In Madhya Pradesh State Road Transportation Corporation v Manoj Kumar & Anr, the Supreme Court held that where a voluntary retirement scheme is contractual in nature, applicants cannot withdraw their applications for the scheme after it closes.
Madhya Pradesh State Road Transportation Corporation (MPSRTC) was granted permission to wind up. A voluntary retirement from service (VRS) scheme introduced for its employees was initially available from 1 July 2005 to 1 August 2005. A second window for voluntary retirement was made available between 12 October 2006 and 28 October 2006. The scheme stipulated that an application could not be withdrawn after it was submitted.
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The dispute digest is compiled by Bhasin & Co, Advocates, a corporate law firm based in New Delhi. The authors can be contacted at lbhasin@bhasinco.in or lbhasin@gmail.com. Readers should not act on the basis of this information without seeking professional legal advice.
