Rhode Island Demand Letter

Introduction

Key Things to Know

1. 1

   Rhode Island's dishonored-check demand statute, R.I. Gen. Laws Section 6-42-1, does not let you send the notice of dishonor until the check has gone unpaid for at least 10 days, and Section 6-42-2(a)-(b) requires the notice to substantially follow the statute's own form and be sent by certified mail, return receipt requested, or by regular mail supported by an affidavit of service by mail.

2. 2

   The maker of a dishonored check then has 30 days from the mailing of that notice to pay in full before you can sue; if unpaid, R.I. Gen. Laws Section 6-42-3(a) lets you recover the amount of the check, a $25 collection fee, and three times the check's value, not less than $200 and not more than $1,000.

3. 3

   Rhode Island's general Deceptive Trade Practices Act imposes no pre-suit demand requirement: it lets a consumer sue directly under R.I. Gen. Laws Section 6-13.1-5.2, recovering actual damages or $500, whichever is greater, with a discretionary treble multiplier and discretionary attorney's fees left to the court's judgment.

4. 4

   R.I. Gen. Laws Section 9-1-45 does not require presenting your claim before suit; it awards attorney's fees to a prevailing party in a breach-of-contract action only if the losing side raised a position with a complete absence of any justiciable issue of law or fact, or was defaulted, not simply for prevailing on the claim.

5. 5

   The Rhode Island Fair Debt Collection Practices Act, R.I. Gen. Laws Section 19-14.9-3(5)(a), excludes a creditor collecting its own debt under its own name; a covered debt collector is separately barred from representing that nonpayment will lead to arrest or property seizure unless that action is lawful and actually intended (Section 19-14.9-7(d)), and a demand letter should never threaten arrest, jail, or a criminal charge to collect a civil debt no matter who sends it.

6. 6

   Rhode Island uses a single 10-year catch-all limitations period for civil actions generally, including written and oral contract debts and open accounts (R.I. Gen. Laws Section 9-1-13(a)), though a contract for the sale of goods gets a shorter 4-year period under Commercial Code Section 6A-2-725(1); confirm the period for a property-damage claim before relying on it.

7. 7

   R.I. Gen. Laws Section 9-21-10(a) adds interest of 12 percent per annum to a money judgment, both before and after judgment, running from the date the claim accrued rather than the date of your demand letter, unless your contract already sets its own rate; the Rhode Island District Court's Small Claims Division separately hears contract, retail-sale or services, tax-recovery, and negotiable-instrument claims up to $5,000, exclusive of interest and costs, at the plaintiff's election (Section 10-16-1), and does not require you to have sent a demand before filing.

Rhode Island Requirements for Demand Letter

• Bad-Check Notice: 10-Day Wait Before Sending

  R.I. Gen. Laws Section 6-42-1 does not let you send a notice of dishonor until the check has gone unpaid for at least 10 days after dishonor. Sending the notice earlier is outside what the statute authorizes.

• Bad-Check Notice Must Follow the Statutory Form

  R.I. Gen. Laws Section 6-42-2(a)-(b) requires a dishonored-check notice to substantially follow the statute's own form and to be sent by certified mail, return receipt requested, or by regular mail supported by an affidavit of service by mail. A general demand letter is not that statutory notice.

• 30-Day Payment Window Before Suing on a Bad Check

  R.I. Gen. Laws Section 6-42-3(a) gives the check's maker 30 days from the mailing of the notice of dishonor to pay in full before you may sue for the civil penalty.

• Bad-Check Civil Penalty Amounts

  If the maker does not pay within the 30-day window, R.I. Gen. Laws Section 6-42-3(a) lets you recover the amount of the check, a $25 collection fee, and three times the check's value, not less than $200 and not more than $1,000.

• No Pre-Suit Demand for a DTPA Claim

  R.I. Gen. Laws Section 6-13.1-5.2(a) lets a consumer sue directly for a Deceptive Trade Practices Act violation, recovering actual damages or $500, whichever is greater, with a discretionary treble multiplier and discretionary attorney's fees under Section 6-13.1-5.2(d); no written demand or waiting period is required first.

• Attorney's Fees Require a Frivolous Position or Default

  R.I. Gen. Laws Section 9-1-45 is not a presentment statute. It awards a reasonable attorney's fee to the prevailing party in a breach-of-contract action only where the losing party raised a position with a complete absence of any justiciable issue of law or fact, or was defaulted.

• First-Party Creditors Fall Outside the Collection Act

  The Rhode Island Fair Debt Collection Practices Act, R.I. Gen. Laws Section 19-14.9-3(5)(a), excludes a creditor collecting its own debt under its own name. For a debt collector the Act does cover, Section 19-14.9-7(d)-(e) bars representing that nonpayment will lead to arrest or property seizure unless that action is lawful and actually intended, and bars threatening any action that cannot legally be taken.

• Single 10-Year Limitations Catch-All

  Rhode Island uses one 10-year catch-all limitations period for civil actions generally, including written and oral contract debts and open accounts (R.I. Gen. Laws Section 9-1-13(a)). A contract for the sale of goods instead gets a 4-year period under Commercial Code Section 6A-2-725(1); confirm the period for a property-damage claim.

• Small Claims Limit and Attorney Rules

  The Rhode Island District Court's Small Claims Division hears ex-contractu, retail-sale or services, tax-recovery, and negotiable-instrument claims up to $5,000, exclusive of interest and costs (R.I. Gen. Laws Section 10-16-1). An individual party may represent themselves or hire an attorney, but a corporate defendant must be represented by an attorney (Section 10-16-3.1).