If personal injury is caused to a workman by accident arising out of and in the course of his employment, his employer shall be liable to pay compensations:

Provided that the employer shall not be so liable:

• In respect of any injury which does not result in the total or partial disablement of the workman for a period exceeding three days;
• In respect of any injury, riot resulting in death caused by an accident, which is directly attributable to:
• the workman having been at the time thereof under the influence of drink or drugs; or
• The willful disobedience of the workman to an order expressly framed, for the purpose of securing the safety of workman; or
• The willful removal or disregard by the workman of any safety guard or other device, which he knew to have been provided for the purpose of securing the safety of workmen.

Settlement of compensation by agreement

Section 28, Workmen's Compensation Act, 1923 provides that where the amount of any lump sum payable as compensation has been settled by agreement, whether by way of redemption of a half monthly payment or otherwise or where any compensation has been so settled as being payable to a workman or a person) render a legal disability, a memorandum thereof shall be sent by the employer to the Commissioner, who shall, on being satisfied as to its genuineness, record the memorandum in a register in the prescribed manner. The memorandum of agreement sent to the Commissioner shall, unless the Commissioner otherwise directs, be in duplicate, and shall be in as close conformity as the circumstances of the case admit with Form K or Form L or Form M of the Workmen's Compensation Rules, 1924, as the case may be.

Recording of Memorandum of Agreement

On receiving Memorandum of Agreement, the Commissioner shall, unless he considers that there are grounds for refusing to record the memorandum, fix a date for recording the same, and shall issue a notice in writing in Form N of the Workmen's Compensation Rules, 1924, to the parties concerned that in default of objections he proposes to record the memorandum on the date so fixed: provided that the notice may be communicated orally to any parties who are present at the time when notice in writing would otherwise issued. On the date so fixed, the Commissioner shall record the memorandum unless, after hearing any of the parties who appear and desire to be heard, he considers that it ought not to be recorded. If on such date, the Commissioner decides that the memorandum ought not to be recorded, he shall inform the parties present of his decision and of the reasons there for, and if any party desiring the memorandum to be recorded is not present, he shall send information to the party in Form O of the Workmen's Compensation Rules, 1924.

If, on receiving a memorandum of agreement, the Commissioner considers that there are grounds for refusing to record the same, he shall fix a date for hearing the party or parties desiring the memorandum to be recorded, and shall inform such party or parties and if he thinks fit, any other party concerned, of the date so fixed and of the grounds on which he considers that the memorandum should not be recorded. If the parties to be informed are not present, a written notice shall be sent to them in Form P or Form Q of the Workmen's Compensation Rules, 1924, as the case may be and the date fixed in such notice shall be not less than seven days after the date of the issue of the same. If on the date fixed, the party or parties desiring the memorandum to be recorded show adequate cause for proceedings to record the same, the Commissioner may, if information has already been given to all the parties concerned, record the agreement.

If in any case, the Commissioner refuses to record a Memorandum of Agreement, he shall briefly record his reasons for such refusal.

In recording the Memorandum of Agreement, the Commissioner shall cause the same to be entered in a register in Form R of the Workmen's Compensation Rules, 1924 and shall cause an endorsement to be entered under his signature on a copy of the memorandum to be retained by him in the following terms, namely:

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