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2017 Supreme(Del) 4806

IN THE HIGH COURT OF DELHI AT NEW DELHI
V. KAMESWAR RAO, J.
Kailash Kumar - Petitioner
Versus
M/s Syndicate Bank Ltd. - Respondent
W.P. (C) 9001 of 2015
Decided On : 22-12-2017

Advocates:
Advocate Appeared:
For the Respondent: Mr. V. Sudeer

The main legal point established in the judgment is that the employment bond stipulating a specified sum as payable by the employee in case of breach of contract is enforceable only if the employer has actually spent money on the employee against a promise from the employee that he or she should not leave the employment for the specified duration and has consequently suffered loss on account of the employee having received the training and leaving the employment before a stipulated period in breach of employment bond/contract.

Headnote:

resignation - employment bond - 23, 24 of the appointment letters - The court discussed the relevant clauses of the appointment letters, the agreement/service bond, and the petitioner's resignation. It highlighted the conditions for resignation, reimbursement, and notice period as stipulated in the appointment letters and the agreement/service bond. The court emphasized that the respondent's claim for reimbursement presupposes the bank incurring expenses on training, which was not the case. The court held that the respondent should have relieved the petitioner from the bank's services and directed the petitioner to tender an amount of Rs.1,10,725.89 within four weeks to be relieved from the date of his resignation letter.

Fact of the Case:

The petitioner sought permission to resign from the service of the respondent Bank without giving the required notice period and reimbursing the bond amount. The respondent rejected the request and called upon the petitioner to reimburse an amount of Rs.3,10,725.89 before being relieved from the services of the Bank.

Finding of the Court:

The court found that the respondent should have relieved the petitioner from the bank's services as there was no occasion for the petitioner to undergo training or for the respondent to incur any expenses on training. The court directed the petitioner to tender an amount of Rs.1,10,725.89 within four weeks to be relieved from the date of his resignation letter.

Issues: The main issue was whether the respondent could have denied the relieving of the petitioner from its services on his tendering resignation only on the ground that he has not paid an amount of Rs.3,10,725.89.

Ratio Decidendi: The court held that the respondent should have relieved the petitioner from the bank's services as there was no occasion for the petitioner to undergo training or for the respondent to incur any expenses on training. The court directed the petitioner to tender an amount of Rs.1,10,725.89 within four weeks to be relieved from the date of his resignation letter.

Final Decision: The court set aside the claim of Rs. 2,00,000 and directed the petitioner to tender an amount of Rs.1,10,725.89 within four weeks from the date of receipt of the order, and the respondent, on receipt of the same, shall relieve the petitioner from the date of his resignation letter.

JUDGMENT :

V. Kameswar Rao, J.

JCM No. 47475/2016

This is an application filed by the petitioner seeking permission to place additional documents on record. For the reasons stated in the application, same is allowed. The additional documents are taken on record. The application stands disposed of.

W.P.(C) 9001/2015

1. The present petition has been filed by the petitioner with the following prayers:

“Wherefore, it is most respectfully prayed that this Hon’ble Court may be graciously pleaded to:-

i. Issue a writ, order or direction to Syndicate Bank to relieve the Petitioner from services of the Bank by accepting the resignation from the employment as Probationary Asst. Manager (OL) from the Syndicate Bank.

ii. Quash the letter dated 04.08.2015 issued by Personnel Cell, Regional Office, Syndicate Bank, Coimbatore;

iii. Pass such other order or direction, which this Hon’ble Court deems it fit and proper under the circumstances of the case.”

2. In substance, the petitioner is challenging the communication dated August 4, 2015 whereby the respondent has rejected the request of the petitioner to resign from the service of the respondent Bank without first giving notice for a period of three months and calling upon the petitioner to reimburse the bond amount of Rs.2,00,000/- to the Bank. The Bank has called upon the petitioner to reimburse an amount of Rs.3,10,725.89/- and to confirm the same before he is relieved from the services of the Bank. It is the case of the petitioner that he was recruited for the services of the respondent Bank vide appointment letter dated April 30, 2015. One of the conditions of the appointment was, the petitioner should execute an agreement along with a guarantor in favour of the Bank agreeing to serve the Bank for a minimum period of two years from the date of joining the services of the Bank and for such other extended period as may be deemed necessary, failing which the petitioner and the guarantor are liable to pay Rs.2,00,000/- by way of compensation / liquidated damages to the bank. Thereafter on May 27, 2015, petitioner along with the guarantor executed an agreement and thereafter on June 1, 2015, petitioner joined the Bank as Probationary Officer. It is the case of the petitioner that his mother was suffering from heart disease and high blood pressure and she was in serious condition for which he had to come to Delhi from where he made an application dated June 4, 2015 to the Controlling Officer for grant of 5 days leave to enable him to come to Delhi and see his mother. After coming to Delhi on leave, he fell down from the stairs of the Railway Station at Delhi and got hurt. It is his case, as there was no improvement in his health, he was advised 21 days more bed rest and was unable to attend the office. He applied for leave dated July 2, 2015 till July 22, 2015. Thereafter he sought extension of leave till July 27, 2015. It is his case that on July 29, 2015, he tendered his resignation. Pursuant thereto, respondent Bank sent a letter dated August 4, 2015 (impugned herein), the details of which have already been narrated above.

3. Counter-affidavit has been filed by the respondent Bank. It is stated that the petitioner was appointed as a Specialist Officer vide appointment letter dated April 30, 2015 and was posted at Bank’s Regional Office at Coimbatore. Clauses 7 and 24 of the appointment letter stipulates the condition of executing a service bond and payment of Rs.2,00,000/- amongst other terms which were accepted by the petitioner on May 27, 2015 and pursuant thereto, petitioner and the guarantor executed a necessary agreement/service bond dated May 27, 2015 jointly/severally agreeing to pay Rs.2,00,000/- to the Bank by way of compensation and for liquidated damages on demand by the Bank in case the petitioner fails to serve the Bank for a period of 2 years from June 1, 2015 irrespective of place of posting or subsequent place of transfers at the discretion of the Bank. Petitioner joined the Bank at



















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