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ComplianceGlossary Term

Mediation

A dispute resolution process where a neutral third party helps subcontractors and clients reach a settlement without going to court. Common in contract payment disputes or scope disagreements. It is faster and cheaper than litigation.

Related Terms

Foreign-Flagged Vessel

Compliance

A marine vessel registered under another country's flag rather than the nation where it operates. Subcontractors must verify compliance with cabotage laws, as restrictions may limit which vessels can legally perform local work. This affects equipment mobilisation planning and contract eligibility on offshore projects.

Hazcom (hazard Communication Standard)

Compliance

A regulatory requirement mandating that workers are informed about hazardous chemicals on site through labels, Safety Data Sheets, and training. Subcontractors must maintain compliant SDS binders and ensure crews are trained before handling any hazardous materials. Non-compliance can result in site removal or fines from regulators like WorkSafeBC or the OHS.

BLM (Bureau of Land Management)

Compliance

A U.S. federal agency that manages public lands and issues permits for oil, gas, and construction operations on those lands. Subcontractors working on BLM-administered land must comply with specific permit conditions, environmental rules, and access requirements. Non-compliance can result in work stoppages or contract penalties.

Performance Bond

Compliance

A surety bond guaranteeing a subcontractor will complete work per contract terms. If you default, the bond compensates the prime contractor or owner. Bonding capacity directly affects your ability to bid larger contracts.

Osha (occupational Safety and Health Administration) Variance

Compliance

A formal permit allowing a subcontractor to use an alternative method that differs from a standard OSHA regulation. It is granted when the alternative provides equal or greater worker protection. Subcontractors must apply directly and remain compliant with all variance conditions during field operations.

PSC (Public Service Commission)

Compliance

A provincial regulatory body that oversees public utilities and energy services in its jurisdiction. Subcontractors working on regulated utility projects must ensure their work meets PSC standards and approvals. Non-compliance can delay project sign-off and affect payment milestones.

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