If you saw a report titled in an internal audit or legal due diligence context, it likely refers to verifying that the proper WSIB clearance was obtained as part of a business asset purchase — to avoid successor liability for unpaid WSIB debts.
When you are buying a business in Ontario, one of the most critical steps in your due diligence is securing a . Without it, you could be held legally responsible for any unpaid premiums or debts the seller owes to the Workplace Safety and Insurance Board (WSIB). What is a WSIB Purchase Certificate?
While both documents relate to WSIB standing, they serve different purposes:
When a business (a principal) hires a contractor or subcontractor, they request a clearance certificate for that specific job. This protects the principal from liability if the contractor fails to pay their WSIB premiums.
If you saw a report titled in an internal audit or legal due diligence context, it likely refers to verifying that the proper WSIB clearance was obtained as part of a business asset purchase — to avoid successor liability for unpaid WSIB debts.
When you are buying a business in Ontario, one of the most critical steps in your due diligence is securing a . Without it, you could be held legally responsible for any unpaid premiums or debts the seller owes to the Workplace Safety and Insurance Board (WSIB). What is a WSIB Purchase Certificate?
While both documents relate to WSIB standing, they serve different purposes:
When a business (a principal) hires a contractor or subcontractor, they request a clearance certificate for that specific job. This protects the principal from liability if the contractor fails to pay their WSIB premiums.