§ 42-11.1-3 - Time period for payment. - Rhode Island Statutes

SECTION 42-11.1-3

   § 42-11.1-3  Time period for payment.– (a) All bills shall be paid within thirty (30) working days of receipt of aproper invoice or other contractual dates for periodic payments, except when acontractor has failed to submit a bill in accordance with contractually imposedtime frames.

   (b) Each contractor shall make payment to subcontractorswithin ten (10) days of receipt of payment by the state; provided, however,that the contractor may setoff a payment due to a subcontractor by an amountequal to the amount of an unpaid legally enforceable debt owed by thesubcontractor to the contractor or any amount which the contractor is entitledto withhold under the terms of the contract entered into by the contractor andsubcontractor, or any amount owed by the subcontractor to the contractor by wayof a statutory obligation, or enforceable lien, of which the contractor orsubcontractor had previous knowledge or notice, or has reason to believe exists.

   (c) This section shall not apply to contractors orsubcontractors performing work pursuant to a contract awarded by the departmentof transportation unless the subcontractor provides a payment and performancebond in an amount equal to the contract between the contractor andsubcontractor.