Employment Agreement Contract With Bond
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If this form requires notarization, complete it online through a secure video call—no need to meet a notary in person or wait for an appointment.
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FAQ
An employment bond is an agreement between the employer and the employee which provides that the employee shall work for an agreed upon minimum period of time upon joining the business.
The said (Name of the appointee) is hereby appointed as the (Designation) of the company and he will hold the said office, subject to the provisions made hereinafter, for the term of (Duration with the organization) from the date of this agreement.
The simple answer is yes. Such employment agreements with the negative covenant is valid and legally enforceable if the parties agree with their free consent i.e. without force, coercion, undue influence, misrepresentation and mistake.
Indian law mandates the employment bonds to be reasonable in order to be valid. The term reasonable remains undefined anywhere in the Indian law and therefore the courts have given meaning to reasonable depending upon the facts and circumstances of the cases.
These days, most companies do not have a bond that lasts more than a year or two. In such a situation, it is not a bad idea since a couple of years of continued service with any firm will look good on your resume as well. Anything less than that will make a prospective employer question your loyalty.
