3Employer's liability for compensation

¹[3. Employer's liability for compensation.--(1) If personal injury is caused to a ²[employee] by accident arising out of and in the course of his employment, his employer shall be liable to pay compensation in accordance with the provisions of this Chapter:

Provided that the employer shall not be so liable--

(a) in respect of any injury which does not result in the total or partial disablement of the ²[employee] for a period exceeding ³[three] days;

(b) in respect of any ⁴[injury, not resulting in death ⁵[or permanent total disablement], caused by] an accident which is directly attributable to--

(i) the ²[employee] having been at the time thereof under the influence of drink or drugs, or

(ii) the wilful disobedience of the ²[employee] to an order expressly given, or to a rule expressly framed, for the purpose of securing the safety of employee’s, or

(iii) the wilful removal or disregard by the ²[employee] of any safety guard or other device which he knew to have been provided for the purpose of securing the safety of ⁶[employees] ⁷***

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⁹[(2) If a ²[employee] employed in any employment specified in Pat A of Schedule III contracts any disease specified therein as an occupational disease peculiar to that employment, or if a ²[employee], whilst in the service of an employer in whose service he has been employed for a continuous period of not less than six months (which period shall not include a period of service under any other employer in the same kind of employment) in any employment specified in Part B of Schedule III, contracts any disease specified therein as an occupational disease peculiar to that employment, or if a ²[employee] whilst in the service of one or more employers in any employment specified in Part C of Schedule III for such continuous period as the Central Government may specify in respect of each such employment, contracts any disease specified therein as an occupational disease peculiar to that employment, the contracting of the disease shall be deemed to be an injury by accident within the meaning of this section and, unless the contrary is proved, the accident shall be deemed to have arisen out of, and in the course of, the employment:

¹⁰[Provided that if it is proved,--

(a) that a ¹¹[employee] whilst in the service of one or more employers in any employment specified in Part C of Schedule III has contracted a disease specified therein as an occupational disease peculiar to that employment during a continuous period which is less than the period specified under this sub-section for that employment, and

(b) that the disease has arisen out of and in the course of the employment;

the contracting of such disease shall be deemed to be an injury by accident within the meaning of this section:

Provided further that if it is proved that a ¹¹[employee] who having served under any employer in any employment specified in Part B of Schedule III or who having served under one or more employers in any employment specified in Part C of that Schedule, for a continuous period specified under this sub-section for that employment and he has after the cessation of such service contracted any disease specified in the said Part B or the said Part C, as the case may be, as an occupational disease peculiar to the employment and that such disease arose out of the employment, the contracting of the disease shall be deemed to be an injury by accident within the meaning of this section.]

¹²[(2A) If a ¹¹[employee] employed in any employment specified in Part C of Schedule III contracts any occupational disease peculiar to that employment, the contracting whereof is deemed to be an injury by accident within the meaning of this section, and such employment was under more than one employer, all such employers shall be liable for the payment of the compensation in such proportion as the Commissioner may, in the circumstances, deem just.]

(3) ¹³[The Central Government or the State Government] after giving, by notification in the Official Gazette, not less than three months’ notice of its intention so to do, may, by a like notification, add any description of employment to the employments specified in Schedule III, and shall specify in the case of employments so added the diseases which shall be deemed for the purposes of this section to be occupational diseases peculiar to those employments respectively, and thereupon the provisions of subsection (2) shall apply ¹⁴[in the case of a notification by the Central Government, within the territories to which this Act extends or, in case of a notification by the State Government, within the State] ¹⁵*** as if such diseases had been declared by this Act to be occupational diseases peculiar to those employments.]

(4) Save as provided by ¹⁶[sub-sections (2), (2A)] and (3) no compensation shall be payable to a¹¹[employee] in respect of any disease unless the disease is ¹⁷*** directly attributable to a specific injury by accident arising out of and in the course of his employment.

(5) Nothing herein contained shall be deemed to confer any right to compensation on a ¹¹ [employee] in respect of any injury if he has instituted in a Civil Court a suit for damages in respect of the injury against the employer or any other person; and no suit for damages shall be maintainable by a ¹¹[employee] in any Court of law in respect of any injury--

(a) if he has instituted a claim to compensation in respect of the injury before a Commissioner; or

(b) if an agreement has been come to between the ¹⁸[employee] and his employer providing for the payment of compensation in respect of the injury in accordance with the provisions of this Act.