2019 Rhode Island General Laws
Title 5 - Businesses and Professions
Chapter 5-65 Contractors' Registration and Licensing Board
Section 5-65-1 Definitions. [Effective until January 1, 2020.]

§ 5-65-1. Definitions. [Effective until January 1, 2020.]

As used in this chapter:

(1) "Board" means the contractors' registration and licensing board established pursuant to § 5-65-14 or its designees.

(2) "Claim for retainage" means an allegation that a person seeking payment of retainage breached the person's contract for the project; provided, however, that a "claim" related to a project with a contract value of not less than two hundred fifty thousand dollars ($250,000) shall be subject to the applicable dispute resolution procedure, notice, and other requirements in the contract for construction.

(3) "Commission" means the building code commission supportive of the contractors' registration and licensing board.

(4)(i) "Contractor" means a person who, in the pursuit of an independent business, undertakes or offers to undertake or submits a bid, or for compensation and with or without the intent to sell the structure arranges to construct, alter, repair, improve, move over public highways, roads, or streets or demolish a structure or to perform any work in connection with the construction, alteration, repair, improvement, moving over public highways, roads, or streets or demolition of a structure, and the appurtenances thereto. For the purposes of this chapter, "appurtenances" includes the installation, alteration, or repair of wells connected to a structure consistent with chapter 13.2 of title 46. "Contractor" includes, but is not limited to, any person who purchases or owns property and constructs, or for compensation arranges for the construction of, one or more structures.

(ii) A certificate of registration is necessary for each "business entity" regardless of the fact that each entity may be owned by the same individual.

(5) "Contract for construction" means a contract for which a lien may be established under chapter 28 of title 34 or for state or municipal public works projects as defined in title 37 on a project for which the person on whose contract with the project owner has an original contract price of not less than two hundred fifty thousand dollars ($250,000); provided, however, that "contract for construction" shall not include a project containing, or designed to contain, at least one, but not more than four (4), dwelling units.

(6) "Deliverable" means a project close-out document that shall be submitted by the person seeking payment of retainage under the person's contract for construction; provided, however, that a lien waiver or release, which is a deliverable, shall comply with chapter 28 of title 34; provided, further, that "deliverable" shall not include any document affirming, certifying, or confirming completion or correction of labor, materials, or other items furnished or incomplete or defective work.

(7) "Dwelling unit" means a single unit providing complete independent-living facilities for one or more persons, including permanent provisions for living, sleeping, eating, cooking, and sanitation.

(8) "Hearing officer" means a person designated by the executive director to hear contested claims or cases, contested enforcement proceedings, and contested administrative fines, in accordance with the "administrative procedures act," chapter 35 of title 42.

(9) "Incomplete or defective work" means labor, materials, or any other item required for full performance by a person seeking payment of retainage that remains to be furnished by the person under the person's contract for construction or that has been furnished by the person but requires correction, repair, further completion, revision, or replacement; provided, however, that "incomplete or defective work" shall not include deliverables or labor, materials, or any other item to be repaired or replaced after substantial or final completion pursuant to a warranty, guarantee, or other contractual obligation to correct defective work after substantial or final completion.

(10) "Monetary damages" means the dollar amount required in excess of the contract amount necessary to provide the claimant with what was agreed to be provided under the terms of the contract reduced by any amount due and unpaid to the respondent inclusive of any and all awards and restitution.

(11) "Person" means any natural person, joint venture, partnership, corporation, or other business or legal entity who or that enters into a contract for construction.

(12) "Prime contractor" means a person who or that enters into a contract for construction with the project owner.

(13) "Retainage" means a portion or percentage of a payment due pursuant to a contract for construction that is withheld to ensure full performance of the contract for construction.

(14) "Staff" means the executive director for the contractors' registration and licensing board, and any other staff necessary to carry out the powers, functions, and duties of the board including inspectors, hearing officers, and other supportive staff.

(15) "State" means the state of Rhode Island.

(16) "Structure" means (i) Any commercial building; or (ii) Any building containing one or more residences and their appurtenances. The board's dispute resolution process shall apply only to residential structures containing dwelling units, as defined in the state building code, or residential portions of other types of buildings without regard to how many units any structure may contain. The board retains jurisdiction and may conduct hearings regarding violations against all contractors required to be registered or licensed by the board.

(17) "Substantially" means any violation that affects the health, safety, and welfare of the general public.

(18) "Substantial completion" means the stage in the progress of the project when the work required by the contract for construction with the project owner is sufficiently complete in accordance with the contract for construction so that the project owner may occupy or utilize the work for its intended use; provided, further, that "substantial completion" may apply to the entire project or a phase of the entire project if the contract for construction with the project owner expressly permits substantial completion to apply to defined phases of the project.

History of Section.
(P.L. 1989, ch. 222, § 1; P.L. 1994, ch. 350, § 2; P.L. 1996, ch. 322, § 1; P.L. 2001, ch. 257, § 1; P.L. 2001, ch. 322, § 1; P.L. 2001, ch. 323, § 1; P.L. 2001, ch. 327, § 1; P.L. 2006, ch. 648, § 1; P.L. 2007, ch. 73, art. 32, § 1; P.L. 2007, ch. 228, § 2; P.L. 2007, ch. 324, § 1; P.L. 2008, ch. 364, § 1; P.L. 2009, ch. 310, § 41; P.L. 2012, ch. 241, art. 17, § 4; P.L. 2018, ch. 170, § 1.)