No-Fault Compensation Law and Legal Definition

No-fault compensation refers to a compensation scheme based on the principle that injured persons are entitled to receive compensation for their injuries, without proving fault against the opposite party. In the U.S., the term is applied in compensation schemes for injuries occurring in highway accidents. Workmen’s Compensation is a type of no-fault compensation.

The Federal Employees Compensation Act (FEC) authorizes no fault compensation when a federal employee incurs an injury on the job, and precludes employee who receives benefits under statute from asserting any other claims against the U.S., such as for negligence of co-workers”. [Sowell v. American Cyanamid Co., 888 F.2d 802, 805 (11th Cir. Fla. 1989)]