Section 3 of PLIA : Section 3: Liability To Give Relief In Certain Cases On Principle Of No Fault

Explanation using Example

Let's consider a hypothetical scenario: Assume a chemical factory owner, Mr. X. One day, due to a mishap in the factory, a harmful gas leaks out and spreads into the neighboring residential area. As a result, Mr. Y, a resident (not a workman of the factory), suffers from permanent partial disability due to inhalation of the toxic gas. According to Section 3 of The Public Liability Insurance Act, 1991, Mr. X, being the owner, is liable to give relief to Mr. Y as specified in the Schedule of the Act, even though Mr. Y doesn't need to prove that the injury was due to a wrongful act, neglect, or default of Mr. X.