Friends, I want to have an opinion from you HR experts. I was handed over a "Letter of Intent" which was accepted by me. Though the first line int he letter reads "We are pleased to make an offer of employement on the following terms and conditions......". Now there was a binding clause in that LOI which talks of recovering amount spent on training incase if the candidate leaves the org within 12 months from completion of training.

Subsequently, I was given a formal letter of appointment. This does not contain the aforesaid binding clause. However, at the end of it, there is a small sentence, we says" by signing this, you agree to accept conditions of this appointment letter and the offer letter issued to you earlier..."

In this situation, please could you let me know the legality of the LOI in lieu of Offer letter. Can I consider the binding clause not binding on me at all, since it was part of LOI and not Offer letter, though the appointment letter refers the Offer letter, which was never issued.

Please help me.

From India, Mumbai
Mr. Prakash, Thanks for your reply. However, wouldn't there be a discrepancy in the Letter of appointment which states "clauses in the Letter of offer issued earlier....." where as no offer letter was issued and it was merely an LOI? How would the law look at it? Would i be compelled to pay all the expenses incurred on training just because it was mentioned in the LOI? And also, in case where my separation is due to constant harassment by my senior which was brought to the notice of the CEO?
From India, Mumbai
Dear
You have not referred to any Bond signed by you.If you have not signed a Bond and merely a reference is found in the LOI without being part of the Letter of Appointment , you can always argue that the LOI gets merged into the LOA and terms get superceeded.This is an appreciable argument .
But such things are not settled between the parties ,if it has be contested ,if you point out the discrepancy and if the Management still insists you will have to settle it in a Court of Law.The last word for declaring an action of the Management is the Civil Court.
With Regards
V.Sounder Rajan
E-mail :

From India, Bangalore
Mr. Rajan, a little unclear though. Will I be protected from my company recovering expenses on Training? No bond was signed and it was just mentioned in my LOI. Can I argue that my resignation is due to lack of soft HR skills by my senior?
From India, Mumbai
Dear
If you have not signed a Bond as you say ,unlike in an action for recovery under a Bond ,it is not a liquidated sum they will have to prove the loss and recover it from you.It is a long drawn process.You seem to be on a good wicket. Go all out and foreclose n the manner already suggested.
With Regards
V.Sounder Rajan

From India, Bangalore
Mr. Rajan, Thats really heartnening to know. I'm into an Insurance company, but in the finance section. Actually most of the expense incurred were on Training the Actuaries who are trained on specialised models etc. (some propriety too). We were provided only a week's training on the Accounts and reporting package which could not have been expensive. This clause, which actually is for Actuaries employed, is made to every employee in general. And since, sending us abroad for training was the company's requirement and not our demand. Are my arguments reasonable???
From India, Mumbai
Dear
If it is appealing to us a Lawyer it should be appreciated by your Employers who are Insurers and they will not wast their time on fighting a losing case as you have exposed in your continous posts of citing the use of Actuary training clause ditto for your profile.Good luck .
With Regards
V.Sounder Rajan

From India, Bangalore
Dear,
On perusal of your whole story, I can say that the terms of LOI are binding on you, since you have accepted the offer by signing its copy and subsequently you have accepted the appointment letter.
The particular clause of appointment letter, which makes the LOI as the forming part of the appointmen letter, shall be binding and legally valid if you have accepted offer and thereafter appointment letter.
Thanks,
Mohd. Arif Khan
09891497178


I’m getting varied responses. I’m a bit confused as to what is the actual legal implication? Please could you clarify?
From India, Mumbai
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