Knowing the scope of the performance obligation
Identifying the subcontractor's obligations

The subcontractor is obliged to perform the services or work within the timeframe specified in the subcontract.

Failure to meet this deadline can be penalized in several ways.

• In most cases, the subcontracting contract will provide for penalties, i.e. financial sanctions requiring the subcontractor to pay the client a sum of money for each day of delay.

• The subcontracting contract may also provide for early termination of the contract as a penalty,...