An employee who has voluntarily opted for a retirement scheme and accepted full and final settlement benefits cannot subsequently challenge the termination as forced or maintain an individual dispute under Section 2-A of the Industrial Disputes Act, 1947.

THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF CONSTITUTION OF INDIA, PRAYING TO A. ALLOW THIS WRIT PETITION; B. ISSUE A WRIT OF PROHIBITION OR CERTIORARI, OR ANY OTHER APPROPRIATE WRIT IN THE LIKE NATURE AND QUASH THE IMPUGNED COMPLAINT DATED JANUARY 5, 2026 PRODUCED VIDE ANNEXURE B FILED BEFORE THE LABOUR COURT, HUBBALLI IN KID CASE NO.4 OF 2026 TITLED “SHRI SUNIL M KULKARNI VS. THE MANAGING DIRECTOR, ADM AGRO INDUSTRIES INDIA PRIVATE LIMITED”; AND THE IMPUGNED SUMMONS DATED JANUARY 6, 2026 ANNEXURE B IN O.NO.LCH: 5 OF 2026, ISSUED BY THE LD. LABOUR COURT, HUBBALLI, TO THE PETITIONER, AND ALL CONSEQUENTIAL PROCEEDINGS IN KID CASE NO.04/2026, IN THE ENDS OF JUSTICE AND EQUITY. C. PASS ANY SUCH OTHER ORDER AS THIS HON'BLE COURT DEEMS FIT.

THIS WRIT PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

CORAM: THE HON'BLE SMT. JUSTICE LALITHA KANNEGANTI

ORAL ORDER

The present petition is filed seeking the following prayers:

i) Allow this writ petition;

ii) Issue a writ of prohibition or certiorari, or any other appropriate writ in the like nature and quash the impugned complaint dated January 5, 2026 produced vide Annexure-B filed before the Labour Court, Hubballi in KID Case No.4/2026 titled “Shri Sunil M Kulkarni Vs. The Managing Director, ADM Agro Industries India Private Limited”; and the Impugned Summons dated January 6, 2026 Annexure-B in O No.LCH:5 of 2026, issued by the learned Labour Court, Hubballi to the petitioner, and all consequential proceedings in KID Case No.4/2026, in the ends of justice and equity.

iii) Pass any such other order as this Hon’ble Court deems fit.”

The facts of the case are that, the petitioner is a Private Limited Company incorporated under the Companies Act, 1956 in the year 2009. The petitioner/Company is operating a factory located at Plot Nos.260 to 262, Belur Industrial Area, Dharwad. *In the month of April, 2025, the petitioner/Company decided to close the operations at^*Deleted vide order dated 20.02.2026. Sd/- JUDGE Dharwad Unit, due to heavy underutilization and a challenging business environment. On 16.04.2025, the petitioner/Company intimated to all the employees at Dharwad Unit through publication on all 10 Notice Boards in both Kannada and English and offered two initiatives, (a) Voluntary Retirement Scheme and (b) Internal Job Postings. The petitioner received the application of the respondent/employee along with the applications from other employees, who are about 115 employees, opting for Voluntary Retirement Scheme, including the option for the early-bird offer payment of Rs.50,000/-. On 27.04.2025, the petitioner/Company accepted the respondent's application for the Voluntary Retirement Scheme under the acceptance letter dated 27.04.2025 and it was agreed that the petitioner’s/company’s last working day would be on 15.05.2025. Then on 15.05.2025, the petitioner and respondent entered into a settlement agreement, where a lump sum amount was paid. As per the settlement, the employee is eligible for a lump sum ex-gratia payment i.e. 2 months salary for every completed year of service till the date of exit under the scheme. It is further stated that an early-bird offer is the incentive of Rs.50,000/- along with gratuity and encashment of unused leave andbonus due. The payments made under the Voluntary Retirement Scheme and the settlement agreement are towards full and final settlement of all contractual and statutory entitlements that the respondent may have in connection with their employment with the petitioner. As per the same, the respondent waives and releases the petitioner from any notices, claims, demands, damages, lawsuits and other obligations, promise and cause of action. On 19.05.2025, the petitioner transferred an amount of Rs.19,53,891/- in favour of the respondent after deducting the TDS. Then, on 16.08.2025, the petitioner received a legal notice issued on behalf of the employees of the petitioner/Company alleg