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One of the main drawbacks of India’s legal system and law enforcement agencies are a lack of effective delivery of legal remedies to the people in need. Pending cases are comparatively much more than the cases settled. The main reason behind such a phenomenon is that increase in the number of offences as well as time taking to solve the cases from the part of the judiciary. In such a situation, Alternative Disputes Resolution mechanism plays an important role in resolving disputes among people which is less important when compared to serious offences so that court can save its valuable time as well as parties affected will be delivered with an effective solution for their disputes.

As per the Indian law, there is no specific provision that deals with a situation wherein employers are obligated to not terminate its employees during a lockdown. However, the Industrial Disputes Act, 1947 talks about a similar situation. Under Section 2 (kkk) of the Industrial Disputes Act the term ‘lay off’ has been defined which states that when an employer is unable to provide employment to an employee due to a natural calamity or a similar situation the same would fall under ‘lay off’. Subsequently, the Act also speaks about the terms on which an employee can be laid off. Under Section 25 C of the Act, the employers laying off workmen are required to pay compensation to the workmen being laid off which shall be equivalent to 50 percent of the wages. Moreover, the Act mandates any industrial establishment with more than 100 workmen to take prior permission before laying off the workmen. Although the permission is not mandatory if the laying off is due to a natural calamity.

In this session, you will get to know about the most suitable business structures in India according to the need of your venture. We have discussed the basic features of Sole Proprietorship, One-Person Company, Private Limited Company, Public Limited Company, Partnership Firm, Limited Liability Partnership Firm and Co-Operative Society/ Association of Person.

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