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Supreme Court of India 2020-04-15 allowed

Sushilaben Indravadan Gandhi & Anr vs New India Assurance Company Limited & Ors

Bench: 2 — <UNKNOWN>, <UNKNOWN>

In Brief

A deceased individual engaged with an institute under a contract designated the parties dispute whether this was employment or independent professional engagement. The Supreme Court examined contractual terms including remuneration labelled as honorarium, non-regular employee status, mutual terminability on notice, arbitration provisions, and limited applicability of institutional rules. Applying the economic reality test across all factors holistically, the Court found the contract was one for independent professional services, not service employment, and allowed the appeal accordingly.

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