In a significant ruling impacting joint bank locker holders, the Kerala High Court has held that the “either or survivor” clause does not automatically grant ownership rights over the contents of a locker.
Justice Easwaran S. delivered the verdict while dismissing a second appeal in a dispute over nearly 180 sovereigns of gold ornaments kept in a joint locker at Canara Bank, Ernakulam.
The surviving joint holder had claimed absolute ownership of the gold based on the “either or survivor” clause and an alleged oral gift. However, the respondent relied on a registered Will executed prior to the locker being opened.
The Court clarified that a locker facility is meant for safe custody and does not determine ownership of the valuables inside. Distinguishing the Supreme Court’s ruling in Anumati v. Punjab National Bank, the High Court said principles applicable to joint deposits cannot automatically apply to lockers.
Upholding the Will, the Court ruled that testamentary rights prevail over locker agreements, reinforcing that operational authority does not equal ownership.
