Contract of Service in Law Cases
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Contract of Service in Law Cases

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Questions and Answers

Who collected the biris prepared by the coolies?

  • The court
  • Factory workers
  • Sattedars (correct)
  • Payment of Wages Authority

    • What was done to the biris at the factory before payment?

  • They were sorted and checked (correct)
  • They were sold to consumers
  • They were discarded without checks
  • They were immediately shipped

    • Who received the payment from the factory?

  • The Court
  • Sattedars (correct)
  • Coolies
  • Bidi factory management

    • What was the purpose of the workers applying to the Payment of Wages Authority?

    <p>To demand wages for leave days</p> Signup and view all the answers

    Which section of the Factories Act were the workers claiming entitlement to wages under?

    <p>Section 79 and 80</p> Signup and view all the answers

    What conclusion did the court come to regarding the nature of workers in this case?

    <p>They were considered workers under the Factories Act.</p> Signup and view all the answers

    Why did the factory not require constant supervision over the workers?

    <p>Bidi rolling is a simple task.</p> Signup and view all the answers

    At what stage of the task is supervision considered necessary according to the findings?

    <p>At the end stage for quality check</p> Signup and view all the answers

    What is the primary reason workers had to roll bidis for a considerable amount of time?

    <p>To fulfill their contract obligations.</p> Signup and view all the answers

    Which factor does the nature of control vary according to?

    <p>The type of industry.</p> Signup and view all the answers

    What does the rejection of goods illustrate according to the content?

    <p>The limitations of supervision tests.</p> Signup and view all the answers

    What holds significant importance for employers despite the constraints of labor laws?

    <p>The right to exercise control.</p> Signup and view all the answers

    What drives workers to roll bidis in relation to their livelihood?

    <p>Their dependency on wages from bidis.</p> Signup and view all the answers

    How do certain laws affect the workers rolling bidis?

    <p>They impose minimum wages requirements.</p> Signup and view all the answers

    What is implied about the economic reality faced by the workers?

    <p>It forces them to accept harsh working conditions.</p> Signup and view all the answers

    Which of the following statements is true regarding contract obligations of workers?

    <p>They require fulfillment to secure wages.</p> Signup and view all the answers

    What is the primary function of the respondent as described in the content?

    <p>To render services to its own members.</p> Signup and view all the answers

    What commission does the respondent receive from farmers and traders?

    <p>One percent.</p> Signup and view all the answers

    Which of the following statements about the respondent is true?

    <p>It is a cooperative society rendering member-only services.</p> Signup and view all the answers

    What distinguishes the respondent from other businesses in terms of trading?

    <p>It refrains from engaging in any trading activities.</p> Signup and view all the answers

    What is the nature of the relationship between the respondent and its members?

    <p>Cooperative and service-oriented.</p> Signup and view all the answers

    Which of the following is NOT an indication of a contract of service?

    <p>The master's right to delegate authority to third parties</p> Signup and view all the answers

    What does the master's right to suspension or dismissal signify in a contract of service?

    <p>The master has significant authority over the servant</p> Signup and view all the answers

    In the context of the Henderson case, which aspect has been altered due to various legislations?

    <p>The indication criteria for a contract of service</p> Signup and view all the answers

    Which party is under complete control and direction of the Bank in the Shivnandan Sharma case?

    <p>The treasurers</p> Signup and view all the answers

    Which of the following correctly describes the relationship between the Bank and the treasurers?

    <p>The treasurers operate under the authority of the Bank</p> Signup and view all the answers

    What is implied by the payment of wages or other remuneration in a contract of service?

    <p>The worker is recognized as an employee of the master</p> Signup and view all the answers

    Which of the following indicates the master's right to control how work is conducted?

    <p>The master's involvement in the process and methods used</p> Signup and view all the answers

    What does the power of selection by the master imply in employment contracts?

    <p>The master can choose who to hire based on specific criteria</p> Signup and view all the answers

    What is stated about the record-keeping of the workers?

    <p>No attendance register or wage register is maintained.</p> Signup and view all the answers

    How are the workmen engaged for tasks?

    <p>They are employed on an ad hoc basis.</p> Signup and view all the answers

    Which claim did the workmen's union make in 1982?

    <p>They claimed permanency in service and benefits.</p> Signup and view all the answers

    What was one of the benefits the workmen's union sought?

    <p>Availability of maternity benefits.</p> Signup and view all the answers

    What conclusion about employer-employee relationships can be drawn from the content?

    <p>There is no clear employer-employee relationship established.</p> Signup and view all the answers

    What approach did the society take in response to the workmen's claims?

    <p>They filed a suit against the workmen's union.</p> Signup and view all the answers

    Which of the following is true about the workmen's responsibilities?

    <p>They have no obligation to perform tasks daily.</p> Signup and view all the answers

    What legal action did the society take regarding the workmen?

    <p>The society dismissed appeals regarding employee status.</p> Signup and view all the answers

    Study Notes

    Contract of Service

    • The master has the power to select their servant
    • The master pays wages or other remuneration
    • The master controls the method of doing the work
    • The master has the right to suspend or dismiss the servant

    ### Shivnandan Sharma v. The Punjab National Bank

    • The Bank had complete control and direction of the treasurers
    • The Sattedars collected biris prepared by the coolies and took them to the factory
    • Workers at the factory sorted and checked the biris
    • Rejected biris were returned to the Sattedars for remaking
    • Payment was made to the Sattedars, not the coolies

    Birdhichand Sharma v. First Civil Judge Nagpur, 1960 SC

    • Bidi factory workers asked for 15 days of leave
    • The appellant (factory) did not pay wages for the leave
    • The workers claimed they were entitled to 15 days of leave per year
    • The workers were held to be "workers" under the Factories Act
    • The Court determined that the nature of control varies from industry to industry
    • The Court ruled that supervision is not constantly required, as bidi rolling is a simple task
    • Supervision is required at the end stage for quality checks
    • Workers are economically compelled to roll bidis to earn a living
    • The employer still retains the right to exercise control, despite the economic realities of the workers
    • The workers' wages are dependent on the number of bidis rolled

    Other Important Factors

    • Workers are not required to come daily
    • No attendance or wage register is maintained
    • The service of workmen by farmers or traders may not be taken
    • This type of worker is not a "worker" under the meaning of employment laws
    • Since there is no control or direction, the worker is not an employee

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    Case Name: Independent Contractor V. Workman PDF

    Description

    Explore the principles of the contract of service as illustrated through landmark cases such as Shivnandan Sharma v. The Punjab National Bank and Birdhichand Sharma v. First Civil Judge Nagpur. This quiz examines key aspects, including control, wages, and the rights of workers under the law.

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