Sections 109-110 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 109 of the Occupational Safety, Health and Working Conditions Code, 2020 (the OSH Code) says who is treated as guilty when a company commits an offence: the company itself and the persons in charge of its business, subject to defences. Section 110 sets the ground rules for prosecution: a 30-day chance to comply first, a six-month limit for filing the complaint, and a minimum court level.
When a company commits an offence, the company and every person in charge of, and responsible to, the company for the conduct of its business are deemed guilty, unless the person proves the offence was without his knowledge or that he exercised all due diligence (109(1)). A director, manager, company secretary or other officer is also guilty if the offence was with his consent or connivance or is attributable to his neglect (109(2)). Before prosecuting, the Inspector-cum-Facilitator must give the employer 30 days to comply, except after an accident or a repeat within three years (110(1)). A court may take cognizance only on a complaint filed within six months of the offence coming to the Inspector-cum-Facilitator's knowledge (110(2)).
Sections 109 and 110 at a glance
| Provision | Rule |
|---|---|
| 109(1) | Company and persons in charge are deemed guilty; proviso for lack of knowledge or due diligence |
| 109(2) | Director, manager, company secretary or other officer guilty if consent, connivance or neglect is proved |
| 109 Explanation | "Company" includes a firm or other association of individuals; "director" of a firm is a partner |
| 110(1) | 30 days to comply after notice before prosecution; no such opportunity after an accident or a repeat within three years |
| 110(2) | Complaint within six months of the offence coming to the Inspector-cum-Facilitator's knowledge, filed by him |
| 110(3) | Court not inferior to Metropolitan Magistrate or Judicial Magistrate of the First Class |
| Explanation (a), (b) | Continuing offence; extended time |
Section 109: company and its officers
Sub-section (1): deemed guilt. Where an offence under the Code has been committed by a company, "every person who, at the time the offence was committed, was in charge of, and was responsible to, the company for the conduct of the business of the company, as well as the company, shall be deemed to be guilty of the offence". The proviso protects a person who proves that the offence was committed without his knowledge or that he exercised all due diligence to prevent it. So the burden is on the individual.
Sub-section (2): consent, connivance or neglect. Even if a person was not "in charge" under sub-section (1), where the offence was committed with the consent or connivance of, or is attributable to any neglect on the part of any director, manager, company secretary or other officer, that person is deemed guilty and can be proceeded against. Note this sub-section names a company secretary.
Explanation.
| Term | Meaning in section 109 |
|---|---|
| Company | Any body corporate, and includes a firm or other association of individuals |
| Director (firm) | A partner |
| Director (owner of a mine that is a firm, association or company) | The owner |
| Director (other association of individuals) | Any of its members |
Because "company" includes a firm, partners of a partnership can also be caught. This is important for small employers who assume the company form is a shield.
What this means for management. Name an accountable person for each obligation (for instance, registration, health examinations, registers), keep board or management minutes recording safety reviews, and keep evidence that concerns were escalated. That is the evidence of "due diligence" the proviso asks for. A company that wants a review of officer exposure can approach our legal dispute resolution team.
Also see the related tool in section 108 for naming the actual offender in a factory or mine; it is explained in sections 106 to 108.
Section 110(1): the 30-day chance to comply
"Notwithstanding anything contained in this Chapter, the Inspector-cum-Facilitator shall, not initiate prosecution proceeding against an employer for any offence under this Chapter, give an opportunity to comply with relevant provisions of this Act within a period of thirty days from the date of notice giving opportunity." If the employer complies within that period, no such proceeding shall be initiated.
The text reads "this Act" though it is the Code. Two points follow.
- Notice is required. The Inspector-cum-Facilitator must give a notice that gives the opportunity, and the 30 days run from the date of that notice.
- It is about compliance, not payment. The consequence of complying is that no proceeding starts against the employer.
Proviso. No such opportunity is given in case of an accident, and where the violation of the same nature is repeated within three years from the date of the first violation. In those cases, prosecution goes ahead under sub-section (2).
The opportunity is given to "an employer". It does not by its words extend to others, so check who received the notice.
Section 110(2) and (3): limitation and court
Limitation (110(2)). "No court shall take cognizance of any offence punishable under this Code, unless a complaint in respect thereof is made within six months of the date on which the alleged commission of the offence came to the knowledge of the Inspector-cum-Facilitator and a complaint is filed in that regard by him."
The clock starts from knowledge of the Inspector-cum-Facilitator, not from the date of the offence, and the complaint must be filed by him.
Court (110(3)). No court inferior to that of a Metropolitan Magistrate or a Judicial Magistrate of the First Class shall try an offence. The Code's other references to the Code of Criminal Procedure, 1973 are read today with the Bharatiya Nagarik Suraksha Sanhita, which replaced it from 1 July 2024.
Explanation.
- (a) For a continuing offence, limitation is computed with reference to every point of time the offence continues.
- (b) Where time is granted or extended on the employer's application for doing an act, limitation is computed from the date on which the granted or extended time expired.
How this fits with penalties and composition
Not every breach goes to court. For penalties under sections 94, 96, 97, 99 and 106, an officer appointed under section 111 holds the enquiry; see sections 111 and 112. Composition under section 114 is open for listed penalties and offences; see sections 113 and 114.
Example. An inspector finds that a company's contract labour registers are missing and serves a notice giving 30 days to comply. The company's HR head fixes the registers in 20 days and files proof. No prosecution can start on that default. Six months later, a fatal accident occurs at the same site; section 110(1)'s opportunity does not apply to an accident, and the directors and officers may be proceeded against under section 109, each entitled to show lack of knowledge or all due diligence.
Need help with officer liability and notices?
Directors and managers carry personal exposure under section 109, and the 30-day window under section 110 is short. Our legal dispute resolution team can help you answer a notice on time, document due diligence and plan the defence.
Key takeaways
- Section 109: company and persons in charge are deemed guilty, with defences of no knowledge or due diligence; officers with consent, connivance or neglect are also liable.
- "Company" includes a firm; a firm's director is a partner.
- Section 110(1): 30 days to comply after notice; not available after an accident or a repeat within three years.
- Complaint must be filed by the Inspector-cum-Facilitator within six months of his knowledge.
- Trial is before a Metropolitan Magistrate or Judicial Magistrate of the First Class, or higher.
Read next
- Sections 106 to 108: offences by employees and prosecution of mine owners
- Sections 111 and 112: officers imposing penalty and jurisdiction of courts
- Section 94: general penalty for offences
- Penalties under the Factories Act: sections 92 to 106
Disclaimer: Based on the Occupational Safety, Health and Working Conditions Code, 2020 (as enacted) and, where noted, the Occupational Safety, Health and Working Conditions (Central) Rules, 2026 (G.S.R. 345(E), 8 May 2026), as on 30 September 2026. The Code is in force from 21 November 2025; some provisions may be notified later, and State Governments make their own rules for establishments where the State is the appropriate Government. Verify the current position before acting.