Dear Sir/Madam,

We have a construction company that undertakes the construction of multistoried buildings. Recently, the labor office issued a notice to show cause for the reasons for non-registration of the establishment under the Building and Other Construction Act. In fact, we have entrusted the construction work to the contractor to complete the same with all due respect, and the required material was provided by us. Please advise me on who has to register the establishment under the act as per Rule 23(1) FORM-1 - whether it is the builder or the contractor.

With regards,
Venkat.

From India, Hyderabad
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Dear Vankat, It is you who has to obtain registration and pay cess as clarified in my above mail dt. 9-12-08 Jpratap
From India, Chandigarh
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Dear friends,

Please be clarified that the 'establishment' which is under construction is required to be registered by the employer. As per the definition of 'employer' under the BOCW Act, in relation to an establishment, it is its owner. In this definition, the contractor is included as an employer, but the owner is not excluded from the definition of employer. Hence, it is the owner who has to get their establishment under construction registered under the BOCW Act. The private big builders engage many contractors in the construction of the same establishment; the sub-contractors also fall within the definition of a contractor given under the Act. If you include them as well, then their number of contractors may run into the hundreds. Imagine each contractor or sub-contractor approaching the Registering Officer and asking for registration of the same establishment under construction. However, the position regarding the work carried out by or under the authority of the government through a contractor would be different, where the contractor is the employer as per section 2(1)(i)(iii) of the BOCW Act.

Best wishes,

Jpratap

From India, Chandigarh
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