Section 98: Protection of action taken in good faith
Reviewed by Finin2min Editorial Desk · Last reviewed 30 August 2026
Section 98 — Governs protection of action taken in good faith and the rights, duties, powers or procedure expressly stated in this section. Key operative text: No suit, prosecution or other legal proceeding shall lie against any person for anything which is in good faith done or intended to be done in pursuance of this Code or any rules made thereunder.
All provisions were brought into force from 21 November 2025 under S.O. 5320(E); use the current India Code consolidation because the Code also reflects the 2026 amendment/transition framework.
Provision / India Code ↗ · Official Act PDF ↗ · 2026 Central Rules ↗
Finin2min analysis — what the section actually does
Operative clauses
- No suit, prosecution or other legal proceeding shall lie against any person for anything which is in good faith done or intended to be done in pursuance of this Code or any rules made thereunder.
Provisos, explanations & qualifications
- No proviso/explanation was separately extracted from this section text.
Thresholds and timelines in the text
- No explicit day/month/year/hour/percentage/rupee expression was detected in this section text.
Actors expressly appearing in the text
No standard actor label extracted; identify the legal subject from the full text.
Full statutory text — Section 98
98. Protection of action taken in good faith.—No suit, prosecution or other legal proceeding shall lie against any person for anything which is in good faith done or intended to be done in pursuance of this Code or any rules made thereunder.
How to apply this provision
- Primary statutory test — No suit, prosecution or other legal proceeding shall lie against any person for anything which is in good faith done or intended to be done in pursuance of this Code or any rules made thereunder.
Rules, forms and cross-references
Direct 2026 Central Rule mapping
Forms mapped
No prescribed form is directly mapped in the current concordance.
Other sections cited in this text
Related Labour Hub resources
A direct concordance is not exhaustive. Central/State jurisdiction, schemes, authority appointments, saved instruments and later notifications may change the practical route without changing the section wording.
Worked example
Suppose an industrial establishment reaches a step governed by protection of action taken in good faith. HR/IR should create a dated file showing coverage, the competent authority/union status, required notice or application, service proof and the result. One operative text point to test is: “No suit, prosecution or other legal proceeding shall lie against any person for anything which is in good faith done or intended to be done in pursuance of this Code or any rules made thereunder.”
Illustration only; it is not statutory text or a substitute for applying the actual facts, jurisdiction, current rule/scheme and official instrument.
Q&A — Section 98
What does Section 98 of the Industrial Relations Code cover?
Section 98 — Governs protection of action taken in good faith and the rights, duties, powers or procedure expressly stated in this section. Key operative text: No suit, prosecution or other legal proceeding shall lie against any person for anything which is in good faith done or intended to be done in pursuance of this Code or any rules made thereunder.
What is the main legal requirement or power in Section 98?
The first operative clause identified from the official text is: “No suit, prosecution or other legal proceeding shall lie against any person for anything which is in good faith done or intended to be done in pursuance of this Code or any rules made thereunder.” Read it with the remaining subsections and any proviso below.
Does Section 98 contain a proviso or explanation?
No standalone proviso or explanation was extracted from this section text. Check the full text below for clause-level qualifications.
What time limit, percentage or amount appears in Section 98?
No explicit day/month/year/hour/percentage/rupee expression was detected in the official section text.
Which 2026 Central Rules are linked to Section 98?
No direct Central Rule is recorded in the current concordance. That does not exclude a relevant scheme, notification, State rule or enabling provision.
Is Section 98 currently operative?
All provisions were brought into force from 21 November 2025 under S.O. 5320(E); use the current India Code consolidation because the Code also reflects the 2026 amendment/transition framework.
Source & verification trail
Act: Industrial Relations Code, 2020 — official India Code PDF ↗
Central Rules: Industrial Relations (Central) Rules, 2026 — G.S.R. 342(E), 8 May 2026 ↗
Official library: Ministry of Labour & Employment — Labour Codes ↗
Source check: 20 August 2026. Individual professional interpretation should be re-reviewed when the section, rules, notification, scheme, State overlay or controlling judgment changes.