Section 12: Limitation of actions, subrogation, etc.
(1) The provisions of this Act are in lieu of any right of action, statutory or otherwise, founded on a breach of duty of care or any other cause of action, whether that duty or cause of action is imposed by or arises by reason of law or contract, express or implied, to which an employee, dependant or member of the family of the employee is or may be entitled against the employer of the employee, or against any employer within the scope of this Act, or against any employee, in respect of any death, injury or disability arising out of and in the course of employment and where no action in respect of it lies.
(2) The provisions of sub-section (1) of this section shall apply only when the action or conduct of the employer, the servant or agent of the employer or the employee, which caused the breach of duty, arose out of and in the course of employment within the scope of this Act.
(3) Where the cause of death, injury or disability of an employee is such that an action lies against some person, other than an employer or employee, the injured employee or deceased employee's dependant may claim compensation or may bring an action and if the employee or dependant elects to claim compensation, the employee or dependant shall do so within 6 months of the occurrence of the injury or death or any longer period, as the Board may, from time to time, determine and an election by the employee or dependant to bring an action in court shall be a bar to claim compensation from the Fund in respect of such injury, disability or death.
(4) Where the Board is satisfied that, due to physical or mental disability, an employee is unable to exercise his or her right of election under sub-section (3) of this section, and an undue hardship results, the Board may pay the compensation under this Act until the employee is able to make an election and if the employee then elects not to claim compensation, no further compensation may be paid, but the compensation so paid shall be a first charge against any sum recovered.
(5) An application for compensation filed by a parent or guardian on behalf of any dependant of a deceased employee, who is under 18 years of age, shall be a valid election under this section.
(6) If the employee or dependant applies to the Board claiming compensation under this Act, neither the making of the application nor the payment of compensation under it restricts or impairs any right of action against the party liable, but as to every such claim, the Board is subrogated to the rights of the employee or dependant and may maintain an action in the name of the employee or dependant or in the name of the Board, and if more is recovered and collected than the amount of the compensation to which the employee or dependant would be entitled under this Act, the amount of the excess, less costs and administration charges shall be paid to the employee or dependant.
(7) The Board shall, with respect to the provisions of sub-section (6) of this section, have exclusive competence to determine whether to maintain an action or compromise the right of action and its decision shall be final.
(8) Nothing in this Act shall prevent an employer of the injured or deceased from maintaining an action upon contract or indemnity agreement against another employer or independent contractor in respect of the personal injury or death of an employee.
(9) Where the Board is of the opinion that another employer or an independent contractor caused the injury or death of the employee referred to in sub-section (8) of this section, it may order that the compensation be charged in whole or in part to the other employer or independent contractor.
(10) In any action brought under this section, an award for damages shall include-
(a) health care provided under section 26 of this Act; and
(b) remuneration paid by an employer during the period of disability for which regard has been had by the Board, or would have been had if the employee had elected to claim compensation, in fixing the amount of a periodical payment of compensation.
Cite this section
Section 12, EMPLOYEE'S COMPENSATION ACT (2010).
https://repo.podus.ai/laws/employee-s-compensation-act/section/12/