Broke Appointment Letter Bond

One of my friend signed an appointment letter with company, the letter had below clause. ''On acceptance of this letter, you are bound to join work at (Company Name) on YYYYMMDD. To enable you to join us sooner than YYYYMMDD, we offer you the option of 'pay in lieu of notice' PILON reimbursement. It is further acknowledged and agreed that following the pay in lieu of notice' (PILON) reimbursement by us, you shall continue to work with us for a minimum period of one year and during this period you will not accept any other form of employment, or engage in any other business activity. Failing either of the above conditions, we are liable to claim six month's salary as compensation as well as any costs of litigation, including all reasonable attorney fees.'' As per him he discussed about this on call with Company that the six month salary issue will be if Pilon is taken and he leave within year before signing that. And now he does not want to join the company A as he is going for other company B now due to good offer from other company. But now the Company A , says that if you do not want to join then you will have to pay six month of salary as per above clause or else they will file case on him. Can someone advice what he should do now He even does not have that much money he is already from a poor family he is single earning person in his family? Why should he pay six month salary even if he has not joined the company yet and also he has not taken any amount from that company..