Is it legal to demand a signed cheque as bond?
I’m a Biochemistry Technician working at ###. After 1.5 years, my company offered a salary increment. However, they are asking for a signed cheque equivalent to two months' salary. They have made a bond stating that we cannot quit our job for one year, and even after giving proper notice (1-2 months), we must pay a fine equivalent to two months' salary. Is this bond valid?
Dear Client, it might be possible for an employer to ask for a service bond in certain situations, but whether it holds up in practice really depends on if the terms are reasonable and in line with the law. Asking for a signed blank cheque as backing is a bit legally dubious, and it can be contested if it ends up being misused. There is also the clause about paying two months’ salary if you resign this could be enforceable only if it actually reflects a genuine and sensible estimate of the likely loss. If it feels more like a penalty than a real pre-calculation, then it may not stand. Before you sign anything, take a good look at the service bond terms, and if you can, think about getting legal guidance about your rights and duties. Thank you for choosing Prime Legal.
The bond requiring a signed cheque equivalent to two months' salary may be enforceable if it is part of your employment contract and clearly stated. However, this condition can be challenged if it is considered an unfair labor practice. Consult a labor lawyer to verify if such a bond is legally binding. For further legal assistance contact us on our helpline number.
Related Questions
24x7 Help
If we fall short of your expectation in any way, let us know
Payment Trust
All refunds come with no questions asked guarantee
