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Dispatched Employee Binding Contract

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1 Dispatched Employee Binding Contract on Tue Jan 09, 2018 2:00 pm

RainRiku


Arresto Menor
Good day

Good day
I have signed a binding contract for a dispatch employee. I already completed my assignment as TTE and now going back to my previous company, In the contract it says I have obligatory service to tender for 3 years or pay an amount. I plan to resign without completing the obligatory service. I understand that they can sue me for civil case. Can anyone advise on how to strong is their binding contract?

I also recently found out that their are also TTEs who resigned and did not pay the amount, Also found out that a part of my allowance when i was a TTE was deducted for my salary in my company and for 13th month bonus, It is found in my payslip when i was TTE. I also found out that the INTRA COMPANY is the one who pays me my salary and allowance when i was TTE. In short, my company did not have any cost when i was a TTE.

I also did not take any trainings just pure work (programming development)

Here's a copy of the contract Smile

Contract:

This Binding Contract made and entered into the day specified hereunder, by and between COMPANY and the undersigned Temporarily Transferred Employee (TTE) of COMPANY who is qualified to hold the visa of Intra-company Transferee from COMPANY to (INTER COMPANY) under Japanese Immigration Act.

WITNESSETH

WHEREAS, COMPANY desires to send TTE temporarily to INTER COMPANY under the agreement with INTER COMPANY in order to contribute ‘Cost down and Profit making’ of COMPANY and INTER COMPANY and to develop his or her engineering capability for future development of COMPANY;
WHEREAS, TTE desires to work with INTER COMPANY as a temporarily transferred employee from COMPANY to INTER COMPANY in order to contribute ‘Cost down and Profit making’ of COMPANY and INTER COMPANY and to develop his or her engineering capability for future development of COMPANY;

NOW, THEREFORE, in consideration of the premises and mutual covenants herein contained, COMPANY and TTE hereby agree as follows:

1. TTE agrees to complete the entire assignment with INTER COMPANY and agrees to remain employed with COMPANY upon his/her return to the Philippines rendering obligatory service for at least three (3) years.

2. In case the TTE resigns or terminates his/her employment with COMPANY or is separated for any of the just causes under the law, before or anytime prior to the completion of his/her obligatory service for at least three (3) years, COMPANY shall have the right to recover from TTE certain costs such as but not limited to the following: airfares, accommodations, allowances, and other expenses incurred during INTER COMPANY assignment.

3. For TTE’s non-fulfillment of the entire assignment and obligatory service the following shall be observed:
3.1 For non-fulfillment of the entire assignment the payment shall be ₱ 300, 000.00

3.2 For non-fulfillment of the obligatory service, the service rendered shall be considered reckonable and the computation of the costs to be paid by TTE shall be reduced according to the schedule hereunder.
Period of Service Amount to be Paid
0 to 6 Months ₱ 500,000
7 to 12 Months ₱ 400,000
13 to 18 Months ₱ 300,000
19 to 24 Months ₱ 200,000
25 to 30 Months ₱ 100,000
31 to 36 Months ₱  50,000

3.3 For breach of contract, payment shall be made by TTE on or before resignation effectivity.
3.4 This binding contract becomes due and demandable should the TTE decides to terminate his/her employment with COMPANY. The outstanding balance paid in a staggered manner shall be charged an interest rate of twelve percent (12%) per annum until fully paid, based on diminishing principal balance, and shall be amortized over a duly approved specific period.
3.5 All payments must be in cash and/or check.

4. In case TTE shall not comply with paragraph 3, COMPANY shall sue the TTE for damages for breach of contract.

5. Two (2) immediate family members (father, mother, spouse and etc,) of the TTE shall be the guarantors and shall guarantee the execution of this Binding Contract by signing hereunder.
In case the TTE will not pay, the Guarantor shall pay to COMPANY.



Last edited by RainRiku on Tue Jan 09, 2018 2:48 pm; edited 1 time in total (Reason for editing : words)

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2 Re: Dispatched Employee Binding Contract on Wed Jan 10, 2018 6:50 pm

attyLLL


moderator
The rationale for damages is unjust enrichment. In the PAL case, the employee was given many trainings. In case they come after you then that would be your defense


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3 Re: Dispatched Employee Binding Contract on Thu Jan 11, 2018 2:58 am

arnoldventura


Reclusion Perpetua
Just be aware on the nature of contracts, so that you would be better equipped to defend yourself in case management decides to go after you. Try reading this, I hope it helps. https://www.alburovillanueva.com/contracts

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4 Re: Dispatched Employee Binding Contract on Thu Jan 11, 2018 8:35 am

RainRiku


Arresto Menor
Thank you for your insights it is very helpful Smile

Also one follow up question..
Do I have the right to get my COE from the company?

Although i may need it anymore since I got a COE from the INTRA company and a job offered for another work.

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5 Re: Dispatched Employee Binding Contract on Thu Jan 11, 2018 9:59 am

lukekyle


Reclusion Perpetua
Yes. If ayaw ka bigyan you can always complain to DOLE. But be warned nowadays the bigger companies will write in your COE if you were AWOL or if you committed major offenses against them. But no harm in trying

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6 Clearance and leave on Thu Jan 11, 2018 10:02 am

glez14


Arresto Menor
Good day
I filed my resignation last December 18, 2018 the effectivity date January 18,2018. Last January 9, 2018 Tuesday, I endorsed personally the duties and resposibilities of a document controller to the designated person. Then I filed also a leave form dated January 11 to 18, 2018. Kaya lang po ang supervising officer ay ayaw pirmahan ang leave at clearance ko. Which is wala naman po akong nilabag sa batas kasi nagpasa naman po ako ng resignation. Ano po ang dapat kong gawin? Thanks po

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7 Re: Dispatched Employee Binding Contract on Thu Jan 11, 2018 11:34 am

mikos23

avatar
Reclusion Perpetua
Regarding leave, it is the right of the supervising officer to approve it or not. There must be a reason for him not signing your leave, you should ask why.

Same as with your clearance, maybe you still need to turn over some documents or tasks, etc. Just ask.

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8 Re: Dispatched Employee Binding Contract on Thu Jan 11, 2018 11:52 am

glez14


Arresto Menor
Yes po. Already turn over personally all the documents properly and submitted also the list of all the documents yesterday. Thank you

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9 Re: Dispatched Employee Binding Contract on Thu Jan 11, 2018 10:41 pm

attyLLL


moderator
glez, do your follow ups in writing (email will suffice). try elevating it through the management chain


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10 Re: Dispatched Employee Binding Contract on Thu Feb 22, 2018 12:40 pm

RainRiku


Arresto Menor
Hi

Sorry to resurrect this one.

So basically on  my defense unjust enrichment. It is possible to reason out to lessen the amount to be paid?



Thank you Smile

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11 Re: Dispatched Employee Binding Contract on Thu Feb 22, 2018 3:09 pm

attyLLL


moderator
if you did not receive any training, then I don't see why you should be made to pay any amount


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Warning and Disclaimer: I am not your lawyer; and you are not my client. With the limitations of an  Internet forum, a thorough review of your concern is not possible. View my comments at YOUR OWN RISK. It is best to actually retain a lawyer for your individual concerns.
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12 Re: Dispatched Employee Binding Contract on Fri Feb 23, 2018 8:18 am

RainRiku


Arresto Menor
I noted.

Thanks attorney Smile

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