GST Invoice Format in Excel for Suppliers and for Service

GST Invoice Format in Excel for Suppliers and for Service Date 7/5/2017
Address of company/ firm GSTIN:
Communication Address: Phone 1234567890, Fax 1234567890, Email: 22-AAAAA0000A-1-Z-5
Customer Details:
Name: Raj Enterprise POS Invoice #
Address: ABC, DEF building, HIJ Street Delhi IX/17/07/DL/0001
Product-wise Details:
Sr. No. Product Description HSE/SAC Code Qty Unit Rate Total Sale Disc. Taxable Value CGST SGST IGST
Rate % Amount Rate % Amount Rate % Amount
1 Cotton Dress blanket 62114210 60 Pcs 270 16200 1620 14580 6.00% 874.8 6.00% 874.8 0.00% 0
2 Salwar Kamij 621050 40 Pcs 540 21600 2160 19440 9.00% 1749.6 9.00% 1749.6 0.00% 0
3 0 0 0 0 0 0
4 0 0 0 0 0 0
5 0 0 0 0 0 0
Total 37800 3780 34020 2624.4 2624.4 0
Remarks: Summary Amount
Total Invoice Value 37800
Total Discounts 3780
Total Taxable Value 34020
Total CGST 2624.4
Receiver’s Signature Senior Accounts Manager Total SGST 2624.4
Note: Make all cheques payable to Company Name Total IGST 0
Thank you for your Business Grand Total 39269

Basic for GST…..

Basic for GST…..

Question 1.What is GST? How does it work?

Answer: GST is one indirect tax for the whole nation, which will make India one unified common market.

 GST is a single tax on the supply of goods and services, right from the manufacturer to the consumer. Credits of input taxes paid at each stage will be available in the subsequent stage of value addition, which makes GST essentially a tax only on value addition at each stage. The final consumer will thus bear only the GST charged by the last dealer in the supply chain, with set-off benefits at all the previous stages.

 Question 2. What are the benefits of GST?

 Answer:The benefits of GST can be summarized as under:

o   Easy compliance: A robust and comprehensive IT system would be the foundation of the GST regime in India. Therefore, all tax payer services such as registrations, returns, payments, etc. would be available to the taxpayers online, which would make compliance easy and transparent.

o   Uniformity of tax rates and structures: GST will ensure that indirect tax rates and structures are common across the country, thereby increasing certainty and ease of doing business. In other words, GST would make doing business in the country tax neutral, irrespective of the choice of place of doing business.

o   Removal of cascading: A system of seamless tax-credits throughout the value-chain, and across boundaries of States, would ensure that there is minimal cascading of taxes. This would reduce hidden costs of doing business.

o   Improved competitiveness: Reduction in transaction costs of doing business would eventually lead to an improved competitiveness for the trade and industry.

o   Gain to manufacturers and exporters: The subsuming of major Central and State taxes in GST, complete and comprehensive set-off of input goods and services and phasing out of Central Sales Tax (CST) would reduce the cost of locally manufactured goods and services. This will increase the competitiveness of Indian goods and services in the international market and give boost to Indian exports. The uniformity in tax rates and procedures across the country will also go a long way in reducing the compliance cost.

o        Simple and easy to administer: Multiple indirect taxes at the Central and State levels are being replaced by GST. Backed with a robust end-to-end IT system, GST would be simpler and easier to administer than all other indirect taxes of the Centre and State levied so far.

o        Better controls on leakage: GST will result in better tax compliance due to a robust IT infrastructure. Due to the seamless transfer of input tax credit from one stage to another in the chain of value addition, there is an in-built mechanism in the design of GST that would incentivize tax compliance by traders.

o        Higher revenue efficiency: GST is expected to decrease the cost of collection of tax revenues of the Government, and will therefore, lead to higher revenue efficiency.

o        Single and transparent tax proportionate to the value of goods and services: Due to multiple indirect taxes being levied by the Centre and State, with incomplete or no input tax credits available at progressive stages of value addition, the cost of most goods and services in the country today are laden with many hidden taxes. Under GST, there would be only one tax from the manufacturer to the consumer, leading to transparency of taxes paid to the final consumer.

o        Relief in overall tax burden: Because of efficiency gains and prevention of leakages, the overall tax burden on most commodities will come down, which will benefit consumers.

 Question 3.  Which taxes at the Centre and State level are being subsumed into GST?


At the Central level, the following taxes are being subsumed:

  1. Central Excise Duty,
  2. Additional Excise Duty,
  3. Service Tax,
  4. Additional Customs Duty commonly known as Countervailing Duty, and
  5. Special Additional Duty of Customs.

At the State level, the following taxes are being subsumed:

  1. Subsuming of State Value Added Tax/Sales Tax,
  2. Entertainment Tax (other than the tax levied by the local bodies), Central Sales Tax (levied by the Centre and collected by the States),
  3. Octroi and Entry tax,
  4. Purchase Tax,
  5. Luxury tax, and
  6. Taxes on lottery, betting and gambling.

 Question 4.  What are the major chronological events that have led to the introduction of GST?

Answer: GST is being introduced in the country after a 13 year long journey since it was first discussed in the report of the Kelkar Task Force on indirect taxes. A brief chronology outlining the major milestones on the proposal for introduction of GST in India is as follows:

  1. In 2003, the Kelkar Task Force on indirect tax had suggested a comprehensive Goods and Services Tax (GST) based on VAT principle.
  2. A proposal to introduce a National level Goods and Services Tax (GST) by April 1, 2010 was first mooted in the Budget Speech for the financial year 2006-07.
  3. Since the proposal involved reform/ restructuring of not only indirect taxes levied by the Centre but also the States, the responsibility of preparing a Design and Road Map for the implementation of GST was assigned to the Empowered Committee of State Finance Ministers (EC).
  4. Based on inputs from Govt of India and States, the EC released its First Discussion Paper on Goods and Services Tax in India in November, 2009.
  5. In order to take the GST related work further, a Joint Working Group consisting of officers from Central as well as State Government was constituted in September, 2009.
  6. In order to amend the Constitution to enable introduction of GST, the Constitution (115th Amendment) Bill was introduced in the Lok Sabha in March 2011. As per the prescribed procedure, the Bill was referred to the Standing Committee on Finance of the Parliament for examination and report.
  7. Meanwhile, in pursuance of the decision taken in a meeting between the Union Finance Minister and the Empowered Committee of State Finance Ministers on 8th November, 2012, a ‘Committee on GST Design’, consisting of the officials of the Government of India, State Governments and the Empowered Committee was constituted.
  8. This Committee did a detailed discussion on GST design including the Constitution (115th) Amendment Bill and submitted its report in January, 2013. Based on this Report, the EC recommended certain changes in the Constitution Amendment Bill in their meeting at Bhubaneswar in January 2013.
  9. The Empowered Committee in the Bhubaneswar meeting also decided to constitute three committees of officers to discuss and report on various aspects of GST as follows:-

(a)      Committee on Place of Supply Rules and Revenue Neutral Rates;

(b)      Committee on dual control, threshold and exemptions;

(c)      Committee on IGST and GST on imports.

  1. The Parliamentary Standing Committee submitted its Report in August, 2013 to the Lok Sabha. The recommendations of the Empowered Committee and the recommendations of the Parliamentary Standing Committee were examined in the Ministry in consultation with the Legislative Department. Most of the recommendations made by the Empowered Committee and the Parliamentary Standing Committee were accepted and the draft Amendment Bill was suitably revised.
  2. The final draft Constitutional Amendment Bill incorporating the above stated changes were sent to the Empowered Committee for consideration in September 2013.
  3. The EC once again made certain recommendations on the Bill after its meeting in Shillong in November 2013. Certain recommendations of the Empowered Committee were incorporated in the draft Constitution (115th Amendment) Bill. The revised draft was sent for consideration of the Empowered Committee in March, 2014.
  4. The 115th Constitutional (Amendment) Bill, 2011, for the introduction of GST introduced in the Lok Sabha in March 2011 lapsed with the dissolution of the 15th Lok Sabha.
  5. In June 2014, the draft Constitution Amendment Bill was sent to the Empowered Committee after approval of the new Government.
  6. Based on a broad consensus reached with the Empowered Committee on the contours of the Bill, the Cabinet on 17.12.2014 approved the proposal for introduction of a Bill in the Parliament for amending the Constitution of India to facilitate the introduction of Goods and Services Tax (GST) in the country.  The Bill was introduced in the Lok Sabha on 19.12.2014, and was passed by the Lok Sabha on 06.05.2015. It was then referred to the Select Committee of Rajya Sabha, which submitted its report on 22.07.2015.

 Question 5.How would GST be administered in India?

 Answer: Keeping in mind the federal structure of India, there will be two components of GST – Central GST (CGST) and State GST (SGST). Both Centre and States will simultaneously levy GST across the value chain. Tax will be levied on every supply of goods and services. Centre would levy and collect Central Goods and Services Tax (CGST), and States would levy and collect the State Goods and Services Tax (SGST) on all transactions within a State. The input tax credit of CGST would be available for discharging the CGST liability on the output at each stage. Similarly, the credit of SGST paid on inputs would be allowed for paying the SGST on output. No cross utilization of credit would be permitted.

 Question 6.How would a particular transaction of goods and services be taxed simultaneously under Central GST (CGST) and State GST (SGST)?

 Answer: The Central GST and the State GST would be levied simultaneously on every transaction of supply of goods and services except on exempted goods and services, goods which are outside the purview of GST and the transactions which are below the prescribed threshold limits. Further, both would be levied on the same price or value unlike State VAT which is levied on the value of the goods inclusive of Central Excise.

                   A diagrammatic representation of the working of the Dual GST model within a State is shown in Figure 1 below.

Figure 1: GST within State

Question 7.Will cross utilization of credits between goods and services be allowed under GST regime?

 Answer: Cross utilization of credit of CGST between goods and services would be allowed. Similarly, the facility of cross utilization of credit will be available in case of SGST. However, the cross utilization of CGST and SGST would not be allowed except in the case of inter-State supply of goods and services under the IGST model which is explained in answer to the next question.

Question 8.How will be Inter-State Transactions of Goods and Services be taxed under GST in terms of IGST method?

Answer: In case of inter-State transactions, the Centre would levy and collect the Integrated Goods and Services Tax (IGST) on all inter-State supplies of goods and services under Article 269A (1) of the Constitution. The IGST would roughly be equal to CGST plus SGST. The IGST mechanism has been designed to ensure seamless flow of input tax credit from one State to another. The inter-State seller would pay IGST on the sale of his goods to the Central Government after adjusting credit of IGST, CGST and SGST on his purchases (in that order). The exporting State will transfer to the Centre the credit of SGST used in payment of IGST. The importing dealer will claim credit of IGST while discharging his output tax liability (both CGST and SGST) in his own State. The Centre will transfer to the importing State the credit of IGST used in payment of SGST.Since GST is a destination-based tax, all SGST on the final product will ordinarily accrue to the consuming State.

A diagrammatic representation of the working of the IGST model for inter-State transactions is shown in Figure 2 below.

Figure 2

 Question  9. How will IT be used for the implementation of GST?

 Answer: For the implementation of GST in the country, the Central and State Governments have jointly registered Goods and Services Tax Network (GSTN) as a not-for-profit, non-Government Company to provide shared IT infrastructure and services to Central and State Governments, tax payers and other stakeholders. The key objectives of GSTN are to provide a standard and uniform interface to the taxpayers, and shared infrastructure and services to Central and State/UT governments.

 GSTN is working on developing a state-of-the-art comprehensive IT infrastructure including the common GST portal providing frontend services of registration, returns and payments to all taxpayers, as well as the backend IT modules for certain States that include processing of returns, registrations, audits, assessments, appeals, etc. All States, accounting authorities, RBI and banks, are also preparing their IT infrastructure for the administration of GST.

There would no manual filing of returns. All taxes can also be paid online. All mis-matched returns would be auto-generated, and there would be no need for manual interventions. Most returns would be self-assessed.



 Question 10.How will imports be taxed under GST?

Answer: The Additional Duty of Excise or CVD and the Special Additional Duty or SAD presently being levied on imports will be subsumed under GST. As per explanation to clause (1) of article 269A of the Constitution, IGST will be levied on all imports into the territory of India. Unlike in the present regime, the States where imported goods are consumed will now gain their share from this IGST paid on imported goods.

Question 11.What are the major features of the Constitution (122nd Amendment) Bill, 2014?

 Answer: The salient features of the Bill are as follows:

  1. Conferring simultaneous power upon Parliament and the State Legislatures to make laws governing goods and services tax;
  2. Subsuming of various Central indirect taxes and levies such as Central Excise Duty, Additional Excise Duties, Service Tax, Additional Customs Duty commonly known as Countervailing Duty, and Special Additional Duty of Customs;
  3. Subsuming of State Value Added Tax/Sales Tax, Entertainment Tax (other than the tax levied by the local bodies), Central Sales Tax (levied by the Centre and collected by the States), Octroi and Entry tax, Purchase Tax, Luxury tax, and Taxes on lottery, betting and gambling;
  4. Dispensing with the concept of ‘declared goods of special importance’ under the Constitution;
  5. Levy of Integrated Goods and Services Tax on inter-State transactions of goods and services;
  6. GST to be levied on all goods and services, except alcoholic liquor for human consumption. Petroleum and petroleum products shall be subject to the levy of GST on a later date notified on the recommendation of the Goods and Services Tax Council;
  7. Compensation to the States for loss of revenue arising on account of implementation of the Goods and Services Tax for a period of five years;
  8. Creation of Goods and Services Tax Council to examine issues relating to goods and services tax and make recommendations to the Union and the States on parameters like rates, taxes, cesses and surcharges to be subsumed, exemption list and threshold limits, Model GST laws, etc. The Council shall function under the Chairmanship of the Union Finance Minister and will have all the State Governments as Members.

 Question 12.What are the major features of the proposed registration procedures under GST?

Answer: The major features of the proposed registration procedures under GST are as follows:

  1. Existing dealers: Existing VAT/Central excise/Service Tax payers will not have to apply afresh for registration under GST.
  2. New dealers: Single application to be filed online for registration under GST.

iii.            The registration number will be PAN based and will serve the purpose for Centre and State.

  1. Unified application to both tax authorities.
  2. Each dealer to be given unique ID GSTIN.
  3. Deemed approval within three days.

vii.            Post registration verification in risk based cases only.

Question 13.What are the major features of the proposed returns filing procedures under GST?

Answer: The major features of the proposed returns filing procedures under GST are as follows:

  1. Common return would serve the purpose of both Centre and State Government.
  2. There are eight forms provided for in the GST business processes for filing for returns. Most of the average tax payers would be using only four forms for filing their returns. These are return for supplies, return for purchases, monthly returns and annual return.
  3. Small taxpayers: Small taxpayers who have opted composition scheme shall have to file return on quarterly basis.
  4. Filing of returns shall be completely online. All taxes can also be paid online.

Question 14.What are the major features of the proposed payment procedures under GST?

Answer: The major features of the proposed payments procedures under GST are as follows:

  1. Electronic payment process- no generation of paper at any stage
  2. Single point interface for challan generation- GSTN

iii.            Ease of payment – payment can be made through online banking, Credit Card/Debit Card, NEFT/RTGS and through cheque/cash at the bank

  1. Common challan form with auto-population features
  2. Use of single challan and single payment instrument
  3. Common set of authorized banks

vii.            Common Accounting Codes

Current Rate Slab:

The Goods and Services Tax (GST) has been one of the key things that has caught the attention of the market given its implications on earnings of companies. The government has kept a large number of items under 18% tax slab. The government categorised 1211 items under various tax slabs. Here is a low-down on the tax slab these items would attract:

Here is the complete updated list:

Gold and rough diamonds do not fall under the current rate slab ambit and will be taxed at 3% and 0.25% respectively.


No tax(0%)
No tax will be imposed on items like Jute, fresh meat, fish chicken, eggs, milk, butter milk, curd, natural honey, fresh fruits and vegetables, flour, besan, bread, prasad, salt, bindi. Sindoor, stamps, judicial papers, printed books, newspapers, bangles, handloom, Bones and horn cores, bone grist, bone meal, etc.; hoof meal, horn meal, Cereal grains hulled, Palmyra jaggery, Salt – all types, Kajal, Children’s’ picture, drawing or colouring books, Human hair

Hotels and lodges with tariff below Rs 1,000, Grandfathering service has been exempted under GST. Rough precious and semi-precious stones will attract GST rate of 0.25 per cent.

Items such as fish fillet, Apparel below Rs 1000, packaged food items, footwear below Rs 500, cream, skimmed milk powder, branded paneer, frozen vegetables, coffee, tea, spices, pizza bread, rusk, sabudana, kerosene, coal, medicines, stent, lifeboats, Cashew nut, Cashew nut in shell, Raisin, Ice and snow, Bio gas, Insulin, Agarbatti, Kites, Postage or revenue stamps, stamp-post marks, first-day covers

Transport services (Railways, air transport), small restraurants will be under the 5% category because their main input is petroleum, which is outside GST ambit.

Apparel above Rs 1000, frozen meat products , butter, cheese, ghee, dry fruits in packaged form, animal fat, sausage, fruit juices, Bhutia, namkeen, Ayurvedic medicines, tooth powder, agarbatti, colouring books, picture books, umbrella, sewing machine, cellphones, Ketchup & Sauces, All diagnostic kits and reagents, Exercise books and note books, Spoons, forks, ladles, skimmers, cake servers, fish knives, tongs, Spectacles, corrective, Playing cards, chess board, carom board and other board games, like ludo,

State-run lotteries, Non-AC hotels, business class air ticket, fertilisers, Work Contracts will fall under 12 per cent GST tax slab

Most items are under this tax slab which include footwear costing more than Rs 500, Bidi Patta, Biscuits (All catogories), flavoured refined sugar, pasta, cornflakes, pastries and cakes, preserved vegetables, jams, sauces, soups, ice cream, instant food mixes, mineral water, tissues, envelopes, tampons, note books, steel products, printed circuits, camera, speakers and monitors, Kajal pencil sticks, Headgear and parts thereof, Aluminium foil, Weighing Machinery [other than electric or electronic weighing machinery], Printers [other than multifunction printers], Electrical Transformer, CCTV, Optical Fiber, Bamboo furniture, Swimming pools and padding pools, Curry paste; mayonnaise and salad dressings; mixed condiments and mixed seasonings

AC hotels that serve liquor, telecom services, IT services, branded garments and financial services will attract 18 per cent tax under GST, Room tariffs between Rs 2,500 and Rs 7,500, Restaurants inside five-star hotels

Bidis, chewing gum, molasses, chocolate not containing cocoa, waffles and wafers coated with choclate, pan masala, aerated water, paint, deodorants, shaving creams, after shave, hair shampoo, dye, sunscreen, wallpaper, ceramic tiles, water heater, dishwasher, weighing machine, washing machine, ATM, vending machines, vacuum cleaner, shavers, hair clippers, automobiles, motorcycles, aircraft for personal use, will attract 28 % tax – the highest under GST system.

Private-run lotteries authorised by the states, hotels with room tariffs above Rs 7,500, 5-star hotels, race club betting, cinema will attract tax 28 per cent tax slab under GST







You make goals… but then you procrastinate.

You write a to-do list… but then you don’t follow through.

And this happens again and again and again. Seriously, what’s the problem?

Why are we so good at thinking of what to do but so terrible at actually doing those things?

The problem is you’re skipping an essential step. Here’s what it is…


The Mistake Every Productivity System Makes

Productivity systems rarely take emotions into account. And feelings are a fundamental and unavoidable part of why humans do what they do.

We can’t ignore our emotions. Because of the way our brains are structured, when thought and feelings compete, feelings almost always win.

And we can’t fight our feelings. Research shows this just makes them stronger.

Via The Antidote: Happiness for People Who Can’t Stand Positive Thinking:

…when experimental subjects are told of an unhappy event, but then instructed to try not to feel sad about it, they end up feeling worse than people who are informed of the event, but given no instructions about how to feel. In another study, when patients who were suffering from panic disorders listened to relaxation tapes, their hearts beat faster than patients who listened to audiobooks with no explicitly ‘relaxing’ content. Bereaved people who make the most effort to avoid feeling grief, research suggests, take the longest to recover from their loss. Our efforts at mental suppression fail in the sexual arena, too: people instructed not to think about sex exhibit greater arousal, as measured by the electrical conductivity of their skin, than those not instructed to suppress such thoughts.

So what does the unavoidable power of feelings mean for motivation?



In their book Switch, Chip and Dan Heath say that emotions are an essential part of executing any plan:

Focus on emotions. Knowing something isn’t enough to cause change. Make people (or yourself) feel something.

We need to think to plan but we need to feel to act.

So if you’ve got the thinking part out of the way – how do you rile up those emotions and get things done? Here are three steps:

1) Get Positive

When do we procrastinate the most? When we’re in a bad mood.

Via Temptation: Finding Self-Control in an Age of Excess:

So procrastination is a mood-management technique, albeit (like eating or taking drugs) a shortsighted one. But we’re most prone to it when we think it will actually help… Well, far and away the most procrastination occurred among the bad-mood students who believed their mood could be changed and who had access to fun distractions.

Meanwhile, research shows happiness increases productivity and makes you more successful.

What does the military teach recruits in order to mentally toughen them up? No, it’s not hand-to-hand combat.

It’s optimism. So how do you get optimistic if you’re not feeling it?

Monitor the progress you’re making and celebrate it. Harvard’s Teresa Amabile‘s research found that nothing is more motivating than progress.

Via The Progress Principle: Using Small Wins to Ignite Joy, Engagement, and Creativity at Work:

This pattern is what we call the progress principle: of all the positive events that influence inner work life, the single most powerful is progress in meaningful work; of all the negative events, the single most powerful is the opposite of progress—setbacks in the work. We consider this to be a fundamental management principle: facilitating progress is the most effective way for managers to influence inner work life.

(More on how to get happier here.)

Okay, so negativity isn’t making you procrastinate and holding you back. But what’s going to drive you forward?

2) Get Rewarded

Rewards feel good. Penalties feel bad. And that’s why they both can work well for motivating you.

Research shows that rewards are responsible for three-quarters of why you do things.

Researchers find that perceived self-interest, the rewards one believes are at stake, is the most significant factor in predicting dedication and satisfaction toward work. It accounts for about 75 percent of personal motivation toward accomplishment. – Dickinson 1999

So treat yourself whenever you complete something on your to-do list. (Yes, this is how you train a dog but it will work for you too.)

Having trouble finding a reward awesome enough to get you off your butt? Try a “commitment device” instead:

Give your friend $100. If you get a task done by 5PM, you get your $100 back. If you don’t complete it, you lose the $100.

Your to-do list just got very emotional.

So you’re feeling positive and there are rewards (or penalties) in place. What else do you need? How about nagging, compliments and guilt?

3) Get Peer Pressure

Research shows peer pressure helps kids more than it hurts them.

(And face it, you’re still a big kid, you just have to pretend to be an adult most of the time — and it’s exhausting.)

Surround yourself with people you want to be and it’s far less taxing to do what you should be doing.

Via Charles Duhigg’s excellent book The Power of Habit: Why We Do What We Do in Life and Business:

When people join groups where change seems possible, the potential for that change to occur becomes more real.

The Longevity Project, which studied over 1000 people from youth to death had this to say:

The groups you associate with often determine the type of person you become. For people who want improved health, association with other healthy people is usually the strongest and most direct path of change.

And the research on friendship confirms this. From my interview with Carlin Flora, author of Friend fluency:

Research shows over time, you develop the eating habits, health habits and even career aspirations of those around you. If you’re in a group of people who have really high goals for themselves you’ll take on that same sense of seriousness.

So we’ve got all three methods going for us. How do we wrap this all together and get started?

Sum Up

Got today’s to-do list? Great. That means the most rational thing to do now is stop being rational. Get those emotions going:

  1. Get Positive
  2. Get Rewarded
  3. Get Peer Pressure

You can do this. In fact, believing you can do this is actually the first step.

What’s one of the main things that stops people from becoming happier? Happiness isn’t part of how they see themselves so it’s harder to change.

Think of yourself as a motivated, productive person. Research shows how people feel about themselves has a huge effect on success.

For most people studied, the first step toward improving their job performance had nothing to do with the job itself but instead with improving how they felt about themselves. In fact, for eight in ten people, self-image matters more in how they rate their job performance than does their actual job performance. – Gribble 2000

Employee Right during Employment

Employee Right during Employment

Employment law covers all rights and obligations within the employer-employee relationship — whether current employees, job applicants, or former employees. Because of the complexity of employment relationships and the wide variety of situations that can arise, employment law involves legal issues as diverse as discrimination, wrongful termination, wages and taxation, and workplace safety. Many of these issues are governed by applicable Indian Laws. But, where the employment relationship is based on a valid contract entered into by the employer and the employee, Indian contract law alone may dictate the rights and duties of the parties.

Employee Rights in the Workplace

All employees have basic rights in the workplace — including the right to privacy, fair compensation, and freedom from discrimination. A job applicant also has certain rights even prior to being hired as an employee. Those rights include the right to be free from discrimination based on age, gender, race, national origin, or religion during the hiring process. For example, a prospective employer cannot ask a job applicant certain family-related questions during the hiring process.

In most Indians, employees have a right to privacy in the workplace. This right to privacy applies to the employee’s personal possessions, including handbags or briefcases, storage lockers accessible only by the employee, and private mail addressed only to employee. Employees may also have a right to privacy in their telephone conversations or voicemail messages. However, employees have very limited rights to privacy in their e-mail messages and Internet usage while using the employer’s computer system.

There are certain pieces of information that an employer may not seek out concerning a potential job applicant or employee. An employer may not conduct a credit or background check of an employee or prospective employee unless the employer notifies the individual in writing and receives permission to do so.

Other important employee rights include:

  • Right to be free from discrimination and harassment of all types;
  • Right to a safe workplace free of dangerous conditions, toxic substances, and other potential safety hazards;
  • Right to be free from retaliation for filing a claim or complaint against an employer (these are sometimes called “whistleblower” rights);
  • Right to fair wages for work performed.




The law in India has several provisions to safeguard the interests of employees.


Although there are no specific laws that govern private employment in India, this list of six rights are applicable to all employees in India.

  1. An employer must provide a written Employment Agreement before you start work


An Employment Agreement is a legal document, which contains the ‘terms and conditions’ of your employment. It lists the rights and obligations of both, the employer and the employee, and is designed to give both parties security and protection.

By law, your employer must give you a written Employment Agreement before you start work.

An Employment Agreement gives both parties a sense of security that both are fully aware of their obligations and have agreed to comply with the stated terms and conditions.

A professionally well-drafted Employment Agreement endeavours to prevent disputes between employers and employees, and in the event of any dispute, it serves to resolve the dispute because all terms of employment are clearly mentioned in it.

You have the right to get advice on an Employment Agreement before you agree to it or sign it.

It is a good idea to spend some time carefully thinking about the conditions of the Agreement. If in doubt, seek professional help.

“A majority of private employment in India is bound by the terms mentioned in the appointment letter. The letter forms the basis of the contract between the employee and the employer and is enforceable both ways under the Indian Contract Act 1872. It is advisable to carefully read the entire employment letter before signing on the dotted line as this saves them trouble later,” says Rohan Mahajan, Founder of

  1. Leave is the right of all employees

Generally, an employee is given the following leaves during the course of his or her employment:

Casual Leave: This is provided to an employee to take care of urgent or unseen matters like a family emergency; for example, employees can apply for casual leave to attend a parent-teacher meeting called for by their child’s school.

Sick Leave: Sick leave is provided when an employee gets sick.

Privilege or Earned Leave: Privilege or earned leaves are long leaves that are planned for in advance.

Other Leaves – Apart from the above mentioned leaves, there are some other paid, unpaid or half-paid leaves which are provided at the discretion of the company. Study leave and bereavement leave are two such examples.

Medical Certificate for one-day sick leave

Usually, when a sick leave exceeds beyond two or three days, depending upon the company policy, employees are requested to submit a medical certificate to sanction the leave. However, in the case of one-day sick leave, an employer should not ask for a medical certificate.

In one of its judgements, the Supreme Court mentioned that an employee will not necessarily seek medical attention if he or she is ill for just a day.

Encashment Leave

An employee can take encashment leave while quitting service, superannuation, discharge, dismissal or death. Leave encashment should be as per average daily wages of an employee.

Leave during notice period

An employee can take leave during notice period, provided it is for a genuine reason like maternity, health issues, etc.

The Delhi High Court, in one of its judgement, said that an employee can take leave during the notice period if nothing is mentioned in the appointment letter which bars the employee from taking leave during the notice period, if he has leave to his credit and is entitled to the same.

  1. Protection from sexual harassment other harassment at the work place

It is the responsibility of the employer to ensure that his/her employees, especially female employees, are protected while at work. All incidents of sexual harassment – regardless of how big or small they are or who is involved – require employers or managers to respond quickly and appropriately. Just because someone does not object to inappropriate behaviour in the workplace, it does not mean that they are consenting to the behaviour.

An aggrieved woman can seek remedy under the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013. Sexual harassment is punishable under the Indian Penal Code

The law mandates employers to formulate a policy which prohibits sexual harassment. The policy should be a part of the company’s service regulations to provide a healthy working environment. The company’s policy must clearly define what exactly constitutes a sexual harassment and enumerate penalties, online grievance redressal procedures as well as additional resources like a list of individuals to be contacted for consultation, etc. The policy should also ensure impartiality in investigation.


The law outlines the structure of an internal complaint committee for organisations with ten or more employees and instructs the formation of a district level local complaint committees for other organisations.

All offices, hospitals, institutions and other establishments should set up an internal complaint committee. The employer should nominate the committee members and constitute the committee. The committee should also include a senior woman as a member, two other employees as members and a non-governmental member.

At the district level, the District Officer (normally the Collector), an officer as authorized under the act, should constitute a Local Complaints Committee.

A Nodal Officer will also be nominated by the District Officer for each block, municipality or tribal area to receive complaints and to forward them to the respective local complaint committee within seven days.

  1. Maternity benefit

Pregnant businesswoman working on a laptop

The Maternity Benefits Act, 1961 (MBA) was enacted with respect to employment of pregnant women in establishments.

Earlier, the law mandated that a female worker was entitled to a maximum of 26 weeks of maternity leave. Of these 26 weeks, six weeks leave are for post-natal leave.

Employees are also entitled to one additional month of paid leave in case of complications arising due to pregnancy, delivery, premature birth, miscarriage, medical termination or a tubectomy operation (two weeks in this case).

With new amendments made to the Maternity Benefits Act, 1961, the paid maternity leave has been extended from 12 weeks to 26 weeks for women working in the private sector.

No employer can employ a woman in the six weeks following the date of her delivery or miscarriage. It is also illegal to discharge or dismiss her on account of such an absence.

Employees cannot be discharged or dismissed while on maternity leave, nor can there be any disadvantageous change to their conditions of employment. This can be overruled in cases of gross misconduct or if employees take up work for another establishment during their leave.

It is important to note, however, that pregnant employees who are discharged or dismissed may still claim maternity benefit from the employer.


Gratuity is a statutory right of employees and cannot be denied to them on the grounds that they are being given provident fund and pension benefits. Gratuity is a statutory benefit paid to the employees who have rendered continuous service for at least five years.


It is a lump-sum amount paid to an employee based on the duration of his total service. The benefit gratuity is payable to an employee on cessation of employment either by resignation, death, retirement or termination, by taking the last drawn salary as the basis for the calculation.


Gratuity is an important form of social security and is looked at as a gesture of gratitude by the employer to the employees, paid for in monetary terms, for the services rendered by them to the organization. It is a defined benefit plan and is one of the many retirement benefits offered by the employer to the employee upon leaving his job. Gratuity payment liability of the employer tends to increase with an increase in salary and tenure of employment.

6.Provident Fund

Employee’s Provident Fund (EPF) is a retirement benefit scheme that’s available to all salaried employees. It is managed by the Employee Provident Fund Organisation of India and any company with over 20 employees is required by law to register with the EPFO.

As per law, both, the employer and the employee have to contribute 12% of their basic salary to the provident fund. If any employer is deducting the whole PF contribution from an employee’s salary then it is against the Act, and he can apply against the same in the PF Appellate Tribunal.


Legal Requirement for Start New Business or Company..


  1. Formation of a Company in India

The law of companies in India is governed by the Indian Companies Act, 2013 (“companies act“) which is a comprehensive legislation, in relation to the erstwhile Companies Act, 1956, and provides for provisions relating to all phases of a company’s life, i.e. incorporation, management, mergers, winding up.

A Registrar of Companies (“RoC“) is appointed under the act for designated regions, who is the nodal authority for affairs related to companies in that particular region.

  1. Types of Companies in India

Any person can choose to incorporate either a company with unlimited liability or one with liability limited either by shares or guarantee. An incorporated company may take one of the following three forms:

II.1. Private Company

With restrictions on transfer of shares, and limited number of members a private limited company enjoys greater flexibility, less legal formalities, and the small shareholders body facilitates prompt decisions. A private company must have a minimum of two directors. A private company may be converted into a public company for raising capital from the public, if need arises, by completing certain legal formalities as specified in the companies act.

II.2. Public Company

Public companies are subject to stricter legal formalities. However, the free transferability of the shares of a public company and unlimited membership provides a larger base for raising of capital. Shares of a listed public company can be traded on stock exchange, which may open it to the scrutiny and watch of Securities and Exchange Board of India. A public company must have a minimum of seven members and three directors, Public limited companies must have at least one third of the total number of directors as independent directors out of which one director has to be a woman.

Minimum authorized and paid up share capital requirement of a private and public company: The criteria of having minimum paid up share capital for both private public company, as stated in the erstwhile Companies Act, 1956, has been omitted in the revised companies act. This is a significant advantage to start-ups with respect to the requirement of maintaining minimum share capital under the Companies Act since inception.

II.3. One Person Company

This concept has been brought by the new companies act and states that one person company is in the nature of a private company which has only one person as its member/director

At the time of incorporation, the memorandum of association must name a nominee for the sole member of an OPC. The minimum number of directors for an OPC is also one, OPC provides the option of limited personal liability of proprietors (as opposed to unlimited liability in sole proprietorship).

Businesses which currently run under the proprietorship model could get converted into OPC’s without any difficulty. The questions of consensus or majority opinions do not arise in case of OPCs, and is suitable for small entrepreneurs with low risk taking capacity.

III. Charter documents of a Company

III.1 Memorandum of Association

The MoA sets out the objects for which the company is proposed to be incorporated in the manner provided hereunder

  1. The first and foremost clause in MoA shall be the name of the proposed company suffixed with the words limited or private limited, as the case may be;
  2. The state where the registered office of the company shall be situated.
  3. The third clause contains the main objects for which the company is going to be formed/incorporated.

The MoA binds the area of operation of the company in respect to the objects mentioned therein and any decision or actions taken in contravention of the MoA shall be void. A company cannot run any business contrary to the main objects mentioned in their MoA.

The MoA and AoA of a company can be modified post incorporation in accordance with the applicable provisions of the Companies Act.

III.2. Articles of Association

The articles of a company contains regulations for the management of the company. This document is confined to the applicability of the provisions of the companies act, on private or public limited company, as the case may be.

  1. Legal formalities for incorporation of a company:

IV.1. Pre-incorporation formalities:

The below mentioned compliances are required to be carried out with regard to setting up of company in India:-

  1. Obtaining of Director’s Identification Number (“DIN“) and Digital Signature Certificates (“DSC”) for the proposed directors of the company by preparing and filing of all the relevant forms and documents as required under the provisions of the companies act.
  2. Once the DIN and DSC are ready, the next step is filing of online application for the approval of name of the company, provided the name is not matching or similar with any other existing company.
  3. On approval of name by the registrar of companies, the drafting of the charter documents of the company needs to be carried out i.e. memorandum (MoU) and articles of association (AoA), which are the basic documents for any company.

Thereafter all the incorporation forms, shall be prepared and filed with the RoC for registration of company for the final step of the incorporation process and obtaining a certificate of incorporation of the company.

IV.2. Post incorporation formalities:

Once the certificate of incorporation has been issued by RoC, the company becomes a separate legal entity in the eyes of laws in India, and requires certain basic registrations to initiate the business which includes filing of application for obtaining a permanent account number and tax deduction account number on the name of the company and any other business specific registrations from the relevant government authorities i.e. Import –Export Code Number in case of company carrying out the business of import and/or export.

Further, every company shall be required to carry out certain compliances, as required under the provisions of the companies act, for their day to day activities which includes holding of first board meeting immediately after incorporation, carrying out the annual general meetings every year, maintaining all the secretarial records at the registered office of the company, maintaining of statutory registers, minutes books etc. of company in compliance with the companies act.


Finance is the life blood of any business. In case the venture is self-funded there can be no better option than that. However, a Startup is mostly the result of a novel idea that is the brainchild of its founder(s) and often than not funds are always a challenge.

For a first time business man the world of funding seems complex and challenging. Financing is generally of two types i.e. (a) equity financing; or (b) debt-financing;

  1. Equity Financing

Startups are usually equity financed/funded by way of angel investors and/or venture capital/ private equity investors.

  1. Venture Capitalist/Private EquityVenture capital (“VC”) / Private Equity (“PE”) is often the first large investment a startup can expect to receive. Convertible instruments are usually the preferred option and most commonly used securities for VC/PE investment which includes compulsory convertible preference shares and compulsory convertible debentures. The investor and startup will normally enter into a non-binding offer based on the preliminary valuation of the startup usually followed with a financial, legal and technical due diligence on the startup as required by the investors. Upon completion of due-diligence to the satisfaction of investor such investments involve execution of essentially following transaction documents between the investors and startups:
    1. Term Sheet / Letter of Intent /Memorandum of understanding; Set out the following:
      • basic commercial understanding between the VC and the startup; and
      • legal terms for the agreements to follow the due-diligence;
    2. Share Subscription Agreement/ Debenture Subscription Agreement; Usually captures the followings:
      • the issuance of shares in the share capital or debentures at subscription amount determined based on the valuation of the startup;
      • condition precedents to completion of transaction or conditions subsequent to be completed within the agreed time frame after the completion date;
      • sets of representation and warranties and indemnification resulting from due-diligence exercise or otherwise, etc.
    3. Shareholders’ Agreement; Usually provides for the following:
      • Nomination/representation rights on the board of investee;
      • Information and reporting right and disclosure obligation of investee to the investors;
      • Redemption rights on debenture or preference shares;
      • Pre-emption rights, Right of First Refusal or Right of First Offer, Tag Along Right, Drag Along Rights, Lock-in-period for the investor or promoter’s holding, put and call options, affirmative vote rights on certain reserved matters, anti-dilution provisions;
      • Exit options to investors after the lock-in-period; etc.

Due-diligence will help the investors to finalize the representation and warranties and also to identify conditions precedents to the completion of investments and conditions subsequent in the aforesaid transaction documents.

  1. Angel InvestorsAngel investors are usually individuals or a group of industry professionals who are willing to fund your venture in return for an equity stake. Under the SEBI (Alternative Investment Funds) Regulations, 2012 which was subsequently amended in 2013, SEBI has made the following restrictions applicable to angel funds investing in an Indian company:
    1. An investee company has to be within 3 years of its incorporation, not listed on the floor of a stock exchange, and should have a turnover of less than INR 250 million and not be promoted by or related to an industrial group (with group turnover exceeding INR 3 billion).
    2. The deal size is required to be between INR 5 million and INR 50 million. Separately, it is required that an investment shall be held for a period of at least 3 years.
  1. Debt Financing
  1. Loan from Banks & NBFCsLoans from banks and NBFCs help finance the purchase of inventory and equipment, besides securing operating capital and funds for expansion. More importantly, unlike a VC or angels, which have an equity stake, banks do not seek ownership in your venture. However, there are several drawbacks of such funding option. Not only do you pay interest on loan but it also has to be done on time irrespective of how your business is faring. They require substantial collateral and a good track record, besides the fulfilment of other terms and conditions and a lot of documentation as follows:
    1. Application for loan sanction by borrowers;
    2. Issue of sanction letter by the Bank;
    3. Agreement of Loan;
    4. Security/collateral documentation, such as (i) Deed of Mortgage; (ii) Deed of Hypothecation; (iii) Deed of guarantee; (iv) Share pledge agreement; (v) Memorandum of Entry; etc.
  2. External Commercial BorrowingsExternal Commercial Borrowings (ECB) in form of bank loans, buyers’ credit, suppliers’ credit, securitized instruments (e.g. non-convertible, optionally convertible or partially convertible preference shares, floating rate notes and fixed rate bonds) can also be availed from non-resident lenders to fund the business requirement of a company. ECB can be accessed under two routes, viz., (i) Automatic Route; and (ii) Approval Route depending upon the category of eligible borrower and recognized lender, amount of ECB availed, average maturity period and other applicable factor.

    ECB raised has also certain end use restrictions such as that it cannot be used for (a) on lending or investment in capital market; (b) acquiring a company in India; (c) real estate sector etc. Under ECB also the borrower needs to create certain charge on immovable assets, movable assets, financial securities and issue of corporate and / or personal guarantees in favour of overseas lender / security trustee, to secure the ECB raised by the borrower, subject to compliance of certain conditions as prescribed under ECB guidelines framed by Reserve Bank of India. The documentation on similar lines as mentioned under bank loan section above will need to be executed.

  3. CGTMSE LoansUnder the Credit Guarantee Trust for Micro and Small Enterprises scheme launched by Ministry of Micro, Small & Medium Enterprises (MSME), Government of India to encourage entrepreneurs, one can get loans of up to 1 crore without collateral or surety. Any new and existing micro and small enterprise can take the loan under the scheme from all scheduled commercial banks and specified Regional Rural Banks, NSIC, NEDFi, and SIDBI, which have signed an agreement with the Credit Guarantee Trust.
  1. Once the startups achieve stable operations and revenue flows, it may consider the following option to raise the funds or increase the magnitude of the business operations:
  1. Initial Public OfferingDuring the IPO, the Company raises funds by offering and issuing equity shares to the public. An IPO allows a company to tap a wide pool of stock market investors to provide it with large volumes of capital for future growth. The existing shareholding will get diluted as a proportion of the company’s shares. However, existing capital investment will make the existing shareholdings more valuable in absolute terms. Companies can also issue of American Depository Receipts (“ADRs”) or Global Depository Receipts (“GDRs”) to raise funds from international stock investors. The promoter has certain obligations such as (a) meeting minimum contribution requirements; and (b) is generally subject to a 3 year lock-in once the IPO is concluded.

    Various parties such as investment bankers, underwriters and lawyers need to be engaged as part of procedure of IPO.

  1. Unconventional modes of financing options which are now becoming popular in india:
  1. Crowd FundingThis is recent phenomena being practiced for getting seed funding through small amounts collected from a large number of people (crowd), usually through the Internet. Now we have companies existing in India which are specializing in “Crowd Funding”.

    The entrepreneur can get money for his venture by showcasing his idea before a large group of people and trying to convince people of its utility and success. and Catapooolt are a few among many such forums operating / present in India. The entrepreneur needs to put up on a portal his profile and presentation, which should include the business idea, its impact, and the rewards and returns for investors. It should be supported by suitable images and videos of the project.

    SEBI in 2014, even rolled out a ‘Consultation Paper on Crowdfunding in India’ proposing a framework in the form of Crowdfunding to allow startups and SMEs to raise early stage capital in relatively small sums from a broad investor base. The Consultation Paper defined Crowdfunding as solicitation of funds (small amount) from multiple investors through a web-based platform or social networking site for a specific project, business venture or social cause. However SEBI till now has not issued any further regulations in this regard.

  2. IncubatorsThese set-ups precede the seed funding stage and help the entrepreneur develop a business idea or make a prototype by providing resources and services in exchange for an equity stake ranging from 2-10%. Incubators offer office space, administrative support, legal compliances, management training, mentoring and access to industry experts as well as to funding through angel investors or VCs.

    These are usually government-supported institutes like the IIMs or IITs, technical institutes or private business incubators run by industry veterans or companies. The incubation period can be 2-3 years and admission is rigorous. Some of the top options in India include IIM-Bangalore NSRCEL, Microsoft Accelerator and IIT-Kanpur SIIC and the famous Sriram College of Commerce (SRCC).


Now that you have finally decided to put your idea to test by setting up your startup entity an important aspect which often remains unattended is putting in place formal Agreements.

Questions which often come to mind:

  • Do we need formal written Agreements?
  • If yes then what Agreements do we actually require?
  • What should these Agreement provide for?

The simple answer to the above questions is that even though you can still operate and manage your startup without any formal written Agreements, but there is always a risk in the long run, especially when differences arise between the founders with regards to running the business or any other account and at that point of time one always regrets not having executed written Agreements clearly spelling out the terms and conditions that we wish to put in place.

For your understanding in this section, we set out brief information about elementary Agreements which must be entered into between the concerned parties.

  1. Joint Venture Agreements/ Agreement with Co-Founders

It could be quite possible that your start-up has been founded along with your friends or family members, if not a sole proprietorship. Mutual trust is one aspect, but when it comes to business, it is sensible that one must carefully draw basic understanding between themselves in order to operate and manage the business. These agreements should define roles and responsibilities of all stakeholders, capital contribution, governance, profit sharing, additional funding, mode and manner to settle disputes, exit clauses etc.

In case, a start-up decide to operate through a partnership, one must meticulously draft a partnership deed with an endeavor to encapsulate all situations beginning from the establishment up to the dissolution of the partnership.

Following are the important clauses which are generally provided for in joint venture agreement:

The Agreement constituting JV generally covers the below clauses:-

  1. Name/type of the entity;
  2. Mechanism for initial funding: share capital/ debt;
  3. Drafting of charter documents (i.e. memorandum and articles of association, or amendments thereto);
  4. Management of the entity: composition of board of directors, decision making at the board and shareholder level meetings;
  5. Additional funding requirements;
  6. Anti-dilution provisions, Transfer of shares/interest;
  7. Pre-emptive rights;
  8. Positive and negative covenants;
  9. Manner of preparing accounts and audit;
  10. Manner for dealing with Intellectual Property Rights
  11. Sharing of profits/ dividends;
  12. Confidentiality;
  13. Termination and Exit mechanism;
  14. Arbitration and dispute resolution;
  15. Non-compete and non-solicitation;
  16. Governing law.
  1. Agreements with Employees

It is a standard practice with Indian entities to either issue letter of employment or execute employment agreement with their employees at the time of their engagement.

Such letter/agreement outline terms and conditions of employment of the concerned employee and his key performance areas. It is quite often seen that entities use standard form employment letters/ agreement irrespective of the nature of work and the position at which an employee is inducted, this often results in ambiguity and vagueness especially at the time when the employee is to be removed or a dispute arises with the employee. This should be avoided. One may have an agreed template with certain standard conditions which will remain sacrosanct for every letter of employment/ agreements, however, while drafting and negotiating terms of employment with the prospective candidate , a careful thought must again be given to each and every term and condition and the same must be captured with modifications to suit the particular requirement.

Following are the important clauses which are generally provided for in a letter of employment/ employment agreement:

  1. Formal clause for offer of employment and acceptance of the terms of offer by the employee;
  2. Scope of services, duties and responsibilities;
  3. Remuneration;
  4. Incentives, bonuses and other perquisites, allowances etc. if any;
  5. Place of work and working hours;
  6. Leave and holidays;
  7. Manner of dealing with proprietary and confidential information and data protection (this is quite critical in the startup possess critical intellectual and proprietary information);
  8. Non-compete and non-solicitation;
  9. Term of employment and termination provisions including age of retirement;
  10. Process of settlement of disputes; and
  11. Governing law

Many organizations, also get a separate non-disclosure/confidentiality agreement signed from its employees. Please refer to next paragraph for more details on non-disclosure and confidentiality agreements.

  1. Non-Disclosure/ Confidentiality Agreements

Generally, referred to as NDA (non-disclosure agreement) in legal parlance. This is an agreement through which a party who is disclosing any confidential information, which may be about its business strategy, financial projections, technical knowhow, trade secrets, details of clients, business ideas, pricing methodologies etc., tends to place strict conditions on the recipient of such information from any disclosure of the same to any third party.

Following are the important clauses which are generally provided for in NDA’s:

  1. Definition of ‘Confidential Information’. One need to carefully analyse such information and put under this definition;
  2. Terms and conditions of use of Confidential Information;
  3. Surrender of Confidential Information after termination of relationship, may be that of employer and employee or employer and independent contractor;
  4. Survival of conditions for confidentiality even after expire of the term of NDA;
  5. Conditions of care and diligence while handling Confidential Information;
  6. Permissible disclosures;
  7. Dispute resolution; and
  8. Governing law.
  1. Consultant Agreements

Very often consultant are engaged by companies. In this case too it is advisable to have a ‘Consultancy Agreement’; there is material difference between a letter of employment and a Consultancy Agreement. Consultant Agreements are generally entered into when any entity intends to engage any person or party for limited period or for a particular assignment and not as a regular employee.

There is no employer-employee relationship in this case and the consultant is not typically entitled to the benefits enjoyed by the employees, unless it is specifically mentioned and agreed upon in the agreement. Independent consultant agreements are quite prevalent in the industry and is extensively used.

Following are the important clauses which are generally provided for in consultant’s agreement:

  1. Formal clause for offer and acceptance of the terms of engagement;
  2. Scope of work, duties and responsibilities;
  3. Fee- be fixed fee or lumpsum or a combination of both;
  4. Incentives;
  5. Place of work;
  6. Provision of off-days;
  7. Manner of dealing with proprietary and confidential information and data protection;
  8. Non-compete and non-solicitation;
  9. Term of engagement and termination provisions;
  10. Process of settlement of disputes; and
  11. Governing law
  1. HR Manual/ Handbook

Startups may not initially require a detailed HR manual/ handbook. But, gradually with progression in business and increase in number of head-count, it will be imperative to have a manual which will provide inter alia all human resources related policies applicable to different level of employees working in the organization.

HR policies are to be drafted and aligned with the State laws and local labour legislations applicable to the State where work place is located.

In India, every State has their separate labour legislations/rules/regulations; therefore, while drafting a HR manual and defining policies therein, one need to be familarised with these applicable State legislations.

Following aspects/policies which are typically provided in the HR Manual:

  1. Code of conduct and standards;
  2. Non-discrimination;
  3. Policy prohibiting smoking and consumption of alcohol, drugs and other illegal items;
  4. Confidentiality;
  5. Harassment and bullying- including policy on prevention of sexual harassment;
  6. Grievances redressal mechanism;
  7. Disciplinary procedure;
  8. Policy on probation and confirmation to employment;
  9. Background Checks;
  10. Annual Performance Review;
  11. Employee Stock Options Plans;
  12. Training and Developments;
  13. Performance Appraisals;
  14. Location and transfer;
  15. Assignment of Intellectual Property Rights developed by an employee during the course of his work in office;
  16. Working hours, and manner of dealing with absenteeism;
  17. Leave Policy: annual leave/sick leave/ maternity leave/ leave without pay etc.
  18. Dress code;
  19. Safety policy at work place;
  20. Resignation, Termination, Suspension from duties;
  21. Death- benefits to legal heir;
  22. Exit interview;
  23. Handover of company property;
  24. Lay off


Intellectual Property Rights (IP Rights) are like any other property rights which are intangible in nature. The IP Rights usually give the creator an exclusive right over the use of his/her creation for a certain period of time. With the rapid increase in the globalization and opening up of the new vistas in India, the “Intellectual Capital” has become one of the key wealth drivers in the present era. There are different country specific legislations, as well international laws and treaties that govern IP rights.

Every startup has IP Rights, which it needs to understand and protect for excelling in its business. Every startup uses trade name, brand, logo, advertisements, inventions, designs, products, or a website, in which it possesses valuable IP Rights. While starting any venture, the startup also needs to confirm that it is not in violation of the IP Rights of any other person to save itself from unwarranted litigation or legal action which can thwart its business activities. Further, startup ventures should be proactive in developing and protecting their intellectual property for many reasons like improving the valuation of its business, to generate better goodwill, to protect its competitive advantage, to use intellectual property as a marketing edge and to use the IP Rights as a potential revenue stream through licensing.

IP Rights protect several aspects of a business and each type of IP Right carries its own advantages. The scope of IP Rights is very wide, but the prime areas of intellectual property which are of utmost importance for any startup venture are as follows:

  • Trademarks
  • Patents
  • Copyrights and Related Rights
  • Industrial Designs
  • Trade Secrets


The Trade Marks Act 1999 (“TM Act“) provides, inter alia, for registration of marks, filing of multiclass applications, the renewable term of registration of a trademark as ten years as well as recognition of the concept of well-known marks, etc. It is pertinent to note that the letter “R” in a circle i.e. ® with a trademark can only be used after the registration of the trademark under the TM Act.

Trademarks means any words, symbols, logos, slogans, product packaging or design that identify the goods or services from a particular source. As per the definition provided under Section 2 (zb) of the TM Act, “trade mark” means a mark capable of being represented graphically and which is capable of distinguishing the goods or services of one person from those of others and may include shape of goods, their packaging and combination of colors.

The definition of the trademark provided under the TM Act is wide enough to include non-conventional marks like color marks, sound marks, etc. As per the definition provided under Section 2 (m) of the TM Act, “mark” includes a device, brand, heading, label, ticket, name, signature, word, letter, numeral, shape of goods, packaging or combination of colors or any combination thereof.

Accordingly, any mark used by the startup in the trade or business in any form, for distinguishing itself from other, can qualify as trademark. It is quite significant to note that the Indian judiciary has been proactive in the protection of trademarks, and it has extended the protection under the trademarks law to Domain Names as demonstrated in landmark cases of Tata Sons Ltd v Manu Kosuri & Ors [90 (2001) DLT 659] and Yahoo Inc. v Akash Arora [1999 PTC 201].

Points To Consider While Adopting A Trademark

Any startup needs to be cautious in selecting its trade name, brands, logos, packaging for products, domain names and any other mark which it proposes to use. You must do a proper due diligence before adopting a trademark. The trademarks, can be broadly classified into following five categories:

  1. Generic
  2. Descriptive
  3. Suggestive
  4. Arbitrary
  5. Invented/Coined

Generic marks means using the name of the product for the product, like “Salt” for salt.

Descriptive marks means the mark describing the characteristic of the products, like using the mark “Fair” for the fairness creams.

Suggestive marks means the mark suggesting the characteristic of the products, like “Habitat” for home furnishings products.

Arbitrary marks means mark which exist in popular vocabulary, but have no logical relationship to the goods or services for which they are used, like “Blackberry” for phones.

The invented/ coined marks means coining a new word which has no dictionary meaning, like “Adidas”. The strongest marks, and thus the easiest to protect, are invented or arbitrary marks. The weaker marks are descriptive or suggestive marks which are very hard to protect. The weakest marks are generic marks which can never function as trademarks.

India follows the NICE Classification of Goods and Services for the purpose of registration of trademarks. The NICE Classification groups products into 45 classes (classes 1-34 include goods and classes 35-45 include services). The NICE Classification is recognized in majority of the countries and makes applying for trademarks internationally a streamlined process. Every startup, seeking to trademark a good or service, has to choose from the appropriate classes, out of the 45 classes.

While adopting any mark, the startup should also keep in mind and ensure that the mark is not being used by any other person in India or abroad, especially if the mark is well-known. It is important to note that India recognizes the concept of the “Well-known Trademark” and the principle of “Trans-border Reputation”.

Example of well-known trademarks are Google, Tata, Yahoo, Pepsi, Reliance, etc. Further, under the principle of “Trans-border Reputation”, India has afforded protection to trademarks like Apple, Gillette, Whirlpool, Volvo, which despite having no physical presence in India, are protected on the basis of their trans-border reputation in India.

Enforecement Of Trademark Rights

Trademarks can be protected under the statutory law, i.e., under the TM Act and the common law, i.e., under the remedy of passing off. If a person is using a similar mark for similar or related goods or services or is using a well-known mark, the other person can file a suit against that person for violation of the IP rights irrespective of the fact that the trademark is registered or not.

Registration of a trademark is not a pre-requisite in order to sustain a civil or criminal action against violation of trademarks in India. The prior adoption and use of the trademark is of utmost importance under trademark laws.

The relief which a court may usually grant in a suit for infringement or passing off includes permanent and interim injunction, damages or account of profits, delivery of the infringing goods for destruction and cost of the legal proceedings. It is pertinent to note that infringement of a trademark is also a cognizable offence and criminal proceedings can also be initiated against the infringers.


Patent, in general parlance means, a monopoly given to the inventor on his invention to commercial use and exploit that invention in the market, to the exclusion of other, for a certain period. As per Section 2(1) (j) of the Patents Act, 1970, “invention” includes any new and useful;

  1. art, process, method or manner of manufacture;
  2. machine, apparatus or other article;
  3. substance produced by manufacture, and includes any new and useful improvement of any of them, and an alleged invention;

The definition of the word “Invention” in the Patents Act, 1970 includes the new product as well as new process. Therefore, a patent can be applied for the “Product” as well as “Process” which is new, involving inventive step and capable of industrial application can be patented in India.

The invention will not be considered new if it has been disclosed to the public in India or anywhere else in the world by a written or oral description or by use or in any other way before the filing date of the patent application. The information appearing in magazines, technical journals, books etc, will also constitute the prior knowledge. If the invention is already a part of the state of the art, a patent cannot be granted. Examples of such disclosure are displaying of products in exhibitions, trade fairs, etc. explaining its working, and similar disclosures in an article or a publication.

It is important to note that any invention which falls into the following categories, is not patentable: (a) frivolous, (b) obvious, (c) contrary to well established natural laws, (d) contrary to law, (e) morality, (f) injurious to public health, (g) a mere discovery of a scientific principle, (h) the formulation of an abstract theory, (i) a mere discovery of any new property or new use for a known substance or process, machine or apparatus, (j) a substance obtained by a mere admixture resulting only in the aggregation of the properties of the components thereof or a process for producing such substance, (k) a mere arrangement or rearrangement or duplication of known devices, (l) a method of agriculture or horticulture, and (m) inventions relating to atomic energy or the inventions which are known or used by any other person, or used or sold to any person in India or outside India. The application for the grant of patent can be made by either the inventor or by the assignee or legal representative of the inventor. In India, the term of the patent is for 20 years. The patent is renewed every year from the date of patent.

Use Of Technology Or Invention

While using any technology or invention, the startup should check and confirm that it does not violate any patent right of the patentee. If the startup desires to use any patented invention or technology, the startup is required to obtain a license from the patentee.

Enforcement Of Patent Rights

It is pertinent to note that the patent infringement proceedings can only be initiated after grant of patent in India but may include a claim retrospectively from the date of publication of the application for grant of the patent. Infringement of a patent consists of the unauthorized making, importing, using, offering for sale or selling any patented invention within the India. Under the (Indian) Patents Act, 1970 only a civil action can be initiated in a Court of Law. Like trademarks, the relief which a court may usually grant in a suit for infringement of patent includes permanent and interim injunction, damages or account of profits, delivery of the infringing goods for destruction and cost of the legal proceedings.


Copyright means a legal right of an author/artist/originator to commercially exploit his original work which has been expressed in a tangible form and prevents such work from being copied or reproduced without his/their consent.

Under the Copyright Act, 1957, the term “work”, in which copyright subsists, includes an artistic work comprising a painting, a sculpture, a drawing (including a diagram, a map, a chart or plan), an engraving, a photograph, a work of architecture or artistic craftsmanship, dramatic work (recitation, choreographic work), literary work (including computer programmes, tables, compilations and computer databases), musical work (including music as well as graphical notations), sound recording and cinematographic film.

In the case of original literary, dramatic, musical and artistic works, the duration of copyright is the lifetime of the author or artist, and 60 years counted from the year following the death of the author and in the case of cinematograph films, sound recordings, posthumous publications, anonymous and pseudonymous publications, works of government and works of international organizations are protected for a period of 60 years which is counted from the year following the date of first publication.

In order to keep pace with the global requirement of harmonization, the Copyright Act, 1957 has brought the copyright law in India in line with the developments in the information technology industry, whether it is in the field of satellite broadcasting or computer software or digital technology.

Registration Of Copyright

In India, the registration of copyright is not mandatory as the registration is treated as mere recordal of a fact. The registration does not create or confer any new right and is not a prerequisite for initiating action against infringement. The view has been upheld by the Indian courts in a catena of judgments. Despite the fact that the registration of copyright is not mandatory in India and is protectable through the International Copyright Order, 1999, it is advisable to register the copyright as the copyright registration certificate is accepted as a “proof of ownership” in courts and by police authorities, and acted upon smoothly by them.

Enforcement Of Copyright In India

Any person who uses the original work of the other person without obtaining license from the owner, infringes the copyright of the owner. The law of copyright in India not only provides for civil remedies in the form of permanent injunction, damages or accounts of profits, delivery of the infringing material for destruction and cost of the legal proceedings, etc, but also makes instances of infringement of copyright, a cognizable offence punishable with imprisonment for a term which shall not be less than six months but which may extend to three years, with a fine which shall not be less than INR 50,000 but may extend to INR 200,000

For the second and subsequent offences, there are provisions for enhanced fine and punishment under the Copyright Act. The (Indian) Copyright Act, 1957 gives power to the police authorities to register the Complaint (First Information Report, i.e., FIR) and act on its own to arrest the accused, search the premises of the accused and seize the infringing material without any intervention of the court.

Industrial Designs

As per the definition given under Section 2(d) of the Designs Act, 2000, “design” means only the features of shape configuration patterns or ornament applied to any article by any industrial process or means whether manual mechanical or chemical separate or combined which in the finished article appeal to and are judged solely by the eye. However, “design” does not include any mode or principle of construction or anything which is in substance a mere mechanical device and does not include any trademark as defined under the TM Act or any artistic work as defined under the Copyright Act, 1957. The total period of validity of registration of an Industrial Design under the (Indian) Designs Act, 2000 is 15 years.

Features of shape, configuration, pattern, ornament or composition of lines or colours applied to any article, whether in two dimensional or three dimensional or in both forms, can be registered under the (Indian) Designs Act, 2000. However, functionality aspects of a design are not protected under the (Indian) Designs Act, 2000, as the same are subject matter of patents.

Design of an article is not registrable in India, if it:

  • is not new or original;
  • has been disclosed to the public anywhere in India or in any other country by publication in tangible form or by use in any other way prior to the filing date or priority date of the application;
  • is not significantly distinguishable from known designs or combination of known designs; or
  • comprises or contains scandalous or obscene matter.

Enforcement Of Design Rights In India

The (Indian) Designs Act, 2000, only provides for civil remedies. Besides injunction, monetary compensation is recoverable by the proprietor of the design either as contract debt or damages. An action for infringement of design can only be initiated after the registration of the design, however, an action for passing-off is maintainable in case of unregistered design.

Trade Secrets

Trade secrets includes any confidential business information which provides an enterprise a competitive edge over others. Trade secrets encompass manufacturing or industrial secrets and commercial secrets, formula, practice, process, design, instrument, pattern, commercial method, or compilation of information which is not generally known or reasonably ascertainable by other.

The unauthorized use of such information by persons other than the holder is regarded as an unfair practice and a violation of the trade secret. There are no specific statutes under the Indian law for the protection of trade secrets and the same are protectable under the common law rights.

Strategies For Protection And Exploitation Of IPR For Startups

  1. Make Intellectual Property protection a priority:Start-ups cannot afford the complete protection available under the intellectual property regime. The first step for any startup is to evaluate and prioritize the IP Rights involved in its business. Depending upon the type of industry involved, IP Rights play an important role. Failure to identify or prioritize IP Rights, is likely to create problems for startup’s business, especially during negotiations with future investors or exiting its business. Sometimes IP Rights are the only asset available with a startup.
  2. Register Intellectual Property Rights:It is important to note that certain IP Rights like patents and designs are required to be registered before claiming any protection under the respective statutes. On the other hand, certain IP Rights like trademark and copyright need not be mandatorily registered for protection under. Nevertheless, a registered IP Right carries a greater value and acts as evidence of use of the IP Rights before courts as well as enforcement agencies;
  3. Due Diligence of IP Rights:For any startup, it is indispensable that it does not violate IP Rights of any other person. This will ensure safety from unwarranted litigation or legal action which can thwart its business activities. This makes it even more important for startups to make careful IP decisions in the initial phase and conduct proper due diligence of IP Rights, which it is using or intends to use.
  4. Implement clear and effective policies and strategies for protection of IP Rights:It is in the long term interest of startups to have an Intellectual Property Policy for management of various IP rights which may be presently owned, created or acquired in future by startups. The aim of such a policy is to ensure that there are no inter-se dispute between the promoters of the startups, which remains till date to be one of the main concerns for failure of startups.
  5. Agreements related to Intellectual Property:It is pertinent to note that having proper documentation in the form of agreements like non-disclosure agreements, agreements with employees or independent contractors, can make all the difference between the success and failure of startups. Usually, intellectual property is created either by the founders or some key employee or a third party. The intellectual property so created, must be protected through a proper agreement between the founder or key employee or a third party, as the case may be and the startup. If the agreement, with founders or employees or a third party, , under which a novel idea was/is created, is overlooked, it could create bottlenecks later after such idea becomes successful. Accordingly, the startups need to ensure that anything created on behalf of the startup, belongs to the startup and not the Employee or a third party. Further, it is advisable to enter into elaborate assignments, licensing or user agreements, and care should be taken to make provisions for all post termination IP Right issues.


Maintenance case : SC Verdict: Hindu Marriage Act,1955

Wife claiming interim maintenance during pendency of divorce petition – Maintenance cannot be refused on the ground that she was professionally qualified and capable of earning handsome income.

Manish Jain v. Akanksha Jain (SC) 


Before :- Kurian Joseph and R. Banumathi, JJ.

Civil Appeal No. 4615 of 2017 (Arising out of SLP (C) No.7670 of 2014). D/d. 30.3.2017.

Manish Jain – Appellant


Akanksha Jain – Respondent

For the Appellants :- Chirag M. Shroff, Advocate.

For the Respondent :- Sanjay Bansal, G.K. Bansal, Advocates.


Wife claiming interim maintenance during pendency of divorce petition – Maintenance cannot be refused on the ground that she was professionally qualified and capable of earning handsome income.

  1. Hindu Marriage Act, 1955 Sections13(1)(ia) and24Protection of Women From Domestic Violence Act, 2005 Section23(2) Husband seeking divorce on ground of cruelty – Wife seeking interim maintenance during pendency of proceedings – Wife cannot be refused interim maintenance on the grounds that she was educated lady and professionally qualified and capable of earning handsome income – Wife was not earning anything at the time petition for divorce was filed – Interim maintenance of L25,000/- granted to wife, which husband was capable to pay from his family business in addition to L 10,000 which wife was getting under Domestic Violence Act – Further held, financial position of wife’s parents is also immaterial.

[Paras 12 to 16]

  1. Hindu Marriage Act, 1955 Section24Maintenance pendente lite and expenses of proceedings – Held, Section, does not use the word “maintenance”; but the word “support” can be interpreted to mean as to provide for maintenance pendente lite.

[Para 14]

  1. Hindu Marriage Act, 1955 Sections13(1)(ia) and24Husband seeking divorce on ground of cruelty – Wife seeking interim maintenance during pendency of proceedings – An order for maintenance pendente lite or for costs of proceedings is conditional on circumstance that wife or husband who makes a claim for same has no independent income sufficient for her or his support or to meet necessary expenses of proceeding.

[Para 15]


  1. Banumathi, J.– Leave granted.
  2. The present appeal has been filed by the appellant-husband against the order dated 21.02.2014 passed by the High Court of Delhi at New Delhi in C.M.(M) No.910 of 2010. In the said judgment, the High Court while setting aside the order dated 15.03.2010 passed by the Additional District Judge-II (West), Tis Hazari, Delhi who declined to award maintenance pendente lite to the respondent-wife under Section 24 of the Hindu Marriage Act, 1955 has granted interim maintenance to the respondent-wife at the rate ofL60,000/- per month to be paid by the appellant-husband Manish Jain with effect from 1st February, 2012 till the disposal of divorce petition. The said amount was fixed in addition to L 10,000/- which the appellant-husband has already been paying by way of interim maintenance as per the order passed in Criminal Appeal No.65 of 2008 under Section 23(2) of the Protection of Women from Domestic Violence Act, 2005 [for short `the D.V. Act’].
  3. This is a case of marital discord which has a chequered history. Brief facts leading to this appeal by way of special leave are as under:- Both the appellant and the respondent got married on 16.02.2005 and they were living at V-38, Green Park, New Delhi. The couple shifted to an accommodation at 303, SFS Apartment, Hauz Khas, New Delhi on 15.04.2007. In or about July, 2007 relationship between the parties got strained. In September, 2007 the appellant-husband filed a divorce petition HMA No.553/2007 under the Hindu Marriage Act, 1955 [for short `the HM Act’] seeking divorce on the grounds of cruelty.
  4. In November, 2007 the respondent-wife filed a petition under the D.V. Act along with interim relief i.e., maintenance. She also filed a complaint on 23.11.2007 under Section 498-A and Section 406 IPC with CAW Cell, Amar Colony, Nanakpura, New Delhi against the appellant-husband and his family members which was later on registered as FIR bearing No.190 of 2008, Police Station, Friends Colony, New Delhi on 04.03.2008. In December, 2007, respondent filed yet another Complaint Case No.381 of 2008 under Section 125 Cr.P.C. before the Mahila Court, Patiala House, New Delhi. Her interim application seeking maintenance amongst other reliefs under Section 23(2) of the D.V. Act was dismissed by the Metropolitan Magistrate, Patiala House, New Delhi by order dated 23.04.2008 on the ground that the respondent was employed and was getting a stable income and that no document was placed on record by the respondent to show that respondent had again become jobless as the publication of the Magazine FNL had been stopped. Against the dismissal of application for maintenance, the respondent had filed appeal before Additional Sessions Judge, Patiala House in Criminal Appeal No.65 of 2008. In the said appeal and in Criminal Revision No.66 of 2008, Additional Sessions Judge, Patiala House by an order dated 01.09.2009 granted maintenance ofL10,000/- per month to the respondent-wife.
  5. The appellant-husband filed an application under Section 438 Cr.P.C. on 22.04.2008 for grant of bail in anticipation of his likely arrest. The High Court granted anticipatory bail to the appellant-husband subject to return of Toyota Corolla and dowry/jewellery articles to the respondent-wife within a week from the date of order till the next date of hearing which is said to have been complied with. Order was also passed directing the respondent to depositL12,00,000/- towards alleged return of dowry articles.
  6. The respondent-wife filed application under Section 24 of the HM Act claiming interim maintenance pendente lite ofL4,00,000/- per month and also a sum of L 80,000/- to meet litigation expenses during the pendency of the divorce petition. In the said application, the respondent-wife pleaded that she was having no source of income to maintain herself and that she is dependent upon others for her day to day needs and requirements. The said application was resisted by the appellant-husband contending that the respondent-wife is an educated lady and that she had completed her one year course of Fashion Designing from J.D. Institute, Hauz Khas, New Delhi and that she is capable of earning monthly salary of L 50,000/. The application filed under Section 24 of the HM Act was dismissed by Additional District Judge-II, Tis Hazari, Delhi by order dated 15.03.2010. Being aggrieved, the respondent-wife filed Crl. M.A. No.17724 of 2012 before the High Court, Delhi. The High Court in its order dated 08.11.2011 in C.M.(M) No.910 of 2010 filed by the wife against the order dated 15.03.2010 directed both the parties to file an affidavit truthfully disclosing their correct income. Both the husband and the wife filed an affidavit as to their income in compliance of the aforesaid order. After so directing the parties to file affidavit regarding their income and after referring to the income of appellant-husband and the properties which the appellant and his family are owning and also the standard of living of the respondent-wife which she is required to maintain, the High Court by the impugned order directed the appellant-husband to pay interim maintenance of L 60,000/- per month in addition to L 10,000/- which was directed to be paid to the respondent-wife in the proceedings under the D.V. Act.
  7. Aggrieved by the order of the High Court, the appellant-husband came in appeal before this Court by way of special leave. After giving opportunity to the parties to work out a settlement which ultimately failed, the same was dismissed on 15.04.2014. Being aggrieved by the dismissal of the above petition, a review petition was filed on 13.05.2014 in which notice was issued by this Court on 06.08.2014 and on 03.02.2016 the same was allowed and the Special Leave Petition was restored to its original number which is the subject matter before us.
  8. Learned counsel for the appellant-husband submitted that the respondent-wife has concealed her employment and independent source of income on several occasions throughout the matrimonial proceedings before the courts below and also that the High Court has committed a grave error in interfering with the well-reasoned order of the trial Court under Section 24 of the HM Act. The learned counsel for the appellant-husband submitted that the trial court after analyzing the evidence that the wife was educated, professionally qualified in the Fashion industry and had sufficient independent income rejected the application of the wife seeking maintenance under Section 24 of the HM Act. It was submitted that the High Court without proper appreciation of the income of the parties had wrongly set aside the order of the trial Court and fixed an abnormal amount ofL60,000/- as maintenance to the respondent-wife under Section 24 of the Hindu Marriage Act. Learned counsel further submitted that in Criminal Appeal No.65 of 2008 under Section 23(2) of the D.V. Act, the appellant-husband is paying an interim maintenance of L 10,000/- per month to the respondent-wife and the appellant-husband has so far made a total payment of L 7,50,000/- in the proceedings under D.V. Act, apart from returning a Toyota Corolla car worth L 13,00,000/- besides depositing a sum of L 12,00,000/- and a sum of L 2,75,000/- towards untraced admitted dowry articles in compliance with the order passed by the Court. It was further submitted that the appellant-husband’s firms/companies have been either shut down due to heavy loss and/or under the stage of winding up and the appellant-husband is not in a position to pay the exorbitant amount of L 60,000/- per month as maintenance pendente lite to the respondent-wife.
  9. Learned counsel for the respondent-wife at the outset submitted that the principle of providing maintenance is to ensure the living conditions of respondent-wife similar to that of appellant-husband whereas in the present case the respondent-wife is yet to receive any money.
  10. We have heard the matter at considerable length. Parties are entangled in several rounds of litigation making allegations and counter allegations against each other. Since various proceedings are pending between the parties, we are not inclined to go into the merits of the rival contentions advanced by the parties. The only question falling for consideration is whether the respondent-wife is entitled to maintenance pendente lite and whether the amount ofL60,000/- awarded by the High Court is on the higher side.
  11. The Court exercises a wide discretion in the matter of granting alimony pendente lite but the discretion is judicial and neither arbitrary nor capricious. It is to be guided, on sound principles of matrimonial law and to be exercised within the ambit of the provisions of the Act and having regard to the object of the Act. The Court would not be in a position to judge the merits of the rival contentions of the parties when deciding an application for interim alimony and would not allow its discretion to be fettered by the nature of the allegations made by them and would not examine the merits of the case. Section 24 of the HM Act lays down that in arriving at the quantum of interim maintenance to be paid by one spouse to another, the Court must have regard to the appellant’s own income and the income of the respondent.
  12. At the time of filing application under Section 24 of the HM Act in December, 2007, the respondent-wife was doing her internship in fashion designing in J.D. Institute of Fashion Technology and just completed the course and was not employed at that time. Only in the month of May, 2008, she became a trainee and joined FNL Magazine of Images Group as Junior Fashion Stylist and was earning an approximate/stipend income ofL21,315/- per month and due to recession, the same is said to have been reduced to L 16,315/- for three months that is July, August and September in the year 2009. It is stated that thereafter the respondent-wife has become jobless and associated with Cosmopolitan Magazine and according to the respondent-wife, she was working as a Stylist and is paid nominal amount of L 4,500/- per shoot and the said amount is inclusive of expenses like travelling etc. On a perusal of the judgment of the High Court and also the affidavit of the respondent-wife, it is clear that the respondent-wife has no permanent source of employment and no permanent source of income.
  13. Appellant-husband is stated to be a partner in the firms of his family business. It is also stated that the appellant-husband and his family own several valuable properties and has flourishing business. Insofar as the properties/income of appellant-husband, the High Court has made the following observations:-

“38. From the pleading of the respondent before other Courts, it has come on record that the respondent’s family is having successful and flourishing business of electrical and non-ferrous metals for the last 22 years. They are successful in their business. His mother belongs to a family of journalists and lawyers….

  1. From the material placed on record by the petitioner, prima facie it appears to the Court that even the respondent has not made full disclosure about his income and correct status of the family in the affidavits filed by him. The statements made by him are contrary to the statement made in the bail application. Prima facie, it appears to the Court that the respondent is hiding his income by trying to show himself as a pauper, however, the documents placed on record speak differently. At the same time the family members have a reasonably flourishing business and many properties as admitted by him. It has now become a matter of routine that as and when an application for maintenance is filed, the non-applicant becomes poor displaying that he is not residing with the family members if they have a good business and movable and immovable properties in order to avoid payment of maintenance. Courts cannot under these circumstances close their eyes when tricks are being played in a clever manner.”
  2. Section 24 of the HM Act empowers the Court in any proceeding under the Act, if it appears to the Court that either the wife or the husband, as the case may be, has no independent income sufficient for her or his support and the necessary expenses of the proceeding, it may, on the application of any one of them order the other party to pay to the petitioner the expenses of the proceeding and monthly maintenance as may seem to be reasonable during the proceeding, having regard to also the income of both the applicant and the respondent. Heading of Section 24 of the Act is “Maintenance pendente lite and expenses of proceedings”. The Section, however, does not use the word “maintenance”; but the word “support” can be interpreted to mean as Section 24 is intended to provide for maintenance pendente lite.
  3. An order for maintenance pendente lite or for costs of the proceedings is conditional on the circumstance that the wife or husband who makes a claim for the same has no independent income sufficient for her or his support or to meet the necessary expenses of the proceeding. It is no answer to a claim of maintenance that the wife is educated and could support herself. Likewise, the financial position of the wife’s parents is also immaterial. The Court must take into consideration the status of the parties and the capacity of the spouse to pay maintenance and whether the applicant has any independent income sufficient for her or his support. Maintenance is always dependent upon factual situation; the Court should, therefore, mould the claim for maintenance determining the quantum based on various factors brought before the Court.
  4. In the present case, at the time of claiming maintenance pendente lite when the respondent-wife had no sufficient income capable of supporting herself, the High Court was justified in ordering maintenance. However, in our view, the maintenance amount ofL60,000/- ordered by the High Court (in addition to L 10,000/- paid under the proceedings of the D.V. Act) appears to be on the higher side and in the interest of justice, the same is reduced to L 25,000/- per month. The maintenance pendente lite of L 25,000/- is to be paid to the respondent-wife by the appellant-husband (in addition to L 10,000/- paid under the proceedings of the D.V. Act).
  5. The order impugned herein is set aside and the appeal is allowed. The amount ofL60,000/- awarded as maintenance pendente lite is reduced to L 25,000/- per month which is in addition to L 10,000/- paid under the proceedings of the D.V. Act. The appellant-husband is directed to pay the arrears w.e.f. 01.02.2012 till the disposal of the divorce petition, within four weeks from today. The appellant-husband shall continue to pay L 25,000/- per month in addition to L 10,000/- paid under the proceedings of the D.V. Act on or before 10th of every English calendar month till the disposal of the divorce petition. If the appellant-husband has paid or deposited any amount of maintenance pursuant to the order of the High Court dated 21.02.2014, the same shall be set-off against the arrears to be paid by the appellant-husband. The respondent-wife is at liberty to withdraw the amount, if any, deposited by the appellant-husband pursuant to the order dated 21.02.2014. We make it clear that we have not expressed any opinion on the merits of the matter. In case the appellant-husband does not comply with the order, as above, including for payment of arrears, he would be visited with all consequences including action for contempt of Court.


Gramin Dak Sevaks Recruitment 2017 Apply Online

MP Postal Circle Recruitment 2017 Apply Online (1890 Vacancies)

Madhya Pradesh Post Office has issued recruitment notification for the post of Gramin Dak Sevaks (GDS) in the Madhya Pradesh Postal Circle. The last date for submission of online applications is 2nd May 2017.

Name of the Post No of Vacancies
Gramin Dak Sevaks (GDS) 1859

Age Limit: 18 to 40 Years as on closing date. The maximum age shall be relaxable by 03 years to those belonging to OBC categories and 05 years in case of candidates belonging to SC/ST. [10 years for PH above the respective category]

Educational Qualification: The candidate should pass 10th standard (Matric) from approved state boards by the respective State Govt. / Central Govt. The Candidate passed Xth class examination in first attempt will be treated as meritorious against those passed compartmentally.

Computer Knowledge: The candidate should have computer knowledge and will be required to furnish basic computer training certificate for at least 60 days from a recognized Computer Training Institute. Certificates from Central Government/ State Government/ University/ Boards etc., will also be acceptable for this purpose.

Selection Criteria: Selection will be made as per the automatic generated merit list as per the rules based on the candidates online submitted applications. No weightage will be given for higher educational qualification. Only marks obtained in 10th standard of approved Boards aggregated to percentage to the

accuracy of 4 decimals will be the criteria for finalizing the selection. Passing of all the subjects as per the respective approved board norms is mandatory for taking candidate into account for calculating the merit.

Application Fee: ₹ 100/- for General / OBC Male Candidates. The fee payment can be made at any Head Post Office. However, fee payment is exempted for all Female and SC/ST candidates.

How to Apply: The eligible Persons Apply Online through Indian Post Portal. The Online Registration start from 3rd April 2017 and close on 02/05/2017. For any queries email to

MORE INFO>> Apply Online

Government of India, Department of Posts, Office of the Chief Postmaster General, MP Postal Circle, Bhopal invites applications for direct recruitment of Postal Assistant / Sorting Assistant, Postman and MTS (Erstwhile Group ‘D’) Cadre under Sports Quota 2017-18 in Madhya Pradesh Postal Circle. The Last date of receipt of application is 12th April 2017.


Name of the Post No of Vacancies
Postal Assistant (PA) in Post Offices or Railway Mail Offices 23
Sorting Assistant (SA) in Post Offices or Railway Mail Offices 04
Postman in Post Office 02
MTS (Erstwhile Group ‘D’) in Post Office or Railway Mail Offices 02

Sports wise Vacancies: Badminton – 03, Cricket – 12, Power Lifting – 01, Table Tennis – 03, Hockey – 12.

Age Limit: (as on 12/04/2017)

(a) For Postal Assistant / Sorting Assistant / Postman -> Between 18 to 27 Years (Relaxable by 3 years for OBC and 5 years for SC & ST)

(b) For MTS -> Between 18 to 25 Years (Relaxable by 3 years for OBC and 5 years for SC & ST)

Scale of Pay:

(a) Postal Assistant / Sorting Assistant -> ₹ 25500/- in Level 4 as per Pay Matrix specified in Part A of Schedule of Central Civil Service (Revised Pay] Rules 2016. [₹ 5,200-20,200 (Pay Band-I) + Grade pay of ₹ 2400/-plus admissible allowances (as per Pre-revised scale.)]

(b) Postman -> ₹ 21700/- in Level 3 as per Pay Matrix specified in Part A of Schedule of Central Civil Service (Revised Pay) Rules 2016. [₹ 5200-20200 (Pay Band-I)+Grade pay of ₹ 2000/-plus admissible allowances (as per Pre-revised scale.)]

(c) MTS -> ₹ 18000/- in Level 1 as per Pay Matrix specified in Part A of Schedule of Central Civil Service (Revised Pay) Rules 2016. [MTS ₹ 5,200-20,200 (Pay Band-I) + Grade pay of ₹ 1800/- plus admissible allowances, (as per Pre-revised scale.)]

Educational Qualifications: (Sports Requirements required)

Postal/Sorting Assistant ->

  1. a) Pass in 10+2 standard or 12th class pass from recognized University/ Board of School Education, Board of Secondary Education (excluding vocational/JOC streams).
  2. b) Candidates with higher education are also eligible but they have to fulfill the above requirements. There are no bonus marks for higher education.
  3. c) Candidates who have passed 12th standard/10+2 in vocational course or Job Oriented Course (JOC) are not eligible.
  4. d) Having typing and computer knowledge up to the required standard is desirable.

Postman ->

  1. a) Matriculation or equivalent from a recognized Board or University.
  2. b) Candidates with higher education are also eligible but they have to fulfill the above requirements. There are no bonus marks for higher education.

MTS ->

  1. a) Matriculation or equivalent from a recognized Board.
  2. b) Candidates with higher education are also eligible but they have to fulfill the above requirements. There are no bonus marks for higher education.

Application Fee: ₹ 100/- in form of Indian Postal Order (IPO) only, in favour of “Chief Postmaster General, MP Circle” payable at the Post Office “Bhopal GPO, Bhopal”. Original Indian Postal Order must be enclosed with the duly filled application form. The fee may also be deposited in Unclassified Receipt (UCR) in any post office. Original receipt must be enclosed with the duly filled application form.

Exam Fee: Only the Applicants who are called for selection / field trials will have to pay an examination fee of ₹ 400/-. All Women/ SC/ ST candidates are exempted from payment of exam fee.

How to Apply: Eligible Interested Candidates apply in the prescribed format. Completed applications addressed to Assistant Postmaster General (Estt./Rectt.), Room No. 205, II Floor, O/o the Chief Postmaster General, M.P. Circle, Bhopal – 462012 by Registered / Speed post. Applications to be superscribed as “APPLICATION FOR THE POST OF POSTAL ASSISTANT / SORTING ASSISTANT / POSTMAN / MTS IN MADHYA PRADESH POSTAL CIRCLE UNDER SPORTS QUOTA”. The last date for receipt of applications is 12/04/2017.

Detailed Notification >>


LDC JOBS : National Water Development Agency (NWDA)

National Water Development Agency (NWDA) invites applications for recruitment of Lower Division Clerk (LDC) for filling up 08 Vacancies on Regular Basis. The closing date for receiving of applications shall be 30 days from the date of publication of this advertisement in Employment News Paper dated 25 – 31 March 2017 Issue.

Name of Post No of Vacancies Age Limit Scale of Pay
Lower Division Clerk (LDC) 08 Between 18-27 years (Age relaxation as per Govt. Rules) PB-1 of ₹ 5,200-20,200/- and Grade Pay of ₹ 1900/- Plus Allowances as per rules


Educational Qualifications:

(1) Matriculation or equivalent from a recognized Board or equivalent.


(2) Possessing a minimum speed in English typewriting 30 w.p.m or Hindi typewriting 25 wpm in Hindi.

(3) Desirable: Knowledge of Computer operating system, Computer peripherals etc.

Duly filled applications in the prescribed proforma must reach in the office of the Deputy Director (Admn), National Water Development Agency, 18-20, Community Centre, Near PVR Anupama Cinema, Saket, New Delhi-110017 within 30 days from the date of publication of the advertisement in Employment News Paper (i.e. Last date will be 24/04/2017).


How to Fill a Police Complaint………

What is a FIR?


FIR is a word commonly used, when it comes to filing a police report in India. When a police report is made the first time, this report is referred to as a first information report (FIR).Once a FIR is filed, it is considered a formal complaint and the police are required to investigate the matter in a legal manner. While the government authorities have occasionally stated that the police must file FIR when approached by people to do so and that everyone has a right to file an FIR if they have been a victim of a crime, stories of people having difficulty in filling a FIR due to no awareness how to file a complaint in India. Let’s see below solution :

What is Complaint and its Importance

A complaint means a grievance expressed by a person to state certain things/facts. Any person who has a certain kind of grievance to some fact, condition, state of affairs etc. may put a complaint to Station House Officer within the local jurisdiction of whose police station that incident has occurred. A complaint can be public as well as private in nature. Any person can file a complaint and it is not necessary that only an aggrieved person can file a complaint. Many a times it is seen that in rape cases the victim is often not in a condition to file a complaint due to stress and fear. In such cases, any person having knowledge of incident like parents, relatives, friends etc. are allowed to file a complaint. A criminal case begins from the filing of a First Information Report (FIR). It is the first stage in criminal proceedings.  Hence, the importance of a complaint throughout the case can never be under emphasized.

Many a times it is seen that a person is unable to get justice even after setting the criminal law in motion due to not properly mentioning/stating the relevant facts in their complaint. The same even leads to dismissal of the case by the Courts. There are various reasons associated with the fact that why sometimes even genuine complaints fail in the court of law. One such reason is that most of the times the police officials on duty at the time of registering complaint are not themselves vigilant. Second is generally the public misses out important and relevant facts and emphasize on overstating the true facts of the case.

Where to file the Complaint

The informant/ complainant should go to the police station having jurisdiction over the area (where the offence is committed) and report to officer in-charge/ station house officer. In case information is given on telephone, the informant / complainant should subsequently go to the police station for registration of F.I.R.

Who is the officer on duty?

If the officer on duty is not present, what are the alternatives to get the paperwork done (complaint, FIR)?

The senior most Police officer available in the Police Station at any point of time, (SHO or his subordinate above the rank of a constable) is the officer-in-charge, or the duty officer.

If the SHO / Inspector is not present, a Sub-Inspector or Head Constable will be the officer-in-charge, who will receive complaint or lodge FIRs.

 What to do if the Police Station refuses to register the FIR?

In all cognizable offences it is mandatory on the part of the police station to register the FIR. However, if the Police Station refuses to register the FIR, a complaint shall be made to the senior police officer. The complaint can be made to the Concerned Circle Officer, Addl. SP or the Superintendent of Police of the concerned District. These officers will get the FIR registered and investigated

Are any kind of fee or charges to be paid to police for registration of FIR?

No, Police is not to be paid any fee or money for registering the FIR and subsequent investigation. If anybody in the police station makes such a demand, a complaint should immediately be made to the senior police officers.

Important things to be kept in mind while filing FIR

  • It must be filed immediately. If there is any delay, mention it in the form.
  • If given orally, it MUST be taken down in writing and explained to you by the officer in charge, at a Police Station within the jurisdiction of which the offence has taken place.
  • Be very specific
  • There should be four copies recorded simultaneously, with carbon sheets in place.
  • It must be recorded in first person. Do check in which language this needs to be done.
  • Avoid complicated, technical words, terminologies and unnecessary details.
  • Try not to overwrite or score out words.
  • Ensure that the arrival/departure time is mentioned in the F.I.R and in the Daily Diary (DD) Register at the Police Station
  • It must contain authentic information, including these necessary bits of information:

–What information do you want to convey?

– In what capacity are you providing the information?

– Who is the perpetrator of the crime?

– Who has the crime been committed against – victim /complainant?

– When was it committed (time)?

– Where was it committed (specific place /locality/area)?

– Why do you think it was committed?

– Which way (actual process involved) was it committed?

– Were there any witnesses? (Names will be required here.)

– What were the losses? (Money /valuables/ possessions /physical damage etc.)

– What were the traces at the scene of the crime? (Weapons/evidence if any.)

  • After completion, you MUST carefully read the document and sign it.
  • It must be recorded by the officer in the book maintained for this purpose by the State Government.
  • You have the right to and must get a copy of it for your records. You are not required to pay for the same.
  • You are not required by law to give an affidavit.
  • Never file a false complaint or give wrong information to the police. You can be prosecuted under law for giving wrong information or for misleading the police.—[Section 203, Indian Penal Code 1860]

Having known all these facts, we can generally succeed in a court of law by simply putting in required information and get the accused behind the bars.

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