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ComplianceGlossary Term

Environmental Permitting

The process of obtaining government approvals before starting work that may impact land, water, or air. Subcontractors must confirm permits are in place before mobilising — delays can halt work without pay. Missing or expired permits can expose your company to fines and contract termination.

Related Terms

Director Liability

Compliance

Personal legal responsibility that company directors carry when their firm fails to meet obligations like unpaid wages or HST remittances. In field service companies, owners acting as directors can be held personally liable for corporate debts. Subcontractors operating as incorporated businesses should understand this risk before taking on large contracts.

Indemnification

Compliance

A contractual obligation where one party agrees to cover another's losses, claims, or legal costs. For subcontractors, indemnification clauses often require you to absorb liability even for an operator's own negligence. Always have legal counsel review these clauses before signing.

OEB (Ontario Energy Board)

Compliance

Ontario's regulatory body overseeing electricity and natural gas utilities. Subcontractors working on regulated energy infrastructure in Ontario must align with OEB-approved project scopes and rate structures. Non-compliance can affect contract eligibility with major utilities.

Evacuation Readiness

Compliance

A subcontractor's documented ability to safely remove all personnel from a worksite during an emergency. It includes maintained muster lists, assigned roles, and verified escape routes. Primes often audit subcontractor evacuation plans before mobilisation.

Carbon Intensity

Compliance

A measure of greenhouse gas emissions produced per unit of work or energy output. Operators increasingly require subcontractors to report and reduce carbon intensity on job sites. Lower scores can be a competitive advantage when bidding on contracts.

Pressure Relief System

Compliance

A safety assembly that automatically releases excess pressure from vessels, pipelines, or equipment to prevent catastrophic failure. Subcontractors must verify these systems are inspected, certified, and functional before commencing work. Tampering with or bypassing relief devices is a serious regulatory violation.

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