Prabhudayal Birari vs M.P. Rajya Nagrik Aapurti Nigam Ltd

The Supreme Court held that the termination of the appellant's services by the M.P. State Commodities Trading Corporation Limited was illegal as it violated the contractual terms specified in the appointment order, which required one month's notice or salary in lieu thereof as per Section 617 of the Companies Act, 1956. The Court emphasized that the relationship was contractual and the appellant was entitled to reinstatement due to non-compliance with the termination conditions. The Court reversed the lower appellate court's decision, affirming the trial court's ruling that the termination was void ab initio.