Surety Bonds

What is a surety bond?

Surety bonds are a compliance tool which protect consumers by ensuring that Technical Safety BC licensed gas and electrical contractors adhere to their legal responsibilities to correct non-compliant work. Currently, Technical Safety BC requires a $10,000 surety bond as a condition of both gas and electrical contractor licences. These bonds provide a source of funds to correct non-compliances in the event that the licence holder (contractor) cannot or will not remediate the non-compliance(s).

How does a contractor obtain a surety bond?

The surety bond process is part of the application process for an Electrical Contractor's License and a Gas Contractor's License. More details and sample bonds are available on those pages.

What happens to a Contractor’s Licence when a bond is called?

If a provincial safety manager calls a bond, the licence is suspended. Once the licence is suspended the contractor is no longer authorized to obtain permits or perform regulated work in the province until a new bond is submitted to Technical Safety BC.

When can a safety manager call a bond?

A safety manager may choose to call a bond under the following circumstances:

  1. In the case of non-compliances which also pose a safety hazard;
  2. Where the contractor refuses to rectify the deficiency after adequate notice;
  3. Where the contractor cannot be located or is believed to be out of business;
  4. Where the contractor is legally unable to perform the work himself or herself, for example due to expiry, suspension or revocation of any necessary permission; or
  5. In some circumstances where the contractor is physically unable to do the work, such as due to accident or illness.

Watch our animated video presentation outlining duty holder obligations and the compliance and enforcement processes and tools.

 

 

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