Resigning from a job

How to Get Out of a Work Contract Legally

Nidhi Nangia
By Nidhi Nangia. Updated: January 16, 2017
How to Get Out of a Work Contract Legally

Getting out of a work contract prematurely can have consequences. A breach of contract happens when any of the parties does not fulfill the obligations mentioned in the agreement. The other party may sue the defaulting party and the later is most likely to receive a judgment of breach. But sometimes, you need to get out of the contract, probably for valid reasons. So, if you don’t want to continue with your present employment, but want to get out of the work contract legally without being sued, then here are a few ways to do that. Here at OneHowTo.com, we are going to discuss about how to get out of a work contract legally.

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Contents
  1. Getting out with mutual understanding
  2. Use a clause of termination
  3. Look for a breach by the other party
  4. The clause of Impossibility of Performance
  5. Determine the repercussions

Getting out with mutual understanding

Often, employers don’t want to forcefully keep you employed. So, if you don’t want to continue with your current employer, talk to them personally and convince them to let you go. There are maximum chances that they will agree to mutually cancel the contract. But sometimes, they may not agree to free you. In this situation, you will have to find out other ways to get out of the work contract legally.

How to Get Out of a Work Contract Legally - Getting out with mutual understanding

Use a clause of termination

Take a look at the contract and see if it has a clause that allows you to terminate the contract prematurely. Most contracts have provisions that allow both parties to end the contract under certain circumstances. For instance, you may end a contract early, provided that you give a proper notice at least one month before quitting. You may need to fulfill certain obligations, or pay a penalty for getting out of the contract early. If that’s feasible with you, fulfill the requirements and end the contract legally. If you follow the mentioned rules, the other party will have no right to file a claim against you.

Look for a breach by the other party

Go through the contract carefully and look for even the slightest mistake the other party made against the contract terms. You can take it as an excuse to end the contract early with legal grounds.

The clause of Impossibility of Performance

You can get out of the contract legally if you are not able to fulfill your legal obligations due to particular events or circumstances. You must have an Impossibility of Performance clause in your contact, which may give you a ground to terminate the contract. Certain circumstances, such as the death or disability of a party member, damage or destruction of a required equipment, a natural disaster etc., can cause an impossibility of performance, based on which you can end the agreement legally. If you prove that you are not able to continue the contract due to situations beyond your control, then you may possibly end the agreement without breaching.

Determine the repercussions

Read the contract and see what will happen if you breach the contract. If there is a penalty to be paid, consider if you can afford to pay it. Sometimes the contract says that if you breach it, you will not be able to get employment in the same industry. You can afford to break such contract if you are not planning to get in the same industry anyway.

If you want to read similar articles to How to Get Out of a Work Contract Legally, we recommend you visit our Employment category.

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How to Get Out of a Work Contract Legally