Supreme Court of India

Bch Electric Limited v. Pradeep Mehra

Neutral citation
Reported as [2020] 10 S.C.R. 1
Bench Uday Umesh Lalit and Sanjiv Khanna JJ.
Decided 29 April 2020

INSC stands for INDIAN SUPREME COURT. A neutral citation scheme assigned by the Court itself, so a judgment can be cited without depending on a commercial law reporter. INSC is the neutral citation scheme assigned by the Supreme Court, so a judgment can be cited without depending on a commercial law reporter.

What the Court ordered

We hold that the appellant was right in going by the provisions of the Act in the present matter and by the ceiling prescribed under Section 4(3) of the Act.

Judgment, page 26

From the headnote

Payment of Gratuity Act, 1972: ss.4(3), 4(5) – Resp ondent appointed as Chief Operating Officer resigned after putt ing 12 years of service – His last drawn monthly wage was Rs.24.50 lacs – Claim made by him for gratuity of Rs.1.83 crores – Appell ant-employer held that respondent was entitled to maximum of Rs.10 lacs as gratuity – The Authorities under the Act and the High Court ac cepted the claim preferred by the respondent – Challenge against – Held: s.4(3) stipulates that the amount of gratuity payable to an employee shall not exceed certain limit and thus puts a cap on the amount p

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