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Martin#1  
#1 Posted : 03 October 2017 12:56:25(UTC)
Rank: Forum user
Martin#1

Our company are the main contractor on a project and have brought in subcontractors (all vetted) to undertake works on the site. Following a recent site visit by the HSE three contraventons of health and law were identified, all these by a single subcontractor.

My question is should the subcontractor be liable and held accountable for the subsequent fee for intervention costs? The HSE have issued their letter to our company. 

Thanks

Martin

Alan Haynes  
#2 Posted : 03 October 2017 13:53:05(UTC)
Rank: Super forum user
Alan Haynes

As Main Contractor, I assume you 'control' the works/site, so as you were 'allowing' the breach, I would expect your company to be liable for the costs.   Vetting is not enough, your site audits should have picked them up.

[I expect subcontracts to have clauses in future that say they will reimburse the Main/Principal Contractor any Fee Intervention costs incurred by their acts and omissions- if thats legal to do so]

Martin#1  
#3 Posted : 03 October 2017 13:54:11(UTC)
Rank: Forum user
Martin#1

I may be answering my own question here, as we are the principle contractor are we deemed as the 'dutyholder' and therefore responsible for the material breach

Martin#1  
#4 Posted : 03 October 2017 13:58:04(UTC)
Rank: Forum user
Martin#1

Originally Posted by: Alan Haynes Go to Quoted Post

As Main Contractor, I assume you 'control' the works/site, so as you were 'allowing' the breach, I would expect your company to be liable for the costs.   Vetting is not enough, your site audits should have picked them up.

[I expect subcontracts to have clauses in future that say they will reimburse the Main/Principal Contractor any Fee Intervention costs incurred by their acts and omissions- if thats legal to do so]

yes our site manager was in control of the works, he should have picked up on the breaches and one of our visiting SHEQ advisors should also have picked up on the breaches. The contractor in question didnt follow the method statement he provided

Roundtuit  
#5 Posted : 03 October 2017 14:47:29(UTC)
Rank: Super forum user
Roundtuit

You "permitted" them to work out of scope - ergo you get the letter

It is why it is termed Management of Sub-Contractors - vetting and Pre-Qualification are only a part of the whole activity

Edited by user 03 October 2017 14:48:19(UTC)  | Reason: FFS

Roundtuit  
#6 Posted : 03 October 2017 14:47:29(UTC)
Rank: Super forum user
Roundtuit

You "permitted" them to work out of scope - ergo you get the letter

It is why it is termed Management of Sub-Contractors - vetting and Pre-Qualification are only a part of the whole activity

Edited by user 03 October 2017 14:48:19(UTC)  | Reason: FFS

allanwood  
#7 Posted : 03 October 2017 15:24:11(UTC)
Rank: Forum user
allanwood

Lets not be too hasty here.

I know of several occassions where this has happened and the P.C. has NOT recieved the N.O.C. but the sub-contractor has. This was down to having a robust safety management system in place and good supervision levels in place too.

The P.C. where able to demonstrate to the H.S.E. that they had done everything possible and indeed it was the sub-contractor who where in breach of the relevant regulations and they recieved the N.O.C. and eventual invoice.

Martin#1  
#8 Posted : 03 October 2017 15:31:44(UTC)
Rank: Forum user
Martin#1

Originally Posted by: allanwood Go to Quoted Post

Lets not be too hasty here.

I know of several occassions where this has happened and the P.C. has NOT recieved the N.O.C. but the sub-contractor has. This was down to having a robust safety management system in place and good supervision levels in place too.

The P.C. where able to demonstrate to the H.S.E. that they had done everything possible and indeed it was the sub-contractor who where in breach of the relevant regulations and they recieved the N.O.C. and eventual invoice.

did the PC demonstrate to the HSE at the time of the site visit, that they had done everything possible? 

Billibob  
#9 Posted : 03 October 2017 16:11:14(UTC)
Rank: Forum user
Billibob

You can always a query that you are not the cause of the breach and therefore the FFI should be directed to the sub-contractor. It would depend on the content and context of the breach. Unfortunately there is no appeal against a NOC unlike an enforcement notice. I have challanged the HSE on a number of NOC issues and asked for "clarification" to which they have not responded (they also haven't submitted anymore FFI invoices either). 

The NOC must specify whether it is the PC that is the cause of the breach (e.g. failure to control contractors working on the site) or if it is down solely to the contractor for not following the method statement and in that situation would auditing/inspection programmes have picked it up?

RayRapp  
#10 Posted : 03 October 2017 19:12:00(UTC)
Rank: Super forum user
RayRapp

Could both the PC and subbie recieve a NOC I wonder?

allanwood  
#11 Posted : 05 October 2017 08:32:26(UTC)
Rank: Forum user
allanwood

I have also known that to happen too Ray where both parties recieved an invoice.

thanks 1 user thanked allanwood for this useful post.
RayRapp on 05/10/2017(UTC)
Martin#1  
#12 Posted : 05 October 2017 14:32:28(UTC)
Rank: Forum user
Martin#1

Thanks for all the input into this thread :-) its very much appreciated 

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