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.
Indemnity Provision
Related Terms
Utility Strike
ComplianceAn accidental hit on a buried utility line — gas, electrical, or telecom — during excavation or drilling. Subcontractors face immediate work stoppages, liability exposure, and potential regulatory penalties. Always confirm locate tickets are current before ground disturbance.
Lead Service Line Replacement
ComplianceA regulated programme to remove and replace lead water pipes connecting mains to buildings. Subcontractors are often mobilised under municipal contracts to perform excavation, pipe removal, and restoration work. Compliance with environmental and safety regulations is mandatory throughout.
Worker Misclassification
ComplianceOccurs when a subcontractor or field worker is incorrectly classified as an independent contractor instead of an employee. This exposes hiring companies to back-taxes, penalties, and liability for unpaid benefits. CRA audits in oil and gas and construction regularly target this issue.
Normal Operating Condition
ComplianceThe standard conditions under which equipment or a worksite is expected to function during routine operations. Subcontractors use this baseline to determine appropriate procedures, PPE requirements, and equipment ratings. Deviations from normal operating conditions may trigger additional safety protocols or change the scope of work.
Federal Highway Authorization
ComplianceA federal permit required to move oversized or overweight loads on public highways. Subcontractors hauling heavy equipment or modular components must obtain this before mobilising. Non-compliance can result in fines, delays, and project shutdowns.
Methane Emissions Inventory
ComplianceA documented record of all methane releases from equipment and operations on a worksite. Subcontractors may be required to contribute data or maintain their own inventory to meet operator or regulatory reporting obligations. Accurate records help avoid penalties and support contract compliance.
Latest Compliance News
IRS Waives Penalties for Red-Dyed Diesel on Highways Through Dec. 31
The IRS will not penalize highway use of dyed diesel from Oct. 1 to Dec. 31, 2026. Contractors running off-road fuel in trucks should still check state rules and document fuel purchases.
20 hours agoComplianceSpecialty Trades Cut Injury Rates 32.4% Since 2011-12, CPWR Finds
CPWR's June 2026 data bulletin shows nonfatal injury rates fell 46.9% in heavy and civil, 32.4% in specialty trades and 32.2% in building construction. Safety leads should benchmark against the specialty-trades figure before their next renewal.
20 hours agoComplianceOSHA Targets November Proposal to Revisit Computer-Based LOTO Controls
OSHA lists a lockout/tagout update (RIN 1218-AD00) with a November 2026 target for a proposed rule on computer-based controls. The current 29 CFR 1910.147 requirements still apply.
yesterdayComplianceOSHA Proposes $648K Against Six Contractors at Monroe, NY Excavation
OSHA cited a general contractor and five subcontractors at the Monroe Commons site for willful and serious excavation violations. The proposed penalties total $648,094.
6 days agoRelated Guides
When a Jobsite Incident Happens: What Field Workers Need to Know Before Signing Anything
What to do after a jobsite injury or incident, what your rights are before signing incident reports, how workers' compensation works, and how to protect yourself on multi-employer worksites.
Compliance GuideOSHA Citations on Multi-Employer Worksites: What Subcontractors Need to Know
Learn how OSHA's multi-employer citation policy works, why subcontractors get cited for hazards they didn't create, and how to protect your company on operator-controlled job sites.
Compliance GuideHow to Read and Negotiate an Oilfield Master Service Agreement (MSA): A Subcontractor's Guide
Learn which MSA clauses actually matter for oilfield subcontractors: indemnity, insurance, payment terms, and change orders. Know what you're signing.
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