Question:
I am working with company A on H1B and recently signed another contract
with company B who are processing my H1B. I signed with company B a
contract to work for 2.5 years from the day of start but I have just
come to know that they are not going to sponsor my green card so I do
not want to work with them and actually company A has agreed to file my
green card. Now my question is,
What is the legal value of such agreement?
Answer:
For US citizens and other American workers, such a clause may be legal. For
H-1Bs, it is specifically illegal. They *can* demand payment of actual or
liquidated damages (basically, you may have to reimburse them for the fees
and attorney costs) but nothing beyond that.
No effect on Green Card whatsoever. Except for the prohibition of such a
clause, immigration law is not involved here, it's all a matter of labor or
contract law.
Except for the military and prisons, involuntary servitude is
unconstitutional. No person (regardless of immigration status) may be
forced to work for an employer. Whether the employer could, in such
circumstances, recover monetary damages from the employee is a different
question.
State law is relevant here. The OP should consult an employment law
attorney familiar with the law of the state in which the OP works for
Company A. In California, such a contract would not only be illegal,
but possibly criminal. Further, the contract could not, in my opinion,
force repayment of attorneys' fees and costs spent by Company A to
secure the H-1B without violating California Labor Code section 2802.
Good point. I made the implied assumption that the contract stipulates "you
remain with us for 2.5 years, *or pay us a penalty.*" Such clauses are
common in situations where the employer, for instance, paid for a college
education or the like.
You mean to say that I have to consult a work, labor or employment
attorney where the company *B* is and not A. Because I signed the
agreement with company B that I do not want to keep anymore. By the
way, company B is in michigan and company A is in virginia. I am
working for A and want to continue it.
Anyone familiar with michigan labor laws, what is the value of such
agreement?
I really appreciate the people who take some time of their busy
schedule to reply different questions here.
Actually, it's even more complicated. If you are in a different state, it is
not at all clear which law applies, and it is quite possible that both
Michigan and Virginia laws apply at the same time. I would start out
finding a local lawyer, who will then help you figure out whom else you may
need.