Supreme Court of India

Vijaya Bank & Anr. v. Prashant B Narnaware

Neutral citation
Reported as [2025] 6 S.C.R. 240
Bench Pamidighantam Sri Narasimha and Joymalya Bagchi JJ.
Decided 13 May 2025

INSC stands for INDIAN SUPREME COURT. A neutral citation scheme assigned by the Court itself, so a judgment can be cited without depending on a commercial law reporter. INSC is the neutral citation scheme assigned by the Supreme Court, so a judgment can be cited without depending on a commercial law reporter.

What the Court ordered

We find no reason to interfere with the order of the High Court.

Judgment, page 13

From the headnote

Issue for Consideration Matter pertains to whether clause 11(k) of the appointment letter that employee to work for minimum three years and in default to pay Rs 2 lakhs as liquidated damages on leaving employment amounts to restraint of trade u/s.27 of the Contract Act and/or opposed to public policy; and the correctness of order passed by the High Court quashing clause 11(k) of the appointment letter and thus, directing the bank to refund the said sum to the respondent-employee. Headnotes† Contract Act, 1872 – s.27 – Agreement in restraint of trade void – Restrictive covenant in the clause

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