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IN THE HIGH COURT OF DELHI
Dinesh Kumar Sharma, J.
NNS Online Pvt. Ltd. - Appellant
Versus
Govt. of National Capital Territory of Delhi - Respondent
W.P.(C) 2726 of 2020, CM Appl. 14554 of 2022 & CM Appl. 35266 of 2022
Decided On : 02-11-2022




A resignation, if properly communicated and accepted, constitutes valid termination, challenging the Labour Court's finding of illegal termination when the evidence suggests otherwise.

Headnote:(A) Industrial Disputes Act, 1947 - Section 2(s) - Termination of employment - The petition filed by management against Labour Court's award reinstating the workman based on alleged illegal termination - Court held the resignation was accepted clearly and voluntarily, invalidating the Labour Court's finding. (Paras 1, 31)

(B) Employment relationships and voluntary resignation - Law does not require specific procedures for accepting resignations unless prescribed; acceptance is valid upon intention being communicated. (Paras 40)

(C) Jurisdiction under Article 227 of the Constitution - Limited to cases of perversity or legal error - Findings of Labour Court based on conjecture are subject to review. (Paras 26, 45)

Facts of the case:
The petitioner-management, challenging a Labour Court's award reinstating a workman following a termination deemed illegal, argued the workman voluntarily resigned and failed to establish continued employment.

Findings of Court:
The workman’s resignation was found legitimate, and previous findings of illegal termination were deemed unfounded, leading to the conclusion that the award was perverse.

Issues: The main issues revolved around the legitimacy of the workman's resignation and whether it was accepted according to proper procedure.

Ratio Decidendi: Resignation communicated and accepted constitutes termination of employment; findings based on conjecture or lacking evidence warrant judicial review.

Result: The impugned award dated 20.02.2020 was set aside.

Table of Content
1. writ petition challenges dismissal order. (Para 1)
2. petitioner contends resignation validity and procedure. (Para 2 , 3 , 4 , 5 , 6)
3. no evidence of employment relationship post-resignation. (Para 7 , 8 , 12 , 14)
4. labour court finding determined as perverse. (Para 18 , 30)
5. claim of employee status disputed; legal references. (Para 19 , 21 , 22 , 24)
6. resignation effective immediately upon acceptance. (Para 38 , 40)
7. award based on conjecture, legal principles stated. (Para 45 , 46)
8. writ petition judgment: award set aside. (Para 47 , 48)

JUDGMENT

Dinesh Kumar Sharma, J. The present writ petition has been filed by M/S NNS ONLINE PVT. LTD-petitioner-management challenging the impugned order dated 20.02.2020 in LIR No. 2313/2017, whereby the learned Presiding officer, Labour Court, Rouse Avenue, New Delhi inter alia held that the services of the respondent No.2-workman was terminated by the petitioner-management illegally and therefore the petitioner-management was directed to reinstate the respondent No.2-workman at the same post i.e. News Coordinator with continuity of service and other consequential benefits within a period of one month from the date of publication of the said award.

2. The award has been challenged pre-dominantly on the ground that the impugned order is contrary to law and facts of the case and the learned Labour Court has failed to appreciate material facts as brought out in the proceedings. The plea of the petitioner-management is that the respondent No.2-workman had resigned from his work on 01.12.2013 and the resignation was duly accepted by the petitioner-management. It has been submitted that the learned Labour Court has fallen into grave error inter alia holding that the resignation has not been accepted by the petitioner-management following proper procedure while accepting the resignation of the respondent No.2-workman. It has been submitted that no procedure has been prescribed or enshrined defined under the law for the petitioner-organization for accepting the resignation.

3. It has been submitted that after the resignation, the respondent No.2-workman was no longer an employee of the petitioner. It has been further submitted that the learned Labour Court also failed to take into account that immediately after his resignation, the respondent No.2-workman had duly withdrawn his Provident Fund. The petitioner has further submitted that the learned Labour Court has failed to appreciate that the respondent No.2-workman has started his own fortnightly newspaper in 2014 and the said fact was admitted by the respondent No.2-Workman in his cross examination. It has been submitted that therefore the finding of the learned Labour Court that the respondent No.2-workman was an employee of the petitioner-management till 30.06.2016 is totally contrary to the record.

4. The petitioner-management has further submitted that respondent No.2-workman did not produce iota of any evidence on the record to substantiate his claim that he was an employee of the petitioner-management since 01.01.2006. It has been submitted that the learned Labour Court has wrongly drawn an adverse inference on the petitioner-management for not producing any document as per Section 11 (3) (b) of Industrial Disputes Act, 1947 (`the I.D. Act'), as the petitioner-management had produced the said documents. It has been submitted that the respondent No.2-workman did not mention the said documents in his evidence affidavit.

5. The petitioner-management further submitted that the learned Labour Court failed to appreciate the fact that even Ex. WW1/4 (copy of ESIC insured data form issued by the petitioner-management) produced by the respondent No.2 itself, shows the date of appointment of the workman as 01.06.2009. It has further been submitted that Ex. WW1/5 (copy of the identity card) shows the date of validity upto 31.12.2011. The petitioner-management has submitted that the finding of the learned Labour Court

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