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Adv Arjun Sharma
Adv Arjun Sharma. | 1 month ago | 307 Views

New Appointment Cannot Be Revoked If Resignation Is Accepted By The Previous Company 91-8877001993

Written by:

Adv Arjun Sharma Adv Arjun Sharma

Updated: 06-03-2024

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In a recent judgment, the Delhi High Court held that once the previous employer has relieved an employee, the new employer can’t refuse to issue a new appointment letter to the employee if the employee has cleared the selection process. 

The ruling delivered by a single-judge bench of Justice Jyoti Singh could ease the process of resigning and transferring to a new organization. In this context, it has been made clear by the Court that as soon as a resignation is formally accepted by an employer, the new company should not be under any obligation for that particular employee.

Why in the News?

Facts of the Case:

  • The case of Matthew Johnson Dara vs Hindustan Urvarak & Rasayan Ltd, deals with a finance executive who was offered the position of General Manager (Finance) at Brahmaputra Valley Fertilizer Corp. (BVFCL). He was inducted into the company on April 28, 2023. Later, in January 2024, he filled in his application for and got appointed into the position of Vice President (Finance) in a different organization. 
  • He was given a position offer and instructed to report to work by the 5th day of the month of July, in the year 2024.
  • After receiving a job offer on 7th June 2024, he resigned from BVFCL and asked to be relieved in 15 days since there was a provision for no notice for persons still on probation. 
  • It is pertinent to mention that instead of accepting her resignation, BVFCL issued a memorandum to the petitioner on June 15, 2024, informing him that his services were effective from April 28, 2024, and hence her service stood confirmed.
  • Following a series of exchanges of messages, the employee attempted to settle the matter by adjusting the balance against leave entitlements or proposing to serve a one-month notice period.
  • Meanwhile, he began working for the new organization on July 8, 2024, with the agreement that he will tender his relieving letter from BVFCL within a month. Nevertheless, on July 12, 2024, the new company served him with a show-cause letter claiming that he had joined it without obtaining a no objection from the previous employer.
  • This prompted him to seek the intervention of the Guwahati High Court which on July 18, 2024, issued an interim order restraining any further action against him.
  • The story changed when BVFCL eventually permitted him to resign on Oct. 3, 2024, which he did after he moved to the Delhi High Court and filed a writ petition. The issue was more about whether revoking his appointment from the new company for failing to provide the relieving letter from BVFCL was warranted.

Observations by the Court

  • As per the employee's promise to provide the relieving letter within 30 days of joining, the court noted that the employee's inability to provide one from BVFCL was the sole cause for canceling his employment. In addition, it was observed that the employee had been released from employment by BVFCL w.e.f. October 3, 2024, which means the basis for the order ceases to exist and the employee has no impediment to joining the respondent.
  • The court further noted that the defendant has not started a new hiring procedure for the position in question, therefore it remains open for the employee to return to. The court revoked the contested order issued by the respondent on August 19, 2024.

The court ruled that the defendant must allow the employee to return to the position of Vice President (Finance) within a week, along with all associated benefits. The writ petition was granted based on the previously mentioned observations.

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Ujjain: Woman Raped In Daylight, While Passerby Recorded The Video, Rape Accused And Another Arrested +91-88770-01993

Ujjain: Woman Raped In Daylight, While Passerby Recorded The Video, Rape Accused And Another Arrested +91-88770-01993

Adv Arjun Sharma • 07/09/2024

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How To Apply For A Marriage Certificate ? +91-8877001993

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How Is Murder Punishable? 8877001993

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Cheque Bounce Lawyers In Delhi 91-8877001993

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Dowry Death And Its Punishment 91-8877001993

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How To Escape From Cheque Bounce Cases ?91-8877001993

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Arrest Of RG Kar Principal And Kolkata Cop By CBI +91-8877001993

Adv Shubham Pahuja • 24/09/2024

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Arvind Kejriwal Resignation From The Post Of CM In Delhi

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Improper Bathing Habits Of Husband Leads To Divorce +91-8877001993

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Bail Of Delhi CM Arvind Kejriwal In Delhi Excise Policy Case

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Beef Found In Tirupati Ladoo Prasad +91-8877001993

Adv Anshul Jain • 27/09/2024

Section 125 Of CRPC Is Not There To Create An Army Of Idlers, Well-Qualified Wife Shall Not Solely Depend Upon Maintenance:- Mp High Court 91-8877001993

Section 125 Of CRPC Is Not There To Create An Army Of Idlers, Well-Qualified Wife Shall Not Solely Depend Upon Maintenance:- Mp High Court 91-8877001993

Adv Tanvi Malik • 28/09/2024

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Resignation Not Final Until Employer Communicates The Acceptance To Employee:-SC 91-8877001993

Adv Shifa • 28/09/2024

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High Court Condemns "Freebie Culture," Summons MCD Commissioner In Response To Delhi IAS Coaching Center Fatalities 91-8877001993

Adv Tanvi Malik • 30/09/2024

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Role Of The Best Family Lawyers In Delhi +91-8877001993

Adv Shubham Pahuja • 01/10/2024

Can’t Call Religion Of India As Pakistan: Supreme Court Blasts Karnataka Judge

Can’t Call Religion Of India As Pakistan: Supreme Court Blasts Karnataka Judge

Adv Ankit Kansal • 01/10/2024

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Death Sentence For Rape And Murder Of 7 Year Old Girl In Kolkata 91-8877001993

Adv Shifa • 05/10/2024

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Delhi High Court Grants Pregnancy Termination In Live In Relationship 91-8877001993

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Living Separately For Jobs Does Not Amount To Desertion 91-8877001993

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What To Do In Cheque Bounce Case: Lawyers Legal Advice 91-8877001993

Adv Samman Singh • 10/10/2024

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Govt Pleas For Criminalizing Marital Rapes?

Adv Tanvi Malik • 14/10/2024

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Maintenance To Woman In Live In Relationship 91-8877001993

Adv Ankit Kansal • 15/10/2024

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Baba Siddiqui Murder Case And Lawrence:-Bishnoi Gang Connection

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All Arrest And Detentions Are Not Custodial Torture 91-8877001993

Adv Samman Singh • 07/11/2024

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Matrimony Company To Pay Compensation To The Groom 91-8877001993

Adv Shubham Jindal • 11/11/2024

Justice Dy Chandrachud’s Legacy Through His 5 Key Judgments

Justice Dy Chandrachud’s Legacy Through His 5 Key Judgments

Adv Ankit Kansal • 12/11/2024

Student Sues Jindal Global Law School After University Fails Him For Using 88% AI Generated Content In Exams 91-8877001993

Student Sues Jindal Global Law School After University Fails Him For Using 88% AI Generated Content In Exams 91-8877001993

Adv Arjun Sharma • 14/11/2024

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Forcing Wife To Quit Job Amounts To Cruelty 91-8877001993

Adv Shubham Jindal • 25/11/2024

Celebrating The Spirit Of Democracy On Constitution Day On November 26

Celebrating The Spirit Of Democracy On Constitution Day On November 26

Adv Shubham Pahuja • 26/11/2024

Judicial Reform Through Set Up Of 24*7 Online Court In Kerela

Judicial Reform Through Set Up Of 24*7 Online Court In Kerela

Adv Anshul Jain • 06/12/2024

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