§ 10-3-2 — § 10-3-2. Agreements to arbitrate subject to chapter — Notice.

Rhode Island § 10-3-2

• Jurisdiction: Rhode Island
• Title 10: Courts and civil procedure–Procedure in particular actions
• Ch. 10-3: Arbitration

Text

§ 10-3-2. Agreements to arbitrate subject to chapter — Notice.

(a) When clearly written and expressed, a provision in a written contract to settle by arbitration a controversy thereafter arising out of such contract, or out of the refusal to perform the whole or any part thereof, or an agreement in writing between two (2) or more persons to submit to arbitration any controversy existing between them at the time of the agreement to submit shall be valid, irrevocable, and enforceable, save upon such grounds as exist at law or in equity for the revocation of any contract; provided, however, that the provisions of this chapter shall not apply to collective contracts between employers and employees, or between employers and associations of employees, in respect to terms or conditions of employment; and provided further, that in all contracts of primary insurance, wherein the provision for arbitration is not placed immediately before the testimonium clause or the signature of the parties, the arbitration procedure may be enforced at the option of the insured, and in the event the insured exercises the option to arbitrate, then the provisions of this chapter shall apply and be the exclusive remedy available to the insured.

(b) Notice of intention to arbitrate. A party may serve upon another party a demand for arbitration or a notice of intention to arbitrate, specifying the agreement pursuant to which arbitration is sought and the name and address of the party serving the notice, or of an officer or agent thereof if such party is an association or corporation, and stating that unless the party served applies to stay the arbitration within twenty (20) days after such service they shall thereafter be precluded from objecting that a valid agreement was not made or has not been complied with and from asserting in court the bar of a limitation of time. Such notice or demand shall be served in the same manner as a summons or by registered or certified mail, return receipt requested. An application to stay arbitration shall be made by the party served within twenty (20) days after service upon the party of the notice or demand, or they shall be so precluded. Notice of such application shall be served in the same manner as a summons or by registered or certified mail, return receipt requested. Service of the application may be made upon the adverse party, or upon their attorney if the attorneys' name appears on the demand for arbitration or the notice of intention to arbitrate. Service of the application by mail shall be timely if such application is posted within the prescribed period. Any provision in an arbitration agreement or arbitration rules that waives the right to apply for a stay of arbitration or prescribes a manner of notifying a party of an intention to commence arbitration that is more burdensome than that described in this section is hereby declared null and void.

(c) The party required to send notice pursuant to subsection (b) of this section shall affirmatively include in the notice the rights being waived by failure to apply for the stay of arbitration. Said notice shall be done in bold print and highlighted.

Legislative History

P.L. 1929, ch. 1408, § 1; G.L. 1938, ch. 475, § 1; P.L. 1939, ch. 659, § 2; G.L. 1956, § 10-3-2; P.L. 1974, ch. 48, § 1; P.L. 1976, ch. 342, § 1; P.L. 1998, ch. 275, § 1; P.L. 2024, ch. 445, § 1, effective June 29, 2024; P.L. 2024, ch. 446, § 1, effective June 29, 2024.