[Rev. 11/21/2013 10:19:44 AM--2013]

CHAPTER 239A - DISCLOSURE OF FINANCIAL RECORDS TO GOVERNMENTAL AGENCIES

NRS 239A.010        Definitions.

NRS 239A.020        “Customer” defined.

NRS 239A.030        “Financial institution” defined.

NRS 239A.040        “Financial records” defined.

NRS 239A.050        “Governmental agency” defined.

NRS 239A.070        Inapplicability of chapter; disclosures not prohibited by chapter.

NRS 239A.075        Disclosure of balance of account to Director of Department of Health and Human Services or public administrator upon presentation of proof of death; fee.

NRS 239A.080        Examination and disclosure of financial records: Restrictions; exception.

NRS 239A.090        Customer’s authorization of disclosure of financial records; notice of examination; invalidity of waiver of rights or procedures.

NRS 239A.100        Subpoena to obtain financial records: Service; notice to customer; priority of proceeding to quash subpoena.

NRS 239A.110        Search warrant affecting financial records: Withholding of notification to customer.

NRS 239A.120        Release of financial records by one agency to another.

NRS 239A.130        Determination by financial institution of compliance with chapter; limitation on liability of financial institution.

NRS 239A.140        Record of examination or disclosure of financial records: Maintenance; availability to customer.

NRS 239A.150        Limited disclosure by banks under certification of district attorney, sheriff or police department.

NRS 239A.160        Limitation of actions.

NRS 239A.170        Injunctive relief; costs and attorney’s fees.

NRS 239A.180        Inadmissibility of evidence obtained in violation of chapter.

NRS 239A.190        Penalty.

_________

 

      NRS 239A.010  Definitions.  As used in this chapter, unless the context otherwise requires, the terms defined in NRS 239A.020 to 239A.050, inclusive, have the meanings ascribed to them in those sections.

      (Added to NRS by 1977, 986; A 1985, 513)

      NRS 239A.020  “Customer” defined.  “Customer” means any person who has transacted business with or has used the services of a financial institution or for whom a financial institution has acted as a fiduciary.

      (Added to NRS by 1977, 986)

      NRS 239A.030  “Financial institution” defined.  “Financial institution” means any banking corporation or trust company, savings and loan association, thrift company or credit union subject to regulation under the laws of this state.

      (Added to NRS by 1977, 986; A 1983, 122)

      NRS 239A.040  “Financial records” defined.  “Financial records” means:

      1.  Any original or any copy of any record or document held by a financial institution pertaining to a customer of the financial institution.

      2.  The information contained in such record or document.

      (Added to NRS by 1977, 986)

      NRS 239A.050  “Governmental agency” defined.  “Governmental agency” means an officer, board, commission, department, division, bureau, district or any other unit of government, including political subdivisions, of this State.

      (Added to NRS by 1977, 986)

      NRS 239A.070  Inapplicability of chapter; disclosures not prohibited by chapter.  This chapter does not apply to any subpoena issued pursuant to title 14 or chapters 616A to 617, inclusive, of NRS or prohibit:

      1.  Dissemination of any financial information which is not identified with or identifiable as being derived from the financial records of a particular customer.

      2.  The Attorney General, State Controller, district attorney, Department of Taxation, Director of the Department of Health and Human Services, Administrator of the Securities Division of the Office of the Secretary of State, public administrator, sheriff or a police department from requesting of a financial institution, and the institution from responding to the request, as to whether a person has an account or accounts with that financial institution and, if so, any identifying numbers of the account or accounts.

      3.  A financial institution, in its discretion, from initiating contact with and thereafter communicating with and disclosing the financial records of a customer to appropriate governmental agencies concerning a suspected violation of any law.

      4.  Disclosure of the financial records of a customer incidental to a transaction in the normal course of business of the financial institution if the director, officer, employee or agent of the financial institution who makes or authorizes the disclosure has no reasonable cause to believe that such records will be used by a governmental agency in connection with an investigation of the customer.

      5.  A financial institution from notifying a customer of the receipt of a subpoena or a search warrant to obtain the customer’s financial records, except when ordered by a court to withhold such notification.

      6.  The examination by or disclosure to any governmental regulatory agency of financial records which relate solely to the exercise of its regulatory function if the agency is specifically authorized by law to examine, audit or require reports of financial records of financial institutions.

      7.  The disclosure to any governmental agency of any financial information or records whose disclosure to that particular agency is required by the tax laws of this State.

      8.  The disclosure of any information pursuant to NRS 353C.240, 425.393, 425.400 or 425.460.

      9.  A governmental agency from obtaining a credit report or consumer credit report from anyone other than a financial institution.

      (Added to NRS by 1977, 988; A 1983, 1597; 1995, 171; 1997, 2334; 1999, 231; 2007, 2397; 2009, 2564; 2011, 2598)

      NRS 239A.075  Disclosure of balance of account to Director of Department of Health and Human Services or public administrator upon presentation of proof of death; fee.  Upon presentation of a death certificate, affidavit of death or other proof of death, a financial institution shall provide the Director of the Department of Health and Human Services or a public administrator with a statement which sets forth the identifying number and account balance of any accounts on which only the name of the deceased person appears. A financial institution may charge a reasonable fee, not to exceed $2, to provide a public administrator with a statement pursuant to the provisions of this section.

      (Added to NRS by 1983, 1597; A 2005, 396; 2007, 2398)

      NRS 239A.080  Examination and disclosure of financial records: Restrictions; exception.  Except as provided in subsection 3 and NRS 239A.070 and 239A.150:

      1.  An officer, employee or agent of a governmental agency shall not request or receive the financial records of any customer from a financial institution unless:

      (a) The request relates to a lawful investigation of the customer;

      (b) The financial records are described in the request with particularity and are consistent with the scope and requirements of the investigation; and

      (c) The officer, employee or agent furnishes the financial institution with a customer authorization, subpoena or search warrant authorizing examination or disclosure of such records as provided in this chapter.

      2.  A director, officer, employee or agent of a financial institution shall not provide or authorize another person to provide to an officer, employee or agent of a governmental agency any financial records of a customer if the director, officer, employee or agent of the financial institution knows or has reason to believe that the financial records are being requested in connection with an investigation of the customer, unless the request is accompanied by a customer authorization, subpoena or search warrant authorizing examination or disclosure of such records as provided in this chapter.

      3.  This section does not apply to any officer, employee or agent of the State Gaming Control Board who is acting with the written permission of the customer whose records are being requested.

      (Added to NRS by 1977, 986)

      NRS 239A.090  Customer’s authorization of disclosure of financial records; notice of examination; invalidity of waiver of rights or procedures.

      1.  A customer may authorize disclosure of financial records pertaining to him or her by signing and dating a statement in which the customer:

      (a) Authorizes the disclosure for a period specified in the statement;

      (b) Specifies the name of the governmental agency to which disclosure is authorized and, if applicable, the statutory purpose for which the information is to be obtained;

      (c) Identifies the financial records which are authorized to be disclosed; and

      (d) Indicates an understanding that he or she has the right at any time to revoke the authorization.

      2.  No such authorization shall be required by a financial institution as a condition of doing business with the financial institution.

      3.  A governmental agency authorized by a customer to examine his or her financial records shall notify the customer in writing within 30 days after the examination that the examination took place and that the customer has the right to request in writing the reasons for the examination. The notice shall also specify the financial records which were examined. The agency shall give the customer the reason for the examination in writing within 10 days after the customer requests it.

      4.  Except as provided in this section, a waiver by a customer of any right or procedure under this chapter, whether oral or written or with or without consideration, is invalid.

      (Added to NRS by 1977, 987)

      NRS 239A.100  Subpoena to obtain financial records: Service; notice to customer; priority of proceeding to quash subpoena.

      1.  Except as provided in subsection 2, a subpoena authorizing a governmental agency to obtain financial records may be served upon a financial institution only if:

      (a) A copy of the subpoena is served upon the customer in the manner provided by law for the service of subpoenas, except that the copy may be served by an employee of the governmental agency;

      (b) The subpoena includes the name of the agency in whose name it is issued and the statutory purpose for which the information is to be obtained; and

      (c) The customer has not moved to quash the subpoena within 10 days after service of the copy of the subpoena upon the customer.

      2.  A governmental agency issuing or seeking a subpoena to obtain financial records may petition a court of competent jurisdiction to order that service upon the customer or the 10-day period provided in subsection 1 be waived or shortened. The court may issue the order upon a showing that the agency can reasonably infer from facts relevant to its investigation of the customer that a law subject to the agency’s jurisdiction has been or is about to be violated. In granting a petition to waive service upon the customer, the court shall also order the agency to notify the customer in writing within a period determined by the court, but not to exceed 90 days. The notice shall specify the name of the agency in whose name the subpoena was issued, the financial records which were examined under the subpoena and the statutory purpose for which the information was obtained. The time of notification may be extended for additional 45-day periods upon petition and good cause shown.

      3.  A court may order a financial institution to withhold notification to a customer of the receipt of the subpoena when the court issues an order under subsection 2 and if it finds that the notification would impede the investigation.

      4.  If a customer files a motion to quash the subpoena, the proceedings on the motion shall be afforded priority on the court calendar and the matter shall be heard within 10 days after the filing of the motion.

      (Added to NRS by 1977, 987; A 2009, 2564)

      NRS 239A.110  Search warrant affecting financial records: Withholding of notification to customer.  When a search warrant affecting the financial records of a customer is issued, the magistrate may order the financial institution to withhold notification to the customer of receipt of the warrant upon a finding that the notification would impede the investigation.

      (Added to NRS by 1977, 988)

      NRS 239A.120  Release of financial records by one agency to another.  A governmental agency shall not provide financial records obtained under this chapter to any other governmental agency unless that other agency has independently obtained authorization to receive such financial records in accordance with the provisions of this chapter.

      (Added to NRS by 1977, 988)

      NRS 239A.130  Determination by financial institution of compliance with chapter; limitation on liability of financial institution.

      1.  A financial institution is not required to inquire or determine that a governmental agency seeking disclosure of financial records has complied with the requirements of this chapter if the customer authorization, subpoena or search warrant served upon the financial institution shows compliance on its face.

      2.  A financial institution which refuses to disclose the financial records of a customer in reliance in good faith upon the provisions of this chapter is not liable to its customer, to a governmental agency or to any other person for any loss or damage caused by the refusal.

      (Added to NRS by 1977, 988)

      NRS 239A.140  Record of examination or disclosure of financial records: Maintenance; availability to customer.

      1.  A financial institution shall maintain for a period of 5 years a record of all examinations or disclosures of the financial records of a customer, including:

      (a) The identity of the person examining the financial records;

      (b) The name of the governmental agency he or she represented; and

      (c) A copy of the customer authorization, subpoena or search warrant providing for the examination or disclosure or a copy of the certification received pursuant to NRS 239A.150.

      2.  Any record maintained under this section shall be available within 5 days after the request for examination or disclosure for review by the customer during normal business hours at the office or branch where the customer’s account was located when examined or disclosed. A copy of the record shall be furnished to the customer upon request and payment of the reasonable cost of the copy.

      (Added to NRS by 1977, 988)

      NRS 239A.150  Limited disclosure by banks under certification of district attorney, sheriff or police department.  When a district attorney, sheriff or police department in this State certifies to a bank in writing that a crime report has been filed which involves the alleged fraudulent use of drafts, checks or other orders drawn upon any bank in this State, the district attorney, sheriff or police department may request the bank to furnish and the bank shall supply a statement setting forth the following information with respect to the account of a customer named in the certification and covering a period 30 days prior to and up to 30 days following the date of occurrence of the alleged illegal act involving the account:

      1.  The number of items dishonored;

      2.  The number of items paid which created overdrafts;

      3.  The dollar volume of the dishonored items and items paid which created overdrafts and a statement explaining any credit arrangement between the bank and the customer to pay overdrafts;

      4.  The dates and amounts of deposits and debits and the account balance on those dates;

      5.  A copy of the signature and any addresses appearing on the customer’s signature card; and

      6.  The date the account opened and, if applicable, the date the account closed.

      (Added to NRS by 1977, 989)

      NRS 239A.160  Limitation of actions.  An action based upon the violation of any of the provisions of this chapter shall not be commenced more than 3 years after the date on which the violation occurred.

      (Added to NRS by 1977, 990)

      NRS 239A.170  Injunctive relief; costs and attorney’s fees.

      1.  In addition to any other remedy provided by law, a customer aggrieved by a violation or threatened violation of the provisions of this chapter may seek injunctive relief as provided by law.

      2.  If a customer prevails in any proceeding to enforce any of the provisions of this chapter, the customer may recover costs and reasonable attorney’s fees.

      (Added to NRS by 1977, 989)

      NRS 239A.180  Inadmissibility of evidence obtained in violation of chapter.  Evidence obtained in violation of any of the provisions of this chapter is inadmissible in any proceeding except a proceeding to enforce the provisions of this chapter.

      (Added to NRS by 1977, 989)

      NRS 239A.190  Penalty.  Any person who knowingly participates in or knowingly induces or attempts to induce a violation of any prohibition in this chapter is guilty of a misdemeanor.

      (Added to NRS by 1977, 990)