in booking tickets and visa fees, but cannot claim the 5-year full bond. As he has already worked 3.5 years in a company and the company has already recovered his training cost.
For further Legal assistance, you can contact the OLQ LAW FIRM
Dear Client,
An employment bond does not necessarily guarantee an employer of the right to claim the total value of the bond simply because the worker cannot fulfill his obligation under the contract. According to the Indian Contract Act of 1872, the courts will typically recognize only reasonable compensation for losses suffered by the employer as a result of the breach of the agreement, and cannot sanction excessive or punitive bonding. Your friend needs to get in touch with the employer immediately in writing to explain his condition and provide him with all necessary medical documentation and ask for an alternative job that is more suitable to his medical condition in India. In the event of dismissal from work either due to poor performance or due to decline to travel, it would be vital to know the enforceability of the bond taking into account different factors such as the terms of the bond, actual loss suffered by the employer and others.
I hope this helps and if you have any further issues do not hesitate to contact us.