Court orders Employee to pay Rs.5 lac to Company for quitting job without prior notice

A local court in Ahmedabad has ruled in favor of Jensen Kobain Solutions Pvt Ltd, ordering the recovery of Rs 5 lakh in damages from one of its former employees, Mariya Rajput. The company claimed that Rajput’s sudden departure from the job without prior notice, along with her unexplained absenteeism, caused significant financial losses and harm to the company’s reputation. The court issued its decision in an ex parte hearing, meaning that the ruling was made in Rajput’s absence as she did not participate in the court proceedings.

The dispute traces back to Rajput’s employment with Jensen Kobain Solutions Pvt Ltd. She joined the company in February 2021 as a trainee associate in the finance department, with a six-month probation period. Upon successful completion of her probation, Rajput’s employment was confirmed, and she was bound by certain terms and conditions outlined in her employment contract. One of the key terms was the requirement to provide a written resignation notice at least 30 days before her intended last day of work. This clause is a common feature in employment contracts to give employers sufficient time to make alternative arrangements or hire replacements, thus minimizing disruptions to business operations.

However, according to the company, Rajput failed to comply with this clause when she abruptly stopped attending work and left the company without submitting the required notice. The company filed a lawsuit accusing her of breach of contract, arguing that her actions resulted in both financial harm and reputational damage. The absence of a proper handover process and her unexplained absenteeism, according to the company, led to operational challenges, which ultimately translated into monetary losses.

Given that Rajput did not appear in court to defend herself or offer any explanation for her actions, the court proceeded with an ex parte hearing. In such cases, the court bases its decision solely on the evidence provided by the plaintiff—in this case, Jensen Kobain Solutions Pvt Ltd. The company presented its case, emphasizing the breach of the resignation notice clause and the consequent damages.

After reviewing the evidence, the court concluded that the company had a legitimate claim and granted permission for the recovery of Rs 5 lakh from Rajput to compensate for the damages. This ruling underscores the importance of adhering to contractual obligations, particularly in cases involving employment contracts where failure to comply can result in legal and financial consequences.

The case highlights the critical role of notice periods in employment relationships, not just as a formal requirement but as a way to protect both parties from sudden disruptions. Employers rely on such clauses to ensure continuity in their operations, while employees are expected to respect these terms as part of their professional responsibility. Rajput’s failure to abide by the terms of her contract ultimately led to the court ruling in favor of the company.

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