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ComplianceGlossary Term

FAR (Federal Acquisition Regulation)

The FAR governs purchasing rules for U.S. federal contracts, including subcontractor requirements on government-funded projects. If your prime contractor holds a federal contract, FAR clauses flow down and bind your work. These rules cover pricing, record-keeping, audits, and labour standards you must follow.

Related Terms

General Duty Clause

Compliance

A provision in occupational health and safety legislation requiring employers to protect workers from recognised hazards, even when no specific regulation exists. For subcontractors, this means you can be cited for unsafe conditions on site regardless of client-controlled environments. It applies to your workers whether you own the worksite or not.

Api 510 (american Petroleum Institute Standard 510)

Compliance

An inspection code governing the maintenance and repair of in-service pressure vessels. Subcontractors performing vessel work must often comply with API 510 requirements and use certified inspectors. Non-compliance can result in work stoppages or contract disqualification.

Surety

Compliance

A third party, usually an insurance or bonding company, that guarantees a subcontractor will fulfil their contractual obligations. If the subcontractor defaults, the surety compensates the project owner. Many upstream and construction clients require surety bonds before awarding work.

Management of Change

Compliance

A formal process for documenting and approving any deviation from original scope, equipment, or procedures on a worksite. Subcontractors must follow the prime contractor's MOC process before making field changes. Skipping this step can void your contract or expose your crew to liability.

After-Action Report

Compliance

A structured document completed after a job or incident, summarising what went wrong, what worked, and lessons learned. Subcontractors use it to improve future performance and satisfy client or regulatory requirements. It can also support insurance claims or dispute resolution.

Egress

Compliance

Any designated exit route workers use to safely leave a worksite, confined space, or structure in an emergency. Subcontractors must identify and keep egress pathways clear before work begins. Site access plans and emergency response procedures must document egress routes.

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