Does your contract trade company have a Health and Safety Program in place to ensure the workers attending your property are working safe and performing the tasks required according to current safety regulations? It is impairatie the workers are informed and aware of any potential energency response as may be required.
Many times owners hire contractors and proceed to provide deposit towards the agreed upon work without checking for a pre-paid contractor license with the provincial government. The pre-paid contractors license should go hand in hand with commercial liability insurance, WCB - Worker's Compensation Board clearance letter, and any other applicable certifications such as First Aid, Fall Protection (work over 6'), High Angle Rescue, Confined Space, and WHMIS. More certifications can be required depending on the scope of work and site specifications.
In the Province of Alberta every contract for property development, renovations and construction require a pre-paid contractor's license to legally accept deposits prior to the completion of any work. The Buyer's Right to Cancel takes precedence and must be clearly indicated within your contract agreement. All contractors holding Alberta Government License / Registration Certificate list all areas of construction and repair the contractor may operate and who may negotiate the contract for the service(s).
Expect your contractor to possess 3rd Party Comprehensive General Liability Insurance with a minimum of $2-MIL. For owners who hire professional management for income properties, please be reminded you may request the contractor's insurance provider name the management company as an additional insured.
If you are self-managed and if the contractor/ sole proprietor doesn't have WCB (yes, sole proprietors need WCB) or their WCB doesn't clear, WCB can charge for that contractor's unpaid premiums. The same goes if you have a management company or if you are a Board of a Corporation. This can and often does amount to thousands of dollars. Like Revenue Canada, they will get their money and the owner or Corporation will have to pay it. Hiring a contractor that doesn't havce WCB can be extremely costly if they injure themselves. A cut finger is one thing but falling off a ladder causing back injuries and years of unemployment is another. If your contractor cannot provide a clearance certificate letter from WCB, be warned you could be in for an expensive time.
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