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Shweta (Lawyer)     08 December 2009

Whom should Gratuity be paid in absence of a nomination

A lady employee expired during child birth. She has nominated her father since she had filled her form beefore her marriage. However after her marriage she has not refilled her nomination form. As a result she has not mentioned how much share her husband wil get from her gratuity which is actually mandatory. Now there is a dispute between the husband and the girls father. Kindly advice what should be done and whom should the gratuity be paid to.


Adv. Shweta Prabhu 


 4 Replies

V. VASUDEVAN (LEGAL COUNSEL)     09 December 2009

 As per the nomination, on the records of the Company the deceased employee's father is nominated. Post marriage, she ought to have changed/substituted the nomination which was not done. Hence, you may counsel the father and the husband to resolve the dispute amongst themselves. If the Company has received a written demand from the nominee (father) for the gratuity with proof documents, you may deposit the amount payable before controlling authority under the gratuity act, informing of the dispute. Technically company's responsibility will be ceased if it pays the dues to the nominee. However, to avoid disputes, the decision may be left with the authorities.


1 Like


I agree with Vasudevan's  suggesstion.

SHARAD CHANDRA DANEJ (Asstt. Manager)     29 May 2010

Dear Sweta,


Being a lawyer yourself, you should know that in this case nomination will prevail as she made her father a nominee, of course the nomination was made before her marriage - hardly matters. Self earned property can be given to anyone.


I have one question to you Sweta. The govt has amended the Gratuity Act 1972 in 2009 which was effective from 1.1.06, but the recent Gratuity Amendment Bill 2010 was effective from 24.5.2010. Is this not the discrimination and can it be challenged in court?



S V Narayanan (Personnel Manager)     17 June 2010

Am fully agree with Mr Vasudevan...nomination is valid document...even if dispute exist, better advise both the party to produce legal heir certificate...in any case better prepare Form L & deposit the gratuity amount with the Controlling authority of the jurisdiction of the establishment situated....

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