Termination Of A Contract By Mutual Agreement

The termination of an employment contract by a reciprocal termination agreement means that, in such circumstances, the worker does not benefit from the employment security provisions of Article 18 and the related articles of the Labour Act and introduces an action for reintroducation. However, an agreement with mutual termination may be annulled if there is a corrupt intention of the parties in the performance of the reciprocal termination contract or if a staff member has signed the reciprocal termination contract with a reservation. In the event of the cancellation of reciprocal termination agreements, reinstatement action may be brought if the conditions for the application of the employment security provisions under Article 18 of the Labour Act are met. The regional director of an emerging supermarket chain intends to terminate an employee`s contract for the growing trade in food purchases on the Internet. Note that if a contract is terminated, if the other party is not willing to accept the termination, but has found that it has violated a substantial part of the contract, you have reason to terminate the contract for other reasons. Other means of terminating employment contracts include the exchange of redundancies between the employer and the worker on statutory deadlines and immediate dismissal for just reasons, with the death of a worker and at the end of the agreed term of fixed-term employment contracts. After 2003, reciprocal termination agreements were widely used in practice to avoid the legal and financial risks associated with invalid dismissal under the provisions of Labour Safety Act 4857. The specific terms of the contract may include the possibility of exiting the contract within a specified period of time. This is called a cooling-off period. This is usually the case when transactions take place in a different location, for example. B at a trade show or at door-to-door sales.

If one party wants to terminate the contract, the other does not, it can create problems with the contracts. In the event of reciprocal termination, there are no adverse or negative consequences, unless the contract affects other contracts. The contract is no longer applicable once terminated. The most important condition for the performance of a valid reciprocal termination contract is the existence of “reasonable performance criteria” arising from the court decision. The Supreme Court applies the validity of the reciprocal termination contract to the existence of a reasonable benefit from the worker`s point of view. The main reason for the Supreme Court`s “reasonable utility” criteria in reciprocal termination agreements is that, since the worker is granted termination of the employment contract by the employer with severance pay and severance pay, the preference for another method, which is not more advantageous, cannot be considered appropriate at the normal stage of his life.