2020 -- H 7414 | |
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LC004008 | |
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STATE OF RHODE ISLAND | |
IN GENERAL ASSEMBLY | |
JANUARY SESSION, A.D. 2020 | |
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A N A C T | |
RELATING TO COMMERCIAL LAW -- GENERAL REGULATORY PROVISIONS | |
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Introduced By: Representatives Craven, Caldwell, and McEntee | |
Date Introduced: January 31, 2020 | |
Referred To: House Corporations | |
It is enacted by the General Assembly as follows: | |
1 | SECTION 1. Title 6 of the General Laws entitled "COMMERCIAL LAW - GENERAL |
2 | REGULATORY PROVISIONS" is hereby amended by adding thereto the following chapter: |
3 | CHAPTER 58 |
4 | THIRD-PARTY DELIVERY SYSTEMS |
5 | 6-58-1. Definitions. |
6 | As used in this chapter: |
7 | (1) "Agreement" means a written contractual agreement between the merchant and the |
8 | third-party delivery service. |
9 | (2) "Customer" means the person, business or other entity that places an order for |
10 | merchant products through the marketplace. |
11 | (3) "Likeness" means identifiable symbols attributed and easily identified as belonging to |
12 | a specific merchant or retailer. |
13 | (4) "Marketplace" means the third party's proprietary online communication platform |
14 | where customers can view and search the menus of merchants and/or place an order for merchant |
15 | products via the third party's website or mobile application for delivery by the third party to the |
16 | customer. |
17 | (5) "Merchant" means a restaurant or other retail entity. |
18 | (6) "Third-party delivery service" means a company, organization, or entity, outside of |
19 | the operation of the merchant's business that provides limited delivery services to customers. |
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1 | 6-58-2. Third party use of merchant trademarks and likeness. |
2 | (1) A third-party delivery service may not use the likeness, registered trademark, or any |
3 | intellectual property belonging to the merchant without obtaining written consent from the |
4 | merchant to use the likeness, trademark, or other intellectual property. |
5 | (2) To obtain valid consent from the merchant, the third-party delivery service must be |
6 | registered with the state of Rhode Island to lawfully conduct business within the state. |
7 | 6-58-3. Indemnity agreement void. |
8 | No agreement entered into in accordance with this chapter, shall include a provision, |
9 | clause or covenant that requires a merchant to indemnify a third-party delivery service, any |
10 | independent contractor acting on behalf of the third-party delivery service or any registered agent |
11 | of the third-party delivery service, for any damages or harm that may occur after a product leaves |
12 | the merchant's place of business. |
13 | 6-58-4. Enforcement and penalties. |
14 | (1) Any merchant whose likeness was used by a third-party delivery service in violation |
15 | of this chapter may bring an action in the superior court of the county in which the merchant or |
16 | third-party delivery service is found, or in the superior court of the county as is otherwise |
17 | provided by law, to recover actual damages or five thousand dollars ($5,000), whichever is |
18 | greater. The court may in its discretion, award punitive damages and other equitable relief it |
19 | deems appropriate. |
20 | (2) Any third-party delivery service who violates this chapter shall pay to the state a civil |
21 | penalty of not more than one thousand dollars ($1,000) per violation. Each day a violation occurs |
22 | shall count as a separate violation. |
23 | SECTION 2. This act shall take effect upon passage. |
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LC004008 | |
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EXPLANATION | |
BY THE LEGISLATIVE COUNCIL | |
OF | |
A N A C T | |
RELATING TO COMMERCIAL LAW -- GENERAL REGULATORY PROVISIONS | |
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1 | This act would prohibit third-party delivery services from using any likeness or |
2 | intellectual property of a merchant without written consent. This act would require a third-party |
3 | delivery service to register to do business in Rhode Island. |
4 | This act would take effect upon passage. |
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LC004008 | |
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