Section 87HWorkers Compensation Act 1987 (NSW)

Registration of commutation agreements

(1) A party to a commutation agreement may apply to the President for registration of the agreement by the President.
(2) The President must refuse to register a commutation agreement unless satisfied that the requirements of section 87F (2) have been complied with in respect of the agreement.
(3) Before registering a commutation agreement, the President may (on the application of a party to the agreement or of the President’s own motion) refer the agreement for review by the Commission. The President is not to register the agreement if the Commission recommends that the agreement not be registered.
(4) The Commission reviewing a commutation agreement may recommend to the President that the agreement not be registered if the Commission considers that the agreement is inaccurate or that the lump sum to which a liability has been commuted by the agreement is inadequate.
(5) In reviewing a commutation agreement, the Commission may have regard to the following matters—
(a) any dispute as to liability to pay compensation under the Workers Compensation Acts,
(b) the injury, the age of the worker, the general health of the worker, and the occupation of the worker at the time of the occurrence of the injury,
(c) the worker’s diminished ability to compete in an open labour market,
(d) other benefits that the worker may be entitled to from any other source.
(6) The registration of a commutation agreement may not be cancelled except within such period after the agreement is registered, and in such manner, as may be authorised by the regulations.
(7) This section has effect despite section 234 of the 1998 Act (No contracting out).
(8) This section does not prevent a commutation agreement containing provision as to the payment of costs.

Sourced from the New South Wales Legislation website at 8 June 2026. For the latest information on New South Wales Government legislation please go to https://www.legislation.nsw.gov.au. Verify the current text against the official source before relying on it.

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