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This is to inform you that you have been absent from ………to ……………

without any information given to the company which lead you to break the terms
and conditions of the company as agreed by you at the time of joining the
You were agreed to employ as ……………(designation), according to the terms
and conditions mentioned in the offer document dated………….. and ensure the
service to the employer of the company for a period of two years from the date of
joining. nd if you failed to ensure the continuous service than this bond shall
be effective and have full force which propelled the employer to demand you to
pay the sum agreed to in the !ond.
" hereby issue a notice to you to show cause as to why company should not
demand you to pay the sum agreed to in the !ond.
You are re#uested to answer this notice within $% days from the date of receiving of this
notice so that we can fi& a date to hear you. Your prompt and proper action will be
n employee bond is a debt assumed by the company on behalf of an employee. The
debt is payable on a specified date and interest is usually payable until that date. "n
other words the 'mployment !ond is basically an greement entered into by the
(ompany with the 'mployee which among the other terms contained therein states that
in consideration of the training given to the 'mployee and the money spent by the
(ompany in imparting such training, the 'mployee will remain in the services of the
(ompany for a particular period. "n case of the 'mployee breaching the provisions of the
greement, the 'mployee would be liable to pay certain sum of money, being the
e&pense incurred by the (ompany in training the 'mployee.
The employment bond is a contract and enforceable at the option of the other. The
contractual clauses in employment agreements are governed by the (ontracts ct,
$)*+. ,nder this, a contract is valid even if it imposes restrictions on a person-s trade or
profession, as long as such restrictions are reasonable. .hether a particular condition is
reasonable would depend upon the facts and conditions of each case.
the !ond may also contain a stipulation that a certain amount has to be paid in the case
where there is a breach of the provisions of the !ond. This sum which is fi&ed under the
contract is called /li#uidated damages0.
The course of action a (ompany must follow when an 'mployee breaches the condition
of the 'mployment !ond 12 The first thing the (ompany must do is issue a legal notice
calling upon the 'mployee to report for duty immediately, failing which the notice should
call upon the 'mployee to pay the sum agreed to in the !ond. 'mployee fail to pay the
amount a suit may be filed in the (ourt of appropriate jurisdiction to recover the amount