P.R. Laws tit. 5, § 1405
The Puerto Rico Farm Insurance Corporation may sue and be sued on behalf and in representation of the Commonwealth of Puerto Rico, for any claim that may arise in relation to the insurance or reinsurance business authorized by this chapter. In case of suits against the Commonwealth, the latter shall waive its immunity and shall recognize any obligation that may be duly established and adjudicated by the Courts of Justice, after having previously exhausted the proper administrative procedure established in the regulations of the Insurance Plans authorized by this chapter for the settlement of such claims; Provided, That when both parties accept the obligation, and there is conflict only as to some difference, such court action shall rest solely with respect to the difference; Provided, further, That in these claims the procedure for regular civil actions shall be followed, and such judgments as may devolve upon the Commonwealth of Puerto Rico shall, upon becoming final, be paid chargeable to the Farm Insurance Fund. On and after July 1, 1969, any judicial action to recover losses shall prescribe after two (2) years, counted from the date of the disaster that caused the losses. Whenever arbitration is required through the insurance contract or by a regulatory provision to determine the amount of the losses, the written application of the claimant requesting that the matter be submitted to arbitration and appointing his arbitrator shall, if filed on time and under the terms of the insurance contract, stop the prescribed period for the duration of said arbitration. What is provided herein shall in no way affect the provisions of § 1412 of this title.
History —Dec. 12, 1966, No. 12, p. 62, § 5; June 9, 1969, No. 32, p. 48, § 4; renumbered as § 6 and amended on Aug. 11, 1988, No. 166, p. 718, § 7.