NO CONTRACTUAL
RELATIONSHIP? SILLY!
Who ever said there is no contractual relationship between Banks/LIC and pensioners? The Meriam –Webster Dictionary gives the meaning of the word 'contract'(verb) as “shrink, lessen esp. to draw together esp.so as to shorten”.
True to this meaning, with every wage revision, the salaries of employees expand and the pension in relation to them contract!
Forget that the policy document is an evidence of an insurance contract and the Pension Rules 1995 are an evidence of the Pension contract!
The IBA could very well have conceded that there is a contractual relationship between the Banks and Pensioners within this dictionary meaning of the word ”contract” instead of labouring hard to deny such a relationship. There would then have been no legal hassles for them in future.
Greetings.
C H Mahadevan