Section Text
(1) 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 woman, or a person under a legal
disability, a memorandum thereof shall be sent by the employer to the competent authority, who shall, on
being satisfied as to its genuineness, record the memorandum in a register, electronically or otherwise, in
such manner as may be prescribed by the appropriate Government:
Provided that-
(a) no such memorandum shall be recorded before seven days after communication by the competent
authority of notice to the parties concerned;
(b) the competent authority may at any time rectify the register;
(c) where it appears to the competent authority that an agreement as to the payment of a lump sum
whether by way of redemption of a half-monthly payment or otherwise, or an agreement as to the
amount of compensation payable, to a woman or a person under a legal disability ought not to be
registered by reason of the inadequacy of the sum or amount, or by reason of the agreement having
been obtained by fraud or undue influence or other improper means, the competent authority may refuse
to record the memorandum of the agreement and may make such order including an order as to any
sum already paid under the agreement, as the competent authority thinks just in the circumstances.
(2) An agreement for the payment of compensation which has been registered under sub-section (1)
shall be enforceable under this Code notwithstanding anything contained in the Indian Contract Act, 1872
(9 of 1872), or in any other law for the time being in force.
(3) Where a memorandum of any agreement, the registration of which is required under this section, is
not sent to the competent authority as required by this section, the employer shall be liable to pay the full
amount of compensation which he is liable to pay under the provisions of this Chapter, and notwithstanding
anything contained in the proviso to sub-section (1) of section 76, shall not, unless the competent authority
otherwise directs, be entitled to deduct more than half of any amount paid to the employee by way of
compensation whether under the agreement or otherwise.