The Madhya Pradesh High Court has held that a married daughter can claim ex-gratia benefits and leave encashment from her deceased father’s employment dues if she is the sole legal heir — even though she is married and living separately.
Case Background
The dispute arose after a government employee died while in service. The employer sanctioned certain death benefits, but denied ex-gratia payment and leave encashment on the ground that the deceased’s married daughter was not entitled to those benefits under the relevant service rules, which restrict eligibility to unmarried daughters.
The daughter challenged the denial, asserting that as the sole legal heir, she had a right to all dues payable on the death of her father.
Court’s Reasoning
The High Court observed that while service rules may differentiate between married and unmarried daughters for some benefits, the statutory inheritance rights under the Indian Succession Act override such restrictions where a daughter is the only heir.
The Court held that a married daughter who is the sole legal heir cannot be denied death-cum-retirement benefits merely because she is married, when no other heirs exist to take those dues.
It emphasised the principle that inheritance rights and rightful claims to accumulated dues (such as ex-gratia payments and leave encashment) belong to the legal heir insofar as the law permits, and this cannot be denied by a technical application of service rules.
Outcome
The Court directed that the deceased employee’s ex-gratia payment and accumulated leave encashment be released in favour of his married daughter, acknowledging her status as the sole legal heir.
Significance
This ruling reinforces that marital status alone cannot defeat a married daughter’s claim to certain death benefits when she stands as the only legal heir. It underscores the principle that claims to statutory or legal entitlements should be interpreted in a manner that does not unjustly exclude rightful heirs.
