Assembly Bill No. 60

Assembly Bill No. 60-Committee on Government Affairs

January 27, 1997
____________

Referred to Committee on Commerce

SUMMARY--Makes various changes relating to unlawful housing practices. (BDR 10-908)

FISCAL NOTE: Effect on Local Government: No.

Effect on the State or on Industrial Insurance: No.

EXPLANATION - Matter in italics is new; matter in brackets [ ] is material to be omitted.

AN ACT relating to unlawful housing practices; eliminating certain exemptions from the provisions prohibiting discriminatory advertising concerning the sale or rental of a dwelling; clarifying that it is unlawful, under certain circumstances, for a lender to discriminate against a person who does not intend to enter into a transaction for a loan or other financial assistance to purchase, construct, improve or repair a dwelling; requiring the Nevada equal rights commission to hold a public hearing in a case involving an unlawful housing practice unless a party to the case elects to have the matter decided in a court of competent jurisdiction; and providing other matters properly relating thereto.

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

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Section 1 NRS 118.060 is hereby amended to read as follows:
118.060 1. "Dwelling" means any building, structure or portion thereof which is occupied as, or designed or intended for occupancy as, a residence by one or more families, and any vacant land which is offered for sale or lease for the construction or location thereon of any such building, structure or portion thereof.
2. "Dwelling" does not include:
(a) A single-family house sold or rented by an owner if:
(1) The owner does not own more than three single-family houses at any one time or the owner does not own any interest in, nor is there owned or reserved on his behalf, under any express or voluntary agreement, title to or any right to all or a portion of the proceeds from the sale or rental of, more than three single-family houses at any one time; and
(2) The house was sold or rented without the use in any manner of the sales or rental facilities or the sales or rental services of any real estate broker, real estate broker-salesman or real estate salesman licensed pursuant to chapter 645 of NRS . [; and
(3) The house was sold or rented without the publication, posting or mailing of any notice, statement or advertisement prohibited by paragraph (c) of subsection 1 of NRS 118.100.]
(b) Rooms or units in dwellings containing living quarters occupied or intended to be occupied by not more than four families living independently of each other if the owner actually maintains and occupies one of the living quarters as his residence and the owner has not within the preceding 12-month period participated:
(1) As the principal in three or more transactions involving the sale or rental of any dwelling or any interest therein; or
(2) As an agent, otherwise than in the sale of his own personal residence in providing sales or rental facilities or sales or rental services in two or more transactions involving the sale or rental of any dwelling or any interest therein.
3. The sale of a single-family house by an owner not residing in that house at the time of the sale or who was not the most recent resident of that house before the sale does not bring the house within the definition of dwelling unless there is more than one such sale within any 24-month period.
Sec. 2 NRS 118.100 is hereby amended to read as follows:
118.100 1. Except as otherwise provided in subsection 2, a person shall not, because of race, religious creed, color, national origin, disability, ancestry, familial status or sex:
(a) Refuse to sell or rent or refuse to negotiate for the sale or rental of, or otherwise make unavailable or deny, a dwelling to any person.
(b) Discriminate against any person in the terms, conditions or privileges of sale or rental of a dwelling, including the amount of breakage or brokerage fees, deposits or other undue penalties, or in the provision of services or facilities in connection therewith.
(c) Make, print or publish, or cause to be made, printed or published, any notice, statement or advertisement with respect to the sale or rental of a dwelling that indicates any preference, limitation or discrimination, or an intention to make any preference, limitation or discrimination. As used in this paragraph, "dwelling" includes a house, room or unit described in subsection 2 or 3 of NRS 118.060.
(d) Represent to any person because of race, religious creed, color, national origin, disability, ancestry, familial status or sex that any dwelling is not available for inspection, sale or rental when the dwelling is in fact so available.
(e) For profit, induce or attempt to induce any person to sell or rent any dwelling by representations regarding the entry or prospective entry into the neighborhood of a person of a particular race, religious creed, color, national origin, disability, ancestry, familial status or sex.
(f) Coerce, intimidate, threaten or interfere with any person in the exercise or enjoyment of, or on account of that person having aided or encouraged any other person in the exercise or enjoyment of, any right granted or protected in this chapter.
2. The provisions of subsection 1 do not prohibit any act that is not prohibited by the provisions of the Fair Housing Act of 1968 (42 U.S.C. §§ 3601 et seq.), as amended.
Sec. 3 NRS 207.310 is hereby amended to read as follows:
207.310 1. As used in this section:
(a) "Customer" means a person who applies for a loan or other financial assistance to purchase, construct, improve or repair a dwelling. The term includes a person who does not intend to enter into a transaction for a loan or other financial assistance, but applies for the loan or financial assistance as if he intended to enter into the transaction.
(b) "Lender" means a bank, savings and loan association, insurance company or other person whose business consists in whole or in part of making commercial real estate loans.
2. It is unlawful for any lender to deny a loan, or other financial assistance rendered by the lender, to any customer or to discriminate against any customer in fixing the amount, conditions, duration, rate of interest or other terms of a loan or other financial assistance or to refuse to purchase a loan from another lender because of the race, color, religious creed, national origin, disability, ancestry, familial status or sex of:
(a) The customer;
(b) Any person associated with the customer in connection with the loan or other financial assistance or with the purpose of the loan or other financial assistance; or
(c) The present or prospective owners, lessees, tenants or occupants of the dwelling in relation to which the loan or other financial assistance is to be made or given.
3. A person who violates the provisions of this section is guilty of:
(a) A misdemeanor for the first and second offenses.
(b) A gross misdemeanor for the third and subsequent offenses.
Sec. 4 Section 16 of chapter 579, Statutes of Nevada 1995, at page 1990, is hereby amended to read as follows:

Sec. 16. NRS 233.170 is hereby amended to read as follows:

233.170 1. When a complaint is filed whose allegations if true would support a finding of unlawful practice, the commission shall hold an informal meeting to attempt a settlement of the dispute. To prepare for the informal meeting, the executive director may request from each party any information which is reasonably relevant to the complaint. [No] Except as otherwise provided in subsection 3, no further action may be taken if the parties agree to a settlement.

2. If an agreement is not reached, the executive director of the commission shall conduct an investigation into the alleged unlawful practice. After the investigation, if the executive director determines that an unlawful practice has occurred, he shall attempt to mediate between or reconcile the parties. The party against whom a complaint was filed may agree to cease the unlawful practice. [If] Except as otherwise provided in subsection 3, if an agreement is reached, no further action may be taken by the complainant or by the commission.

3. If an agreement is reached by the parties in a case involving a discriminatory practice in housing, the agreement must be approved by the commission. The agreement must be made public unless the parties otherwise agree and the commission determines that disclosure is not necessary to further the purposes of chapter 118 of NRS.

4. If the attempts at mediation or conciliation fail [,] in a case involving an unlawful practice in employment or public accommodations, the commission may hold a public hearing on the matter. After the hearing, if the commission determines that an unlawful practice has occurred, it may:

(a) Serve a copy of its findings of fact within 10 calendar days upon any person found to have engaged in the unlawful practice; and

(b) Order the person to:

(1) Cease and desist from the unlawful practice.

(2) In cases involving an unlawful employment practice, restore all benefits and rights to which the aggrieved person is entitled, including , but not limited to , rehiring, back pay for a period not to exceed 2 years after the date of the most recent unlawful practice, annual leave time, sick leave time or pay, other fringe benefits and seniority, with interest thereon from the date of the commission's decision a rate equal to the prime rate at the largest bank in Nevada, as ascertained by the commissioner of financial institutions, on January 1 or July 1, as the case may be, immediately preceding the date of the commission's decision, plus 2 percent. The rate of interest must be adjusted accordingly on each January 1 and July 1 thereafter until the judgment is satisfied.

[4.] 5. If the attempts at mediation or conciliation fail in a case involving an unlawful housing practice:

(a) The complainant or the person against whom the complaint was filed may elect to have the claims included in the complaint decided in a court of competent jurisdiction. If the court determines that the person against whom the complaint was filed has committed an unlawful housing practice, the court may:

(1) Award to the complainant actual damages and, within the limitations prescribed by federal law, punitive damages.

(2) Award to the prevailing party costs and reasonable attorney's fees.

(3) Order such other relief as the court deems appropriate, including, but not limited to:

(I) Ordering a permanent or temporary injunction;

(II) Issuing a temporary restraining order; or

(III) Enjoining the defendant from continuing the unlawful practice or taking other such affirmative action.

(b) If an election is not made pursuant to paragraph (a), the commission shall hold a public hearing on the matter. After the hearing, if the commission determines that an unlawful practice has occurred, it may:

(1) Serve a copy of its findings of fact within 10 days upon any person found to have engaged in the unlawful practice;

(2) Order the person to cease and desist from the unlawful practice;

(3) Award to the complainant actual damages; and

(4) Impose a civil penalty of not more than $25,000 upon the person who committed the unlawful discriminatory practice.

6. The order of the commission is a final decision in a contested case for the purpose of judicial review. If the person fails to comply with the commission's order, the commission shall apply to the district court for an order compelling such compliance, but failure or delay on the part of the commission does not prejudice the right of an aggrieved party to judicial review. The court shall issue the order unless it finds that the commission's findings or order are not supported by substantial evidence or are otherwise arbitrary or capricious. If the court upholds the commission's order and finds that the person has violated the order by failing to cease and desist from the unlawful practice or to make the payment ordered, the court shall award the aggrieved party actual damages for any economic loss and no more.

[5.] 7. After the commission has held a public hearing and rendered a decision, the complainant is barred from proceeding on the same facts and legal theory before any other administrative body or officer.

Sec. 5 This act becomes effective upon passage and approval.