Chapter 323

2006 -- S 2432 AS AMENDED

Enacted 07/04/06

A N A C T

RELATING TO PUBLIC PROPERTY AND WORKS -- ACTIONS AGAINST THE STATE ON HIGHWAY AND PUBLIC WORKS CONTRACTS

Introduced By: Senators Gallo, Ruggerio, and C Levesque

Date Introduced: February 09, 2006

It is enacted by the General Assembly as follows:

     SECTION 1. Chapter 37-13.1 of the General Laws entitled "Actions Against the State on

Highway and Public Works Contracts" is hereby amended by adding thereto the following

section:

37-13.1-2. Actions by contractor on behalf of subcontractor. – (a) Any person, firm or

corporation awarded the contract, subsequent to July 1, 2006, with the state of Rhode Island,

acting through any of its departments, commissions or other agencies, for the design,

construction, repair or alteration of any state highway or bridge, may, on behalf of a subcontractor

of any tier under the contractor, bring an action against the state of Rhode Island regarding a

claim arising out of or relating to labor, materials, or services provided by the subcontractor to the

contractor pursuant to a contract between the subcontractor and the contractor for the same

project that is the subject of the contract between the contractor and the state of Rhode Island.

(b) In any action brought by a contractor against the state of Rhode Island under

subsection (a) of this section, so long as the contractor retains liability to the subcontractor related

to the subject matter of the claim, it shall not be a defense that: (i) the costs and damages at issue

were incurred by a subcontractor and that subcontractor has not been paid for these costs and

damages; or (ii) the contractor's obligation to pay costs and damages to the subcontractor is

conditional upon a recovery against the state of Rhode Island; or (iii) the contractor has not

acknowledged or admitted the contractor's liability to the subcontractor.

(c) In any action brought by a contractor against the state of Rhode Island under

subsection (a) of this section, the action is subject to all legal and equitable defenses of the state

of Rhode Island against the contractor.

(d) This section applies to all such actions brought in Superior Court under section 37-

13.1-1 and to claims arbitrated pursuant to section 37-16-1, et seq.

     SECTION 2. This act shall take effect upon passage.

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LC01951

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