Labour and Employment
Supreme Court Upholds Validity of Service Bond Clause in Employment Contract
In Vijaya Bank and Another vs Prashant B Narnaware[1] a division bench of the Hon’ble Supreme Court of India has upheld the validity of a clause in an appointment letter requiring an employee to pay Rupees Two Lakh (INR 2,00,000/-) as liquidated damages if he resigned before completing three (3) years of service.
27 May 2025