[Payment Of Gratuity Act] Mere Reflection In Balance Sheet Doesn't Give Rise To Gratuity Claim In Absence Of Underlying Agreement: Bombay HC

The Bombay High Court ruled that an entry in a balance sheet does not constitute a formal agreement under the Payment of Gratuity Act. The court clarified that for an obligation to be legally recognized, it must meet specific criteria beyond mere accounting entries. This ruling is significant in clarifying the legal interpretation of financial and employment agreements under labor laws.