Case Note & Summary
The judgment concerns two writ appeals arising from a common order dated 26.08.2025 in W.P.No.1849 of 2022 and a subsequent compensation order dated 28.08.2025. The appellant in W.A.No.4013 of 2025 is M/s.Tractors & Farm Equipment Limited, represented by its Chairman/Owner C.P.Sounderarajan, and the respondent is T.Ramesh, an employee. In W.A.No.3979 of 2025, T.Ramesh is the appellant and the company is the respondent. The parties entered into negotiations and arrived at a settlement, executing a memorandum of compromise on 28.04.2026. The court noted that in view of the compromise, no further adjudication is required and directed the parties to abide by the terms agreed. Specifically, regarding a deposit of Rs.10 Lakhs made by the management with the II Additional Labour Court, Chennai, in I.D.No.139 of 2018, the parties agreed that the employee would withdraw the principal amount and the management would withdraw the accrued interest. The court directed the II Additional Labour Court to permit withdrawal within two weeks of receipt of the order. Consequently, both writ appeals were disposed of in terms of the compromise.
Headnote
A) Labour Law - Compromise and Settlement - Disposal of Appeals - Parties entered into a memorandum of compromise dated 28.04.2026 settling all disputes - Court held that no further adjudication is required and directed parties to abide by the agreed terms - Also directed that the deposit of Rs.10 Lakhs with the II Additional Labour Court, Chennai, be withdrawn by the employee and the interest by the management (Paras 2-4).
Issue of Consideration
Whether the writ appeals should be adjudicated or disposed of in terms of a compromise between the parties.
Final Decision
Writ appeals disposed of in terms of the memorandum of compromise dated 28.04.2026. Parties directed to abide by the terms. II Additional Labour Court, Chennai, directed to permit withdrawal of Rs.10 Lakhs deposit and interest as agreed within two weeks.
Law Points
- Compromise
- Settlement
- Withdrawal of Deposits
- Labour Court
