Dismissal Granted / Two Year Statute of Repose Applies for Defunct Corporation


Attorney Casey McCaffrey successfully obtained dismissal of an action filed against defendant plumbing company brought in Providence Superior Court. The plaintiff homeowner filed suit alleging the defendant improperly installed a heating system which subsequently leaked causing significant property damage to the plaintiff’s home.

The defendant plumbing company installed the heating system in 2009, but the leak and resulting property damage occurred in 2014. The defendant plumbing company went out of business in 2016 and its certificate of incorporation was subsequently revoked by the Secretary of State. Plaintiff brought the action against the defendant plumbing company in 2019. At a hearing on the plumbing company’s Motion to Dismiss, Attorney McCaffrey argued that the plaintiff was barred from bringing the action pursuant to Rhode Island General Laws § 7-1.2-1324 which provides a two-year statute of repose limiting the time for a party to commence an action against a dissolved corporation. Attorney McCaffrey further argued that after the two year statute of repose expired, the defendant plumbing company did not have statutory authority to accept service and litigate a new lawsuit and without proper service, the Court lacked jurisdiction over the matter.

Associate Justice Joseph A. Montalbano agreed and granted the Motion to Dismiss at the conclusion of the hearing.

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