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Legal Aspects Of Signed Statement/Signed Agreement - CiteHR

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mukeshsharmabaijnath
Dear Seniors

I have a question:

I am working for a company (MNC) and I have signed a Non-disclosure, Non-compete statement/agreement on my part on a white paper. As it says I can't work with any of the competitors of the companies in India, after the close of the work or the termination of the work even I can't work with any of the competitor of the company for a period of one and one and half year. I have also signed that in case i breach this agreement/statement, I will have to pay them rupees 1 carore for the breach of contract. Although I signed it as well as my employer and two witnesses also signed it on a white paper.

Although my company is not giving me any Joining letter, P.F., Medical. No deduction is made on my salary. Although they had just mentioned on an e-mail that they are appointing me as labour. But I am the one used to see all the company operations.

My company used to send my salary on Western Union.

So respected one's.

Is it valid agreement or void agreement according to law?

Can I move to other companies/competitors of the companies?

Can my employer is liable to take legal action against me?

Answer the suggestions as early as possible.

Thanks and regards.

From India, Hamirpur
executor
139

Request you to please help us understand some key issues re your situation:
Salary paid through WUMT: Where are you located? - Please state country and city if possible. (Your profile location says Hamirpur)
Are you employed by an MNC's Indian subsidiary or by a legal entity of the MNC abroad?
Please note, the "white paper" you have mentioned is a non-issue completely. Even verbal contracts, if proven, are valid ones. However, the validity of the paper will be dependent on its jurisdiction, applicability to a situation, terms of contract and procedural issues. Contracts/bonds of these kinds are generally bad in law in India, but there are layers to the problem.
I would urge you to provide more details of your case. And also read up on innumerable discussions on this topic already on this forum.

From India, Mumbai
mukeshsharmabaijnath
Yes Sir. I used to get my salary through WUMT. Some times by hand when the Chairman of the company is here in India. If they are not here in India, they used to pay me by WMUT.
Currently I am located at Vadodara in India. My company is registered in Mumbai.
I am employed by a subsidiary of American company. But I don't have any appointment letter.
Sir Guide me as per the laws.
Thanks & Regards.

From India, Hamirpur
executor
139

Does your NDA/NCA mention your terms of service? Have you signed any other papers? .. Why did you sign an NDA/NCA without an appointment letter / job contract? What is thenature of the job involved? Too sketchy a case for most of us to be specific with our advice.
If you are looking for generic advice, please use the search tool to read up about similar problems.

From India, Mumbai
mukeshsharmabaijnath
Respected Sir.The letter I have signed does not mention the term of service. Although the e-mail that my company sent me that has a term of 2 months for my service in the company. But the letter I have signed only indicates the obligations or you can say conditions for the breach of the contract. Even that letter also not shows that at what designation I am working, and for how many months/years. only e-mail indicates that I am working as a labour for the period of 2 months after that company will review my performance & will expand the contracts. Although my two months service has been finished and they have not expands my service on written or in e-mail, but I am still working.

The nature of the work is: I am working for a cigar company. I used check quality of the cigars. Tell the trainees how to make them, the designs of the boxes, and used to see their export, sometimes meetings of the companies. Requirement of the trainees. Send daily reports to U.S.

Sir guide me as per you think, the possible.

Thanks & Regards.

From India, Hamirpur
executor
139

Prima facie the contract seems to be a one sided one and hence bad in law. There are many cases in law that sets a precedent regarding unjustified blocking of one's career opportunities through NDAs/NCAs have been struck down by the courts. Let's wait for some of the legal experts to comment on this.
From India, Mumbai
mukeshsharmabaijnath
Thanks a lot for your valuable suggestions, I appreciate.
Although the chairman of the company has written these words on her mail: However, should our work in India terminate we would assist you with further employment possibilities.
So should I take it as a void contract or I mean to say should I move to other companies/competitors?
Thanks & Regards.

From India, Hamirpur
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