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Compliance Glossary Term

Excavation Damage Prevention

The process of locating and marking buried utilities before any ground-breaking work begins. Subcontractors are legally required to call before you dig under provincial one-call regulations. Failure to comply can result in fines, project shutdowns, and liability for repair costs.

Related Terms

Operator Certification

Compliance

Formal approval granted by an oil and gas operator confirming a subcontractor meets their specific safety, training, and insurance standards. Without it, your crews cannot access the operator's sites or perform work. Certification requirements vary by operator and must be renewed regularly.

Indemnity Provision

Compliance

A contract clause that transfers liability for losses, injuries, or damages between parties. Subcontractors are often required to indemnify the prime contractor or operator against third-party claims. Review these clauses carefully, as they can expose your company to costs beyond your scope of work.

29 Cfr 1926 Subpart U

Compliance

The U.S. federal OSHA standard governing blasting and use of explosives on construction sites. Subcontractors performing demolition, excavation, or site prep must comply when explosives are involved. Non-compliance risks stop-work orders, fines, and contract termination.

Agreed Order

Compliance

A court-approved settlement between parties that resolves a dispute without a full trial. For subcontractors, it often governs payment terms, lien releases, or compliance obligations. Both sides must follow its terms or face legal consequences.

Well Licensing

Compliance

A regulatory approval issued by provincial authorities before drilling or completing a well can begin. Subcontractors should confirm a valid licence is in place before mobilising, as work cannot legally proceed without it. Delays in licensing directly affect your crew scheduling and contract start dates.

Sanctions Compliance

Compliance

The process of ensuring your company does not do business with individuals, entities, or countries under government-imposed trade restrictions. Subcontractors must screen clients, vendors, and partners against sanctions lists before signing contracts. Non-compliance can result in heavy fines, contract termination, or criminal liability.

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