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Terminate Employment Contract without Termination Terms by employee

izy
Member
Fri, 18 Aug 2017 07:31:20 PM  (Last updated: Sat, 19 Aug 2017 02:32:59 PM)

Hi,

I would like to seek some advice.

My salary is above RM5000 hence not covered by EA.

I had signed a 3 years contract with my employer.

I would like to resign from company

.

However, there is no termination clause by employee in the employment contract.

The employment contract state that employee is NOT allowed to terminate contract during the contract period while employer CAN terminate the contract by giving 1 month notice. 

The employment contract also state that employee is required to pay the sum of monthly salary for the balance of my unserved contract period to the employer in the event employee plans to terminate the contract plus any liquidated damages to the employer to terminate the contract.

After informing the employer my intention to resign, the employer tell me that they would claim the sum of monthly salary for the balance of my unserved contract period plus liquidated damages from me.

Will the employment contract hold in court as the termination clause is unfair and unreasonable?

Can i resign by giving 1 month notice?

What is the course of action that I can do?

Thank you very much.

izy
Member
Fri, 18 Aug 2017 07:41:18 PM
Originally posted by izy on Sat, 19 Aug 2017 02:32:59 PM

Hi,

I would like to seek some advice.

My salary is above RM5000 hence not covered by EA.

I had signed a 3 years contract with my employer.

I would like to resign from company

.

However, there is no termination clause by employee in the employment contract.

The employment contract state that employee is NOT allowed to terminate contract during the contract period while employer CAN terminate the contract by giving 1 month notice. 

The employment contract also state that employee is required to pay the sum of monthly salary for the balance of my unserved contract period to the employer in the event employee plans to terminate the contract plus any liquidated damages to the employer to terminate the contract.

After informing the employer my intention to resign, the employer tell me that they would claim the sum of monthly salary for the balance of my unserved contract period plus liquidated damages from me.

Will the employment contract hold in court as the termination clause is unfair and unreasonable?

Can i resign by giving 1 month notice?

What is the course of action that I can do?

Thank you very much.

Can the employer actually claim the sum from me?

KL Siew
Administrator
Sat, 19 Aug 2017 08:43:56 AM

I think you should consult a lawyer first before deciding whether to put in your resignation or not. Show the lawyer a copy of your contract with the company.

izy
Member
Sat, 19 Aug 2017 02:11:16 PM
Originally posted by KL Siew on Sat, 19 Aug 2017 08:43:56 AM

I think you should consult a lawyer first before deciding whether to put in your resignation or not. Show the lawyer a copy of your contract with the company.

Siew, thank you for your reply.

Actually i had consulted a lawyer friend of mine and show him the contract, he advice me to go ahead as the contract terms for termination is unfair and won't hold in court.

But since it involve a very large amount, so am getting a second opinion here.

In your personal view, what would be the chances if this is brought to the court?

KL Siew
Administrator
Sat, 19 Aug 2017 02:32:59 PM

Why not also consult the Legal Aids Bureau (Biro Bantuan Guaman) people for a second opinion. This is a government department and consultation if free. It is for consultation only and they may not represent you in court.

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