HC rejects hosp's plea to recover Rs.1.3 cr from doc who quit with 7 days' notice
MUMBAI, Sept. 9 -- The Bombay High Court on Monday rejected Wockhardt Hospitals Ltd's plea for recovery of Rs.1.30 crore from a specialist doctor who had resigned from the company's Rajkot hospital with seven days' notice instead of the stipulated three months, allegedly causing massive losses.
A division bench of justices GS Kulkarni and Dr Neela Gokhale clarified that damages contemplated under section 73 of the Indian Contract Act could be awarded only for losses actually suffered and not for any remote or probable damage.
"The loss must be a real loss or actual damage and not merely a probable or possible one," the bench said.
According to the hospital's plea, Dr Nishit Vyas was appointed Senior Consultant, Internal Medicines and Critical Care, at the Rajkot unit of Wockhardt Hospitals in August 2015, for a period of two years. But he resigned on September 23, 2016, and stopped reporting for work from September 30, 2016.
The company soon approached the high court for recovery of Rs.1.30 crore from Dr Vyas, which included alleged losses suffered due to short-termination of the notice period plus 18% interest per annum. The high court transferred the suit to the city civil and sessions court, which rejected the hospital's plea on March 16, 2026 owing to lack of evidence regarding losses. The company then approached the HC again, where its lawyer said that the loss incurred due to Dr Vyas quitting abruptly was based on a reasonable estimate and no exact figure could be furnished.
The judges, however, refused to accept the contentions, saying that the basic obligation of Wockhardt Hospitals was to establish that they actually had suffered losses. "We do not find that there is any material on record...demonstrating how such losses were incurred," the bench said, dismissing the plea....
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