(1) If a project is executed based on several tiers of contracts, the prime contractor shall be regarded as an employer with regard to accident compensation.
(2) In cases of paragraph (1), if the prime contractor makes his or her subcontractor liable for compensation by a written agreement, the subcontractor shall be also regarded as an employer: Provided, That the prime contractor shall not have two or more subcontractors bear overlapping compensation with regard to the same project.
(3) In cases of paragraph (2), if the prime contractor has been requested to pay compensation, he or she may ask the requesting person to demand compensation first from the subcontractor who has agreed to be liable for such compensation: Provided, That this shall not apply where the said subcontractor is declared bankrupt or his or her whereabout is unknown.