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Wednesday, June 22, 2011


The Courts do not ordinarily interfere in transfer matters. But, transfer in contrary to the contract of services cannot be allowed. Consequently it is important to understand the law with respect to the transfer matters.

The Hon’ble Division bench of the High Court of Karnataka in Indian Telephone Industries V Prof. P.N Shetty11 had provided that an order of transfer can be challenged on the following grounds:

(1) The transfer is in violation of conditions of service or contract;

(2) It is actuated by malafide or actuated by some other ulterior motive not connected with the business interest of the management; and

(3) The transfer effects a change in the conditions of service by subjecting the employee to more onerous conditions.

The Hon’ble Supreme Court in Pearlite Liners Private Limited V Manorama Sirsi11a, held “unless there is a term to the contrary in the contract of service, a transfer order is a normal incidence of service”.

Prepared by: S. Hemanth

Advocate at Hemanth & Associates