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Compliance Glossary Term

Indemnification

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.

Related Terms

AER (Alberta Energy Regulator)

Compliance

Alberta's provincial body that regulates oil, gas, and coal development. Subcontractors must meet AER compliance requirements to work on regulated sites. Non-compliance can result in work stoppages or contract disqualification.

ISEA (International Safety Equipment Association)

Compliance

A North American trade body that sets performance standards for personal protective equipment (PPE). Subcontractors should verify that hard hats, high-visibility vests, and eye protection meet ISEA standards. Many operator and general contractor safety plans require ISEA-compliant PPE on site.

TDG (Transportation of Dangerous Goods)

Compliance

Federal Canadian regulations governing how hazardous materials are transported by road, rail, or air. Subcontractors hauling fuels, chemicals, or compressed gases must carry proper documentation and placards. Non-compliance can result in fines, work stoppages, or loss of site access.

PIT (Powered Industrial Truck)

Compliance

Any motorised vehicle used to move materials on a worksite, including forklifts, reach trucks, and pallet jacks. Subcontractors operating PITs must ensure operators hold valid, site-accepted certifications. Non-compliance can trigger work stoppages or removal from site.

Energy Control Procedure

Compliance

A documented, step-by-step plan for isolating hazardous energy before subcontractors perform maintenance or service work. It outlines lockout/tagout steps specific to each piece of equipment on site. Subcontractors are typically required to follow or develop their own procedure that meets the site owner's standards.

Heat Stress

Compliance

A condition where the body cannot cool itself fast enough during hot or humid work conditions. It poses serious health and liability risks for subcontractors with outdoor or confined-space crews. Unmanaged heat stress can trigger site shutdowns and affect your compliance standing with the prime contractor.

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