Subcontractor Safety Management

Legal Aspects

A contract might say, “you must comply with Federal/State Regulations.” Is this enough?Third party lawsuitsGeneral Liability ExposureDocumenting Sub-Contractors Observations

OverviewImportant construction contract provisions:

1. Signed Contract

2. Indemnification Clause

3. Differing Site Conditions

4. Responsibility for Ambiguous and Defective Provisions

5. Scope of Work

6. Scope of Payment

6. Change Orders

7. All Inclusive Clause

8. Notice Provisions

9. Opportunity to Repair

10. Arbitration

11. Communications with Owner and Architect

12. Liquidated Damages

Indemnification

Two types of indemnification clauses:

Clause that requires one party to indemnify another for certain acts. (AIA 3.18)

Clause that requires a contractor to provide insurance that covers indemnification of another party, usually as an additional insured.

“I can’t tell them what to do”

“I can’t stop their work even if what they are doing is unsafe”

“My responsibility is only to my own workers”

“They’re the ones that will get the citation”

Common Misconceptions…

Equipment Usage

It has been held where a GC provides equipment to a subcontractor, can be held liable if the equipment is negligently assembled, used or maintained and injury occurs.

(20 ALR 2d at 890 (1951), Pantaleo v. Ganun, 245 NE2d 618 (1969), and Padilla v. Gulf Power, 401 So2d 1375 (1981))

Second Tier Sub-Contractors

8

Would you allow for contractors to hire contractors?

9

10

Multiemployer Worksites

On Multi-employer

Worksites, citations

are issued to

employers whose

employees are exposed to

hazards

The employer who creates the

Hazard

The employer who is

responsible for conditions

The employer responsible for

correcting the hazard

Additionally

“Reasonable Care” is Required

Know Safety History

12