Rhode Island Waivers


  • Lien rights cannot be effectively waived in a contract, before performing any work is deemed against public policy and is void.  R.I.G.L. § 34-28-1
  • A lien waiver is void if payment is not received.
  • "Paid if Paid" is enforced if explicit.
  • Pay-when-paid clause in the subcontract or purchase order may create a condition precedent to payment when there is clear evidence that the parties intended to establish a condition precedent, no payment must be made until that condition has been satisfied.

Retainage Provisions

Public

  • Retainage may not exceed 5 percent of any periodic payment or an amount  therwise agreed on by the contracting parties. The same holds for a payment being made in one installment. The retained funds are to be paid to the contractor within 90 days after final acceptance. Subsequently, such funds will be charged interest at 10 percent. R.I. GEN. LAWS§ 37-12-10.