[Rev. 6/29/2024 4:34:19 PM--2023]
CHAPTER 598 - DECEPTIVE TRADE PRACTICES
GENERAL PROVISIONS
NRS 598.0901 “Consumer Affairs Unit” or “Unit” defined.
DECEPTIVE TRADE PRACTICES GENERALLY
NRS 598.0903 Definitions.
NRS 598.0905 “Advertisement” defined.
NRS 598.0907 “Certification mark” defined.
NRS 598.091 “Collective mark” defined.
NRS 598.0913 “Commissioner” defined.
NRS 598.0915 “Deceptive trade practice” defined.
NRS 598.0916 “Deceptive trade practice” defined.
NRS 598.0917 “Deceptive trade practice” defined.
NRS 598.0918 “Deceptive trade practice” defined.
NRS 598.092 “Deceptive trade practice” defined.
NRS 598.0921 “Deceptive trade practice” defined.
NRS 598.09213 “Deceptive trade practice” defined.
NRS 598.0922 “Deceptive trade practice” defined.
NRS 598.09223 “Deceptive trade practice” defined.
NRS 598.09227 “Deceptive trade practice” defined.
NRS 598.0923 “Deceptive trade practice” defined.
NRS 598.09235 “Deceptive trade practice” defined.
NRS 598.0924 “Deceptive trade practice” defined.
NRS 598.0925 “Deceptive trade practice” defined.
NRS 598.0927 “Director” defined.
NRS 598.0933 “Elderly person” defined.
NRS 598.0934 “Goods” defined.
NRS 598.0935 “Mark” defined.
NRS 598.0936 “Person with a disability” defined.
NRS 598.0937 “Property” defined.
NRS 598.094 “Sale” defined.
NRS 598.0943 “Service mark” defined.
NRS 598.0945 “Trademark” defined.
NRS 598.0947 “Trade name” defined.
NRS 598.0953 Engaging in deceptive trade practice prima facie evidence of intent to injure competitor; other rights of action not limited.
NRS 598.0955 Applicability of NRS 598.0903 to 598.0999, inclusive.
NRS 598.0957 Director may delegate powers and duties.
NRS 598.0959 Advisory committees: Creation and appointment; membership; compensation.
NRS 598.096 Powers of Director, Commissioner and Attorney General.
NRS 598.0963 Additional powers of Attorney General.
NRS 598.09635 Attorney General to prepare report for each state of emergency or declaration of disaster concerning certain deceptive trade practices.
NRS 598.0964 Use and sharing of confidential information by Attorney General; cooperation between Attorney General and other agencies and officials.
NRS 598.0965 Commissioner or Director to provide investigative assistance to Attorney General; legal advice and guidance by Attorney General.
NRS 598.0966 Revolving account for Consumer Affairs Unit: Creation; duties of Director or designee; deposits; use.
NRS 598.0967 Commissioner and Director: Subpoenas; hearings; regulations.
NRS 598.097 Commissioner, Director and Attorney General: Equitable relief.
NRS 598.0971 Orders for enforcement: Authority of Commissioner, Attorney General and Director or designee; judicial review and enforcement; administrative fine; civil penalty and equitable relief.
NRS 598.0973 Civil penalty for engaging in deceptive trade practice directed toward elderly person or person with disability.
NRS 598.09735 Civil penalty for engaging in deceptive trade practice directed toward minor person.
NRS 598.0974 Civil penalty prohibited under certain circumstances.
NRS 598.0975 Deposit and use of money collected pursuant to NRS 598.0903 to 598.0999, inclusive; exception for criminal fines and restitution.
NRS 598.0977 Civil action by elderly person or person with disability against person who engaged in deceptive trade practice; remedies. [Effective through March 30, 2024.]
NRS 598.0977 Civil action by elderly person or person with disability against person who engaged in deceptive trade practice; remedies. [Effective March 31, 2024.]
NRS 598.0979 Restraining orders; injunctions; assurances of discontinuance.
NRS 598.098 Use and disclosure of information by Commissioner or Director; regulations.
NRS 598.0983 Actions by district attorney: Prerequisites.
NRS 598.0985 Actions by district attorney: Injunctive relief.
NRS 598.0987 Actions by district attorney: Preliminary notice required before filing; exception.
NRS 598.0989 Actions by district attorney: Venue; powers of court.
NRS 598.099 Injunctions without prior notice.
NRS 598.0993 Relief for injured persons.
NRS 598.0995 Assurances of discontinuance.
NRS 598.0997 Service of notices.
NRS 598.0999 Civil and criminal penalties for violations.
PYRAMID PROMOTIONAL SCHEMES; ENDLESS CHAINS
NRS 598.100 Definitions.
NRS 598.110 Pyramid promotional schemes or endless chains are deceptive trade practices.
NRS 598.120 Contracts and agreements voidable by participant.
NRS 598.130 Injunctive relief; receivership.
SOLICITATIONS FOR OR ON BEHALF OF CHARITABLE ORGANIZATIONS
NRS 598.1305 Prohibited acts; jurisdiction of Attorney General; violation constitutes deceptive trade practice.
SALES PROMOTIONS
NRS 598.131 Definitions.
NRS 598.1315 “Advertisement” defined.
NRS 598.132 “Advertiser” defined.
NRS 598.1325 “Advertising premium” defined.
NRS 598.133 “Merchandise” defined.
NRS 598.1335 “Sale” defined.
NRS 598.134 “Sales promotion” defined.
NRS 598.135 Scope.
NRS 598.136 Representation that person has won prize or is winner of contest.
NRS 598.137 Representation that person has chance to receive prize.
NRS 598.138 Representation that person has been specially selected.
NRS 598.139 Violation constitutes deceptive trade practice.
DOOR-TO-DOOR SALES
NRS 598.140 Definitions.
NRS 598.150 “Business day” defined.
NRS 598.160 “Buyer” defined.
NRS 598.170 “Consumer goods or services” defined.
NRS 598.180 “Door-to-door sale” defined.
NRS 598.200 “Place of business” defined.
NRS 598.210 “Purchase price” defined.
NRS 598.220 “Seller” defined.
NRS 598.230 Right of buyer to rescind contract of sale; notice of rescission.
NRS 598.240 Seller to furnish buyer copy of receipt or contract; required contents.
NRS 598.250 Seller to furnish buyer form for notice of cancellation.
NRS 598.260 Penalty for cancellation permitted; limitations.
NRS 598.280 Unlawful acts.
NRS 598.2801 Violation constitutes deceptive trade practice.
TICKET RESELLERS AND SECONDARY TICKET EXCHANGES
NRS 598.397 Definitions.
NRS 598.3971 “Athletic contest” defined.
NRS 598.3972 “Entertainment facility” defined.
NRS 598.3973 “Internet robot” defined.
NRS 598.3974 “Live entertainment event” defined.
NRS 598.39745 “Primary ticket provider” defined.
NRS 598.3975 “Resale” and “resell” defined.
NRS 598.3976 “Reseller” defined.
NRS 598.39765 “Rights holder” defined.
NRS 598.3977 “Ticket” defined.
NRS 598.3978 Use of trademarked or copyrighted material by reseller or secondary ticket exchange; display of notice identifying website belonging to reseller or secondary ticket exchange; restriction on substantially similar websites.
NRS 598.3979 Prohibited acts relating to resale of tickets.
NRS 598.39795 Resale of ticket without first disclosing total amount to be charged prohibited.
NRS 598.398 Restrictions on use of Internet robots.
NRS 598.3981 Establishment of hotline and Internet website to receive complaints; requirements for form used to receive complaints.
NRS 598.3982 Civil action; venue; damages; certain natural persons immune.
NRS 598.3983 Criminal penalty.
NRS 598.3984 Criminal penalty for violations relating to certain government affiliated facilities.
SIGHTSEEING TOURS
NRS 598.405 Definitions.
NRS 598.416 “Advertise” and “advertisement” defined.
NRS 598.425 “Commissioner” defined.
NRS 598.445 “Sightseeing tour” defined.
NRS 598.455 “Tour broker” defined.
NRS 598.465 “Tour operator” defined.
NRS 598.471 Tour broker and tour operator to register, pay fee and, if applicable, deposit security before advertising services or conducting business in this State; certificate of registration; renewal of certificate.
NRS 598.475 Tour broker and tour operator required to disclose total price in advertisement and prohibited from charging higher amount; notice required on billing invoice; tour broker and tour operator required to honor valid coupon; violation constitutes deceptive trade practice.
NRS 598.485 Applicability of provisions limited to tour brokers and tour operators operating in certain counties.
NRS 598.495 Security required to be deposited by tour broker and tour operator: Form; term; amount; records; rejection for nonconformance; change in form; inadequate amount.
NRS 598.506 Rights and remedies of injured consumers; resolution by Unit of claims against security; regulations.
NRS 598.515 Release of security if tour broker or tour operator ceases to operate.
NRS 598.525 Regulations.
GRANT WRITING SERVICES
NRS 598.535 Definitions.
NRS 598.545 “Buyer” defined.
NRS 598.555 “Grant” defined.
NRS 598.565 “Grant writing service” defined.
NRS 598.575 Applicability.
NRS 598.585 Contracts for grant writing services: Requirements; content.
NRS 598.595 Violation constitutes deceptive trade practice.
CREDIT SERVICE ORGANIZATIONS, ORGANIZATIONS FOR BUYING GOODS OR SERVICES AT DISCOUNT, DANCE STUDIOS AND HEALTH CLUBS
General Provisions
NRS 598.701 Definitions.
NRS 598.706 “Commissioner” defined.
NRS 598.711 “Division” defined.
NRS 598.716 “Registrant” defined.
NRS 598.721 Registration: Application; fee; deposit of security; certificate of registration; renewal of certificate.
NRS 598.726 Security required for registration: Form; term; records; rejection for nonconformance; change in form; inadequate amount.
NRS 598.731 Rights and remedies of injured consumers; resolution by Division of claims against security; regulations.
NRS 598.736 Release of security if registrant ceases to operate or registration expires.
Credit Service Organizations
NRS 598.741 Definitions.
NRS 598.746 Prohibited acts: Receiving money before complete performance; receiving money for referral to provider of credit; misleading statements; other fraudulent or deceptive acts.
NRS 598.752 Organization to register and deposit security before advertising services or conducting business in this State; separate security not required from salesperson, agent or representative of organization; regulations.
NRS 598.757 Organization to provide buyer certain information in writing.
NRS 598.762 Requirements of contract for purchase of services; copy of contract must be retained by organization.
NRS 598.767 Organization to maintain registered agent for service of legal process.
NRS 598.772 Waiver of statutory rights prohibited; burden of proof upon person claiming exemption or exception from definition.
NRS 598.777 Buyer’s action for recovery of damages or injunctive relief; attorney’s fees; punitive damages.
NRS 598.782 Criminal penalty.
NRS 598.787 Provisions and remedies not exclusive; violation constitutes deceptive trade practice.
Organizations for Buying Goods or Services at Discount
NRS 598.840 Definitions.
NRS 598.845 Scope.
NRS 598.851 Organization to register and post security before advertising services or conducting business in this State.
NRS 598.852 Organization to register on prescribed form and pay fee; certificate of registration; renewal of certificate.
NRS 598.853 Security required for registration: Form; term; records; rejection for nonconformance; change in form; inadequate amount.
NRS 598.854 Rights and remedies of injured consumers; resolution by Unit of claims against security; regulations.
NRS 598.8541 Release of security if registrant ceases to operate or registration expires.
NRS 598.855 Trust account required for payments on contracts.
NRS 598.860 Trust account required for payments on goods and services.
NRS 598.865 Administration of trust accounts; audits.
NRS 598.870 Disclosure of information to buyer required before buyer signs contract or application for membership.
NRS 598.875 Requirements for contracts for membership.
NRS 598.880 Limits on contracts for membership.
NRS 598.885 Cancellation of contract by buyer; notice required.
NRS 598.890 Membership of buyer effective 7 days after contract signed.
NRS 598.895 Refund required, if requested, for goods not delivered within 6 weeks.
NRS 598.900 Untrue or misleading statements by organization prohibited; effect on contract.
NRS 598.905 Correction of violations.
NRS 598.910 Effect of transfer by organization of its obligation to provide goods or services; circumstances under which buyer may rescind contract.
NRS 598.915 Waiver of statutory rights is void.
NRS 598.920 Actions against organization; restitution, treble damages, attorney’s fees and costs may be awarded.
NRS 598.930 Remedies not exclusive; violation constitutes deceptive trade practice.
Dance Studios and Health Clubs
NRS 598.940 Definitions.
NRS 598.9403 “Business day” defined.
NRS 598.9405 “Buyer” defined.
NRS 598.9407 “Commissioner” defined.
NRS 598.941 “Dance studio” defined.
NRS 598.9415 “Health club” defined.
NRS 598.9417 “Pre-sale” defined.
NRS 598.9418 “Registrant” defined.
NRS 598.942 Scope.
NRS 598.944 Registration of dance studio or health club required.
NRS 598.946 Owner of dance studio or health club to register and deposit security before advertising services or conducting business in this State: Amount of security; adjustment of security; exception from requirement to deposit security.
NRS 598.947 Dance studio or health club to register on prescribed form and pay fee; certificate of registration; renewal of certificate.
NRS 598.9472 Security required for registration: Form; term; records; rejection for nonconformance; change in form; inadequate amount.
NRS 598.9474 Rights and remedies of injured consumers; resolution by Unit of claims against security; regulations.
NRS 598.9476 Release of security if registrant ceases to operate or registration expires.
NRS 598.948 Requirements for contract between buyer and dance studio or health club.
NRS 598.950 Cancellation of contract by buyer; notice required.
NRS 598.952 False or misleading representations by dance studio or health club prohibited; effect on contract.
NRS 598.954 Rights of buyer who becomes disabled during term of contract.
NRS 598.956 Rights of buyer upon closure of dance studio or health club; election of remedies.
NRS 598.958 Rights of buyer when dance studio or health club transfers its obligations or moves its place of business.
NRS 598.960 Correction of violations.
NRS 598.962 Waiver of provisions is void.
NRS 598.966 Remedies, duties and prohibitions not exclusive; violation constitutes deceptive trade practice.
PROVISION OF TELECOMMUNICATION SERVICES
NRS 598.968 Definitions.
NRS 598.9682 “Provider” defined.
NRS 598.9684 “Telecommunication service” defined.
NRS 598.969 Prohibited acts: Changing a customer’s carrier without timely authorization; failure to provide timely written notices and confirmations; engaging in other fraudulent or deceptive acts; proposing contract to waive or authorize violations of the protections of this section.
NRS 598.9691 Regulations governing disclosures made by provider to customer.
NRS 598.9692 Opportunity to freeze interexchange carrier.
NRS 598.9694 Remedies, duties and prohibitions not exclusive; violation constitutes deceptive trade practice.
ELECTRONIC TRACKING AND STARTER INTERRUPTION TECHNOLOGY AND DEVICES FOR MOTOR VEHICLES
NRS 598.9701 Definitions.
NRS 598.9702 “Consumer” defined.
NRS 598.9703 “Creditor” defined.
NRS 598.9704 “Dealer” defined.
NRS 598.9705 “Device” defined.
NRS 598.9706 “Electronic tracking technology” defined.
NRS 598.9707 “Lease” defined.
NRS 598.9708 “Long-term lessee” defined.
NRS 598.9709 “Long-term lessor” defined.
NRS 598.9711 “Retail buyer” defined.
NRS 598.9712 “Retail installment contract” defined.
NRS 598.9713 “Secured party” defined.
NRS 598.9714 “Starter interruption technology” defined.
NRS 598.9715 Use or installment by creditor or long-term lessor: Requirements; waiver prohibited; exceptions.
NRS 598.9716 Requirements for manufacturers, providers and installers; prohibited acts regarding telemetry data; exceptions.
NRS 598.9717 Responsibility for device.
NRS 598.9718 Violation constitutes deceptive trade practice; remedies.
TRANSLATION OF CERTAIN CONTRACTS OR AGREEMENTS
NRS 598.9731 “Contract or agreement” defined.
NRS 598.9733 Certain persons who advertise and negotiate in language other than English required to deliver translation of contract or agreement; transactions to which requirement applies; exceptions.
NRS 598.9735 When financial institution deemed in compliance with translation requirement for certain mandatory disclosures.
NRS 598.9737 Elements of translated contract or agreement permitted to be retained in English.
NRS 598.9739 Right of aggrieved party to rescind contract or agreement.
DISTRIBUTED GENERATION SYSTEMS
NRS 598.9801 Definitions.
NRS 598.9802 “Commission” defined.
NRS 598.9803 “Disclosure” defined.
NRS 598.9804 “Distributed generation system” defined.
NRS 598.9805 “Host customer” defined.
NRS 598.98055 “Offset” defined.
NRS 598.9806 “Portfolio energy credit” defined.
NRS 598.9807 “Power purchase agreement” defined.
NRS 598.98075 “Production” defined.
NRS 598.9808 “Solar installation company” defined.
NRS 598.9809 Agreement for lease of distributed generation system: Cover page.
NRS 598.9811 Agreement for lease of distributed generation system: Contents.
NRS 598.9812 Agreement for lease of distributed generation system: Disclosure.
NRS 598.9813 Agreement for purchase of distributed generation system: Cover page.
NRS 598.9814 Agreement for purchase of distributed generation system: Contents.
NRS 598.9815 Agreement for purchase of distributed generation system: Disclosure.
NRS 598.9816 Power purchase agreement: Cover page.
NRS 598.9817 Power purchase agreement: Contents.
NRS 598.9818 Power purchase agreement: Disclosure.
NRS 598.9819 Utility rates disclosure required in agreement in certain circumstances.
NRS 598.9821 Certain express warranties required in agreement; exception.
NRS 598.98213 Confirmation of information in cover page required; installation of distributed generation system prohibited until confirmation recorded; maintenance of recording.
NRS 598.98216 Rescission or cancellation of agreement.
NRS 598.9822 Complaints against solar installation company; noncompliance constitutes deceptive trade practice; noncompliance renders agreement voidable; violation constitutes consumer fraud; documents in English or other language.
COSMETIC PRODUCTS TESTED ON ANIMALS
NRS 598.993 Prohibition on import, sale or offer for sale of cosmetic products tested on animals; exceptions; violation constitutes deceptive trade practice.
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GENERAL PROVISIONS
NRS 598.0901 “Consumer Affairs Unit” or “Unit” defined. As used in this chapter, unless the context otherwise requires, “Consumer Affairs Unit” or “Unit” means the Consumer Affairs Unit of the Department of Business and Industry.
(Added to NRS by 2021, 2744)
DECEPTIVE TRADE PRACTICES GENERALLY
NRS 598.0903 Definitions. As used in NRS 598.0903 to 598.0999, inclusive, unless the context otherwise requires, the words and terms defined in NRS 598.0905 to 598.0947, inclusive, have the meanings ascribed to them in those sections.
(Added to NRS by 1973, 1482; A 1983, 881; 1985, 1480, 2256; 1989, 649; 1993, 1979; 1995, 2174; 1997, 158; 1999, 3334; 2001, 660; 2003, 587; 2005, 1227, 1249; 2007, 738; 2009, 1188; 2013, 1031; 2017, 1531, 4350; 2021, 1345, 1448)
NRS 598.0905 “Advertisement” defined. “Advertisement” means the attempt by publication, dissemination, solicitation or circulation to induce, directly or indirectly, any person to enter into any obligation to lease or to acquire any title or interest in any property.
(Added to NRS by 1973, 1482; A 1999, 3280)
NRS 598.0907 “Certification mark” defined. “Certification mark” means a mark used in connection with the goods or services of a person other than the certifier to indicate geographic origin, material, mode of manufacture, quality, accuracy or other characteristics of the goods or services or to indicate that the work or labor on the goods or services was performed by members of a union or other organization.
(Added to NRS by 1973, 1482)
NRS 598.091 “Collective mark” defined. “Collective mark” means a mark used by members of a cooperative, association or other collective group or organization to identify goods or services and distinguish them from those of others, or to indicate membership in the collective group or organization.
(Added to NRS by 1973, 1483)
NRS 598.0913 “Commissioner” defined. “Commissioner” means the Commissioner of Consumer Affairs.
(Added to NRS by 1973, 1483; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; A 2015, 3652, 3653)
NRS 598.0915 “Deceptive trade practice” defined. A person engages in a “deceptive trade practice” if, in the course of his or her business or occupation, he or she:
1. Knowingly passes off goods or services for sale or lease as those of another person.
2. Knowingly makes a false representation as to the source, sponsorship, approval or certification of goods or services for sale or lease.
3. Knowingly makes a false representation as to affiliation, connection, association with or certification by another person.
4. Uses deceptive representations or designations of geographic origin in connection with goods or services for sale or lease.
5. Knowingly makes a false representation as to the characteristics, ingredients, uses, benefits, alterations or quantities of goods or services for sale or lease or a false representation as to the sponsorship, approval, status, affiliation or connection of a person therewith.
6. Represents that goods for sale or lease are original or new if he or she knows or should know that they are deteriorated, altered, reconditioned, reclaimed, used or secondhand.
7. Represents that goods or services for sale or lease are of a particular standard, quality or grade, or that such goods are of a particular style or model, if he or she knows or should know that they are of another standard, quality, grade, style or model.
8. Disparages the goods, services or business of another person by false or misleading representation of fact.
9. Advertises goods or services with intent not to sell or lease them as advertised.
10. Advertises goods or services for sale or lease with intent not to supply reasonably expectable public demand, unless the advertisement discloses a limitation of quantity.
11. Advertises goods or services as being available free of charge with intent to require payment of undisclosed costs as a condition of receiving the goods or services.
12. Advertises under the guise of obtaining sales personnel when the purpose is to first sell or lease goods or services to the sales personnel applicant.
13. Makes false or misleading statements of fact concerning the price of goods or services for sale or lease, or the reasons for, existence of or amounts of price reductions.
14. Fraudulently alters any contract, written estimate of repair, written statement of charges or other document in connection with the sale or lease of goods or services.
15. Knowingly makes any other false representation in a transaction.
16. Knowingly falsifies an application for credit relating to a retail installment transaction, as defined in NRS 97.115.
(Added to NRS by 1973, 1483; A 1983, 881; 1985, 2256; 1995, 1094; 1997, 1375; 1999, 3280; 2001, 489, 2149)
NRS 598.0916 “Deceptive trade practice” defined. A person engages in a “deceptive trade practice” when, in the course of his or her business or occupation, he or she disseminates an unsolicited prerecorded message to solicit a person to purchase goods or services by telephone and he or she does not have a preexisting business relationship with the person being called unless a recorded or unrecorded natural voice:
1. Informs the person who answers the telephone call of the nature of the call; and
2. Provides to the person who answers the telephone call the name, address and telephone number of the business or organization, if any, represented by the caller.
(Added to NRS by 1999, 3332)
NRS 598.0917 “Deceptive trade practice” defined. A person engages in a “deceptive trade practice” when in the course of his or her business or occupation he or she employs “bait and switch” advertising, which consists of an offer to sell or lease goods or services which the seller or lessor in truth may not intend or desire to sell or lease, accompanied by one or more of the following practices:
1. Refusal to show the goods advertised.
2. Disparagement in any material respect of the advertised goods or services or the terms of sale or lease.
3. Requiring other sales or other undisclosed conditions to be met before selling or leasing the advertised goods or services.
4. Refusal to take orders for the sale or lease of goods or services advertised for delivery within a reasonable time.
5. Showing or demonstrating defective goods for sale or lease which are unusable or impractical for the purposes set forth in the advertisement.
6. Accepting a deposit for the goods or services for sale or lease and subsequently switching the purchase order or lease to higher priced goods or services.
7. Tendering a lease of goods advertised for sale or a sale of goods advertised for lease or tendering terms of sale or lease less favorable than the terms advertised.
(Added to NRS by 1985, 2255; A 1993, 1959; 1999, 3281)
NRS 598.0918 “Deceptive trade practice” defined. A person engages in a “deceptive trade practice” if, during a solicitation by telephone or text message or during a sales presentation, he or she:
1. Uses threatening, intimidating, profane or obscene language;
2. Repeatedly or continuously conducts the solicitation or presentation in a manner that is considered by a reasonable person to be annoying, abusive or harassing;
3. Solicits a person by telephone at his or her residence between 8 p.m. and 9 a.m.;
4. Blocks or otherwise intentionally circumvents any service used to identify the caller when placing an unsolicited telephone call;
5. Places an unsolicited telephone call that does not allow a service to identify the caller by the telephone number or name of the business, unless such identification is not technically feasible; or
6. Defrauds a person of any valuable thing, wrongfully obtains from a person any valuable thing or otherwise causes harm to a person by knowingly causing, directly or indirectly, any service used in connection with a voice service or text messaging service to identify the caller or sender of the text message to display inaccurate or misleading information.
(Added to NRS by 2001, 659; A 2003, 2875; 2021, 1345)
NRS 598.092 “Deceptive trade practice” defined. A person engages in a “deceptive trade practice” when in the course of his or her business or occupation he or she:
1. Knowingly fails to identify goods for sale or lease as being damaged by water.
2. Solicits by telephone or door to door as a lessor or seller, unless the lessor or seller identifies himself or herself, whom he or she represents and the purpose of his or her call within 30 seconds after beginning the conversation.
3. Knowingly states that services, replacement parts or repairs are needed when no such services, replacement parts or repairs are actually needed.
4. Fails to make delivery of goods or services for sale or lease within a reasonable time or to make a refund for the goods or services, if he or she allows refunds.
5. Advertises or offers an opportunity for investment and:
(a) Represents that the investment is guaranteed, secured or protected in a manner which he or she knows or has reason to know is false or misleading;
(b) Represents that the investment will earn a rate of return which he or she knows or has reason to know is false or misleading;
(c) Makes any untrue statement of a material fact or omits to state a material fact which is necessary to make another statement, considering the circumstances under which it is made, not misleading;
(d) Fails to maintain adequate records so that an investor may determine how his or her money is invested;
(e) Fails to provide information to an investor after a reasonable request for information concerning his or her investment;
(f) Fails to comply with any law or regulation for the marketing of securities or other investments; or
(g) Represents that he or she is licensed by an agency of the State to sell or offer for sale investments or services for investments if he or she is not so licensed.
6. Charges a fee for advice with respect to investment of money and fails to disclose:
(a) That he or she is selling or offering to lease goods or services and, if he or she is, their identity; or
(b) That he or she is licensed by an agency of any state or of the United States to sell or to offer for sale investments or services for investments or holds any other license related to the service he or she is providing.
7. Notifies any person, by any means, as a part of an advertising plan or scheme, that he or she has won a prize and that as a condition of receiving the prize he or she must purchase or lease goods or services.
8. Knowingly misrepresents the legal rights, obligations or remedies of a party to a transaction.
9. Fails, in a consumer transaction that is rescinded, cancelled or otherwise terminated in accordance with the terms of an agreement, advertisement, representation or provision of law, to promptly restore to a person entitled to it a deposit, down payment or other payment or, in the case of property traded in but not available, the agreed value of the property or fails to cancel within a specified time or an otherwise reasonable time an acquired security interest. This subsection does not apply to a person who is holding a deposit, down payment or other payment on behalf of another if all parties to the transaction have not agreed to the release of the deposit, down payment or other payment.
10. Repossesses a vehicle from a debtor pursuant to NRS 104.9609 before default by the debtor as defined in the form for the contract for the sale of the vehicle prescribed by the Commissioner of Financial Institutions pursuant to NRS 97.299.
11. Commits an act against a consumer who entered into a contract for the sale of a vehicle with the person which entitles the consumer to any remedy available pursuant to NRS 104.9625.
12. Fails to inform customers, if he or she does not allow refunds or exchanges, that he or she does not allow refunds or exchanges by:
(a) Printing a statement on the face of the lease or sales receipt;
(b) Printing a statement on the face of the price tag; or
(c) Posting in an open and conspicuous place a sign at least 8 by 10 inches in size with boldface letters,
Ê specifying that no refunds or exchanges are allowed.
13. Knowingly and willfully violates NRS 597.7118 or 597.7125.
14. Knowingly takes advantage of another person’s inability reasonably to protect his or her own rights or interests in a consumer transaction when such an inability is due to illiteracy, or to a mental or physical infirmity or another similar condition which manifests itself as an incapability to understand the language or terms of any agreement.
15. Charges a fee to a person to change or update any record, including, without limitation, billing or credit information, which relates to the person requesting the change or update, including, without limitation, in circumstances in which that person chooses to communicate regarding the change or update by speaking to a natural person by telephone in lieu of using an automated or computerized telephone system.
(Added to NRS by 1985, 2256; A 1987, 87; 1993, 1959; 1999, 3281; 2005, 1426; 2009, 2443; 2011, 266; 2017, 803, 1531)
NRS 598.0921 “Deceptive trade practice” defined.
1. A person engages in a “deceptive trade practice” if, in the course of his or her business or occupation:
(a) He or she issues a gift certificate that expires on a certain date, unless either of the following is printed plainly and conspicuously on the front or back of the gift certificate in at least 10-point font and in such a manner that the print is readily visible to the buyer of the gift certificate before the buyer purchases the gift certificate:
(1) The expiration date of the gift certificate; or
(2) A toll-free telephone number accompanied by a statement setting forth that the buyer or holder of the gift certificate may call the telephone number to obtain the balance of the gift certificate and the expiration date of the gift certificate;
(b) He or she imposes upon the buyer or holder of a gift certificate a service fee, unless each of the following is printed plainly and conspicuously on the front or back of the gift certificate in at least 10-point font and in such a manner that the print is readily visible to the buyer of the gift certificate before the buyer purchases the gift certificate:
(1) The amount of the service fee;
(2) The event or events that will cause the service fee to be imposed;
(3) The frequency with which the service fee will be imposed; and
(4) If the service fee will be imposed on the basis of inactivity, the duration of inactivity, which must not be less than 3 continuous years of nonuse, that will cause the service fee to be imposed; or
(c) Regardless of the notice provided, he or she imposes upon the buyer or holder of a gift certificate:
(1) A service fee or a combination of service fees that exceed a total of $1 per month; or
(2) A service fee that commences or is imposed within the first 12 months after the issuance of the gift certificate.
2. The provisions of this section do not apply to:
(a) A gift certificate that is issued as part of an award, loyalty, promotional, rebate, incentive or reward program and for which issuance the issuer does not receive money or any other thing of value;
(b) A gift certificate that is sold at a reduced price to an employer or nonprofit or charitable organization, if the expiration date of the gift certificate is not more than 30 days after the date of sale; and
(c) A gift certificate that is issued by an establishment licensed pursuant to the provisions of chapter 463 of NRS.
3. As used in this section:
(a) “Gift certificate” means an instrument or a record evidencing a promise by the seller or issuer of the instrument or record to provide goods or services to the holder of the gift certificate for the value shown in, upon or ascribed to the instrument or record and for which the value shown in, upon or ascribed to the instrument or record is decreased in an amount equal to the value of goods or services provided by the issuer or seller to the holder. The term includes, without limitation, a gift card, certificate or similar instrument. The term does not include:
(1) An instrument or record for prepaid telecommunications or technology services, including, without limitation, a card for prepaid telephone services, a card for prepaid technical support services and an instrument for prepaid Internet service purchased or otherwise distributed to a consumer of such services, including, without limitation, as part of an award, loyalty, promotional or reward program; or
(2) An instrument or record, by whatever name called, that may be used to obtain goods or services from more than one person or business entity, if the expiration date is printed plainly and conspicuously on the front or back of the instrument or record.
(b) “Issue” means to sell or otherwise provide a gift certificate to any person and includes, without limitation, adding value to an existing gift certificate.
(c) “Record” means information which is inscribed on a tangible medium or which is stored in an electronic or other medium, including, without limitation, information stored on a microprocessor chip or magnetic strip, and is retrievable in perceivable form.
(d) “Service fee” means any charge or fee other than the charge or fee imposed for the issuance of the gift certificate, including, without limitation, a service fee imposed on the basis of inactivity or any other type of charge or fee imposed after the sale of the gift certificate.
(Added to NRS by 2005, 1226; A 2007, 308)
NRS 598.09213 “Deceptive trade practice” defined.
1. A person shall not, in the course of the person’s business or occupation, offer to provide a gift certificate or gift card, free of charge, as part of a promotion or incentive to potential customers if the promotion or incentive is redeemable only by mail, unless the expiration date of the offer is printed plainly and conspicuously in 12-point bold font on any brochure, leaflet, pamphlet, packaging, advertisement or other written material provided to the recipient of the offer which contains information concerning the offer. This subsection does not apply to an offer upon which the gift certificate or gift card will be provided directly to a potential customer.
2. A person engages in a “deceptive trade practice” if the person violates subsection 1.
(Added to NRS by 2017, 1531)
NRS 598.0922 “Deceptive trade practice” defined.
1. Except as otherwise provided in subsection 2, a person engages in a “deceptive trade practice” if the person advertises or conducts a live musical performance or production in this State through the use of a false, deceptive or misleading affiliation, connection or association between a performing group and a recording group.
2. A person does not engage in a “deceptive trade practice” pursuant to subsection 1 if:
(a) The performing group is the authorized registrant and owner of a federal service mark comprising in whole or dominant part the mark or name of that group registered in the United States Patent and Trademark Office;
(b) At least one member of the performing group was a member of the recording group and has a legal right by virtue of use or operation under the group name without having abandoned the name or affiliation with the group;
(c) The live musical performance or production is identified in all advertising and promotion as a salute or tribute and the name of the performing group is not so closely related or similar to that used by the recording group that it would tend to confuse or mislead the public;
(d) The advertising does not relate to a live musical performance or production taking place in this State; or
(e) The performance or production is expressly authorized in writing by the recording group.
3. As used in this section:
(a) “Performing group” means a vocal or instrumental group seeking to use the name of another group that has previously released a commercial sound recording under that name.
(b) “Person” means the performing group or its promoter, manager or agent. The term does not include the performance venue or its owners, managers or operators unless the performance venue has a controlling or majority ownership interest in and produces the performing group.
(c) “Recording group” means a vocal or instrumental group at least one of whose members has previously released a commercial sound recording under that group’s name and in which the member or members have a legal right by virtue of use or operation under the group name without having abandoned the name or affiliation with the group.
(d) “Sound recording” means a work that results from the fixation on a material object of a series of musical, spoken or other sounds regardless of the nature of the material object, such as a cassette tape, compact disc or phonograph album, in which the sounds are embodied.
(Added to NRS by 2007, 737)
NRS 598.09223 “Deceptive trade practice” defined. A person engages in a “deceptive trade practice” when, in the course of his or her business or occupation, he or she knowingly violates a provision of NRS 598.397 to 598.3984, inclusive.
(Added to NRS by 2017, 4348; A 2019, 1133)
NRS 598.09227 “Deceptive trade practice” defined. A person engages in a “deceptive trade practice” when, in the course of his or her business or occupation, he or she knowingly violates a provision of NRS 598.9731 to 598.9739, inclusive.
(Added to NRS by 2021, 1446)
NRS 598.0923 “Deceptive trade practice” defined.
1. A person engages in a “deceptive trade practice” when in the course of his or her business or occupation he or she knowingly:
(a) Conducts the business or occupation without all required state, county or city licenses.
(b) Fails to disclose a material fact in connection with the sale or lease of goods or services.
(c) Violates a state or federal statute or regulation relating to the sale or lease of goods or services.
(d) Uses coercion, duress or intimidation in a transaction.
(e) Uses an unconscionable practice in a transaction.
(f) As the seller in a land sale installment contract, fails to:
(1) Disclose in writing to the buyer:
(I) Any encumbrance or other legal interest in the real property subject to such contract; or
(II) Any condition known to the seller that would affect the buyer’s use of such property.
(2) Disclose the nature and extent of legal access to the real property subject to such agreement.
(3) Record the land sale installment contract pursuant to NRS 111.315 within 30 calendar days after the date upon which the seller accepts the first payment from the buyer under such a contract.
(4) Pay the tax imposed on the land sale installment contract pursuant to chapter 375 of NRS.
(5) Include terms in the land sale installment contract providing rights and protections to the buyer that are substantially the same as those under a foreclosure pursuant to chapter 40 of NRS.
2. As used in this section:
(a) “Land sale installment contract” has the meaning ascribed to it in paragraph (d) of subsection 1 of NRS 375.010.
(b) “Unconscionable practice” means an act or practice which, to the detriment of a consumer:
(1) Takes advantage of the lack of knowledge, ability, experience or capacity of the consumer to a grossly unfair degree;
(2) Results in a gross disparity between the value received and the consideration paid, in a transaction involving transfer of consideration; or
(3) Arbitrarily or unfairly excludes the access of a consumer to a good or service.
(Added to NRS by 1985, 2256; A 1999, 3282; 2009, 1118; 2021, 1346)
NRS 598.09235 “Deceptive trade practice” defined.
1. A person engages in a “deceptive trade practice” when, during a state of emergency or declaration of disaster proclaimed pursuant to NRS 414.070 that has been in effect for 75 days or less, the person sells, rents or offers to sell or rent any of the following goods or services in an emergency or disaster area for a price that is grossly in excess of the usual price for that good or service:
(a) Consumer goods and services used, bought or rendered primarily for personal, family or household purposes;
(b) Medical supplies and services used for the care, cure, mitigation, treatment or prevention of any illness or disease;
(c) Services related to the repair or reconstruction of property; or
(d) Any other goods or services that are commonly used in responding to the type of emergency or disaster for which the state of emergency or declaration of disaster was proclaimed.
2. Whether a price for a good or service is grossly in excess of the usual price for that good or service for the purposes of subsection 1 is a question of law to be determined by considering all relevant circumstances, including, without limitation, the price of the good or service prevailing in the emergency or disaster area in the 30 days before the state of emergency or declaration of disaster was proclaimed.
3. A price for a good or service is not grossly in excess of the usual price for that good or service for the purposes of subsection 1 if the price is:
(a) Related to an additional or increased cost imposed by a supplier of a good or other costs of providing the good or service, including, without limitation, an additional or increased cost for labor or materials used to provide a service;
(b) For a good or service which is sold, rented or offered to be sold or rented for a price that:
(1) Does not exceed $250, 15 percent or less above the usual price for the good or service;
(2) Exceeds $250 but does not exceed $750, 10 percent or less above the usual price for the good or service; or
(3) Exceeds $750, 5 percent or less above the usual price of the good or service;
(c) Ten percent or less above the sum of the costs to the person and the normal markup for a good or service;
(d) Generally consistent with seasonal fluctuations or fluctuations in applicable commodity, regional, national or international markets; or
(e) A contract price, or the result of a price formula, established before the state of emergency or declaration of disaster was proclaimed.
4. A person who offers to sell or rent a good or service for a price that would otherwise violate subsection 1 does not commit a “deceptive trade practice” if the offer states that the good or service is not offered for sale or rent in the emergency or disaster area.
5. The provisions of this section do not apply to:
(a) A transaction for the sale or rental of a good or service which occurs wholly outside the State; or
(b) A person who does not control the location or price at which a good or service is sold or rented.
6. As used in this section:
(a) “Emergency or disaster area” means a particular geographic area that is described in a proclamation of a state of emergency or declaration of disaster by the Governor or Legislature pursuant to NRS 414.070.
(b) “Usual price” means:
(1) If a person sold, rented or offered to sell or rent a good or service at a price other than as described in subparagraph (2) in an emergency or disaster area within the 30 days before the state of emergency or declaration of disaster was proclaimed pursuant to NRS 414.070, the price at which the person sold, rented or offered to sell or rent the good or service.
(2) If a person sold, rented or offered to sell or rent a good or service at a reduced price in an emergency or disaster area within the 30 days before the state of emergency or declaration of disaster was proclaimed pursuant to NRS 414.070, the price at which the person usually sells, rents or offers to sell or rent the good or service in the emergency or disaster area.
(3) If a person did not sell, rent or offer to sell or rent a good or service in an emergency or disaster area within the 30 days before the state of emergency or declaration of disaster was proclaimed pursuant to NRS 414.070, the price at which the good or service was generally available in the emergency or disaster area in the 30 days before the state of emergency or declaration of disaster was proclaimed.
(Added to NRS by 2021, 1343)
NRS 598.0924 “Deceptive trade practice” defined.
1. A provider or vendor of floral or ornamental products or services engages in a “deceptive trade practice” if the provider or vendor misrepresents the geographic location of its business by listing:
(a) A local telephone number in any advertisement or listing unless the advertisement or listing identifies the actual physical address, including the city and state, of the provider or vendor’s business.
(b) An assumed or fictitious business name in any advertisement or listing if:
(1) The name of the business misrepresents the provider or vendor’s geographic location; and
(2) The advertisement or listing does not identify the actual physical address, including the city and state, of the provider or vendor’s business.
2. The provisions of this section do not apply to:
(a) A publisher of a telephone directory or any other publication or a provider of a directory assistance service that publishes or provides information about another business;
(b) An Internet website that aggregates and provides information about other businesses;
(c) An owner or publisher of a print advertising medium that provides information about other businesses;
(d) An Internet service provider; or
(e) An Internet service that displays or distributes advertisements for other businesses.
3. This section does not create or impose a duty or an obligation on a person other than a vendor or provider described in subsection 1.
4. As used in this section:
(a) “Floral or ornamental products or services” means floral arrangements, cut flowers, floral bouquets, potted plants, balloons, floral designs and related products and services.
(b) “Local telephone number” means a specific telephone number, including the area code and prefix, assigned for the purpose of completing local telephone calls between a calling party or station and any other party or station within a telephone exchange located in this State or its designated local calling areas. The term does not include long distance telephone numbers or toll-free telephone numbers listed in a local telephone directory.
(Added to NRS by 2013, 1030)
NRS 598.0925 “Deceptive trade practice” defined.
1. Except as otherwise provided in this section, a person engages in a “deceptive trade practice” when, in the course of his or her business or occupation, he or she:
(a) Makes an assertion of scientific, clinical or quantifiable fact in an advertisement which would cause a reasonable person to believe that the assertion is true, unless, at the time the assertion is made, the person making it has possession of factually objective scientific, clinical or quantifiable evidence which substantiates the assertion; or
(b) Fails upon request of the Commissioner or Attorney General to produce within 6 working days the substantiating evidence in his or her possession at the time the assertion of scientific, clinical or quantifiable fact was made.
2. This section does not apply to general assertions of opinion as to quality, value or condition made without the intent to mislead another person.
(Added to NRS by 1989, 649; A 1997, 3195; 2009, 2712; 2011, 2652; 2013, 1054; 2015, 3653)
NRS 598.0927 “Director” defined. “Director” means the Director of the Department of Business and Industry.
(Added to NRS by 1983, 881; A 1993, 1799; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; A 2015, 3652, 3653)
NRS 598.0933 “Elderly person” defined. “Elderly person” means a person who is 60 years of age or older.
(Added to NRS by 1993, 1978; A 2003, 2569)
NRS 598.0934 “Goods” defined. “Goods” includes, without limitation, a mobile or manufactured home which:
1. Is not affixed to land; or
2. Is affixed to land and sold, leased or offered for sale or lease separately from the land to which it is affixed.
(Added to NRS by 2003, 587)
NRS 598.0935 “Mark” defined. “Mark” means a word, name, symbol, device or any combination of the foregoing in any form or arrangement.
(Added to NRS by 1973, 1484)
NRS 598.0936 “Person with a disability” defined. “Person with a disability” means a person who:
1. Has a physical or mental impairment that substantially limits one or more of the major life activities of the person;
2. Has a record of such an impairment; or
3. Is regarded as having such an impairment.
(Added to NRS by 1993, 1978)—(Substituted in revision for NRS 598.093)
NRS 598.0937 “Property” defined. “Property” means any real or personal property, or both real and personal property, intangible property or services.
(Added to NRS by 1973, 1484)
NRS 598.094 “Sale” defined. “Sale” includes any sale, offer for sale or attempt to sell any property for any consideration.
(Added to NRS by 1973, 1484)
NRS 598.0943 “Service mark” defined. “Service mark” means a mark used by a person to identify services and to distinguish them from the services of others.
(Added to NRS by 1973, 1484)
NRS 598.0945 “Trademark” defined. “Trademark” means a mark used by a person to identify goods and to distinguish them from the goods of others.
(Added to NRS by 1973, 1484)
NRS 598.0947 “Trade name” defined. “Trade name” means a word, name, symbol, device or any combination of the foregoing in any form or arrangement used by a person to identify his or her business or occupation, and to distinguish it from the business or occupation of others.
(Added to NRS by 1973, 1484)
NRS 598.0953 Engaging in deceptive trade practice prima facie evidence of intent to injure competitor; other rights of action not limited.
1. Evidence that a person has engaged in a deceptive trade practice is prima facie evidence of intent to injure competitors and to destroy or substantially lessen competition.
2. The deceptive trade practices listed in NRS 598.0915 to 598.0925, inclusive, are in addition to and do not limit the types of unfair trade practices actionable at common law or defined as such in other statutes of this State.
(Added to NRS by 1973, 1484; A 1985, 2258; 1989, 649; 2007, 738; 2013, 1031; 2017, 1532, 4350; 2021, 1347, 1448)
NRS 598.0955 Applicability of NRS 598.0903 to 598.0999, inclusive.
1. The provisions of NRS 598.0903 to 598.0999, inclusive, do not apply to:
(a) Conduct in compliance with the orders or rules of, or a statute administered by, a federal, state or local governmental agency.
(b) Publishers, including outdoor advertising media, advertising agencies, broadcasters or printers engaged in the dissemination of information or reproduction of printed or pictorial matter who publish, broadcast or reproduce material without knowledge of its deceptive character.
(c) Actions or appeals pending on July 1, 1973.
2. The provisions of NRS 598.0903 to 598.0999, inclusive, do not apply to the use by a person of any service mark, trademark, certification mark, collective mark, trade name or other trade identification which was used and not abandoned prior to July 1, 1973, if the use was in good faith and is otherwise lawful except for the provisions of NRS 598.0903 to 598.0999, inclusive.
(Added to NRS by 1973, 1484; A 2005, 1227; 2007, 738; 2009, 1188; 2013, 1031; 2017, 1533, 4350; 2021, 1347, 1449)
NRS 598.0957 Director may delegate powers and duties. The Director may, in one or more particular cases, delegate his or her powers and duties under the provisions of NRS 598.0903 to 598.0999, inclusive, to any person under his or her direct supervision and direction.
(Added to NRS by 1983, 881; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; A 2015, 3652, 3653)
NRS 598.0959 Advisory committees: Creation and appointment; membership; compensation. The Commissioner and Director may, independently, create and appoint advisory committees whenever necessary to advise them in the performance of their powers and duties pursuant to NRS 598.0903 to 598.0999, inclusive. Any such committee must be created by a regulation adopted in accordance with the provisions of chapter 233B of NRS. The regulation must specify:
1. The membership of the committee;
2. The duties of the committee and the purpose for which it is created;
3. The period of existence of the committee; and
4. The rules for the governance of the committee.
Ê The membership of the committee must include a member who is a representative of any business or industry which may be affected by any advice provided by the committee. The members of an advisory committee created pursuant to this section serve without compensation unless an appropriation or other money for that purpose is provided by the Legislature.
(Added to NRS by 1995, 2173; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; A 2015, 3652, 3653)
NRS 598.096 Powers of Director, Commissioner and Attorney General. When the Commissioner, Director or Attorney General has cause to believe that any person has engaged or is engaging in any deceptive trade practice, he or she may:
1. Request the person to file a statement or report in writing under oath or otherwise, on such forms as may be prescribed by the Commissioner, Director or Attorney General, as to all facts and circumstances concerning the sale or advertisement of property by the person, and such other data and information as the Commissioner, Director or Attorney General may deem necessary.
2. Examine under oath any person in connection with the sale or advertisement of any property.
3. Examine any property or sample thereof, record, book, document, account or paper as he or she may deem necessary.
4. Make true copies, at the expense of the Consumer Affairs Unit of the Department of Business and Industry, of any record, book, document, account or paper examined pursuant to subsection 3, which copies may be offered into evidence in lieu of the originals thereof in actions brought pursuant to NRS 598.097 and 598.0979.
5. Pursuant to an order of any district court, impound any sample of property which is material to the deceptive trade practice and retain the property in his or her possession until completion of all proceedings as provided in NRS 598.0903 to 598.0999, inclusive. An order may not be issued pursuant to this subsection unless:
(a) The Commissioner, Director or Attorney General and the court give the accused full opportunity to be heard; and
(b) The Commissioner, Director or Attorney General proves by clear and convincing evidence that the business activities of the accused will not be impaired thereby.
(Added to NRS by 1973, 1485; A 1983, 883; 1993, 1799; 1997, 3195; 2009, 2713; 2011, 2652; 2013, 1054; 2015, 3653)
NRS 598.0963 Additional powers of Attorney General.
1. Whenever the Attorney General is requested in writing by the Commissioner or the Director to represent him or her in instituting a legal proceeding against a person who has engaged or is engaging in a deceptive trade practice, the Attorney General may bring an action in the name of the State of Nevada against that person on behalf of the Commissioner or Director.
2. The Attorney General may institute criminal proceedings to enforce the provisions of NRS 598.0903 to 598.0999, inclusive. The Attorney General is not required to obtain leave of the court before instituting criminal proceedings pursuant to this subsection.
3. If the Attorney General has reason to believe that a person has engaged or is engaging in a deceptive trade practice, the Attorney General may bring an action in the name of the State of Nevada against that person to obtain a temporary restraining order, a preliminary or permanent injunction, or other appropriate relief, including, without limitation, the recovery of a civil penalty, disgorgement, restitution or the recovery of damages:
(a) As parens patriae of the persons residing this State, with respect to damages sustained directly or indirectly by such persons, or, alternatively, if the court finds in its discretion that the interests of justice so require, as a representative of a class or classes consisting of persons residing in this State who have been damaged directly or indirectly; or
(b) As parens patriae, with respect to direct or indirect damages to the general economy of the State of Nevada or any agency or political subdivision thereof.
4. If the Attorney General has cause to believe that a person has engaged or is engaging in a deceptive trade practice, the Attorney General may issue a subpoena to require the testimony of any person or the production of any documents, and may administer an oath or affirmation to any person providing such testimony. The subpoena must be served upon the person in the manner required for service of process in this State or by certified mail with return receipt requested. An employee of the Attorney General may personally serve the subpoena.
(Added to NRS by 1985, 1479; A 1993, 2095; 1997, 3195; 2007, 738; 2009, 1188, 2713; 2011, 2652; 2013, 1031, 1054; 2015, 3653; 2017, 1533, 4350; 2021, 1347, 1449; 2023, 1190)
NRS 598.09635 Attorney General to prepare report for each state of emergency or declaration of disaster concerning certain deceptive trade practices. For each state of emergency or declaration of disaster proclaimed pursuant to NRS 414.070, the Attorney General shall prepare a report containing aggregate data or information concerning the number and type of complaints received by the Attorney General during the emergency or disaster that relate to the commission of a deceptive trade practice of the type described in NRS 598.09235. The Attorney General shall cause the report to be posted on the Internet website of the Attorney General not later than 30 days after the earlier of:
1. The termination of the state of emergency or declaration of disaster by the Governor or the Legislature pursuant to NRS 414.070; or
2. The 75th day that the state of emergency or declaration of disaster is in effect.
(Added to NRS by 2021, 1344)
NRS 598.0964 Use and sharing of confidential information by Attorney General; cooperation between Attorney General and other agencies and officials.
1. The Attorney General, in the course of the investigation of any alleged violations of this chapter, may obtain and use any intelligence, investigative information or other information obtained by or made available to the Attorney General. Except as otherwise provided in subsections 2 and 3, any such intelligence or information received must retain its confidential status under the laws of this State until the Attorney General institutes civil or criminal proceedings and is exempt from the provisions of NRS 239.010.
2. Except as otherwise provided in subsection 4, the Attorney General may cooperate with and coordinate the enforcement of the provisions of this chapter with State and local agencies, officials of the Federal Government and the several states, including, but not limited to, the sharing of information and evidence obtained in accordance with subsection 1 or NRS 598.0963.
3. The provisions of subsections 1 and 2 do not prohibit the Attorney General from disclosing any intelligence or information received pursuant to subsection 1, including, without limitation, the address or telephone number of a business or organization, before the Attorney General institutes civil or criminal proceedings if, in the discretion of the Attorney General, that disclosure is necessary to protect consumers and businesses.
4. If any information sought pursuant to an investigation of an alleged violation of this chapter includes a trade secret, the Attorney General shall enter into, and be bound by, an agreement regarding limitations on the disclosure of that information to protect that trade secret. Notwithstanding the provisions of this section, the Attorney General shall not disclose that information in violation of the terms of the agreement. For the purposes of this subsection, “trade secret” has the meaning ascribed to it in NRS 600A.030.
(Added to NRS by 2009, 1187)
NRS 598.0965 Commissioner or Director to provide investigative assistance to Attorney General; legal advice and guidance by Attorney General.
1. The Commissioner or Director shall provide investigative assistance, including the identification and use of relevant evidence in his or her possession, necessary for litigation referred to the Attorney General pursuant to NRS 598.0963 or 598.0979. The Attorney General shall provide legal advice and guidance to the Commissioner or Director in carrying out his or her powers and duties pursuant to NRS 598.0903 to 598.0999, inclusive, including the investigation of any alleged violation of those sections and the preparation for litigation.
2. Upon written request by the Attorney General, the Commissioner or Director may provide any investigative assistance, including evidence and information in his or her possession, for use in any action brought by the Attorney General pursuant to subsection 3 of NRS 598.0963. No request for assistance may be unreasonably denied.
(Added to NRS by 1985, 1480; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; A 2015, 3646, 3652, 3653)
NRS 598.0966 Revolving account for Consumer Affairs Unit: Creation; duties of Director or designee; deposits; use.
1. There is hereby created a revolving account for the Consumer Affairs Unit of the Department of Business and Industry. The account must be administered by the Director or his or her designee.
2. The Director or his or her designee shall deposit any grant of money received by the Unit into the account, and any money in the account must be used solely to defray the costs and expenses of the Unit.
3. The Director or his or her designee shall deposit any administrative fines received by the Unit into the State General Fund.
(Added to NRS by 1997, 157; A 1999, 1516; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; A 2015, 3647, 3652, 3653; 2021, 2744)
NRS 598.0967 Commissioner and Director: Subpoenas; hearings; regulations.
1. The Commissioner and the Director, in addition to other powers conferred upon them by NRS 598.0903 to 598.0999, inclusive, may issue subpoenas to require the attendance of witnesses or the production of documents, conduct hearings in aid of any investigation or inquiry and prescribe such forms and adopt such regulations as may be necessary to administer the provisions of NRS 598.0903 to 598.0999, inclusive. Such regulations may include, without limitation, provisions concerning the applicability of the provisions of NRS 598.0903 to 598.0999, inclusive, to particular persons or circumstances.
2. Except as otherwise provided in this subsection, service of any notice or subpoena must be made by certified mail with return receipt or as otherwise allowed by law. An employee of the Consumer Affairs Unit of the Department of Business and Industry may personally serve a subpoena issued pursuant to this section.
(Added to NRS by 1973, 1485; A 1981, 95; 1983, 883; 1995, 2174; 2005, 1227; 2007, 739; 2009, 1189; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1032, 1054; A 2015, 3647, 3652, 3653; 2017, 1533, 4351; 2021, 1348, 1449)
NRS 598.097 Commissioner, Director and Attorney General: Equitable relief. If any person fails to cooperate with any investigation, as provided in NRS 598.096, or if any person fails to obey a subpoena issued by the Commissioner, Director or Attorney General pursuant to NRS 598.0963 or 598.0967, the Commissioner, Director or Attorney General may apply to any district court for equitable relief. The application must state reasonable grounds showing that the relief is necessary to terminate or prevent a deceptive trade practice. If the court is satisfied of the reasonable grounds, the court may:
1. Grant injunctive relief restraining the sale or advertisement of any property by the person.
2. Require the attendance of or the production of documents by the person, or both.
3. Order the person to cease doing business within this State.
4. Grant other relief necessary to compel compliance by the person.
(Added to NRS by 1973, 1485; A 1983, 883; 1997, 3196; 2009, 2714; 2011, 2652; 2013, 1054; 2015, 3647, 3653)
NRS 598.0971 Orders for enforcement: Authority of Commissioner, Attorney General and Director or designee; judicial review and enforcement; administrative fine; civil penalty and equitable relief.
1. If, after an investigation, the Commissioner or Attorney General has reasonable cause to believe that any person has been engaged or is engaging in any deceptive trade practice in violation of NRS 598.0903 to 598.0999, inclusive, the Commissioner or Attorney General may issue an order directed to the person to show cause why the Director should not order the person to cease and desist from engaging in the practice and to pay an administrative fine. The order must contain a statement of the charges and a notice of a hearing to be held thereon. The order must be served upon the person directly, by certified or registered mail, return receipt requested, or in any other manner permitted by the Nevada Rules of Civil Procedure for the service of process in civil actions.
2. An administrative hearing on any action brought by the Commissioner or Attorney General must be conducted before the Director or his or her designee.
3. If, after conducting a hearing pursuant to the provisions of subsection 2, the Director or his or her designee determines that the person has violated any of the provisions of NRS 598.0903 to 598.0999, inclusive, or if the person fails to appear for the hearing after being properly served with the statement of charges and notice of hearing, the Director or his or her designee shall issue an order setting forth his or her findings of fact concerning the violation and cause to be served a copy thereof upon the person and any intervener at the hearing. If the Director or his or her designee determines in the report that such a violation has occurred, he or she may order the violator to:
(a) Cease and desist from engaging in the practice or other activity constituting the violation;
(b) Pay the costs of conducting the investigation, costs of conducting the hearing, costs of reporting services, fees for experts and other witnesses, charges for the rental of a hearing room if such a room is not available to the Director or his or her designee free of charge, charges for providing an independent hearing officer, if any, and charges incurred for any service of process, if the violator is adjudicated to have committed a violation of NRS 598.0903 to 598.0999, inclusive;
(c) Provide restitution for any money or property improperly received or obtained as a result of the violation; and
(d) Impose an administrative fine of $1,000 or treble the amount of restitution ordered, whichever is greater.
Ê The order must be served upon the person directly or by certified or registered mail, return receipt requested. The order becomes effective upon service in the manner provided in this subsection.
4. Any person whose pecuniary interests are directly and immediately affected by an order issued pursuant to subsection 3 or who is aggrieved by the order may petition for judicial review in the manner provided in chapter 233B of NRS. Such a petition must be filed within 30 days after the service of the order. The order becomes final upon the filing of the petition.
5. If a person fails to comply with any provision of an order issued by the Director or his or her designee pursuant to subsection 3, the Attorney General, or the Commissioner or Director through the Attorney General, may, at any time after 30 days after the service of the order, cause an action to be instituted in the district court of the county wherein the person resides or has his or her principal place of business requesting the court to enforce the provisions of the order or to provide any other appropriate injunctive relief.
6. If the court finds that the person has failed to comply with an order issued by the Director or his or her designee pursuant to subsection 3, the court shall issue an order enforcing the provisions of the order of the Director or his or her designee.
7. An order issued pursuant to subsection 6 may include:
(a) A provision requiring the payment to the Consumer Affairs Unit of the Department of Business and Industry of a penalty of not more than $5,000 for each act amounting to a failure to comply with the Director’s or designee’s order;
(b) An order that the person cease doing business within this State; and
(c) Such injunctive or other equitable or extraordinary relief as is determined appropriate by the court.
8. Any aggrieved party may appeal from the final judgment, order or decree of the court in a like manner as provided for appeals in civil cases.
9. Upon the violation of any judgment, order or decree issued pursuant to subsection 6 or 7, the Commissioner, after a hearing thereon, may proceed in accordance with the provisions of NRS 598.0999.
(Added to NRS by 1995, 2173; A 2005, 1228, 1249, 1427; 2007, 739; 2009, 1189; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1032, 1054; A 2015, 3648, 3652, 3653; 2017, 1534, 4351; 2021, 1348, 1450)
NRS 598.0973 Civil penalty for engaging in deceptive trade practice directed toward elderly person or person with disability.
1. Except as otherwise provided in NRS 598.0974, in any action or proceeding brought pursuant to NRS 598.0903 to 598.0999, inclusive, if the court or the Director or his or her designee finds that a person has engaged in a deceptive trade practice directed toward an elderly person or a person with a disability, the court or the Director or his or her designee may, in addition to any other civil or criminal penalty, impose a civil penalty of:
(a) For a deceptive trade practice directed toward a person with a disability, not more than $15,000 for each violation.
(b) For a deceptive trade practice directed toward an elderly person, not more than $25,000 for each violation.
2. In determining whether to impose a civil penalty pursuant to subsection 1, the court or the Director or his or her designee shall consider whether:
(a) The conduct of the person was in disregard of the rights of the elderly person or person with a disability;
(b) The person knew or should have known that his or her conduct was directed toward an elderly person or a person with a disability;
(c) The elderly person or person with a disability was more vulnerable to the conduct of the person because of the age, health, infirmity, impaired understanding, restricted mobility or disability of the elderly person or person with a disability;
(d) The conduct of the person caused the elderly person or person with a disability to suffer actual and substantial physical, emotional or economic damage;
(e) The conduct of the person caused the elderly person or person with a disability to suffer:
(1) Mental or emotional anguish;
(2) The loss of the primary residence of the elderly person or person with a disability;
(3) The loss of the principal employment or source of income of the elderly person or person with a disability;
(4) The loss of money received from a pension, retirement plan or governmental program;
(5) The loss of property that had been set aside for retirement or for personal or family care and maintenance;
(6) The loss of assets which are essential to the health and welfare of the elderly person or person with a disability; or
(7) Any other interference with the economic well-being of the elderly person or person with a disability, including the encumbrance of his or her primary residence or principal source of income; or
(f) Any other factors that the court or the Director or his or her designee deems to be appropriate.
(Added to NRS by 1993, 1978; A 2005, 1251, 1428; 2009, 1190; 2021, 1349; 2023, 1190)
NRS 598.09735 Civil penalty for engaging in deceptive trade practice directed toward minor person.
1. Except as otherwise provided in NRS 598.0974, in any action or proceeding brought pursuant to NRS 598.0903 to 598.0999, inclusive, if the court or the Director or his or her designee finds that a person has engaged in a deceptive trade practice directed toward a minor person, the court or the Director or his or her designee may, in addition to any other civil or criminal penalty, impose a civil penalty of not more than $25,000 for each violation.
2. In determining whether to impose a civil penalty pursuant to subsection 1, the court or the Director or his or her designee shall consider whether:
(a) The conduct of the person was in disregard of the rights of the minor person;
(b) The person knew or should have known that his or her conduct was directed toward a minor person;
(c) The minor person was more vulnerable to the conduct of the person because of the age of the minor person;
(d) The conduct of the person caused the minor person to suffer actual and substantial physical, emotional or economic damage;
(e) The conduct of the person caused the minor person to suffer:
(1) Mental or emotional anguish;
(2) The loss of money or financial support received from any source;
(3) The loss of property that had been set aside for education or for personal or family care and maintenance;
(4) The loss of assets which are essential to the health and welfare of the minor person; or
(5) Any other interference with the economic well-being of the minor person; or
(f) Any other factors that the court or the Director or his or her designee deems to be appropriate.
3. As used in this section, “minor person” means a person who is 17 years of age or younger.
(Added to NRS by 2021, 1345; A 2023, 1191)
NRS 598.0974 Civil penalty prohibited under certain circumstances. A civil penalty must not be imposed against any person who engages in a deceptive trade practice pursuant to NRS 598.0903 to 598.0999, inclusive, in a civil proceeding brought by the Commissioner, Director or Attorney General if a fine has previously been imposed against that person by the Department of Motor Vehicles pursuant to NRS 482.554 for the same act.
(Added to NRS by 2005, 1249; A 2009, 1191, 2714; 2011, 2652; 2013, 1054; 2015, 3653; 2021, 1350)
NRS 598.0975 Deposit and use of money collected pursuant to NRS 598.0903 to 598.0999, inclusive; exception for criminal fines and restitution.
1. Except as otherwise provided in subsection 3 and in subsection 1 of NRS 598.0999, all fees, civil penalties and any other money collected pursuant to the provisions of NRS 598.0903 to 598.0999, inclusive:
(a) In an action brought by the Attorney General, must be deposited in the Consumer Protection Administrative Account pursuant to NRS 228.332.
(b) In an action brought by the district attorney of a county, must be deposited with the county treasurer of that county and accounted for separately in the county general fund.
2. Money in the account created pursuant to paragraph (b) of subsection 1 must be used by the district attorney of the county for:
(a) The investigation and prosecution of deceptive trade practices against elderly persons or persons with disabilities; and
(b) Programs for the education of consumers which are directed toward elderly persons or persons with disabilities, law enforcement officers, members of the judicial system, persons who provide social services and the general public.
3. The provisions of this section do not apply to:
(a) Criminal fines imposed pursuant to NRS 598.0903 to 598.0999, inclusive; or
(b) Restitution ordered pursuant to NRS 598.0903 to 598.0999, inclusive, in an action brought by the Attorney General. Money collected for restitution ordered in such an action must be deposited by the Attorney General and credited to the appropriate account of the Consumer Affairs Unit of the Department of Business and Industry or the Attorney General for distribution to the person for whom the restitution was ordered.
(Added to NRS by 1993, 1979; A 1995, 930; 2001, 2928; 2009, 2714; 2011, 2652; 2013, 1054; 2015, 2208, 3649, 3653; 2021, 2185)
NRS 598.0977 Civil action by elderly person or person with disability against person who engaged in deceptive trade practice; remedies. [Effective through March 30, 2024.] If an elderly person or a person with a disability suffers damage or injury as a result of a deceptive trade practice, he or she or his or her legal representative, if any, may commence a civil action against any person who engaged in the practice to recover the actual damages suffered by the elderly person or person with a disability, punitive damages, if appropriate, and reasonable attorney’s fees. The collection of any restitution awarded pursuant to this section has a priority over the collection of any civil penalty imposed pursuant to NRS 598.0973.
(Added to NRS by 1993, 1979)
NRS 598.0977 Civil action by elderly person or person with disability against person who engaged in deceptive trade practice; remedies. [Effective March 31, 2024.] Except as otherwise provided in NRS 603A.550, an elderly person or a person with a disability suffers damage or injury as a result of a deceptive trade practice, he or she or his or her legal representative, if any, may commence a civil action against any person who engaged in the practice to recover the actual damages suffered by the elderly person or person with a disability, punitive damages, if appropriate, and reasonable attorney’s fees. The collection of any restitution awarded pursuant to this section has a priority over the collection of any civil penalty imposed pursuant to NRS 598.0973.
(Added to NRS by 1993, 1979; A 2023, 3452, effective March 31, 2024)
NRS 598.0979 Restraining orders; injunctions; assurances of discontinuance.
1. Notwithstanding the requirement of knowledge as an element of a deceptive trade practice, when the Commissioner or Director has cause to believe that a person has engaged or is engaging in any deceptive trade practice, knowingly or otherwise, he or she may request in writing that the Attorney General represent him or her in instituting an appropriate legal proceeding, including, without limitation, an application for an injunction or temporary restraining order prohibiting the person from continuing the practices. The court may make orders or judgments necessary to prevent the use by the person of any such deceptive trade practice or to restore to any other person any money or property which may have been acquired by the deceptive trade practice.
2. Where the Commissioner or Director has the authority to institute a civil action or other proceeding, in lieu thereof or as a part thereof, he or she may accept an assurance of discontinuance of any deceptive trade practice. This assurance may include a stipulation for the payment by the alleged violator of:
(a) The costs of investigation and the costs of instituting the action or proceeding, including attorney’s fees for the services of the Attorney General;
(b) Any amount of money which he or she may be required to pay pursuant to the provisions of NRS 598.0971 in lieu of any administrative fine; and
(c) The restitution of any money or property acquired by any deceptive trade practice.
3. Any assurance of discontinuance accepted by the Commissioner or Director pursuant to subsection 2 must be filed with the court in the same manner as required by the Attorney General pursuant to NRS 598.0995 and, upon acceptance by the court, becomes an order of the court. An assurance of discontinuance made pursuant to subsection 2 is not an admission of guilt or liability for any purpose, except that any failure to comply with the provisions of the assurance is enforceable in the same manner as provided in subsection 7 of NRS 598.0971.
(Added to NRS by 1973, 1485; A 1983, 884; 1985, 1480, 2258; 1995, 2175; 2007, 2120; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; A 2015, 3650, 3652, 3653)
NRS 598.098 Use and disclosure of information by Commissioner or Director; regulations.
1. The Commissioner or Director may, during the course of the investigation of any alleged violation of this chapter, obtain and use any intelligence, investigative information or other information obtained by or made available to the Commissioner or Director. Except as otherwise provided in subsections 2 and 3, any such intelligence or information received must remain confidential under the laws of this State until the Commissioner or Director obtains a final administrative order pursuant to NRS 598.0971 and is exempt from the provisions of NRS 239.010.
2. Except as otherwise provided in subsection 4, the Commissioner or Director may cooperate with and coordinate the enforcement of the provisions of this chapter with the Attorney General, any state or local governmental agencies, officer of the Federal Government and the several states, including, without limitation, the sharing of information and evidence obtained in accordance with NRS 598.0967.
3. The provisions of subsections 1 and 2 do not prohibit the Commissioner or Director from disclosing any intelligence or information received pursuant to subsection 1, including, without limitation, the address or telephone number of a business or organization.
4. If any information sought pursuant to an investigation of an alleged violation of this chapter includes a trade secret, the Commissioner or Director shall enter into, and be bound by, an agreement regarding limitations on the disclosure of the information to protect the trade secret. Notwithstanding the provisions of this section, the Commissioner or Director shall not disclose that information in violation of the terms of the agreement. As used in this subsection, “trade secret” has the meaning ascribed to it in NRS 600A.030.
(Added to NRS by 1973, 1486; A 1983, 884; 1985, 1481; 1995, 2175; 2005, 1429; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; A 2015, 3651, 3652, 3653)
NRS 598.0983 Actions by district attorney: Prerequisites.
1. Before instituting any action pursuant to NRS 598.0985 to 598.0997, inclusive, the district attorney shall ascertain whether or not the action in question is subject to the regulatory authority of any state agency, board, official or other authority established by virtue of the Nevada Revised Statutes except the regulatory or administrative authority provided to the Commissioner, Director or Attorney General by NRS 598.0903 to 598.0999, inclusive.
2. If the action is subject to such regulatory authority or any regulation adopted or any statutes administered by any state regulatory agency, board, official or other authority as provided in subsection 1, the district attorney shall not institute any proceeding under NRS 598.0985 to 598.0997, inclusive, until the state agency, board, official or other state regulatory authority has had reasonable time to investigate or take any appropriate action with respect to the alleged facts.
3. For the purposes of this section, a reasonable time has elapsed if no final action or other disposition is made of any matter otherwise falling within the provisions of NRS 598.0903 to 598.0999, inclusive, within 30 days after the matter is referred to or brought to the attention of any state agency, board, official or other regulatory authority except the Commissioner, Director or Attorney General.
4. This section does not prohibit the district attorney of any county from filing an action pursuant to the provisions of NRS 598.0985 to 598.099, inclusive, if the referral of any matters subject to the provisions of NRS 598.0903 to 598.0999, inclusive, to any state agency, board, official or other regulatory authority would cause immediate harm to the public of this state or endanger the public health, safety or welfare, and such facts are shown by affidavit or by verified complaint.
(Added to NRS by 1973, 1486; A 1983, 885; 1985, 1481; 2009, 2715; 2011, 2652; 2013, 1054; 2015, 3653)
NRS 598.0985 Actions by district attorney: Injunctive relief. Notwithstanding the requirement of knowledge as an element of a deceptive trade practice, and notwithstanding the enforcement powers granted to the Commissioner or Director pursuant to NRS 598.0903 to 598.0999, inclusive, whenever the district attorney of any county has reason to believe that any person is using, has used or is about to use any deceptive trade practice, knowingly or otherwise, he or she may bring an action in the name of the State of Nevada against that person to obtain a temporary or permanent injunction against the deceptive trade practice.
(Added to NRS by 1973, 1487; A 1983, 885; 1985, 2259; 2007, 740; 2009, 2715; 2011, 2652; 2013, 1033, 1054; 2015, 3653; 2017, 1535, 4353; 2021, 1350, 1451)
NRS 598.0987 Actions by district attorney: Preliminary notice required before filing; exception. Except as otherwise provided in NRS 598.099, appropriate notice must be given by the district attorney to any person against whom an action is brought pursuant to NRS 598.0985. Such notice must state generally the relief sought and be served in accordance with NRS 598.0997 at least 10 days prior to the filing of the action.
(Added to NRS by 1973, 1487)
NRS 598.0989 Actions by district attorney: Venue; powers of court. Any action brought pursuant to NRS 598.0963 or 598.0977 to 598.099, inclusive, may be brought:
1. In a district court in the county in which the defendant resides or has his or her principal place of business;
2. In the district court in Carson City if the parties consent thereto; or
3. In the district court in any county where a deceptive trade practice has occurred.
Ê Any court in which an action is brought pursuant to those sections may issue any temporary or permanent injunction in accordance with the Nevada Rules of Civil Procedure to restrain and prevent any violation of any provisions of NRS 598.0903 to 598.0999, inclusive, and such injunctions must be issued without bond.
(Added to NRS by 1973, 1487; A 1985, 1482)
NRS 598.099 Injunctions without prior notice. Whenever the district attorney or the Attorney General has reason to believe that the delay caused by complying with the notice requirement of NRS 598.0987 or the requirements of subsection 3 of NRS 598.0963 would cause immediate harm to the public of this state or endanger the public welfare, he or she may immediately institute an action for injunctive relief, including a request for a temporary restraining order, upon proof of specific facts shown by affidavit or by verified complaint or otherwise that such immediate harm will be or is likely to be caused by the delay. The Attorney General shall give written notice of the filing by the Attorney General of such an action to the Commissioner or Director. The Nevada Rules of Civil Procedure pertaining to the issuance of temporary restraining orders govern all actions instituted pursuant to this section.
(Added to NRS by 1973, 1487; A 1985, 1482; 2009, 2715; 2011, 2652; 2013, 1054; 2015, 3653)
NRS 598.0993 Relief for injured persons. The court in which an action is brought pursuant to NRS 598.0979 and 598.0985 to 598.099, inclusive, may make such additional orders or judgments as may be necessary to restore to any person in interest any money or property, real or personal, which may have been acquired by means of any deceptive trade practice which violates any of the provisions of NRS 598.0903 to 598.0999, inclusive, but such additional orders or judgments may be entered only after a final determination has been made that a deceptive trade practice has occurred.
(Added to NRS by 1973, 1487; A 2007, 741; 2009, 2716; 2011, 2652; 2013, 1033, 1054; 2015, 3653; 2017, 1535, 4353; 2021, 1351, 1451)
NRS 598.0995 Assurances of discontinuance.
1. In proceeding pursuant to subsection 3 of NRS 598.0963 or NRS 598.0987 to 598.0995, inclusive, the district attorney or Attorney General may accept an assurance of discontinuance with respect to any method, act or practice deemed to be a deceptive trade practice from any person who is engaged or is about to engage in the method, act or practice by following the procedures set forth in NRS 598.0979.
2. Any assurance made pursuant to subsection 1 must be in writing and must be filed with and subject to the approval of the district court in the county in which the alleged violator resides or has his or her principal place of business, or the district court in any county where any deceptive trade practice has occurred or is about to occur or the district court agreed to by the parties.
3. An assurance of discontinuance made pursuant to subsections 1 and 2 is not an admission of violation for any purpose, but is subject to the terms, limitations and conditions of NRS 598.0979.
(Added to NRS by 1973, 1488; A 1985, 1482, 2259; 2009, 2716; 2011, 2652; 2013, 1054; 2015, 3652, 3653)
NRS 598.0997 Service of notices. Service of any notice under NRS 598.0985 to 598.0995, inclusive, shall be made by personal service within the State of Nevada, but if such service cannot be obtained, substituted service therefor may be made in any of the following ways:
1. Personal service thereof outside the State of Nevada;
2. The mailing thereof by registered or certified mail to the last known place of business, residence or both, whether inside or outside the State of Nevada, of such person for whom the notice is intended, in which event such service shall be deemed complete upon the third day following the mailing of any notice required under this section;
3. As to any person other than a natural person, service shall be in the manner provided in the Nevada Rules of Civil Procedure for completing service of process on such a person, corporation, association or organization; or
4. Such service as any district court may direct in lieu of personal service within the State of Nevada.
(Added to NRS by 1973, 1488)
NRS 598.0999 Civil and criminal penalties for violations.
1. Except as otherwise provided in NRS 598.0974, a person who violates a court order or injunction issued pursuant to the provisions of NRS 598.0903 to 598.0999, inclusive, upon a complaint brought by the Commissioner, the Director, the district attorney of any county of this State or the Attorney General shall forfeit and pay to the State General Fund a civil penalty of not more than $10,000 for each violation. For the purpose of this section, the court issuing the order or injunction retains jurisdiction over the action or proceeding. Such civil penalties are in addition to any other penalty or remedy available for the enforcement of the provisions of NRS 598.0903 to 598.0999, inclusive.
2. Except as otherwise provided in NRS 598.0974, in any action brought pursuant to the provisions of NRS 598.0903 to 598.0999, inclusive, if the court finds that a person has willfully engaged in a deceptive trade practice, the Commissioner, the Director, the district attorney of any county in this State or the Attorney General bringing the action may recover a civil penalty not to exceed $15,000 for each violation. The court in any such action may, in addition to any other relief or reimbursement, award reasonable attorney’s fees and costs.
3. A natural person, firm, or any officer or managing agent of any corporation or association who knowingly and willfully engages in a deceptive trade practice:
(a) For an offense involving a loss of property or services valued at $1,200 or more but less than $5,000, is guilty of a category D felony and shall be punished as provided in NRS 193.130.
(b) For an offense involving a loss of property or services valued at $5,000 or more but less than $25,000, is guilty of a category C felony and shall be punished as provided in NRS 193.130.
(c) For an offense involving a loss of property or services valued at $25,000 or more but less than $100,000, is guilty of a category B felony and shall be punished by imprisonment in the state prison for a minimum term of not less than 1 year and a maximum term of not more than 10 years, and by a fine of not more than $10,000.
(d) For an offense involving a loss of property or services valued at $100,000 or more, is guilty of a category B felony and shall be punished by imprisonment in the state prison for a minimum term of not less than 1 year and a maximum term of not more than 20 years, and by a fine of not more than $15,000.
(e) For any offense other than an offense described in paragraphs (a) to (d), inclusive, is guilty of a misdemeanor.
Ê The court may require the natural person, firm, or officer or managing agent of the corporation or association to pay to the aggrieved party damages on all profits derived from the knowing and willful engagement in a deceptive trade practice and treble damages on all damages suffered by reason of the deceptive trade practice.
4. If a person violates any provision of NRS 598.0903 to 598.0999, inclusive, 598.100 to 598.2801, inclusive, 598.405 to 598.525, inclusive, 598.741 to 598.787, inclusive, 598.840 to 598.966, inclusive, or 598.9701 to 598.9718, inclusive, fails to comply with a judgment or order of any court in this State concerning a violation of such a provision, or fails to comply with an assurance of discontinuance or other agreement concerning an alleged violation of such a provision, the Commissioner or the district attorney of any county may bring an action in the name of the State of Nevada seeking:
(a) The suspension of the person’s privilege to conduct business within this State; or
(b) If the defendant is a corporation, dissolution of the corporation.
Ê The court may grant or deny the relief sought or may order other appropriate relief.
5. If a person violates any provision of NRS 228.500 to 228.640, inclusive, fails to comply with a judgment or order of any court in this State concerning a violation of such a provision, or fails to comply with an assurance of discontinuance or other agreement concerning an alleged violation of such a provision, the Attorney General may bring an action in the name of the State of Nevada seeking:
(a) The suspension of the person’s privilege to conduct business within this State; or
(b) If the defendant is a corporation, dissolution of the corporation.
Ê The court may grant or deny the relief sought or may order other appropriate relief.
6. In an action brought by the Commissioner or the Attorney General pursuant to subsection 4 or 5, process may be served by an employee of the Consumer Affairs Unit of the Department of Business and Industry or an employee of the Attorney General.
7. As used in this section:
(a) “Property” has the meaning ascribed to it in NRS 193.0225.
(b) “Services” has the meaning ascribed to it in NRS 205.0829.
(c) “Value” means the fair market value of the property or services at the time the deceptive trade practice occurred. The value of a written instrument which does not have a readily ascertainable market value is the greater of the face amount of the instrument less the portion satisfied or the amount of economic loss to the owner of the instrument resulting from the deprivation of the instrument. The trier of fact shall determine the value of all other property whose value is not readily ascertainable, and may, in making that determination, consider all relevant evidence, including evidence of the value of the property to its owner.
(Added to NRS by 1973, 1488; A 1983, 885; 1985, 1483, 2255, 2260; 1993, 1957; 1995, 1306, 2176; 1997, 603; 1999, 3334; 2001, 482, 660, 982, 2150; 2003, 1824, 2875, 2887; 2005, 1229, 1251, 1430; 2007, 741; 2009, 1191, 2716; 2011, 2652; 2013, 1033, 1054; 2015, 3653; 2017, 1312, 1535, 4062, 4353; 2021, 1351, 1451; 2023, 1192)
PYRAMID PROMOTIONAL SCHEMES; ENDLESS CHAINS
NRS 598.100 Definitions. For the purposes of NRS 598.100 to 598.130, inclusive:
1. “Compensation” does not mean payment based on sales of goods or services to persons who are not participants in a pyramid promotional scheme or endless chain and who are not purchasing in order to participate in such a program.
2. “Promotes” means inducing one or more other persons to become a participant in a pyramid promotional scheme or endless chain.
3. A “pyramid promotional scheme” means any program or plan for the disposal or distribution of property and merchandise or property or merchandise by which a participant gives or pays a valuable consideration for the opportunity or chance to receive any compensation or thing of value in return for procuring or obtaining one or more additional persons to participate in the program, or for the opportunity to receive compensation of any kind when a person introduced to the program or plan by the participant procures or obtains a new participant in such a program.
(Added to NRS by 1971, 666; A 1985, 530)
NRS 598.110 Pyramid promotional schemes or endless chains are deceptive trade practices. Every person who contrives, prepares, sets up, proposes, operates, advertises or promotes any pyramid promotional scheme or endless chain commits a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.
(Added to NRS by 1971, 666; A 1993, 1957)
NRS 598.120 Contracts and agreements voidable by participant. All contracts and agreements, existing or made in the future, which have any part of the consideration given for the right to participate in a pyramid promotional scheme or endless chain as defined in NRS 598.100 to 598.130, inclusive, are against public policy and voidable by a participant.
(Added to NRS by 1971, 666)
NRS 598.130 Injunctive relief; receivership. In addition to any other relief available under NRS 598.100 to 598.130, inclusive:
1. The Attorney General or any district attorney may commence an action in the district court having jurisdiction of the area where a pyramid promotional scheme or endless chain is being prepared, operated or promoted to enjoin or obtain any other equitable relief to prevent the further preparation, operation, promotion or prosecution of such scheme or chain. In addition to the relief authorized by this section, the court may award reasonable attorneys’ fees and costs in any action brought under this section.
2. The Attorney General or any district attorney may petition the district court having jurisdiction of the area where a pyramid promotional scheme or endless chain is being prepared, operated or promoted to appoint receivers to secure and distribute in an equitable manner any assets received by any participant as a result of such scheme or program. Any such distribution must effect, to the extent possible, reimbursement for uncompensated payments made to become a participant in the scheme. In any such action, the court may, in addition to any other relief or reimbursement, award reasonable attorneys’ fees and costs.
(Added to NRS by 1971, 666; A 1993, 1957)
SOLICITATIONS FOR OR ON BEHALF OF CHARITABLE ORGANIZATIONS
NRS 598.1305 Prohibited acts; jurisdiction of Attorney General; violation constitutes deceptive trade practice.
1. A person, in planning, conducting or executing a solicitation for or on behalf of a charitable organization or nonprofit corporation, shall not:
(a) Make any claim or representation concerning a contribution which directly, or by implication, has the capacity, tendency or effect of deceiving or misleading a person acting reasonably under the circumstances; or
(b) Omit any material fact deemed to be equivalent to a false, misleading or deceptive claim or representation if the omission, when considering what has been said or implied, has or would have the capacity, tendency or effect of deceiving or misleading a person acting reasonably under the circumstances.
2. Notwithstanding any other provisions of this chapter, the Attorney General has primary jurisdiction to investigate and prosecute a violation of this section.
3. Except as otherwise provided in NRS 41.480 and 41.485, a violation of this section constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.
4. As used in this section:
(a) “Charitable organization”:
(1) Means any person who, directly or indirectly, solicits contributions and who:
(I) The Secretary of the Treasury has determined to be tax exempt pursuant to the provisions of section 501(c)(3) of the Internal Revenue Code, 26 U.S.C. § 501(c)(3);
(II) Is or purports to be established for any benevolent, philanthropic, patriotic, educational, humane, scientific, public health, environmental conservation, civic or other eleemosynary purpose, or for the benefit of law enforcement, firefighting or other public safety personnel; or
(III) In any manner employs a charitable appeal as the basis of any solicitation or an appeal that suggests there is a charitable reason for a solicitation.
(2) Does not include an organization which is established for and serving bona fide religious purposes.
(b) “Charitable reason” means:
(1) Any reason described in section 501(c)(3) of the Internal Revenue Code, 26 U.S.C. § 501(c)(3);
(2) Any benevolent, philanthropic, patriotic, educational, humane, scientific, public health, environmental conservation, civic or other eleemosynary reason; or
(3) Any objective that benefits law enforcement, firefighting or other public safety personnel.
(c) “Solicitation” means a request for a contribution to a charitable organization or nonprofit corporation that is made by any means, including, without limitation:
(1) Mail;
(2) Commercial carrier;
(3) Telephone, facsimile, electronic mail or other electronic medium or device; or
(4) A face-to-face meeting.
Ê The term includes, without limitation, solicitations which are made from a location within this State and solicitations which are made from a location outside of this State to persons located in this State.
(Added to NRS by 1997, 3194; A 2013, 723; 2015, 2255; 2021, 229)
SALES PROMOTIONS
NRS 598.131 Definitions. As used in NRS 598.131 to 598.139, inclusive, unless the context otherwise requires, the words and terms defined in NRS 598.1315 to 598.134, inclusive, have the meanings ascribed to them in those sections.
(Added to NRS by 1989, 2194)
NRS 598.1315 “Advertisement” defined. “Advertisement” means the attempt by publication, dissemination, solicitation or circulation to induce, directly or indirectly, any person to enter into any obligation or to acquire any title or interest in any property, and any acts related to the inducement, promotion or encouragement of a sale.
(Added to NRS by 1989, 2194)
NRS 598.132 “Advertiser” defined. “Advertiser” means any person who is engaged in the business of promotion, marketing or sale of merchandise at retail and who places, either directly or indirectly, an advertisement before the public.
(Added to NRS by 1989, 2194)
NRS 598.1325 “Advertising premium” defined. “Advertising premium” means an offering, gift, prize, award, giveaway, discounted item, bonus, merchandise, service certificate or anything of value, or its equivalent in cash, offered in an advertisement.
(Added to NRS by 1989, 2194)
NRS 598.133 “Merchandise” defined. “Merchandise” means personal property, capable of manual delivery, displayed, held or offered for sale by a merchant.
(Added to NRS by 1989, 2194)
NRS 598.1335 “Sale” defined. “Sale” includes a sale, offer for sale or attempt to sell property for consideration.
(Added to NRS by 1989, 2194)
NRS 598.134 “Sales promotion” defined. “Sales promotion” means a promotion, presentation, solicitation or notification which induces or attempts to induce a sale of merchandise to a person.
(Added to NRS by 1989, 2194)
NRS 598.135 Scope. The provisions of NRS 598.136, 598.137 and 598.138 do not apply to:
1. A contest of skill that does not involve the sale or lease of any goods, property or service.
2. A person who is licensed as a seller or salesperson pursuant to chapter 599B of NRS, and is engaging in an activity within the scope of that license.
3. A sale or purchase, or solicitation or representation made in connection with the sale or purchase, of goods from a catalog or of books, recordings, videocassettes, periodicals or other similar goods offered by a seller or membership group which is regulated by the Federal Trade Commission if the seller or membership group sends goods, pursuant to an agreement, to a customer or member for his or her inspection and, if unsatisfied after inspecting the goods, the customer or member is entitled to receive a full refund of the purchase price of the goods if the goods are returned undamaged to the seller or membership group.
4. A solicitation, advertisement or promotion, or offer to extend credit, made by a commercial bank, bank holding company, subsidiary or affiliate of a bank holding company, trust company, savings and loan association or savings bank, credit union, industrial loan company, personal property broker, consumer finance lender, commercial finance lender or insurer, or any other person engaged in the business of extending credit, who is regulated by an officer or agency of the State or of the Federal Government.
5. A person licensed pursuant to chapter 463 of NRS and his or her employees.
(Added to NRS by 1989, 2196; A 2009, 2717; 2011, 2652; 2013, 1054; 2015, 3653; 2017, 2254; 2019, 2501)
NRS 598.136 Representation that person has won prize or is winner of contest.
1. A person shall not, in connection with the sale or lease or solicitation for the sale or lease of any goods, property or service, represent that another person has won anything of value or is the winner of any contest unless:
(a) The advertiser indicates, clearly and conspicuously, the name and address of the advertiser at the commencement of an oral solicitation or advertisement. If the advertisement is written, the information must be in bold type at least 2 points larger than the type used in the major portion of the advertisement, and must be placed at the top of the first page of the advertisement.
(b) The method of selection of the recipient of the prize is one in which no more than 10 percent of the names considered are selected as recipients.
(c) The prize is given without obligation to the recipient.
(d) The prize is delivered to the recipient at no expense to him or her within 30 days after the representation.
(e) The language of the advertisement represents that it is a sales promotion.
(f) The language of the advertisement does not represent that the recipient has been contacted by telephone or any other means when no such contact has occurred.
(g) The advertisement indicates to the recipient the brand name of any advertising premium offered. If the advertising premium consists of a vacation or trip, the advertiser shall indicate, clearly and conspicuously, the name and location of the accommodations and whether transportation to and from the vacation site or point of departure is included. The advertiser shall not offer a vacation or trip for which a deposit or other fee is required of the recipient.
(h) The advertisement does not misrepresent the value of an advertising premium by any means, including, but not limited to, the grouping of advertising premiums of substantially different value.
(i) The advertisement indicates, clearly and conspicuously, to the recipient that an advertising premium is discounted, no longer manufactured, damaged or less than first quality.
(j) The advertisement indicates that the advertiser will disclose upon request and without charge which advertising premium will be received. The advertiser shall disclose such information upon request.
(k) The advertisement indicates, clearly and conspicuously, the probability that a person may receive each advertising premium mentioned in the advertisement. The probability must be indicated adjacent to the first mention of each advertising premium and expressed in whole numbers. If the advertisement is written, such information and any rule or condition must appear in bold type the same size as the type used for the major portion of the advertisement.
(l) The advertisement indicates, clearly and conspicuously, the date the prizes are to be awarded, and that a record regarding the names and addresses of the winners will be provided upon request without charge. The advertiser shall provide the record to any person upon request.
(m) The advertiser does not offer merchandise as a substitute for a reimbursement for travel, allowance for a trip or similar plan of compensation.
2. As used in this section, “language of the advertisement” means the use of any language that has a tendency to lead a reasonable person to believe he or she has won a contest or merchandise of value, including, but not limited to, “congratulations,” “you have won,” “you are a winner,” “you have been chosen,” “you have been selected” and “you are entitled to receive.”
(Added to NRS by 1989, 2194)
NRS 598.137 Representation that person has chance to receive prize.
1. A person shall not, in connection with the sale or lease or solicitation for sale or lease of any goods, property or service, represent that another person has a chance to receive a prize or item of value without clearly disclosing on whose behalf the contest or promotion is conducted and all conditions that a participant must meet.
2. A person who makes a representation described in subsection 1 must display, clearly and conspicuously, adjacent to the description of the item or prize to which it relates:
(a) The actual retail value of each item or prize;
(b) The number of each item or prize to be awarded; and
(c) The odds of receiving each item or prize, expressed in whole numbers.
3. It is unlawful to make a representation described in subsection 1 if it has already been determined which items will be given to the person to whom the representation is made.
4. The provisions of this section do not apply if:
(a) Participants are asked to complete and mail or deposit, at a local retail commercial establishment, an entry blank obtained locally or by mail, or to call in their entry by telephone; and
(b) Participants are not asked to listen to a sales presentation.
5. Advertisements with representations made pursuant to subsection 1 that are broadcast by radio or television may be broadcast without the required disclosures, conditions and restrictions but must clearly broadcast the availability of such disclosures, conditions and restrictions to an interested person, without any charge, upon request.
6. This section does not create liability for acts of a publisher, owner, agent or employee of a newspaper, periodical, radio station, television station, cable television system or other video service network or other advertising medium for the publication or dissemination of an advertisement or promotion pursuant to this section if the publisher, owner, agent or employee did not know that the advertisement or promotion violated the provisions of this section.
7. For the purposes of this section, the actual retail value of an item or prize is the price at which substantial sales of the item were made in an area within the last 90 days, or if no substantial sales were made, the cost of the item or prize to the person on whose behalf the contest or promotion is conducted.
(Added to NRS by 1989, 2195; A 2007, 1393)
NRS 598.138 Representation that person has been specially selected.
1. A person shall not represent that another person has been specially selected in connection with the sale or lease or solicitation for sale or lease of any goods, property or service unless:
(a) The selection process is designed to reach a particular type of person;
(b) The selection process uses a source other than a telephone directory, city directory, tax listing, voter registration record, purchased or leased mailing list or similar source of names; and
(c) No more than 10 percent of those considered are selected.
2. As used in this section, “specially selected” means the use of language that has a tendency to lead a reasonable person to believe he or she has been specially selected, including, but not limited to, “carefully selected” and “you have been chosen.”
(Added to NRS by 1989, 2196)
NRS 598.139 Violation constitutes deceptive trade practice. Any violation of NRS 598.136, 598.137 or 598.138, constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.
(Added to NRS by 1989, 2197)
DOOR-TO-DOOR SALES
NRS 598.140 Definitions. As used in NRS 598.140 to 598.2801, inclusive, the words and terms defined in NRS 598.150 to 598.220, inclusive, have the meanings ascribed to them in NRS 598.150 to 598.220, inclusive, unless the context otherwise requires.
(Added to NRS by 1973, 808)
NRS 598.150 “Business day” defined. “Business day” means any calendar day except Sunday, or the following business holidays: New Year’s Day, Martin Luther King, Jr.’s Birthday, Washington’s Birthday, Memorial Day, Independence Day, Labor Day, Nevada Day, Veterans Day, Thanksgiving Day and Christmas Day.
(Added to NRS by 1973, 808; A 1993, 1958)
NRS 598.160 “Buyer” defined. “Buyer” means any person who enters into or signs a door-to-door sale contract in order to receive any consumer goods and services from any seller.
(Added to NRS by 1973, 808)
NRS 598.170 “Consumer goods or services” defined. “Consumer goods or services” are goods or services purchased, leased or rented primarily for personal, family or household purposes, including courses of instruction or training regardless of the purpose for which they are taken.
(Added to NRS by 1973, 808)
NRS 598.180 “Door-to-door sale” defined. “Door-to-door sale” means any sale, purchase, lease or rental of any consumer goods or services with a purchase price of $25 or more which is the result of any door-to-door solicitation or personal solicitation by the seller or his or her representative, whether at the specific invitation of the buyer or not, and which is made at a place other than the place of business of the seller. The term “door-to-door sale” does not include a transaction:
1. Made pursuant to a preexisting retail charge agreement or pursuant to prior negotiations between the parties at or from a retail business establishment having a fixed permanent location where the goods are exhibited or the services are offered for sale on a continuing basis.
2. In which the consumer is accorded the right of rescission by the provisions of the Consumer Credit Protection Act (15 U.S.C. § 1635) or regulations issued pursuant thereto.
3. In which the buyer has initiated the contact and the goods or services are needed to meet a bona fide immediate personal emergency of the buyer, and the buyer furnishes the seller with a separate dated and signed personal statement in the buyer’s handwriting describing the situation requiring immediate remedy and expressly acknowledging and waiving the right to cancel the sale within 3 business days.
4. Conducted and consummated entirely by mail or telephone, and without any other contact between the buyer and the seller or its representative prior to delivery of the goods or performance of the service.
5. In which the buyer has initiated the contact and specifically requested the seller to visit his or her home for the purpose of repairing or performing maintenance upon the buyer’s personal property. If in the course of the visit, the seller sells the buyer the right to receive additional services and goods other than replacement parts necessarily used in performing the maintenance or in making the repairs, the sale of those additional goods or services would not fall within this exclusion.
6. Pertaining to the sale or rental of real property, to the sale of insurance or to the sale of securities or commodities by a broker-dealer registered with the Securities Exchange Commission.
7. Pertaining to the sale or rental of vehicles as defined in NRS 482.135.
8. Pertaining to the sale or rental of mobile homes.
9. Pertaining to the provision of facilities and services furnished by utilities under the jurisdiction of the Public Utilities Commission of Nevada.
(Added to NRS by 1973, 808; A 1997, 2017)
NRS 598.200 “Place of business” defined. “Place of business” means the main or permanent branch office or local address of a seller.
(Added to NRS by 1973, 809)
NRS 598.210 “Purchase price” defined. “Purchase price” means the total price paid or to be paid for consumer goods or services, including all interest and service charges.
(Added to NRS by 1973, 809)
NRS 598.220 “Seller” defined. “Seller” means any person engaged in the door-to-door sale of any consumer goods or services.
(Added to NRS by 1973, 809)
NRS 598.230 Right of buyer to rescind contract of sale; notice of rescission. Any buyer who enters into or signs a door-to-door sale contract in which the total purchase price of the goods or services is $25 or more may rescind such contract by giving written notice to the seller either by delivering, mailing or telegraphing of such notice no later than midnight of the third business day after the date such door-to-door sale contract was entered into or signed. The notice shall be addressed to the seller at the seller’s place of business and shall contain words indicating the buyer’s intent to rescind the transaction previously entered into.
(Added to NRS by 1973, 809)
NRS 598.240 Seller to furnish buyer copy of receipt or contract; required contents. A seller must furnish every buyer with a fully completed receipt or copy of any door-to-door sale contract at the time a sale is executed. Such writing shall be in the same language as that primarily used in the oral sales presentation, show the date of the transaction and contain the name and address of the seller, and in immediate proximity to the space reserved in the contract for the signature of the buyer or on the front page of the receipt if a contract is not used and in bold type, a statement in substantially the following form:
You, the buyer, may cancel this transaction at any time prior to midnight of the third business day after the date of this transaction. See the attached notice of cancellation form for explanation of this right.
(Added to NRS by 1973, 809)
NRS 598.250 Seller to furnish buyer form for notice of cancellation. A seller must furnish every buyer with a fully completed form in duplicate, captioned “NOTICE OF CANCELLATION,” which must be attached to the contract or receipt and easily detachable, and which must contain in boldface type the following information and statements in the same language as that used in the contract:
NOTICE OF CANCELLATION
(Enter date of transaction)
Date
You may cancel this transaction, without any penalty or obligation, except as provided by law, within 3 business days from the above date.
If you cancel, any property traded in, any payments made by you under the contract or sale, and any negotiable instrument executed by you will be returned within 10 business days following receipt by the seller of your cancellation notice, and any security interest arising out of the transaction will be cancelled.
If you cancel, you must make available to the seller at reasonable times at your residence, in substantially as good condition as when received, any goods delivered to you under this contract or sale; or you must in the alternative comply with the instructions of the seller regarding the return shipment of the goods at the seller’s expense and risk.
If the seller does not either provide instructions for the return of the goods to the seller or pick them up within 20 days of the date of your notice of cancellation, you may retain or dispose of the goods without any further obligation.
To cancel this transaction, mail or deliver a signed and dated copy of this cancellation notice or any other written notice, or send a telegram to ....................................................................................................
(Name of seller)
at ......................................................................................................................................
(Address of seller’s place of business)
not later than midnight of ............................................................................................
I hereby cancel this transaction.
..........................................
(Date)
.....................................................................
(Buyer’s signature)
(Added to NRS by 1973, 809; A 1981, 126)
NRS 598.260 Penalty for cancellation permitted; limitations. NRS 598.140 to 598.2801, inclusive, do not prevent any seller from assessing a penalty for the cancellation of a door-to-door sale contract if the penalty does not exceed 5 percent of the total purchase price, $15, or any down payment paid by the buyer at the time any door-to-door sale contract is entered into or executed, whichever is the lesser amount.
(Added to NRS by 1973, 810)
NRS 598.280 Unlawful acts. It is unlawful for any seller:
1. To fail to inform any buyer orally, at the time the buyer signs any door-to-door sale contract or purchases any consumer goods or services as a result of a door-to-door sale, of the buyer’s right to cancel the contract or to misrepresent in any manner said buyer’s right to cancel;
2. To fail or refuse to honor any valid notice of cancellation by a buyer;
3. To fail or refuse to return, within 10 business days after receiving notice of cancellation, any goods or property traded in, in substantially as good condition as when received;
4. To fail or refuse to refund all payments made under the contract or sale within 10 business days after receiving notice of cancellation;
5. To fail to notify a buyer within 10 business days after the receipt of a buyer’s notice of cancellation whether the seller intends to repossess or to abandon any shipped or delivered goods; or
6. To negotiate, transfer, sell or assign any note or other evidence of indebtedness to a finance company or other third party prior to midnight of the 5th business day following the day the contract was signed or the goods or services were purchased.
(Added to NRS by 1973, 810)
NRS 598.2801 Violation constitutes deceptive trade practice. Any violation of NRS 598.240, 598.250 or 598.280 constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.
(Added to NRS by 1993, 1957)
TICKET RESELLERS AND SECONDARY TICKET EXCHANGES
NRS 598.397 Definitions. As used in NRS 598.397 to 598.3984, inclusive, unless the context otherwise requires, the words and terms defined in NRS 598.3971 to 598.3977, inclusive, have the meanings ascribed to them in those sections.
(Added to NRS by 2017, 4348; A 2019, 1134)
NRS 598.3971 “Athletic contest” defined. “Athletic contest” means any contest, game or other event involving the athletic or physical skills of an amateur athlete, intercollegiate athlete or professional athlete held at an entertainment facility for which a ticket is required for admission.
(Added to NRS by 2017, 4348)
NRS 598.3972 “Entertainment facility” defined. “Entertainment facility” means an indoor or outdoor area, including, without limitation, an arena, auditorium, museum, racetrack or stadium in which an athletic contest or live entertainment event is staged in this State and for which a ticket is required for admission.
(Added to NRS by 2017, 4348)
NRS 598.3973 “Internet robot” defined. “Internet robot” means a software application that attempts to complete or completes an automated transaction on an Internet website.
(Added to NRS by 2017, 4348)
NRS 598.3974 “Live entertainment event” defined. “Live entertainment event” means any activity provided for pleasure, enjoyment, recreation, relaxation, diversion or other similar purpose by a person who is physically present when providing that activity to a group of patrons at an entertainment facility, including, without limitation, any lecture, exhibition of art, performance of comedy, dance, music, theater or any other entertainment event or show. The term includes, without limitation, any game, contest or event in which persons compete against each other through electronic, digital or virtual means.
(Added to NRS by 2017, 4348)
NRS 598.39745 “Primary ticket provider” defined. “Primary ticket provider” means any person or entity who is authorized by a written contract with a rights holder to make the initial sale to a consumer of a ticket to an athletic contest or live entertainment event.
(Added to NRS by 2019, 1133)
NRS 598.3975 “Resale” and “resell” defined. “Resale” or “resell” means an offer or completed transaction for the sale of a ticket to an athletic contest or a live entertainment event which occurs after the initial purchase of the ticket. The term includes, without limitation, the sale of a ticket made in person or by telephone, Internet website or any other means of communication or exchange.
(Added to NRS by 2017, 4348)
NRS 598.3976 “Reseller” defined. “Reseller” means any person who resells a ticket.
(Added to NRS by 2017, 4348)
NRS 598.39765 “Rights holder” defined. “Rights holder”:
1. Means any person or entity who has the initial ownership rights to sell a ticket to an athletic contest or live entertainment event for which tickets for entry by the public are required.
2. Does not include a primary ticket provider, unless the primary ticket provider is also the rights holder.
(Added to NRS by 2019, 1133)
NRS 598.3977 “Ticket” defined. “Ticket” means a certificate, document, token, voucher or other evidence, whether physical or electronic, which indicates that the bearer or other person who is entitled to possession of the ticket has the right or privilege of admission to an athletic contest or live entertainment event, to occupy or have access to a particular area or seat within an entertainment facility or to acquire such a right or privilege.
(Added to NRS by 2017, 4348)
NRS 598.3978 Use of trademarked or copyrighted material by reseller or secondary ticket exchange; display of notice identifying website belonging to reseller or secondary ticket exchange; restriction on substantially similar websites.
1. The Internet website of a reseller, a secondary ticket exchange or any affiliate of a reseller or secondary ticket exchange must not display a trademarked or copyrighted URL, title, designation, image or mark or other symbol without the written consent of the trademark or copyright holder.
2. The Internet website of a reseller, a secondary ticket exchange or any affiliate of a reseller or secondary ticket exchange must not use any combination of text, images, web designs or Internet addresses, or any combination thereof, which is substantially similar to the Internet website of an entertainment facility, athletic contest or live entertainment event without permission.
3. The Internet website of a reseller, a secondary ticket exchange or any affiliate of a reseller or secondary ticket exchange must prominently display a notice identifying the Internet website as belonging to a reseller, a secondary ticket exchange or an affiliate of a reseller or secondary ticket exchange and must not, without contractual authorization from the rights holder, advertise or represent that the reseller, secondary ticket exchange or affiliate of the reseller or secondary ticket exchange is a rights holder or primary ticket provider. The notice required by this subsection must be displayed within the top 20 percent of each page of the Internet website in a font size that is not smaller than the font size used for the majority of text on that page.
4. This section does not prohibit the use of text containing the name of the venue, artist, athletic contest or live entertainment event if such use is necessary to describe the athletic contest, the live entertainment event or the location of the athletic contest or live entertainment event.
5. As used in this section:
(a) “Substantially similar” means that a reasonable person would believe that the Internet website is that of the entertainment facility, athletic contest or live entertainment event.
(b) “URL” means the Uniform Resource Locator associated with an Internet website.
(Added to NRS by 2017, 4348; A 2019, 1134)
NRS 598.3979 Prohibited acts relating to resale of tickets.
1. In addition to any other restrictions imposed by the rights holder, a reseller, a secondary ticket exchange or any affiliate of a reseller or secondary ticket exchange shall not:
(a) Resell more than one copy of the same ticket to an athletic contest or live entertainment event.
(b) Employ another person directly or indirectly to wait in line to purchase tickets for the purpose of reselling the tickets if the practice is prohibited by the sponsor, organizer or promoter of the athletic contest or live entertainment event or if the venue at which the athletic contest or live entertainment event will occur has posted a policy prohibiting the practice.
(c) Resell a ticket without first informing the purchaser of the location in the entertainment facility of the seat or, if there is no assigned seat, the general admission area to which the ticket corresponds, including, without limitation, the row and section number of the ticket, as applicable.
(d) Resell a ticket or advertise a ticket for resale, unless:
(1) The ticket is in the possession or constructive possession of the reseller; or
(2) The reseller has a written contract with the rights holder to obtain the ticket.
2. A primary ticket provider, a reseller, a secondary ticket exchange or any affiliate of a primary ticket provider, reseller or secondary ticket exchange shall not resell a ticket before the ticket has been made available to the public, including, without limitation, through a presale, fan club presale or any other promotional presale event, by the rights holder without first obtaining permission from the rights holder to do so.
(Added to NRS by 2017, 4349; A 2019, 1134)
NRS 598.39795 Resale of ticket without first disclosing total amount to be charged prohibited. A reseller, a secondary ticket exchange or any affiliate of a reseller or secondary ticket exchange shall not resell a ticket, in person or remotely, without first disclosing to the purchaser the total amount that the purchaser will be charged for the ticket, including any fees which represent a portion of the total amount to be charged.
(Added to NRS by 2019, 1133)
NRS 598.398 Restrictions on use of Internet robots.
1. A person shall not use an Internet robot to:
(a) Circumvent any portion of the process for purchasing a ticket on an Internet website, including, without limitation, any security or identity validation measures or an access control system; or
(b) Disguise the identity of a ticket purchaser for the purpose of purchasing a number of tickets for admission to an athletic contest or live entertainment event which exceeds the maximum number of tickets allowed for purchase by a person.
2. A person shall not resell or offer for resale a ticket obtained in violation of subsection 1 if the person:
(a) Participated in or had the ability to control the conduct committed in violation of subsection 1; or
(b) Knew that the ticket was acquired in violation of subsection 1.
(Added to NRS by 2017, 4349; A 2019, 1135)
NRS 598.3981 Establishment of hotline and Internet website to receive complaints; requirements for form used to receive complaints.
1. The Bureau of Consumer Protection in the Office of the Attorney General shall establish a toll-free statewide hotline and an Internet website by which a person may file a complaint relating to a suspected violation of NRS 598.397 to 598.3984, inclusive, and obtain information and directions regarding the preferred method for filing such a complaint.
2. Any form made available by the Bureau of Consumer Protection for receiving complaints relating to a suspected violation of NRS 598.397 to 598.3984, inclusive, must be designed specifically for receiving such complaints.
(Added to NRS by 2017, 4350; A 2019, 1135)
NRS 598.3982 Civil action; venue; damages; certain natural persons immune.
1. A person injured by a violation of any provision of NRS 598.397 to 598.3984, inclusive, may bring a civil action against a reseller, a secondary ticket exchange or any affiliate of a reseller or secondary ticket exchange who committed the violation in a district court in any county:
(a) In which the cause therefor accrued;
(b) In which the defendant resides or may be found;
(c) In which the plaintiff resides; or
(d) In which an athletic contest or live entertainment event to which the ticket pertains occurred or will occur, if the violation relates to the sale, purchase or advertisement of a ticket.
2. If the person bringing the action is the prevailing party, the court shall award that person:
(a) Declaratory and injunctive relief.
(b) For the first violation, $1,000 or actual damages, whichever is greater.
(c) For the second violation, $2,500, treble the amount of actual damages and reasonable attorney’s fees and costs, if any.
(d) For the third and all subsequent violations, $5,000, treble the amount of actual damages, reasonable attorney’s fees and costs, if any, and punitive damages, which are subject to the provisions of NRS 42.005.
3. An action may not be brought pursuant to this section against a natural person employed by a reseller, a secondary ticket exchange or any affiliate of a reseller or secondary ticket exchange.
(Added to NRS by 2017, 4349; A 2019, 1135)
NRS 598.3983 Criminal penalty. Unless a greater penalty is provided in NRS 598.0999 or 598.3984, a person who knowingly violates the provisions of NRS 598.397 to 598.3984, inclusive, is guilty of a misdemeanor.
(Added to NRS by 2017, 4349; A 2019, 1136)
NRS 598.3984 Criminal penalty for violations relating to certain government affiliated facilities.
1. A person who willfully and knowingly violates the provisions of NRS 598.397 to 598.3984, inclusive, relating to the sale of a ticket to an entertainment facility which is operated by a governmental entity or a public-private partnership is guilty of a gross misdemeanor.
2. As used in this section:
(a) “Governmental entity” means:
(1) The government of this State;
(2) An agency of the government of this State;
(3) A political subdivision of this State; and
(4) An agency of a political subdivision of this State.
(b) “Public-private partnership” means a contract entered into by a person and a governmental entity for the support of an entertainment facility.
(Added to NRS by 2017, 4349; A 2019, 1136)
SIGHTSEEING TOURS
NRS 598.405 Definitions. As used in NRS 598.405 to 598.525, inclusive, unless the context otherwise requires, the words and terms defined in NRS 598.416 to 598.465, inclusive, have the meanings ascribed to them in those sections.
(Added to NRS by 2001, 979; A 2003, 1826; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.416 “Advertise” and “advertisement” defined. “Advertise” and “advertisement” mean the attempt by publication, dissemination, solicitation or circulation to induce, directly or indirectly, any person to take a sightseeing tour.
(Added to NRS by 2001, 980; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.425 “Commissioner” defined. “Commissioner” means the Commissioner of Consumer Affairs.
(Added to NRS by 2001, 980; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501; A 2021, 2744)
NRS 598.445 “Sightseeing tour” defined. “Sightseeing tour” means an excursion that:
1. Has a duration of 24 hours or less;
2. Travels to one or more points of interest; and
3. Is conducted using one or more means of motorized conveyance, including, without limitation, an airplane, bus, helicopter, tour boat or touring raft.
(Added to NRS by 2001, 980; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.455 “Tour broker” defined. “Tour broker” means a person who, in this state, advertises a sightseeing tour for a tour operator and collects money from customers for a sightseeing tour.
(Added to NRS by 2001, 980; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.465 “Tour operator” defined. “Tour operator” means a person who, in this state, engages in the business of providing a sightseeing tour to customers.
(Added to NRS by 2001, 980; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.471 Tour broker and tour operator to register, pay fee and, if applicable, deposit security before advertising services or conducting business in this State; certificate of registration; renewal of certificate.
1. Before advertising its services or conducting business in this State, a tour broker or tour operator must register with the Unit by:
(a) Submitting to the Unit an application for registration on a form prescribed by the Unit;
(b) Paying to the Unit a fee of $25; and
(c) If the tour broker or tour operator is subject to the provisions of NRS 598.495, depositing the security required by NRS 598.495 with the Unit.
2. The Unit shall issue a certificate of registration to the tour broker or tour operator upon receipt of:
(a) The security in the proper form as required by NRS 598.495, if the tour broker or tour operator is subject to the provisions of NRS 598.495; and
(b) The payment of the fee required by subsection 1.
3. A certificate of registration:
(a) Is not transferable or assignable; and
(b) Expires 1 year after it is issued.
4. A tour broker or tour operator must renew a certificate of registration issued pursuant to this section before the certificate expires by:
(a) Submitting to the Unit an application for the renewal of the certificate on a form prescribed by the Unit; and
(b) Paying to the Unit a fee of $25.
(Added to NRS by 2003, 1824; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.475 Tour broker and tour operator required to disclose total price in advertisement and prohibited from charging higher amount; notice required on billing invoice; tour broker and tour operator required to honor valid coupon; violation constitutes deceptive trade practice.
1. In each advertisement for a sightseeing tour, a tour broker and a tour operator shall disclose in a clear and conspicuous manner the total price a customer is required to pay to take the sightseeing tour. Unless the inclusion of a fee or tax in the total price would violate a specific statute of this state or a federal statute or regulation, the total price must include, without limitation, all fees, taxes and other charges that a customer for a sightseeing tour is required to pay to take the sightseeing tour. If a fee or tax cannot be included in the total price because its inclusion would violate a specific statute of this state or a federal statute or regulation, the tour broker or tour operator, as applicable, shall disclose in a clear and conspicuous manner that the fee or tax is not included in the total price and must be paid in addition to the total price.
2. A tour broker and a tour operator shall not charge a customer for a sightseeing tour an amount that exceeds the sum of:
(a) The total price for the sightseeing tour which is disclosed in an advertisement for the sightseeing tour; and
(b) Any fee or tax that is not included in the total price for the sightseeing tour because its inclusion would violate a specific statute of this state or a federal statute or regulation.
3. On a billing invoice or receipt given to a customer for a sightseeing tour, a tour broker and a tour operator shall provide a clear and conspicuous notice which:
(a) Sets forth the provisions of subsection 2;
(b) States that complaints concerning the charges for a sightseeing tour may be directed to the Unit; and
(c) Provides a telephone number for the Unit.
4. If a tour operator issues or causes to be issued a coupon or other indicia of discount or special promotion, the tour operator shall honor the coupon or other indicia in good faith unless:
(a) The coupon or other indicia sets forth a date of expiration that is clearly legible; and
(b) The date of expiration has passed.
5. The failure of a tour broker or tour operator to comply with a provision of this section constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.
(Added to NRS by 2001, 980; A 2009, 2718; 2011, 2652; 2013, 1054; 2015, 3653; 2017, 2254; 2019, 2501)
NRS 598.485 Applicability of provisions limited to tour brokers and tour operators operating in certain counties. The provisions of NRS 598.495, 598.506 and 598.515 do not apply to a tour broker whose business is confined to advertising, or a tour operator whose business is confined to advertising and conducting, sightseeing tours that originate in a county other than a county whose population is 700,000 or more.
(Added to NRS by 2001, 981; R temp. 2009, 2732; A 2011, 1299; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.495 Security required to be deposited by tour broker and tour operator: Form; term; amount; records; rejection for nonconformance; change in form; inadequate amount.
1. Each tour broker and tour operator shall deposit with the Unit:
(a) A bond executed by a corporate surety approved by the Commissioner and licensed to do business in this state;
(b) An irrevocable letter of credit for which the tour broker or tour operator is the obligor, issued by a bank whose deposits are federally insured; or
(c) A certificate of deposit in a financial institution which is doing business in this state and which is federally insured or insured by a private insurer approved pursuant to NRS 672.755. The certificate of deposit may be withdrawn only on the order of the Commissioner, except that the interest may accrue to the tour broker or tour operator.
2. The term of the bond, letter of credit or certificate of deposit, or any renewal thereof, must be not less than 1 year.
3. The amount of the bond, letter of credit or certificate of deposit, or any renewal thereof, must be $10,000.
4. If the tour broker or tour operator deposits a bond, the tour broker or tour operator shall keep accurate records of the bond and the payments made on the premium. The records must be open to inspection by the Unit during business hours. The tour broker or tour operator shall notify the Unit not later than 30 days before the date of expiration of the bond and provide written proof of the renewal of the bond to the Unit.
5. The Commissioner may reject any bond, letter of credit or certificate of deposit that fails to conform to the requirements of this chapter.
6. A tour broker or tour operator may change the form of security that he or she has deposited with the Unit. If the tour broker or tour operator changes the form of the security, the Commissioner may retain for not more than 1 year any portion of the security previously deposited by the tour broker or tour operator as security for claims arising during the time the previous security was in effect.
7. If the amount of the bond, letter of credit or certificate of deposit falls below the amount required by this section, the tour broker or tour operator shall, within 30 days, increase the amount of the bond, letter of credit or certificate of deposit to the amount required by this section.
(Added to NRS by 2001, 981; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.506 Rights and remedies of injured consumers; resolution by Unit of claims against security; regulations.
1. The security required to be deposited by a tour broker or tour operator pursuant to NRS 598.495 must be held in trust for consumers injured by:
(a) The bankruptcy of the tour broker or tour operator; or
(b) The tour broker’s or tour operator’s breach of any agreement entered into in his or her capacity as a tour broker or tour operator.
2. A consumer so injured may bring and maintain an action in any court of competent jurisdiction to recover against the security.
3. The Unit may bring an action for interpleader against all claimants upon the security. If the Unit brings such an action, the Unit shall publish notice of the action at least once each week for 2 weeks in a newspaper of general circulation in the county in which the tour broker or tour operator has its principal place of business. The Unit may deduct its costs of the action, including, without limitation, the costs of the publication of the notice, from the amount of the security. All claims against the security have equal priority. If the security is insufficient to pay all the claims in full, the claims must be paid pro rata. If the tour broker or tour operator has posted a bond with the Unit, the surety is then relieved of all liability under the bond.
4. The Unit may, in lieu of bringing an action for interpleader pursuant to subsection 3, conduct a hearing to determine the distribution of the security to claimants. The Unit shall adopt regulations to provide for adequate notice and the conduct of the hearing. If the tour broker or tour operator has posted a bond with the Unit, distribution pursuant to this subsection relieves the surety of all liability under the bond.
(Added to NRS by 2001, 981; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.515 Release of security if tour broker or tour operator ceases to operate.
1. If no claims have been filed against the security deposited with the Unit pursuant to NRS 598.495 within 6 months after the tour broker or tour operator ceases to operate, the Commissioner shall release the security to the tour broker or tour operator and shall not audit any claims filed against the security thereafter by consumers.
2. If one or more claims have been filed against the security within 6 months after the tour broker or tour operator ceases to operate, the proceeds must not be released to the tour broker or tour operator or distributed to any consumer earlier than 1 year after the tour broker or tour operator ceases to operate.
3. For the purposes of this section, the Commissioner shall determine the date on which a tour broker or tour operator ceases to operate.
(Added to NRS by 2001, 982; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.525 Regulations. The Commissioner may adopt such regulations as the Commissioner determines are necessary to carry out the intent of NRS 598.405 to 598.525, inclusive.
(Added to NRS by 2001, 982; A 2003, 1826; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
GRANT WRITING SERVICES
NRS 598.535 Definitions. As used in NRS 598.535 to 598.595, inclusive, unless the context otherwise requires, the words and terms defined in NRS 598.545, 598.555 and 598.565 have the meanings ascribed to them in those sections.
(Added to NRS by 2011, 3581)
NRS 598.545 “Buyer” defined. “Buyer” means a natural person who is solicited to purchase or who purchases the services of a grant writing service.
(Added to NRS by 2011, 3581)
NRS 598.555 “Grant” defined. “Grant” means any money given by a governmental entity or any other person or organization to finance a specific or general purpose.
(Added to NRS by 2011, 3581)
NRS 598.565 “Grant writing service” defined. “Grant writing service” means a person who, with respect to obtaining any grant or other payment, loan or money, advertises, sells, provides or performs, or represents that he or she can or will sell, provide or perform, any of the following services in return for the payment of money or other valuable consideration:
1. Writing an application for a grant for a buyer.
2. Obtaining a grant for a buyer.
3. Providing advice or assistance to a buyer in obtaining a grant.
(Added to NRS by 2011, 3581)
NRS 598.575 Applicability. The provisions of NRS 598.535 to 598.595, inclusive, do not apply to:
1. A grant writing service which provides services relating to an affordable housing and community development project which is financed, in whole or in part, by tax credits for low-income housing, private activity bonds or money provided by a private entity, government, governmental agency or political subdivision of a government, including, without limitation, any money provided pursuant to 12 U.S.C. § 1701q, 26 U.S.C. § 42, 42 U.S.C. § 8013 or 42 U.S.C. §§ 12701 et seq.
2. Education and training regarding procedures for writing, obtaining or managing grants that is provided by an educational institution which is accredited by an accrediting body that is recognized by the United States Department of Education.
(Added to NRS by 2011, 3581)
NRS 598.585 Contracts for grant writing services: Requirements; content. A contract between a buyer and a grant writing service for the purchase of the services of the grant writing service:
1. Must be in writing.
2. Must be signed by the buyer or, if the transaction is conducted electronically, otherwise acknowledged by the buyer.
3. Must be dated.
4. Must clearly indicate above the signature or acknowledgment line that the buyer may cancel the contract within 5 days after execution of the contract by giving written notice to the grant writing service of his or her intent to cancel the contract. If the notice is mailed, the notice must be postmarked not later than 5 days after the execution of the contract.
5. Must include a detailed description of the services to be performed by the grant writing service for the buyer and the total amount the buyer is obligated to pay for those services.
6. Must include a statement in at least 12-point bold type informing the buyer of his or her right to file a complaint concerning the grant writing service with the Bureau of Consumer Protection in the Office of the Attorney General, including the physical address and telephone number for the Bureau.
(Added to NRS by 2011, 3582)
NRS 598.595 Violation constitutes deceptive trade practice. Any violation of NRS 598.535 to 598.595, inclusive, constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.
(Added to NRS by 2011, 3582)
CREDIT SERVICE ORGANIZATIONS, ORGANIZATIONS FOR BUYING GOODS OR SERVICES AT DISCOUNT, DANCE STUDIOS AND HEALTH CLUBS
General Provisions
NRS 598.701 Definitions. As used in NRS 598.701 to 598.736, inclusive, unless the context otherwise requires, the words and terms defined in NRS 598.706, 598.711 and 598.716 have the meanings ascribed to them in those sections.
(Added to NRS by 1997, 3192)
NRS 598.706 “Commissioner” defined. “Commissioner” means the Commissioner of Mortgage Lending of the Department of Business and Industry.
(Added to NRS by 1997, 3192; A 2009, 2719)
NRS 598.711 “Division” defined. “Division” means the Division of Mortgage Lending of the Department of Business and Industry.
(Added to NRS by 1997, 3192; A 2009, 2719)
NRS 598.716 “Registrant” defined. “Registrant” means a credit service organization which is required to register and post security with the Division pursuant to the provisions of this chapter.
(Added to NRS by 1997, 3192; A 2009, 2719)
NRS 598.721 Registration: Application; fee; deposit of security; certificate of registration; renewal of certificate.
1. Each credit service organization regulated by the provisions of this chapter shall apply for registration on the form prescribed by the Division.
2. At the time of application for registration, the applicant must pay to the Division an administrative fee of $25 and deposit the required security with the Division.
3. Upon receipt of the security in the proper form and the payment of the administrative fee required by this section, the Division shall issue a certificate of registration to the applicant. A certificate of registration:
(a) Is not transferable or assignable; and
(b) Expires 1 year after it is issued.
4. A registrant must renew a certificate of registration issued pursuant to this section before the certificate expires by submitting to the Division an application for the renewal of the certificate on a form prescribed by the Division.
(Added to NRS by 1997, 3192; A 2001, 2151; 2009, 2719)
NRS 598.726 Security required for registration: Form; term; records; rejection for nonconformance; change in form; inadequate amount.
1. Each registrant shall deposit with the Division:
(a) A bond executed by a corporate surety approved by the Commissioner and licensed to do business in this state;
(b) An irrevocable letter of credit for which the registrant is the obligor, issued by a bank whose deposits are federally insured; or
(c) A certificate of deposit in a financial institution which is doing business in this state and which is federally insured or insured by a private insurer approved pursuant to NRS 672.755. The certificate of deposit may be withdrawn only on the order of the Commissioner, except that the interest may accrue to the registrant.
2. The term of the bond, letter of credit or certificate of deposit, or any renewal thereof, must be not less than 1 year.
3. If the registrant deposits a bond, the registrant shall keep accurate records of the bond and the payments made on the premium. The records must be open to inspection by the Division during business hours. The registrant shall notify the Division not later than 30 days before the date of expiration of the bond and provide written proof of the renewal of the bond to the Division.
4. The Commissioner may reject any bond, letter of credit or certificate of deposit which fails to conform to the requirements of this chapter.
5. A registrant may change the form of security which he or she has deposited with the Division. If the registrant changes the form of the security, the Commissioner may retain for not more than 1 year any portion of the security previously deposited by the registrant as security for claims arising during the time the previous security was in effect.
6. If the amount of the deposited security falls below the amount required by this chapter for that security, the registrant shall be deemed not to be registered as required by NRS 598.721 for the purposes of this chapter.
(Added to NRS by 1997, 3192; A 1999, 1517)
NRS 598.731 Rights and remedies of injured consumers; resolution by Division of claims against security; regulations.
1. The security required to be deposited by a registrant pursuant to NRS 598.726 must be held in trust for consumers injured by the bankruptcy of the registrant or the registrant’s breach of any agreement entered into in his or her capacity as a registrant.
2. A consumer so injured may bring and maintain an action in any court of competent jurisdiction to recover against the security.
3. The Division may bring an action for interpleader against all claimants upon the security. If the Division brings such an action, the Division shall publish notice of the action at least once each week for 2 weeks in a newspaper of general circulation in the county in which the organization has its principal place of business. The Division may deduct its costs of the action, including the costs of the publication of the notice, from the amount of the security. All claims against the security have equal priority. If the security is insufficient to pay all the claims in full, the claims must be paid pro rata. If the registrant has posted a bond with the Division, the surety is then relieved of all liability under the bond.
4. The Division may, in lieu of bringing an action for interpleader pursuant to subsection 3, conduct a hearing to determine the distribution of the security to claimants. The Division shall adopt regulations to provide for adequate notice and the conduct of the hearing. If the registrant has posted a bond with the Division, distribution pursuant to this subsection relieves the surety of all liability under the bond.
5. If the security is sufficient to pay all claims against the security in full, the Division may deduct from the amount of the security, the cost of any investigation or hearing it conducted to determine the distribution of the security.
(Added to NRS by 1997, 3193; A 2001, 2151)
NRS 598.736 Release of security if registrant ceases to operate or registration expires.
1. If no claims have been filed against the security deposited with the Division pursuant to NRS 598.726 within 6 months after the registrant ceases to operate or his or her registration expires, whichever occurs later, the Commissioner shall release the security to the registrant and shall not audit any claims filed against the security thereafter by consumers.
2. If one or more claims have been filed against the security within 6 months after the registrant ceases to operate or his or her registration expires, whichever occurs later, the proceeds must not be released to the registrant or distributed to any consumer earlier than 1 year after the registrant ceases to operate or his or her registration expires, whichever occurs later.
3. For the purposes of this section, the Commissioner shall determine the date on which a registrant ceases to operate.
(Added to NRS by 1997, 3193)
Credit Service Organizations
NRS 598.741 Definitions. As used in NRS 598.741 to 598.787, inclusive, unless the context otherwise requires:
1. “Buyer” means a natural person who is solicited to purchase or who purchases the services of an organization which provides credit services.
2. “Commissioner” means the Commissioner of Mortgage Lending.
3. “Division” means the Division of Mortgage Lending of the Department of Business and Industry.
4. “Extension of credit” means the right to defer payment of debt or to incur debt and defer its payment, offered or granted primarily for personal, family or household purposes.
5. “Organization”:
(a) Means a person who, with respect to the extension of credit by others, sells, provides or performs, or represents that he or she can or will sell, provide or perform, any of the following services, in return for the payment of money or other valuable consideration:
(1) Improving a buyer’s credit record, history or rating.
(2) Obtaining an extension of credit for a buyer.
(3) Providing counseling or assistance to a person in establishing or effecting a plan for the payment of his or her indebtedness, unless that counseling or assistance is provided by and is within the scope of the authorized practice of a provider of debt-management services registered pursuant to chapter 676A of NRS.
(4) Providing advice or assistance to a buyer with regard to subparagraph (1) or (2).
(b) Does not include:
(1) A person organized, chartered or holding a license or authorization certificate to make loans or extensions of credit pursuant to the laws of this state or the United States who is subject to regulation and supervision by an officer or agency of this state or the United States.
(2) A bank, credit union, savings and loan institution or savings bank whose deposits or accounts are eligible for insurance by the Federal Deposit Insurance Corporation, the National Credit Union Share Insurance Fund or a private insurer approved pursuant to NRS 672.755.
(3) A person licensed as a real estate broker by this state where the person is acting within the course and scope of that license, unless the person is rendering those services in the course and scope of employment by or other affiliation with an organization.
(4) A person licensed to practice law in this state where the person renders services within the course and scope of his or her practice as an attorney at law, unless the person is rendering those services in the course and scope of employment by or other affiliation with an organization.
(5) A broker-dealer registered with the Securities and Exchange Commission or the Commodity Futures Trading Commission where the broker-dealer is acting within the course and scope of such regulation.
(6) A person registered as a provider of debt-management services pursuant to chapter 676A of NRS.
(7) A reporting agency.
6. “Reporting agency” means a person who, for fees, dues or on a cooperative nonprofit basis, regularly engages in whole or in part in the business of assembling or evaluating information regarding the credit of or other information regarding consumers to furnish consumer reports to third parties, regardless of the means or facility of commerce used to prepare or furnish the consumer reports. The term does not include:
(a) A person solely for the reason that he or she conveys a decision regarding whether to guarantee a check in response to a request by a third party;
(b) A person who obtains or creates a consumer report and provides the report or information contained in it to a subsidiary or affiliate; or
(c) A person licensed pursuant to chapter 463 of NRS.
(Added to NRS by 1987, 1517; A 1989, 935; 1993, 1798, 2272, 2801; 1995, 692; 1999, 1518, 2544; 2009, 1998, 2719)
NRS 598.746 Prohibited acts: Receiving money before complete performance; receiving money for referral to provider of credit; misleading statements; other fraudulent or deceptive acts. An organization and its agents, employees and representatives who sell or attempt to sell the services of the organization, shall not:
1. Charge or receive any money or other valuable consideration before full and complete performance of the services the organization has agreed to perform for or on behalf of the buyer.
2. Charge or receive any money or other valuable consideration solely for referral of the buyer to a retail seller who will or may extend credit to the buyer, if the credit which is or will be extended to the buyer is upon substantially the same terms as those available to the general public.
3. Make, counsel or advise any buyer to make, any statement which is untrue or misleading and which is known, or which by the exercise of reasonable care should be known, to be untrue or misleading, to a consumer credit reporting agency or to any person who has extended credit to a buyer or to whom a buyer is applying for an extension of credit, with respect to a buyer’s creditworthiness, credit standing or credit capacity.
4. Make or use any untrue or misleading representations in the offer or sale of the services of an organization. For the purposes of this subsection, a “misleading representation” includes a guarantee that:
(a) The organization is able to remove information that is adverse to the buyer’s ability to obtain credit from the buyer’s credit record, history or rating.
(b) The organization is able to obtain an extension of credit for the buyer regardless of the buyer’s existing credit record, history or rating.
5. Engage, directly or indirectly, in any act, practice or course of business which operates or would operate as a fraud or deception upon any person in connection with the offer or sale of the services of an organization.
6. Remove, or assist or advise the buyer to remove from the buyer’s credit record, history or rating, information that is adverse to the buyer’s ability to obtain credit if the information is accurate and not obsolete.
7. Create, or assist or advise the buyer to create a new credit record, history or rating by using a different name, address, social security number, employee identification number or other misleading information.
8. Attempt to transfer or assign the organization’s certificate of registration.
9. Submit a buyer’s dispute to a consumer credit reporting agency without the buyer’s knowledge.
10. Call, or authorize any other person who is not the buyer to call a consumer credit reporting agency and portray himself or herself as the buyer.
(Added to NRS by 1987, 1518; A 1993, 2274)
NRS 598.752 Organization to register and deposit security before advertising services or conducting business in this State; separate security not required from salesperson, agent or representative of organization; regulations.
1. Before advertising its services or conducting business in this State, an organization must register pursuant to NRS 598.721 and deposit security in the amount of $100,000 with the Division pursuant to NRS 598.726. The security must be conditioned on compliance by the organization with the provisions of NRS 598.746 to 598.772, inclusive, and the terms of its contracts with buyers.
2. If an organization has deposited the required security, a salesperson, agent or representative of the organization who sells its services is not required to deposit his or her own separate security. For the purposes of this subsection, a person is a salesperson, agent or representative of an organization if:
(a) He or she does business under the same name as the organization; or
(b) The organization and the issuer of the security certify in writing that the security covers the salesperson, agent or representative.
3. The Division shall adopt such regulations as it deems necessary to carry out the provisions of this section.
(Added to NRS by 1993, 2272; A 1997, 3196)
NRS 598.757 Organization to provide buyer certain information in writing.
1. Before the execution of a contract between the buyer and an organization or before the receipt by the organization of any money or other valuable consideration, whichever occurs first, the organization must provide to the buyer, in writing:
(a) A statement:
(1) That the buyer has a right pursuant to 15 U.S.C. §§ 1681g and 1681h to receive disclosure of all information, except medical information, in any file on him or her maintained by a consumer credit reporting agency;
(2) That 15 U.S.C. § 1681j requires that this disclosure be made free to the buyer if he or she requests it within 30 days after receipt of notice of a denial of credit;
(3) Of the approximate cost to the buyer of receiving this disclosure when there has not been a denial of credit; and
(4) That the buyer has the right pursuant to 15 U.S.C. § 1681i to dispute the completeness or accuracy of any item contained in any file on him or her maintained by any consumer credit reporting agency.
(b) A detailed description of the services to be performed by the organization for the buyer and the total amount the buyer will become obligated to pay for the services.
(c) A statement that the buyer has a right to proceed against the security deposited with the Division by the organization under the circumstances and in the manner set forth in NRS 598.731 and 598.736. The statement provided pursuant to this paragraph must include the name and address of the issuer of the security.
(d) A statement that the buyer may cancel a contract for the services of an organization within 5 days after its execution by written notice mailed or delivered to the organization.
(e) A statement identifying the availability of any nonprofit association which provides services similar to those offered by the organization. The statement provided pursuant to this paragraph must include the association’s telephone number, including the association’s national toll-free telephone number, if any.
2. The written information provided pursuant to subsection 1 must be printed in at least 10-point bold type and must include the following statement or a similar statement approved by the Division:
RIGHTS OF CONSUMERS REGARDING CREDIT FILES
PURSUANT TO STATE AND FEDERAL LAW
You have the right to obtain a copy of your credit file from a consumer credit reporting agency. There is no fee if, within the past 30 days, you have been turned down for credit, employment or insurance because of information in your credit report. The consumer credit reporting agency is obligated to provide someone to help you interpret the information in your credit file.
You have a right to dispute inaccurate information by contacting the consumer credit reporting agency directly. However, neither you nor any credit service organization has the right to have accurate, current and verifiable information removed from your credit report. Generally, under the Fair Credit Reporting Act, the consumer credit reporting agency is obligated to remove accurate, negative information from your report only if it is more than 7 years old and bankruptcy information can be reported for 10 years. If you have notified a credit reporting agency that you dispute the accuracy of information in your credit file, the consumer credit reporting agency is obligated to make an investigation and modify or remove inaccurate information. The consumer credit reporting agency may not charge a fee for this service. Any relevant information and copies of all documents you have concerning the disputed information should be given to the consumer credit reporting agency. If the investigation does not resolve the dispute to your satisfaction, you may send a brief statement to the consumer credit reporting agency to keep in your credit file, explaining why you think the information in the credit file is inaccurate. The consumer credit reporting agency is obligated to include your statement or a summary of your statement about disputed information in any report it issues about you.
RIGHTS OF CONSUMERS REGARDING
CANCELLATION OF A CONTRACT
You have a right to give written notice of your intent to cancel a contract with a credit service organization for any reason within 5 working days from the date you signed it. If for any reason you do cancel a contract during this time, you do not owe any money. You have a right to sue a credit service organization if it misleads you.
3. The organization shall retain a copy of the written information it provides pursuant to the requirements of subsections 1 and 2 for not less than 2 years.
(Added to NRS by 1987, 1518; A 1993, 2274; 1997, 3197)
NRS 598.762 Requirements of contract for purchase of services; copy of contract must be retained by organization.
1. A contract between a buyer and an organization for the purchase of the services of the organization:
(a) Must be in writing;
(b) Must be signed by the buyer;
(c) Must be dated; and
(d) Must clearly indicate above the signature line that the buyer may cancel the contract within 5 days after its execution by giving written notice to the organization of his or her intent to cancel the contract. If the notice is mailed, it must be postmarked not later than 5 days after the execution of the contract.
2. A copy of each contract executed by a buyer and an organization must be retained by the organization for not less than 2 years.
(Added to NRS by 1987, 1519; A 1993, 2276)
NRS 598.767 Organization to maintain registered agent for service of legal process. An organization shall file with the Division the information required pursuant to NRS 77.310 and continuously maintain a registered agent for service of legal process.
(Added to NRS by 1993, 2272; A 2007, 2721)
NRS 598.772 Waiver of statutory rights prohibited; burden of proof upon person claiming exemption or exception from definition.
1. Any waiver by a buyer of the provisions of NRS 598.746 to 598.777, inclusive, is contrary to public policy and is void and unenforceable. Any attempt by an organization to have a buyer waive rights given by NRS 598.746 to 598.777, inclusive, is unlawful.
2. In any proceeding involving NRS 598.741 to 598.787, inclusive, the burden of proving an exemption or an exception from a definition is upon the person claiming it.
(Added to NRS by 1987, 1520; A 1993, 2277)
NRS 598.777 Buyer’s action for recovery of damages or injunctive relief; attorney’s fees; punitive damages. A buyer injured by a violation of NRS 598.746 to 598.772, inclusive, or by a breach by an organization of a contract subject to those sections, may bring an action for recovery of damages, for injunctive relief or for both recovery of damages and injunctive relief. Judgment for damages must be entered for actual damages, but in no case less than the amount paid by the buyer to the organization, plus reasonable attorney’s fees and costs. If the court deems it proper, the court may award punitive damages.
(Added to NRS by 1987, 1520; A 1993, 2277)
1. Except as otherwise provided in subsection 2, a person who violates any provision of NRS 598.746 to 598.772, inclusive, is guilty of a misdemeanor.
2. A person who breaches a contract subject to NRS 598.746 to 598.772, inclusive, is not guilty of a misdemeanor solely because of the breach.
(Added to NRS by 1987, 1520; A 1993, 2277)
NRS 598.787 Provisions and remedies not exclusive; violation constitutes deceptive trade practice.
1. The provisions of NRS 598.746 to 598.777, inclusive, are not exclusive and do not relieve the parties or the contracts subject thereto from compliance with any other applicable provision of law.
2. The remedies provided in NRS 598.772 and 598.777 for violation of any provision of NRS 598.746 to 598.772, inclusive, are in addition to any other procedures or remedies for any violation or conduct provided for in any other law.
3. Any violation of NRS 598.746 to 598.772, inclusive, constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.
(Added to NRS by 1987, 1520; A 1993, 1959, 2278; 1995, 692; 1997, 3198)
Organizations for Buying Goods or Services at Discount
NRS 598.840 Definitions. As used in NRS 598.840 to 598.930, inclusive, unless the context otherwise requires:
1. “Affiliate organization” means an organization for buying goods or services at a discount that:
(a) Is a subsidiary of a parent business entity; or
(b) Operates under a franchise granted by a parent business entity.
2. “Business day” means any calendar day except Sunday, or the following business holidays: New Year’s Day, Martin Luther King, Jr.’s Birthday, Washington’s Birthday, Memorial Day, Independence Day, Labor Day, Nevada Day, Veterans Day, Thanksgiving Day and Christmas Day.
3. “Buyer” means a person who purchases by contract a membership in an organization for buying goods or services at a discount.
4. “Commissioner” means the Commissioner of Consumer Affairs.
5. “Franchise” has the meaning ascribed to it in 16 C.F.R. § 436.2, as amended or substituted in revision by the Federal Trade Commission.
6. “Organization for buying goods or services at a discount” or “organization” means a person who, for a consideration, provides or claims to provide a buyer with the ability to purchase goods or services at a price which is represented to be lower than the price generally charged in the area. The term includes, without limitation, an affiliate organization.
7. “Parent business entity” or “parent” means any business entity that, directly or indirectly, has owned, operated, controlled or granted franchises to, in any combination thereof, at least 15 organizations or affiliate organizations for a consecutive period of 5 years or more.
8. “Registrant” means an organization for buying goods or services at a discount which is required to register and post security with the Consumer Affairs Unit pursuant to the provisions of NRS 598.840 to 598.930, inclusive.
9. “Subsidiary” means an organization for buying goods or services at a discount that is owned, operated or controlled, either directly or indirectly or in whole or in part, by a parent business entity.
(Added to NRS by 1985, 960; A 1993, 1800, 1960; 1995, 663; 1997, 3199; 2005, 1373; 2009, 2720, 2721; 2011, 2652; 2013, 1054; 2015, 3653; 2017, 2254; 2019, 2501; 2021, 2744)
NRS 598.845 Scope. An organization in which:
1. The consideration for the contract for membership is $50 or less or is an annual fee of $25 or less; or
2. Providing goods or services at a discount is not the primary purpose of the organization but is incidental to membership in the organization,
Ê is not subject to the provisions of NRS 598.840 to 598.930, inclusive.
(Added to NRS by 1985, 960; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.851 Organization to register and post security before advertising services or conducting business in this State. Before advertising its services or conducting business in this State, an organization for buying goods or services at a discount must register pursuant to NRS 598.852 and post security in the amount of $50,000 with the Consumer Affairs Unit pursuant to NRS 598.853. The security must be conditioned on compliance by the organization with the provisions of NRS 598.840 to 598.930, inclusive, the terms of the buyer’s contract for membership in the organization and the terms of any contract with the buyer for the purchase of goods or services.
(Added to NRS by 1997, 3194; A 2005, 1374; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.852 Organization to register on prescribed form and pay fee; certificate of registration; renewal of certificate.
1. Each organization for buying goods or services at a discount regulated by the provisions of NRS 598.840 to 598.930, inclusive, shall apply for registration on the form prescribed by the Unit.
2. At the time of application for registration, the applicant must pay to the Unit an administrative fee of $25 and deposit the required security with the Unit.
3. Upon receipt of the security in the proper form and the payment of the administrative fee required by this section, the Unit shall issue a certificate of registration to the applicant. A certificate of registration:
(a) Is not transferable or assignable; and
(b) Expires 1 year after it is issued.
4. A registrant must renew a certificate of registration issued pursuant to this section before the certificate expires by submitting to the Unit an application for the renewal of the certificate on a form prescribed by the Unit.
(Added to NRS by 2009, 2709; A 2011, 2652; 2013, 1054; 2015, 3653; 2017, 2254; 2019, 2501)
NRS 598.853 Security required for registration: Form; term; records; rejection for nonconformance; change in form; inadequate amount.
1. Each registrant shall deposit with the Unit:
(a) A bond executed by a corporate surety approved by the Commissioner and licensed to do business in this State;
(b) An irrevocable letter of credit for which the registrant is the obligor, issued by a bank whose deposits are federally insured; or
(c) A certificate of deposit in a financial institution which is doing business in this State and which is federally insured or insured by a private insurer approved pursuant to NRS 672.755. The certificate of deposit may be withdrawn only on the order of the Commissioner, except that the interest may accrue to the registrant.
2. The term of the bond, letter of credit or certificate of deposit, or any renewal thereof, must be not less than 1 year.
3. If the registrant deposits a bond, the registrant shall keep accurate records of the bond and the payments made on the premium. The records must be open to inspection by the Unit during business hours. The registrant shall notify the Unit not later than 30 days before the date of expiration of the bond and provide written proof of the renewal of the bond to the Unit.
4. The Commissioner may reject any bond, letter of credit or certificate of deposit which fails to conform to the requirements of NRS 598.840 to 598.930, inclusive.
5. A registrant may change the form of security which he or she has deposited with the Unit. If the registrant changes the form of the security, the Commissioner may retain for not more than 1 year any portion of the security previously deposited by the registrant as security for claims arising during the time the previous security was in effect.
6. If the amount of the deposited security falls below the amount required by NRS 598.840 to 598.930, inclusive, for that security, the registrant shall be deemed not to be registered as required by NRS 598.852 for the purposes of NRS 598.840 to 598.930, inclusive.
(Added to NRS by 2009, 2709; A 2011, 2652; 2013, 1054; 2015, 3653; 2017, 2254; 2019, 2501)
NRS 598.854 Rights and remedies of injured consumers; resolution by Unit of claims against security; regulations.
1. The security required to be deposited by a registrant pursuant to NRS 598.853 must be held in trust for consumers injured by the bankruptcy of the registrant or the registrant’s breach of any agreement entered into in his or her capacity as a registrant.
2. A consumer so injured may bring and maintain an action in any court of competent jurisdiction to recover against the security.
3. The Unit may bring an action for interpleader against all claimants upon the security. If the Unit brings such an action, the Unit shall publish notice of the action at least once each week for 2 weeks in a newspaper of general circulation in the county in which the organization has its principal place of business. The Unit may deduct its costs of the action, including the costs of the publication of the notice, from the amount of the security. All claims against the security have equal priority. If the security is insufficient to pay all the claims in full, the claims must be paid pro rata. If the registrant has posted a bond with the Unit, the surety is then relieved of all liability under the bond.
4. The Unit may, in lieu of bringing an action for interpleader pursuant to subsection 3, conduct a hearing to determine the distribution of the security to claimants. The Unit shall adopt regulations to provide for adequate notice and the conduct of the hearing. If the registrant has posted a bond with the Unit, distribution pursuant to this subsection relieves the surety of all liability under the bond.
5. If the security is sufficient to pay all claims against the security in full, the Unit may deduct from the amount of the security, the cost of any investigation or hearing it conducted to determine the distribution of the security.
(Added to NRS by 2009, 2710; A 2011, 2652; 2013, 1054; 2015, 3653; 2017, 2254; 2019, 2501)
NRS 598.8541 Release of security if registrant ceases to operate or registration expires.
1. If no claims have been filed against the security deposited with the Unit pursuant to NRS 598.853 within 6 months after the registrant ceases to operate or his or her registration expires, whichever occurs later, the Commissioner shall release the security to the registrant and shall not audit any claims filed against the security thereafter by consumers.
2. If one or more claims have been filed against the security within 6 months after the registrant ceases to operate or his or her registration expires, whichever occurs later, the proceeds must not be released to the registrant or distributed to any consumer earlier than 1 year after the registrant ceases to operate or his or her registration expires, whichever occurs later.
3. For the purposes of this section, the Commissioner shall determine the date on which a registrant ceases to operate.
(Added to NRS by 2009, 2710; A 2011, 2652; 2013, 1054; 2015, 3653; 2017, 2254; 2019, 2501)
NRS 598.855 Trust account required for payments on contracts.
1. Before the organization receives any money from any buyer pursuant to a contract for membership in the organization, it shall establish a trust account for payments on contracts at a financial institution that is federally insured or insured by a private insurer approved pursuant to NRS 672.755. Each payment from a buyer for his or her contract for membership, except for $50 of the first payment, must be deposited in the trust account.
2. Except as otherwise provided in subsection 3, during each quarter of the term of a buyer’s contract or each 6 months, whichever period is shorter, the trustee shall withdraw one-quarter of the buyer’s payments under the contract from the trust account and pay the amount to the organization.
3. If an affiliate organization obtains the express consent of its parent and the parent posts the security required by subsection 4, the affiliate organization may:
(a) Authorize the parent to serve as the trustee pursuant to NRS 598.865 for the trust accounts required by this section and NRS 598.860; and
(b) Authorize the trustee to make the following withdrawals from the trust account required by this section:
(1) During the first quarter of the term of a buyer’s contract or the first 6 months, whichever period is shorter, the trustee shall withdraw not more than one-half of the buyer’s payments under the contract from the trust account and pay the amount to the affiliate organization; and
(2) During the second quarter of the term of the buyer’s contract or the second 6 months, whichever period is shorter, the trustee shall withdraw the remaining balance of the buyer’s payments under the contract from the trust account and pay the amount to the affiliate organization.
4. Before a trustee may withdraw money from a trust account pursuant to subsection 3, the parent must post security in the amount of $250,000 with the Consumer Affairs Unit pursuant to NRS 598.853. The security posted by the parent:
(a) Provides coverage for all of the parent’s affiliate organizations that are authorized to act pursuant to subsection 3;
(b) Must be conditioned on compliance by such an affiliate organization with the provisions of NRS 598.840 to 598.930, inclusive, the terms of the buyer’s contract for membership in the affiliate organization and the terms of any contract with the buyer for the purchase of goods or services; and
(c) May be used to pay a claim against such an affiliate organization only if the security posted by the affiliate organization pursuant to NRS 598.853 has been exhausted.
5. If the organization sells, transfers or assigns the contract with the buyer to a third party, and the third party gives reasonable consideration for the contract, the organization shall deposit the consideration in the trust account. If the third party does not give reasonable consideration for the contract, the organization shall deposit all payments on the contract from the buyer in the organization’s trust account for payments on the contract.
(Added to NRS by 1985, 961; A 1999, 1519; 2005, 1374; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.860 Trust account required for payments on goods and services.
1. Before the organization accepts money from any buyer for an order of goods or services, it shall establish a trust account for the deposit of payments on goods or services. The organization shall deposit all money received from each buyer for goods or services, including charges for freight, delivery, installation or taxes or other charges, unless the total cost is $50 or less in the trust account. The trust account must be for the benefit of buyers who order goods or services from the organization.
2. The trustee may withdraw money from the trust account for payments on goods or services to pay the source of the goods or services ordered by the buyer, or to make a refund to the buyer. After such withdrawal, the trustee may withdraw that percentage of the remainder of the deposit from the buyer which represents the organization’s profit.
(Added to NRS by 1985, 962; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.865 Administration of trust accounts; audits.
1. Except as otherwise provided in subsection 3 of NRS 598.855, the trust accounts required by NRS 598.855 and 598.860 must be administered by an independent trustee approved by the Commissioner. All fees charged by the trustee to administer a trust account must be paid by the organization.
2. The trustee shall withdraw money from the trust account for payments on goods or services only upon written proof from the source of the goods or services that the items have been shipped or delivered to the buyer. The Commissioner may audit the trustee as necessary to ensure compliance with NRS 598.840 to 598.930, inclusive.
(Added to NRS by 1985, 962; A 2005, 1375; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.870 Disclosure of information to buyer required before buyer signs contract or application for membership. Each organization, before the prospective buyer signs a contract or application for membership in the organization, shall give to the buyer in writing:
1. A description of the exact nature of the services it provides, specifying the general categories of goods which are available at the organization’s place of business or warehouse, those categories of goods which must be ordered or obtained through stores to which the organization refers the buyer and those categories of goods which must be ordered or obtained through the mail.
2. A list, current within 60 days immediately preceding the signing of the contract, of at least 100 items which are sold by or through the organization or available to a buyer, identified by the name of the brand, model and total price including a reasonable estimate of charges for freight, delivery and installation, the organization’s markup and a reasonable estimate of any other charges the organization imposes. The items must be reasonably representative of the type of goods available. In lieu of providing such a list, the organization shall give to the buyer, in writing, a list of at least 100 items which were purchased by its members through the discount buying organization during the preceding 60 days. The list must identify the items by the name of the brand, model and total selling price including charges for freight, delivery and installation, the organization’s markup, and any other charges imposed by the discount buying organization, and must be representative as to the type of goods sold and the prices charged for the goods listed as sold during that period. If the number of different items available through an organization is less than 100, it may furnish a list of the total items available, containing the same information as the previous lists, with a statement that those are the only goods available. Any list required by this subsection must state the date on which it was prepared.
3. A statement of the organization’s policy with respect to warranties or guarantees on goods ordered, and the policy with respect to the return of ordered goods, cancellation of orders by the buyer and refunds for cancellation or return.
4. A description of any charges, such as charges for freight, delivery and installation, the seller’s markup and any other charges which are incidental to the purchase of goods and which are to be paid by the buyer. A disclosure of specific costs must also be made on each order placed through the organization.
5. A statement whether any stockholder, director, officer, general or limited partner of the discount buying organization:
(a) Has been convicted of a felony or misdemeanor or pleaded nolo contendere to a felony or misdemeanor charge, if it involved fraud, embezzlement, misappropriation of property or a violation of NRS 598.840 to 598.930, inclusive;
(b) Has been held liable in a civil action by final judgment or consented to the entry of a stipulated judgment if the civil action alleged fraud, embezzlement, misappropriation of property, a violation of NRS 598.840 to 598.930, inclusive, the use of untrue or misleading representations in an attempt to sell or dispose of real or personal property, or the use of unfair, unlawful or deceptive business practices; or
(c) Is subject to a currently effective injunction or restrictive order relating to any business activity as the result of an action brought by a governmental agency, and including the name of the court, the date of the order or injunction and the name of the governmental agency that filed the action.
(Added to NRS by 1985, 962)
NRS 598.875 Requirements for contracts for membership. Each contract for membership in an organization must:
1. Be in writing, legible and have all spaces filled in before the buyer signs it;
2. Be in the language in which the sales presentation was given;
3. Contain the addresses of the buyer and the organization;
4. Be given to the buyer when he or she signs it;
5. Disclose that the security required by NRS 598.851, 598.853 and, if applicable, NRS 598.855 has been obtained and deposited with the Consumer Affairs Unit;
6. Specify the term of the membership of the buyer, which may not be measured by the buyer’s life;
7. Clearly specify the buyer’s right to cancel the contract pursuant to NRS 598.885;
8. Clearly specify the buyer’s right to rescind the contract and to be given a refund pro rata pursuant to NRS 598.910 and the conditions and limitations on that right;
9. Clearly specify the buyer’s right to a refund on the purchase of goods pursuant to NRS 598.895 and the conditions and limitations on that right; and
10. Clearly specify whether or not the buyer is given any other rights to a refund on the purchase of goods or services and, if so, any conditions and limitations on those rights.
(Added to NRS by 1985, 963; A 1997, 3199; 2005, 1375; 2009, 2722; 2011, 2652; 2013, 1054; 2015, 3653; 2017, 2254; 2019, 2501)
NRS 598.880 Limits on contracts for membership. A contract for membership in an organization must not:
1. Require payments or financing by the buyer for more than 2 years from the date the contract was executed; or
2. Deny a third party the right to assert a cause of action or defense which the buyer has against the organization.
(Added to NRS by 1985, 963)
NRS 598.885 Cancellation of contract by buyer; notice required. The buyer may cancel a contract for membership in an organization by giving the organization written notice of the cancellation within 3 business days after he or she receives a copy of the contract. The notice must be delivered in person or by mail postmarked by midnight of the third business day. The organization shall return all money paid by the buyer within 15 days after it receives the notice of cancellation.
(Added to NRS by 1985, 964)
NRS 598.890 Membership of buyer effective 7 days after contract signed. The membership of the buyer in an organization becomes effective 7 days after the contract for membership is signed.
(Added to NRS by 1985, 964)
NRS 598.895 Refund required, if requested, for goods not delivered within 6 weeks. If any goods ordered by the buyer are not delivered to the buyer or available for pickup by the buyer at a location within his or her county of residence within 6 weeks after he or she places the order for the goods or by a date agreed upon at the time of the order, any money paid by the buyer for the goods must, at his or her request, be refunded.
(Added to NRS by 1985, 964)
NRS 598.900 Untrue or misleading statements by organization prohibited; effect on contract. An organization shall not make any untrue or misleading representations to the buyer or in its advertising. A contract for membership in an organization where any untrue or misleading representation was made to the buyer or the buyer was made aware of the untrue or misleading representation is void and unenforceable by the organization.
(Added to NRS by 1985, 964)
NRS 598.905 Correction of violations. If an organization does not comply with the provisions of NRS 598.840 to 598.895, inclusive, or 598.905 to 598.930, inclusive, the buyer may agree in writing, after a full disclosure, to any correction of the defect if the correction is made within 30 days after he or she signs the contract for membership in the organization. If the buyer does not consent, or if the correction is not made within the 30-day period, the contract is rescinded, and the buyer must be given a full refund.
(Added to NRS by 1985, 964)
NRS 598.910 Effect of transfer by organization of its obligation to provide goods or services; circumstances under which buyer may rescind contract.
1. If an organization transfers its obligation to provide goods or services to a buyer to another organization which provides substantially fewer goods or services, the buyer may consent to the transfer in writing after a full disclosure to him or her of the goods and services to be provided by the new organization. If a buyer does not consent, his or her contract is rescinded, and he or she must be given a refund pro rata based on the amount of time he or she was a member of the organization.
2. The buyer may rescind the contract and the organization shall give him or her a refund pro rata based on the amount of time he or she was a member of the organization if any of the following circumstances occur:
(a) Except as otherwise provided in this paragraph, the organization moves its place of business which is geographically closest to the buyer’s residence, as indicated in the contract, more than 20 miles farther from the buyer’s residence than it was when the contract for membership was signed. The provisions of this paragraph do not apply if:
(1) The organization offers the buyer a substantially equivalent at-home ordering service through at least one other generally available channel of communication, including, without limitation, the Internet;
(2) The at-home ordering service offers the same categories of goods and services provided by the organization at the time the organization moves its place of business; and
(3) Any goods ordered by the buyer through the at-home ordering service are shipped, at the election of the buyer, to either the buyer’s residence, as indicated in the contract, or a freight receiver within 20 miles of that residence.
(b) Within 6 months after the contract for membership was signed, the organization stops providing any category of goods or services represented to the buyer to be available when he or she signed the contract.
(Added to NRS by 1985, 964; A 2005, 1375)
NRS 598.915 Waiver of statutory rights is void. Any waiver by the buyer of the provisions of NRS 598.840 to 598.930, inclusive, is contrary to public policy and void.
(Added to NRS by 1985, 964; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.920 Actions against organization; restitution, treble damages, attorney’s fees and costs may be awarded.
1. A cause of action or a defense of a buyer against the organization is not extinguished by the transfer, assignment or sale of the contract for membership in the organization to a third party.
2. In an action by a buyer against an organization for violation of the provisions of NRS 598.840 to 598.930, inclusive, the court may award restitution, treble damages, reasonable attorney’s fees and costs. If the course of action was based on a violation of NRS 598.900, the court may award the buyer $1,000, reasonable attorney’s fees and costs, or restitution, treble damages, reasonable attorney’s fees and costs, whichever is greater.
(Added to NRS by 1985, 965)
NRS 598.930 Remedies not exclusive; violation constitutes deceptive trade practice.
1. The remedies, duties and prohibitions of NRS 598.840 to 598.930, inclusive, are not exclusive and are in addition to any other remedies provided by law.
2. Any violation of NRS 598.851 to 598.900, inclusive, constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.
(Added to NRS by 1985, 965; A 1993, 1961; 1997, 3199; 2009, 2722; 2011, 2652; 2013, 1054; 2015, 3653; 2017, 2254; 2019, 2501)
Dance Studios and Health Clubs
NRS 598.940 Definitions. As used in NRS 598.940 to 598.966, inclusive, unless the context otherwise requires, the words and terms defined in NRS 598.9403 to 598.9418, inclusive, have the meanings ascribed to them in those sections.
(Added to NRS by 1989, 2037; A 1993, 1801, 1962; 1995, 663)
NRS 598.9403 “Business day” defined. “Business day” means any calendar day except Sunday, or the following business holidays: New Year’s Day, Martin Luther King, Jr.’s Birthday, Washington’s Birthday, Memorial Day, Independence Day, Labor Day, Nevada Day, Veterans Day, Thanksgiving Day and Christmas Day.
(Added to NRS by 1993, 1956)
NRS 598.9405 “Buyer” defined. “Buyer” means any person who purchases by contract dance lessons, the use of facilities or other services from a dance studio or health club.
(Added to NRS by 1993, 1956)
NRS 598.9407 “Commissioner” defined. “Commissioner” means the Commissioner of Consumer Affairs.
(Added to NRS by 1993, 1956; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501; A 2021, 2745)
NRS 598.941 “Dance studio” defined. “Dance studio” means any enterprise that offers instruction in ballroom or other types of dancing, including lessons or other services, except:
1. A nonprofit public or private school, college or university;
2. The State or any political subdivision; or
3. A nonprofit religious or ethnic organization or a nonprofit organization for the benefit of the community or its members.
(Added to NRS by 1993, 1956)
NRS 598.9415 “Health club” defined. “Health club” means any enterprise which offers the use of its facilities for the maintenance or development of physical fitness or the control of weight, except:
1. A nonprofit public or private school, college or university;
2. The State or any political subdivision; or
3. A nonprofit religious or ethnic organization or a nonprofit organization for the benefit of the community or its members.
(Added to NRS by 1993, 1956)
NRS 598.9417 “Pre-sale” defined. “Pre-sale” means the sale of dance lessons, the use of facilities or other services by a dance studio or health club before all amenities, facilities or benefits identified in the contract or sales presentation are available to the buyer.
(Added to NRS by 1993, 1957)
NRS 598.9418 “Registrant” defined. “Registrant” means a dance studio or a health club which is required to register and post security with the Unit pursuant to the provisions of NRS 598.940 to 598.966, inclusive.
(Added to NRS by 2009, 2711; A 2011, 2652; 2013, 1054; 2015, 3653; 2017, 2254; 2019, 2501)
NRS 598.942 Scope. The provisions of NRS 598.940 to 598.966, inclusive, apply to contracts for dance lessons, the use of facilities or other services from a dance studio or health club only if the membership is intended for use by the buyer or for the buyer and the members of his or her family and:
1. The buyer purchases or becomes obligated to purchase the dance lessons, use of facilities or other services for more than 3 months and the dance studio or health club requires the payment of any fee or dues more than 3 months in advance;
2. The dance studio or health club requires the payment of a fee for initiation or membership in an amount greater than $75; or
3. The dance studio or health club accepts from a buyer more than $100 at any one time for dance lessons, the use of facilities or other services.
(Added to NRS by 1989, 2038; A 1993, 1962)
NRS 598.944 Registration of dance studio or health club required.
1. Each owner of a dance studio or health club shall register with the Unit, pursuant to NRS 598.947, listing the full name and address of the studio or club and any other description of its facilities or activities the Unit requires.
2. At least one member of the governing body of the dance studio or health club must live in the county where the studio or club is located. He or she is the agent of the studio or club and its owner for receipt of process served.
(Added to NRS by 1989, 2038; A 1993, 1962; 1997, 3199; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.946 Owner of dance studio or health club to register and deposit security before advertising services or conducting business in this State: Amount of security; adjustment of security; exception from requirement to deposit security.
1. Except as otherwise provided in subsection 5, before advertising its services or conducting business in this State, the owner of a dance studio or a health club must register pursuant to NRS 598.944 and 598.947 and deposit security with the Unit pursuant to NRS 598.9472. The security must:
(a) Be conditioned on compliance by the owner with the provisions of NRS 598.940 to 598.966, inclusive, and the terms of the contract with a buyer; and
(b) Remain on deposit with the Unit until the release of the security is authorized or required pursuant to NRS 598.9476, except that the dance studio or health club may change the form of the security as provided in NRS 598.9472.
2. Except as otherwise provided in subsection 3, the amount of the security to be deposited must be:
(a) Ten thousand dollars, if the dance studio or health club has less than 400 members;
(b) Fifteen thousand dollars, if the dance studio or health club has 400 members or more but less than 800 members;
(c) Twenty thousand dollars, if the dance studio or health club has 800 members or more but less than 1,200 members;
(d) Twenty-five thousand dollars, if the dance studio or health club has 1,200 members or more but less than 1,500 members;
(e) Thirty-five thousand dollars, if the dance studio or health club has 1,500 members or more but less than 4,000 members;
(f) Fifty thousand dollars, if the dance studio or health club has 4,000 members or more but less than 25,000 members; and
(g) Two hundred and fifty thousand dollars, if the dance studio or health club has 25,000 or more members.
3. If a dance studio or health club conducts any pre-sale of dance lessons, the use of facilities or other services, the amount of the security required by this section is $100,000 unless a greater amount is required pursuant to paragraph (g) of subsection 2.
4. A dance studio or health club shall report to the Unit on a quarterly basis the size of its membership and shall, on the basis of any change in the size of that membership, adjust accordingly the amount of the security deposited with the Unit.
5. If, on October 1, 2001, a dance studio or health club has not deposited security with the Consumer Affairs Division of the Department of Business and Industry, as that division existed on October 1, 2001, pursuant to NRS 598.726, as that section existed on October 1, 2001, because it was not required to do so pursuant to this section, the dance studio or health club:
(a) Is not required to deposit security with the Unit pursuant to NRS 598.9472; and
(b) Shall obtain a written acknowledgment from each member and prominently post a notice on its premises stating that no security for refunds or reimbursement has been deposited with the State of Nevada.
(Added to NRS by 1989, 2038; A 1993, 1963; 1997, 3200; 2001, 2152; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054; R temp. 2015, 3653; R temp. 2017, 2254; R temp. 2019, 2501)
NRS 598.947 Dance studio or health club to register on prescribed form and pay fee; certificate of registration; renewal of certificate.
1. Each dance studio and health club regulated by the provisions of NRS 598.940 to 598.966, inclusive, shall apply for registration on the form prescribed by the Unit.
2. At the time of application for registration, the applicant must pay to the Unit an administrative fee of $25 and deposit the required security with the Unit.
3. Upon receipt of the security in the proper form and the payment of the administrative fee required by this section, the Unit shall issue a certificate of registration to the applicant. A certificate of registration:
(a) Is not transferable or assignable; and
(b) Expires 1 year after it is issued.
4. A registrant must renew a certificate of registration issued pursuant to this section before the certificate expires by submitting to the Unit an application for the renewal of the certificate on a form prescribed by the Unit.
(Added to NRS by 2009, 2711; A 2011, 2652; 2013, 1054; 2015, 3653; 2017, 2254; 2019, 2501)
NRS 598.9472 Security required for registration: Form; term; records; rejection for nonconformance; change in form; inadequate amount.
1. Each registrant shall deposit with the Unit:
(a) A bond executed by a corporate surety approved by the Commissioner and licensed to do business in this State;
(b) An irrevocable letter of credit for which the registrant is the obligor, issued by a bank whose deposits are federally insured; or
(c) A certificate of deposit in a financial institution which is doing business in this State and which is federally insured or insured by a private insurer approved pursuant to NRS 672.755. The certificate of deposit may be withdrawn only on the order of the Commissioner, except that the interest may accrue to the registrant.
2. The term of the bond, letter of credit or certificate of deposit, or any renewal thereof, must be not less than 1 year.
3. If the registrant deposits a bond, the registrant shall keep accurate records of the bond and the payments made on the premium. The records must be open to inspection by the Unit during business hours. The registrant shall notify the Unit not later than 30 days before the date of expiration of the bond and provide written proof of the renewal of the bond to the Unit.
4. The Commissioner may reject any bond, letter of credit or certificate of deposit which fails to conform to the requirements of NRS 598.940 to 598.966, inclusive.
5. A registrant may change the form of security which he or she has deposited with the Unit. If the registrant changes the form of the security, the Commissioner may retain for not more than 1 year any portion of the security previously deposited by the registrant as security for claims arising during the time the previous security was in effect.
6. If the amount of the deposited security falls below the amount required by this chapter for that security, the registrant shall be deemed not to be registered as required by NRS 598.947 for the purposes of NRS 598.940 to 598.966, inclusive.
(Added to NRS by 2009, 2711; A 2011, 2652; 2013, 1054; 2015, 3653; 2017, 2254; 2019, 2501)
NRS 598.9474 Rights and remedies of injured consumers; resolution by Unit of claims against security; regulations.
1. The security required to be deposited by a registrant pursuant to NRS 598.9472 must be held in trust for consumers injured by the bankruptcy of the registrant or the registrant’s breach of any agreement entered into in his or her capacity as a registrant.
2. A consumer so injured may bring and maintain an action in any court of competent jurisdiction to recover against the security.
3. The Unit may bring an action for interpleader against all claimants upon the security. If the Unit brings such an action, the Unit shall publish notice of the action at least once each week for 2 weeks in a newspaper of general circulation in the county in which the organization has its principal place of business. The Unit may deduct its costs of the action, including the costs of the publication of the notice, from the amount of the security. All claims against the security have equal priority. If the security is insufficient to pay all the claims in full, the claims must be paid pro rata. If the registrant has posted a bond with the Unit, the surety is then relieved of all liability under the bond.
4. The Unit may, in lieu of bringing an action for interpleader pursuant to subsection 3, conduct a hearing to determine the distribution of the security to claimants. The Unit shall adopt regulations to provide for adequate notice and the conduct of the hearing. If the registrant has posted a bond with the Unit, distribution pursuant to this subsection relieves the surety of all liability under the bond.
5. If the security is sufficient to pay all claims against the security in full, the Unit may deduct from the amount of the security, the cost of any investigation or hearing it conducted to determine the distribution of the security.
(Added to NRS by 2009, 2712; A 2011, 2652; 2013, 1054; 2015, 3653; 2017, 2254; 2019, 2501)
NRS 598.9476 Release of security if registrant ceases to operate or registration expires.
1. If no claims have been filed against the security deposited with the Unit pursuant to NRS 598.9472 within 6 months after the registrant ceases to operate or his or her registration expires, whichever occurs later, the Commissioner shall release the security to the registrant and shall not audit any claims filed against the security thereafter by consumers.
2. If one or more claims have been filed against the security within 6 months after the registrant ceases to operate or his or her registration expires, whichever occurs later, the proceeds must not be released to the registrant or distributed to any consumer earlier than 1 year after the registrant ceases to operate or his or her registration expires, whichever occurs later.
3. For the purposes of this section, the Commissioner shall determine the date on which a registrant ceases to operate.
(Added to NRS by 2009, 2712; A 2011, 2652; 2013, 1054; 2015, 3653; 2017, 2254; 2019, 2501)
NRS 598.948 Requirements for contract between buyer and dance studio or health club. Each contract between the buyer and the dance studio or health club must:
1. Be in writing, legible and have all spaces filled in before the buyer signs it;
2. Be in the language in which the sales presentation was given;
3. Contain the addresses of the buyer and the studio or club;
4. Be given to the buyer when he or she signs it;
5. Disclose whether security has been obtained and deposited with the Unit pursuant to NRS 598.9472;
6. Specify the term of membership of the buyer, which must not be measured by the life of the buyer;
7. Clearly specify the right of the buyer to cancel the contract pursuant to NRS 598.950;
8. Not contain a clause by which the contract is automatically renewed; and
9. Specify the number of lessons and the cost of each lesson, if the contract is for dance lessons.
(Added to NRS by 1989, 2039; A 1993, 1964; 1997, 3201; 2009, 2722; 2011, 2652; 2013, 1054; 2015, 3653; 2017, 2254; 2019, 2501)
NRS 598.950 Cancellation of contract by buyer; notice required. A buyer may cancel a contract for dance lessons, the use of facilities or other services from a dance studio or health club within 3 business days after he or she receives a copy of the contract by notifying the studio or club in writing. The notice must be delivered in person or by mail postmarked by midnight of the third business day. The studio or club shall return all money paid by the buyer within 15 days after it receives the notice of cancellation.
(Added to NRS by 1989, 2040; A 1993, 1965)
NRS 598.952 False or misleading representations by dance studio or health club prohibited; effect on contract. A dance studio or health club shall not make any false or misleading representation to the buyer or in its advertising. A contract for services from a dance studio or health club is void and unenforceable if any false or misleading representation was made to the buyer.
(Added to NRS by 1989, 2040; A 1993, 1965)
NRS 598.954 Rights of buyer who becomes disabled during term of contract. If a buyer becomes disabled during the term of a contract, and a physician confirms in writing to the dance studio or health club that:
1. The buyer is not physically able to use the facilities of the studio or club; and
2. The disability will continue for more than 3 months,
Ê the buyer is entitled to suspend the contract for the duration of the disability. After he or she recovers, he or she is entitled to an extension of the contract for a period equal to the time of the disability. If he or she is permanently disabled, he or she may cancel the contract and receive a refund pro rata of the amount paid pursuant to it.
(Added to NRS by 1989, 2040; A 1993, 1965)
NRS 598.956 Rights of buyer upon closure of dance studio or health club; election of remedies.
1. If a dance studio or health club is closed for more than 1 month, through no fault of the buyer, he or she is entitled to:
(a) Extend the contract for a period equal to the time the studio or club is closed; or
(b) Receive a refund pro rata of the amount paid pursuant to the contract.
2. If the dance studio or health club is closed without fault of its owner or management, the election of remedies under subsection 1 must be made by the studio or club. If the studio or club is closed because of the fault of its owner or management, the election must be made by the buyer.
(Added to NRS by 1989, 2040; A 1993, 1965)
NRS 598.958 Rights of buyer when dance studio or health club transfers its obligations or moves its place of business.
1. If a dance studio or health club transfers its obligations to provide goods or services to a buyer to another studio or club that provides substantially fewer goods or services, the buyer may consent to the transfer in writing after a full disclosure of the goods and services provided by the new studio or club. If the buyer does not consent, his or her contract is rescinded and he or she must be given a refund pro rata upon the amount of time he or she was a member of the dance studio or health club.
2. If a dance studio or health club moves its place of business that is geographically closest to the residence of the buyer as set forth in the contract, more than 20 miles farther away from the residence of the buyer than it was when the contract for services was signed, the buyer may rescind the contract and the dance studio or health club shall provide a refund pro rata based upon the amount of time he or she was a member.
(Added to NRS by 1989, 2040; A 1993, 1965)
NRS 598.960 Correction of violations. If a dance studio or health club does not comply with the provisions of NRS 598.940 to 598.950, inclusive, or 598.954 to 598.966, inclusive, the buyer may agree in writing, after a full disclosure, to any correction of the defect if the correction is made within 30 days after he or she signs a contract for dance lessons, the use of facilities or other services. If the buyer does not consent, or if the correction is not made within the 30-day period, the contract is rescinded and the buyer must be given a full refund.
(Added to NRS by 1989, 2041; A 1993, 1966)
NRS 598.962 Waiver of provisions is void. Any waiver by the buyer of the provisions of NRS 598.940 to 598.966, inclusive, is contrary to public policy and void.
(Added to NRS by 1989, 2041)
NRS 598.966 Remedies, duties and prohibitions not exclusive; violation constitutes deceptive trade practice.
1. The remedies, duties and prohibitions of NRS 598.940 to 598.966, inclusive, are not exclusive and are in addition to any other remedies provided by law.
2. Any violation of NRS 598.944 to 598.958, inclusive, constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.
(Added to NRS by 1989, 2041; A 1993, 1966; 2009, 2723; 2011, 2652; 2013, 1054; 2015, 3653; 2017, 2254; 2019, 2501)
PROVISION OF TELECOMMUNICATION SERVICES
NRS 598.968 Definitions. As used in NRS 598.968 to 598.9694, inclusive, unless the context otherwise requires, the words and terms defined in NRS 598.9682 and 598.9684 have the meanings ascribed to them in those sections.
(Added to NRS by 1999, 2715; A 2001, 2153)
NRS 598.9682 “Provider” defined. “Provider” means:
1. A telecommunication provider as defined in NRS 704.027;
2. An agent, employee, independent contractor or representative of such a telecommunication provider; or
3. A person who originates a charge for a telecommunication service and directly or indirectly bills a customer for the charge.
(Added to NRS by 1999, 2715; A 2007, 717)
NRS 598.9684 “Telecommunication service” defined. “Telecommunication service” has the meaning ascribed to it in NRS 704.028.
(Added to NRS by 1999, 2715; A 2007, 717)
NRS 598.969 Prohibited acts: Changing a customer’s carrier without timely authorization; failure to provide timely written notices and confirmations; engaging in other fraudulent or deceptive acts; proposing contract to waive or authorize violations of the protections of this section. A provider shall not:
1. Make a statement or representation regarding the provision of a telecommunication service, including, without limitation, a statement regarding the rates, terms or conditions of a telecommunication service, that:
(a) Is false, misleading or deceptive; or
(b) Fails to include material information which makes the statement or representation false, misleading or deceptive.
2. Misrepresent his or her identity.
3. Falsely state to a person that the person has subscribed or authorized a subscription to or has received a telecommunication service.
4. Omit, when explaining the terms and conditions of a subscription to a telecommunication service, a material fact concerning the subscription.
5. Fail to provide a customer with timely written notice containing:
(a) A clear and detailed description relating directly to the services for which the customer is being billed and the amount the customer is being charged for each service;
(b) All terms and conditions relating directly to the services provided; and
(c) The name, address and telephone number of the provider.
6. Fail to honor, within a reasonable period, a request of a customer to cancel a telecommunication service pursuant to the terms and conditions for the service.
7. Bill a customer for a telecommunication service after the customer has cancelled the telecommunication service pursuant to the terms and conditions of the service.
8. Bill a customer for services that the provider knows the customer has not authorized, unless the service is required to be provided by law. The failure of a customer to refuse a proposal from a provider does not constitute specific authorization.
9. Change a customer’s subscription to a local exchange carrier or an interexchange carrier unless:
(a) The customer has authorized the change within the 30 days immediately preceding the date of the change; and
(b) The provider complies with the provisions of 47 U.S.C. § 258, as amended, and the verification procedures set forth in 47 C.F.R. part 64, subpart K, as amended.
10. Fail to provide to a customer who has authorized the provider to change his or her subscription to a local exchange carrier or an interexchange carrier a written confirmation of the change within 30 days after the date of the change.
11. Propose or enter into a contract with a person that purports to:
(a) Waive the protection afforded to the person by any provision of this section; or
(b) Authorize the provider or an agent, employee, independent contractor or representative of the provider to violate any provision of this section.
(Added to NRS by 1999, 2715; A 2007, 717)
NRS 598.9691 Regulations governing disclosures made by provider to customer. The Public Utilities Commission of Nevada may adopt regulations governing the disclosures that must be made by a provider to a customer before the customer may be charged for a telecommunication service.
(Added to NRS by 2001, 2149; A 2007, 718)
NRS 598.9692 Opportunity to freeze interexchange carrier. A provider who is a local exchange carrier shall, in a competitively neutral manner, offer to each customer the opportunity to freeze the interexchange carrier selected by the customer.
(Added to NRS by 1999, 2716)
NRS 598.9694 Remedies, duties and prohibitions not exclusive; violation constitutes deceptive trade practice.
1. The remedies, duties and prohibitions of NRS 598.968 to 598.9694, inclusive, are not exclusive and are in addition to any other remedies provided by law.
2. A violation of any provision of NRS 598.968 to 598.9694, inclusive, constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.
(Added to NRS by 1999, 2716)
ELECTRONIC TRACKING AND STARTER INTERRUPTION TECHNOLOGY AND DEVICES FOR MOTOR VEHICLES
NRS 598.9701 Definitions. As used in NRS 598.9701 to 598.9718, inclusive, unless the context otherwise requires, the words and terms defined in NRS 598.9702 to 598.9714, inclusive, have the meanings ascribed in those sections.
(Added to NRS by 2017, 4057)
NRS 598.9702 “Consumer” defined. “Consumer” means:
1. A retail buyer who purchases a motor vehicle; or
2. A long-term lessee who leases a motor vehicle,
Ê primarily for personal, family or household use.
(Added to NRS by 2017, 4057)
NRS 598.9703 “Creditor” defined. “Creditor” means a lender, dealer or other secured party to a transaction for the purchase of a motor vehicle or the assignee of such a lender, dealer or other secured party.
(Added to NRS by 2017, 4057)
NRS 598.9704 “Dealer” defined. “Dealer” has the meaning ascribed to it in NRS 482.020.
(Added to NRS by 2017, 4058)
NRS 598.9705 “Device” defined. “Device” means all physical parts and pieces which are required to allow for the operation of electronic tracking technology or starter interruption technology in a motor vehicle.
(Added to NRS by 2017, 4058)
NRS 598.9706 “Electronic tracking technology” defined. “Electronic tracking technology” means technology that enables the use of a global positioning satellite or similar technology to obtain or record the location of a motor vehicle.
(Added to NRS by 2017, 4058)
NRS 598.9707 “Lease” defined. “Lease” has the meaning ascribed to it in NRS 482.053.
(Added to NRS by 2017, 4058)
NRS 598.9708 “Long-term lessee” defined. “Long-term lessee” has the meaning ascribed to it in NRS 482.053.
(Added to NRS by 2017, 4058)
NRS 598.9709 “Long-term lessor” defined. “Long-term lessor” has the meaning ascribed to it in NRS 482.053.
(Added to NRS by 2017, 4058)
NRS 598.9711 “Retail buyer” defined. “Retail buyer” has the meaning ascribed to it in NRS 97.085.
(Added to NRS by 2017, 4058)
NRS 598.9712 “Retail installment contract” defined. “Retail installment contract” has the meaning ascribed to it in NRS 97.105.
(Added to NRS by 2017, 4058)
NRS 598.9713 “Secured party” defined. “Secured party” has the meaning ascribed to it in NRS 104.9102.
(Added to NRS by 2017, 4058)
NRS 598.9714 “Starter interruption technology” defined. “Starter interruption technology” means technology which can be used to remotely disable the starter of a motor vehicle or to remotely cause an audible sound in a motor vehicle, or both.
(Added to NRS by 2017, 4058)
NRS 598.9715 Use or installment by creditor or long-term lessor: Requirements; waiver prohibited; exceptions.
1. A creditor, in connection with a retail installment contract for the sale of a motor vehicle, or a long-term lessor, in connection with a lease of a motor vehicle, must not use, install or require to be installed in the motor vehicle any electronic tracking technology for the purpose of ascertaining or recording the location of the motor vehicle unless the:
(a) Consumer agrees in writing to the installation of the electronic tracking technology in the motor vehicle, provided that the agreement is optional and not a required condition of the retail installment contract or lease; or
(b) Creditor or long-term lessor provides to the consumer, before the signing of the retail installment contract or lease, written notification in a document that is separate from the contract or lease and may be retained by the consumer, that the motor vehicle is equipped with electronic tracking technology that may be used by the creditor or lessor:
(1) To verify and maintain the operational status of the electronic tracking technology;
(2) To service the contract or lease; or
(3) To locate the vehicle for repossession as provided by this section or by any other provision of law.
2. A creditor, in connection with a retail installment contract for the sale of a motor vehicle, or a long-term lessor, in connection with a lease of a motor vehicle, must not install in the motor vehicle or use starter interruption technology unless, before the signing of the contract or lease the consumer and the creditor or long-term lessor enter into a written agreement, in a document that is separate from the contract or lease, a copy of which may be retained by the consumer and for which the consumer must provide written acknowledgment of receipt, that the motor vehicle is equipped with starter interruption technology. The agreement must provide that:
(a) The vehicle is equipped with starter interruption technology which may only be used as provided in this subsection.
(b) The starter interruption technology may be used to disable the starter of the motor vehicle remotely if the consumer is in default as provided in the retail installment contract or lease, but in no case sooner than 30 days after the due date of a missed payment by the consumer on the contract or lease.
(c) The use of starter interruption technology to disable the starter of the motor vehicle constitutes constructive repossession for the purposes of applicable law, including, without limitation, chapter 97 and chapters 104 to 104C, inclusive, of NRS.
(d) For the purposes of reducing or eliminating the risk of potential injury or harm to the consumer and the health, safety and welfare of the public, starter interruption technology must be designed, installed and operated only to prevent a motor vehicle from being started and must not be used in a way that will:
(1) Disable the motor vehicle while it is being operated;
(2) Turn off the engine when the engine is running; or
(3) Cause an audible warning sound which lasts longer than 20 continuous seconds when the engine is started or turned off.
(e) Not less than 48 hours before the starter interruption technology is engaged, the consumer must be provided with actual notice, in a manner clearly stated in the agreement and which may consist of, without limitation, a clear visual signal displayed in a place that is visible to the driver of the motor vehicle.
(f) The consumer will be provided with the name, address and toll-free telephone number of a person who has the authority to have the starter interruption technology activated, deactivated or reinstated, as necessary.
(g) If the starter interruption technology is engaged, the consumer will be provided with the ability, in the event of an emergency, to start and freely operate the vehicle not less than two times during a payment cycle under the retail installment contract or lease, for a period of not less than 24 hours after each time the vehicle is started.
(h) In the event that the retail installment contract or lease for the motor vehicle is assigned to a successor in interest or another secured party, the successor in interest or other secured party must provide the consumer with his or her name, address and toll-free telephone number in a commercially reasonable time and manner.
(i) The consumer must not be charged a fee or incur any cost for the installation or use of the starter interruption technology unless the consumer chooses to keep an electronic tracking technology device after, as applicable:
(1) The consumer makes all payments required pursuant to the retail installment contract; or
(2) If the consumer has the option to purchase the motor vehicle after the expiration of the lease, the consumer purchases the motor vehicle and makes all payments required pursuant to any retail installment contract.
(j) A breach of the agreement by the creditor or long-term lessor constitutes a deceptive trade practice.
3. The provisions of this section:
(a) May not be waived by the consumer.
(b) Do not apply to a creditor or long-term lessor who:
(1) Conducts a transaction for the installment sale or long-term lease of a motor vehicle intended for use by a business entity in the course or scope of business.
(2) Is the manufacturer, or an affiliate under common control or ownership of the manufacturer, of the motor vehicle which is the subject of the retail installment contract or long-term lease.
(Added to NRS by 2017, 4058)
NRS 598.9716 Requirements for manufacturers, providers and installers; prohibited acts regarding telemetry data; exceptions.
1. A person who manufactures or provides electronic tracking technology devices or starter interruption technology devices shall:
(a) Label each such device with the name of the manufacturer and a unique identifier that is designed to remain legible for the estimated useful life of the device.
(b) Keep records for each device for not less than the estimated useful life of the device that include, without limitation:
(1) The date of manufacture;
(2) The date of sale;
(3) The identity of the original purchaser; and
(4) If known, the identity of the person who initially installed the device.
(c) Provide to any installer of the device specific instructions on the proper installation of the device in a vehicle and retain records showing the exact instructions which were provided with each device, as identified with a unique identifier pursuant to paragraph (a).
(d) If he or she regains possession of a device and resells or provides it to another person, keep the records required pursuant to paragraphs (b) and (c).
2. A person who installs an electronic tracking technology device or a starter interruption technology device in a motor vehicle must:
(a) Hold a certification from the:
(1) Mobile Electronics Certified Professional program or its successor; or
(2) National Institute for Automotive Service Excellence or its successor.
(b) Keep records of each installation conducted for not less than 3 years. Such records must include, without limitation:
(1) The date of installation;
(2) The unique identifier on each device as required by paragraph (a) of subsection 1; and
(3) A copy of the installation instructions provided by the manufacturer or provider of the device as required by paragraph (c) of subsection 1.
(c) If the installation is at the request of or on behalf of a creditor in connection with a retail installment contract for the sale of a motor vehicle or a long-term lessor in connection with the lease of a motor vehicle, provide a copy of the records required by paragraph (b) to the creditor or lessor or a designee of the creditor or lessor.
3. A person who possesses or obtains telemetry data related to a consumer that is collected by electronic tracking technology or starter interruption technology may not:
(a) Sell any telemetry data.
(b) Provide any telemetry data to any person or entity other than:
(1) The consumer;
(2) A repossessor who is authorized pursuant to NRS 598.9715 to repossess the motor vehicle from which the telemetry data was obtained; or
(3) A person authorized by law to possess or obtain such telemetry data.
(c) Use any telemetry data for any purpose other than:
(1) As needed to ensure that the electronic tracking technology or starter interruption technology is operating properly, provided that such use is brief and periodic;
(2) To communicate an audible or visible warning to the consumer as authorized in NRS 598.9715;
(3) To activate starter interruption technology as authorized in NRS 598.9715;
(4) To locate a motor vehicle at the request of the consumer; or
(5) To locate the motor vehicle for repossession as authorized in NRS 598.9715.
(d) Retain any telemetry data for a period of more than 180 days after collection of the data.
(e) Fail to erase all electronically stored telemetry data and shred any physical copies of such data not more than 180 days after collection of the data.
4. The provisions of this section do not apply to:
(a) The manufacturer, or an affiliate under common control or ownership of the manufacturer, of a motor vehicle which is equipped with electronic tracking technology or starter interruption technology or from which telemetry data is obtained; or
(b) An insurer, or a wholly owned affiliate of an insurer, of a motor vehicle from which telemetry data is obtained with the consent of the insured.
5. As used in this section, unless the context otherwise requires:
(a) “Repossessor” has the meaning ascribed to it in NRS 648.015.
(b) “Telemetry data” means any information collected by electronic tracking technology or starter interruption technology, regardless of whether such information is transmitted or retained in the device, and includes, without limitation, information pertaining to the location, speed and motion status of a motor vehicle.
(Added to NRS by 2017, 4060)
NRS 598.9717 Responsibility for device. Except as otherwise provided in paragraph (i) of subsection 2 of NRS 598.9715, any electronic tracking technology device or starter interruption technology device that is installed in a motor vehicle at the request of or on behalf of a creditor, in connection with a retail installment contract for the sale of a motor vehicle, or a long-term lessor, in connection with the lease of a motor vehicle, is the responsibility of the creditor or long-term lessor or, if the retail installment contract or lease for the motor vehicle is assigned to a successor in interest or another secured party, the successor in interest or other secured party. Such responsibility includes, without limitation, paying the costs of any maintenance, replacement or repair of the device that is not covered by a warranty and any damage to the motor vehicle that is caused by the device. A consumer must not be required to pay any such costs relating to the use of such a device.
(Added to NRS by 2017, 4061)
NRS 598.9718 Violation constitutes deceptive trade practice; remedies.
1. Any violation of NRS 598.9715 or 598.9716 constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.
2. A consumer who prevails in an action for a violation of NRS 598.9715 or 598.9716 by a person who is a creditor in connection with a retail installment contract for the sale of a motor vehicle or a long-term lessor in connection with the lease of a motor vehicle, in addition to any other award or other remedy available pursuant to law, must be awarded the greater of:
(a) Statutory damages pursuant to subsection 3 of NRS 104.9625, if applicable; or
(b) $1,000.
(Added to NRS by 2017, 4062)
TRANSLATION OF CERTAIN CONTRACTS OR AGREEMENTS
NRS 598.9731 “Contract or agreement” defined.
1. As used in NRS 598.9731 to 598.9739, inclusive, unless the context otherwise requires, “contract or agreement” means the document that creates the rights and obligations of the parties which results from a negotiation or transaction described in NRS 598.9733 and which is not excluded pursuant to subsection 4 of NRS 598.9733.
2. The term includes, without limitation, any subsequent document that makes substantial changes to the rights and obligations of the parties.
3. The term does not include:
(a) Any subsequent documents authorized or contemplated by the original document or the document described in subsection 2. Such subsequent documents that are authorized or contemplated include, without limitation:
(1) Periodic statements;
(2) Sales slips or invoices which represent purchases made pursuant to a credit card agreement;
(3) Memoranda of purchases in an add-on sale; and
(4) Documents relating to the refinancing of a purchase as provided for or required by the original document or the document described in subsection 2.
(b) Matters incorporated during the regular course of business in contracts or agreements that result from a transaction listed in paragraph (b) of subsection 3 of NRS 598.9733. Such matters include, without limitation:
(1) Rules and regulations governing a tenancy; and
(2) Inventories of furnishings.
(Added to NRS by 2021, 1446)
NRS 598.9733 Certain persons who advertise and negotiate in language other than English required to deliver translation of contract or agreement; transactions to which requirement applies; exceptions. Except as otherwise provided in subsection 4 and NRS 598.9737:
1. A person who, in the course of his or her business or occupation, advertises in a language other than English and negotiates orally or in writing any of the transactions listed in subsection 3 in a language other than English, or who allows an employee or agent of the person to advertise in a language other than English and to negotiate orally or in writing any of the transactions listed in subsection 3 in a language other than English, shall deliver a translation of the contract or agreement that results from such advertising and negotiations in the language that was used in the advertisement and negotiation of the contract or agreement to the person who is a party to the contract or agreement and to any other person who may sign the contract or agreement.
2. The translation of the contract or agreement required by subsection 1 must:
(a) Be provided to the person who is a party to the contract or agreement and to any other person who may sign the contract or agreement before the execution of the contract or agreement; and
(b) Include, without limitation, every term and condition in the contract or agreement.
3. A person must provide pursuant to subsection 1 a translation of a contract or agreement that results from the following transactions:
(a) A loan or extension of credit that is secured by property, other than real property, that is used for personal, family or household purposes;
(b) A lease, sublease, rental contract or agreement or other contract or agreement containing a term of tenancy if the lease, sublease, rental contract or agreement or other contract or agreement:
(1) Is for a period that is at least 1 month; and
(2) Applies to a dwelling, apartment, mobile home or other dwelling unit that is used as a residence; or
(c) Except as otherwise provided in this paragraph, an unsecured loan that is used for personal, family or household purposes. A credit instrument, as defined in NRS 463.01467, is not an unsecured loan for the purposes of this paragraph.
4. The provisions of this section do not apply to a person who:
(a) Is a bank, savings and loan association, savings bank, thrift company or credit union;
(b) Has a physical location; and
(c) Engages in a transaction other than:
(1) The issuance of a credit card, as defined in NRS 97A.050; or
(2) An automobile loan.
5. As used in this section, “automobile loan” means a loan or an extension of credit that is expressly intended to finance the purchase of a motor vehicle, as defined in NRS 482.075, when the loan or credit is secured by the motor vehicle being purchased.
(Added to NRS by 2021, 1447)
NRS 598.9735 When financial institution deemed in compliance with translation requirement for certain mandatory disclosures.
1. Except as otherwise provided in subsection 4 of NRS 598.9733 and NRS 598.9737, if a financial institution is required pursuant to Regulation M or Regulation Z to provide a disclosure to a person in addition to any contract or agreement described in NRS 598.9733, the financial institution shall be deemed to be in compliance with NRS 598.9733 if:
(a) The disclosure required pursuant to Regulation M or Regulation Z is translated into the same language that the contract or agreement was translated pursuant to NRS 598.9733; and
(b) The translated disclosure is provided to the person who is a party to the contract or agreement and to any other person who may sign the contract or agreement before the execution of the contract or agreement.
2. As used in this section:
(a) “Consumer Leasing Act” means the federal Consumer Leasing Act, as amended, 15 U.S.C. §§ 1667 et seq.
(b) “Regulation M” means the federal regulations, as amended, 12 C.F.R. Part 1013, adopted pursuant to the Consumer Leasing Act and commonly known as Regulation M.
(c) “Regulation Z” means the federal regulations, as amended, 12 C.F.R. Part 226, adopted pursuant to the Truth in Lending Act and commonly known as Regulation Z.
(d) “Truth in Lending Act” means the federal Truth in Lending Act, as amended, 15 U.S.C. §§ 1601 et seq.
(Added to NRS by 2021, 1447)
NRS 598.9737 Elements of translated contract or agreement permitted to be retained in English. A translation that is required pursuant to NRS 598.9733 or 598.9735, if applicable, may retain the following elements of the executed English language contract or agreement or disclosure, if applicable, without translation:
1. Names and titles of persons;
2. Addresses;
3. Brand names;
4. Trade names;
5. Trademarks;
6. Registered service marks;
7. Full or abbreviated designations of the make and model of goods or services;
8. Alphanumeric codes, numerals, dollar amounts expressed in numerals and dates; and
9. Individual words or expressions that do not have a generally accepted non-English translation.
(Added to NRS by 2021, 1448)
NRS 598.9739 Right of aggrieved party to rescind contract or agreement. If a person fails to comply with the provisions of NRS 598.9731 to 598.9739, inclusive, the aggrieved party may rescind the contract or agreement.
(Added to NRS by 2021, 1448)
DISTRIBUTED GENERATION SYSTEMS
NRS 598.9801 Definitions. As used in NRS 598.9801 to 598.9822, inclusive, unless the context otherwise requires, the words and terms defined in NRS 598.9802 to 598.9808, inclusive, have the meanings ascribed to them in those sections.
(Added to NRS by 2017, 4267; A 2023, 1118)
NRS 598.9802 “Commission” defined. “Commission” means the Public Utilities Commission of Nevada.
(Added to NRS by 2017, 4267)
NRS 598.9803 “Disclosure” defined. “Disclosure” means a written statement.
(Added to NRS by 2017, 4267)
NRS 598.9804 “Distributed generation system” defined. “Distributed generation system” means a system or facility for the residential generation of electricity that uses solar energy to generate electricity.
(Added to NRS by 2017, 4267; A 2019, 1204; A 2023, 1118)
NRS 598.9805 “Host customer” defined. “Host customer” means either:
1. The customer of record of an electric utility at the location where an energy system that uses photovoltaic cells and solar energy to generate electricity will be located; or
2. A person who has been designated by the customer of record of an electric utility in a letter to the utility explaining the relationship between that person and the customer of record.
(Added to NRS by 2017, 4268)
NRS 598.98055 “Offset” defined. “Offset” means the amount of alternating current kilowatt hours generated by a distributed generation system divided by prior consumption, to the extent data on prior consumption is available.
(Added to NRS by 2023, 1117)
NRS 598.9806 “Portfolio energy credit” defined. “Portfolio energy credit” has the meaning ascribed to it in NRS 704.7803.
(Added to NRS by 2017, 4268)
NRS 598.9807 “Power purchase agreement” defined. “Power purchase agreement” means an agreement in which a solar installation company:
1. Arranges for the design, installation, maintenance and energy output of a distributed generation system; and
2. Sells the electricity generated from a distributed generation system to the host customer.
(Added to NRS by 2017, 4268)
NRS 598.98075 “Production” defined. “Production” means the amount of alternating current kilowatt hours generated by a distributed generation system.
(Added to NRS by 2023, 1117)
NRS 598.9808 “Solar installation company” defined.
1. “Solar installation company” means any form of business organization or any other nongovernmental legal entity, including, without limitation, a corporation, partnership, association, trust or unincorporated organization, that holds a license issued pursuant to chapter 624 of NRS which authorizes the performance of work concerning a distributed generation system and, directly or indirectly, on its own behalf or on behalf of another:
(a) Performs or offers to perform any work concerning a distributed generation system;
(b) Advertises, solicits or offers to enter into an agreement described in NRS 598.9801 to 598.9822, inclusive; or
(c) Transacts business to:
(1) Sell and install a distributed generation system; or
(2) Install a distributed generation system owned by a third party from whom the customer:
(I) Leases a distributed generation system; or
(II) Purchases electricity generated by a distributed generation system.
2. The term does not include a person who generates leads or referrals to perform work concerning a distributed generation system for persons who hold a license issued pursuant to chapter 624 of NRS authorizing the performance of such work, if such activity is limited to:
(a) Serving as the source of a referral;
(b) Providing the contact information of a person who holds a license issued pursuant to chapter 624 of NRS to a prospective purchaser or lessee;
(c) Setting up appointments on behalf of a person who holds a license issued pursuant to chapter 624 of NRS; or
(d) Advertising through print media.
(Added to NRS by 2017, 4268; A 2023, 1118)
NRS 598.9809 Agreement for lease of distributed generation system: Cover page. An agreement for the lease of a distributed generation system must include a cover page that:
1. Prominently displays the following information at the top of the cover page in at least 16-point font:
(a) Notice of the right to rescind or cancel the agreement, without any penalty or obligation, within 3 business days after the execution of the agreement, as provided in NRS 598.98216.
(b) An electronic mail address to which a notice of rescission or cancellation may be sent pursuant to NRS 598.98216 and notice that the lessee may send such a notice to that electronic mail address.
(c) Notice of the requirement to make and maintain a recording pursuant to NRS 598.98213.
(d) Notice that, before the installation of the distributed generation system, the lessee will have the opportunity to confirm that no representations, offers or promises were made at any time concerning the lease of the distributed generation system other than what is contained in the agreement.
2. Provides the following information in at least 10-point font:
(a) The amounts due at the signing for and at the completion of the installation or any inspection of the distributed generation system.
(b) An estimated timeline for the installation of the distributed generation system.
(c) The estimated amount of the monthly payments due under the lease in the first year of operation of the distributed generation system.
(d) The length of the term of the lease.
(e) A description of any warranties.
(f) The rate of any payment increases.
(g) The identification of any state or federal tax incentives that are included in calculating the amount of the monthly payments due under the lease.
(h) The estimated production of the distributed generation system in the first year of operation and an explanation that:
(1) The lessee will always receive a power bill if the premises of the lessee are connected to the power grid;
(2) The estimated production or offset is based on available data on prior consumption; and
(3) Any change in consumption by the lessee will impact the estimated offset, or savings, in relation to the production.
(i) A description of the terms for renewal or any other options available at the end of the term of the lease.
(j) A description of any option to purchase the distributed generation system before the end of the term of the lease.
(k) Notice of the existence of the Recovery Fund administered by the State Contractors’ Board pursuant to NRS 624.470.
(l) Notice that a person financially damaged by a licensed contractor who performs work on a residence may be eligible to recover certain financial damages from the Recovery Fund.
(m) Notice that a host customer may file a complaint with the Public Utilities Commission of Nevada.
(n) Contact information for the State Contractors’ Board and the Public Utilities Commission of Nevada, including, without limitation, a telephone number.
(o) Notice that the lessee, before the execution of the agreement, may request any document used in the solicitation, offer or transaction for the agreement in any language.
(Added to NRS by 2017, 4268; A 2023, 1119)
NRS 598.9811 Agreement for lease of distributed generation system: Contents. An agreement for the lease of a distributed generation system must include, without limitation, the following information in at least 10-point font:
1. The name, mailing address, telephone number and number of the contractor’s license of the solar installation company.
2. The name, mailing address and telephone number of:
(a) The lessor of the distributed generation system; and
(b) The name, mailing address and telephone number of the person responsible for all maintenance of the distributed generation system, if different from the solar installation company.
3. An estimated timeline for the installation of the distributed generation system.
4. The length of the term of the lease.
5. A general description of the distributed generation system.
6. The amounts due at the signing for and at the completion of the installation or any inspection of the distributed generation system.
7. A description of any warranties.
8. The amount of the:
(a) Monthly payments due under the lease; and
(b) Total payments due under the lease, excluding taxes.
9. A description of any other one-time or recurring charges, including, without limitation, a description of the circumstances that trigger any late fees.
10. A description of any obligation the lessor has regarding the installation, repair or removal of the distributed generation system.
11. A description of any obligation the lessor has regarding construction of and insurance for the distributed generation system.
12. A description of any:
(a) Taxes due at the commencement of the lease; and
(b) Estimation of taxes known to be applicable during the term of the lease, subject to any change in the state or local tax rate or tax structure.
13. A copy of the warranty for the distributed generation system.
14. A disclosure notifying the lessee of the transferability of the obligations under the warranty to a subsequent lessee.
15. The identification of any state or federal tax incentives that are included in calculating the amount of the monthly payments due under the lease.
16. A description of the ownership of any tax credits, tax rebates, tax incentives or portfolio energy credits in connection with the distributed generation system.
17. Any terms for renewal of the lease.
18. A description of any option to purchase the distributed generation system before the end of the term of the lease.
19. A description of all options available to the host customer in connection with the continuation, termination or transfer of the lease in the event of the:
(a) Sale of the property to which the distributed generation system is affixed; or
(b) Death of the lessee.
20. A description of any restrictions that the lease imposes on the modification or transfer of the property to which the distributed generation system is affixed.
21. The granting to the lessee of the right to rescind the lease for a period ending not less than 3 business days after the lease is signed.
22. An estimate of the amount of electricity that could be generated by the distributed generation system in the first year of operation.
23. A signature block that is signed and dated by the lessor and the lessee of the distributed generation system.
(Added to NRS by 2017, 4269)
NRS 598.9812 Agreement for lease of distributed generation system: Disclosure.
1. An agreement for the lease of a distributed generation system must include a disclosure that is not more than 3 pages in length and is in at least 10-point font.
2. The disclosure described in subsection 1 must be separate from the cover page and agreement described in NRS 598.9809 and 598.9811.
3. The disclosure described in subsection 1 must include, without limitation:
(a) The name, mailing address, telephone number and electronic mail address of the lessor;
(b) The name, mailing address, telephone number, electronic mail address and number of the contractor’s license of the person who installed the distributed generation system, if different from the solar installation company;
(c) The name, mailing address, telephone number, electronic mail address and the number of the contractor’s license of the person responsible for all maintenance of the distributed generation system, if different from the solar installation company;
(d) The length of the term of the lease;
(e) The amount of the monthly payments due under the lease in the first year of operation;
(f) The amounts due at the signing for and at the completion of the installation of the distributed generation system;
(g) The estimated amount of the total payments due under the lease, including, without limitation, any incentives that are included in the estimated lease payments;
(h) A description of any one-time or recurring fees, including, without limitation, a description of the circumstances that trigger:
(1) Any late fees;
(2) Estimated fees for the removal of the distributed generation system;
(3) Fees for a notice of removal and refiling pursuant to the Uniform Commercial Code;
(4) Fees for connecting to the Internet; and
(5) Fees for not enrolling in a program in which payments are made through an electronic transfer of money cleared through an automated clearinghouse;
(i) The total number of payments to be made under the lease;
(j) The due date of any payment and the manner in which the consumer will receive an invoice for such payments;
(k) The rate of any payment increases and the date on which the first increase in the rate may occur, if applicable;
(l) Assumptions concerning the design of the distributed generation system, including, without limitation:
(1) The size of the distributed generation system;
(2) The estimated amount of production for the distributed generation system in the first year of operation;
(3) The estimated annual degradation to the distributed generation system; and
(4) As specified by the lease at the time of installation, whether or not an electric utility must credit a customer of the electric utility for any excess energy that is generated by the distributed generation system;
(m) A disclosure notifying the lessee of the intent of the lessor to file a fixture filing, as defined in NRS 104A.2309, on the distributed generation system;
(n) A disclosure notifying the lessee if maintenance and repairs of the distributed generation system are included in the lease;
(o) A disclosure describing any warranty for the repair of any damage to the roof of the property owned by the lessee in connection with the installation or removal of the distributed generation system;
(p) A disclosure describing:
(1) The transferability of the lease; and
(2) Any conditions on transferring the lease in connection with the lessee selling his or her property;
(q) A description of any guarantees of the performance of the distributed generation system;
(r) A description of the basis for any estimates of savings that were provided to the lessee, if applicable; and
(s) A disclosure concerning the retention of any portfolio energy credits, if applicable.
(Added to NRS by 2017, 4270)
NRS 598.9813 Agreement for purchase of distributed generation system: Cover page. An agreement for the purchase of a distributed generation system must include a cover page that:
1. Prominently displays the following information at the top of the cover page in at least 16-point font:
(a) Notice of the right to rescind or cancel the agreement, without any penalty or obligation, within 3 business days after the execution of the agreement, as provided in NRS 598.98216.
(b) An electronic mail address to which a notice of rescission or cancellation may be sent pursuant to NRS 598.98216 and notice that the purchaser may send such a notice to that electronic mail address.
(c) Notice of the requirement to make and maintain a recording pursuant to NRS 598.98213.
(d) Notice that, before the installation of the distributed generation system, the purchaser will have the opportunity to confirm that no representations, offers or promises were made at any time concerning the purchase of the distributed generation system other than what is contained in the agreement.
2. Provide the following information in at least 10-point font:
(a) The size of the distributed generation system.
(b) The length of the term of the warranty for the distributed generation system.
(c) An estimated timeline for the installation of the distributed generation system.
(d) A description of any warranties.
(e) The total cost of the distributed generation system.
(f) The estimated value of any portfolio energy credits and rebates of any incentives included in the calculation of the total cost of the distributed generation system.
(g) The amounts due at the signing for and at the completion of the installation of the distributed generation system.
(h) The estimated production of the distributed generation system in the first year of operation and an explanation that:
(1) The purchaser will always receive a power bill if the premises of the purchaser are connected to the power grid;
(2) The estimated production or offset is based on available data on prior consumption; and
(3) Any change in consumption by the purchaser will impact the estimated offset, or savings, in relation to the production.
(i) Notice of the existence of the Recovery Fund administered by the State Contractors’ Board pursuant to NRS 624.470.
(j) Notice that a person financially damaged by a licensed contractor who performs work on a residence may be eligible to recover certain financial damages from the Recovery Fund.
(k) Notice that a host customer may file a complaint with the Public Utilities Commission of Nevada.
(l) Contact information for the State Contractors’ Board and Public Utilities Commission of Nevada, including, without limitation, a telephone number.
(m) Notice that the purchaser, before the execution of the agreement, may request any document used in the solicitation, offer or transaction for the agreement in any language.
(Added to NRS by 2017, 4271; A 2023, 1120)
NRS 598.9814 Agreement for purchase of distributed generation system: Contents. An agreement for the purchase of a distributed generation system must include, without limitation, the following information in at least 10-point font:
1. The name, mailing address, telephone number, electronic mail address and number of the contractor’s license of the solar installation company.
2. The name, mailing address, telephone number and electronic mail address of:
(a) The purchaser of the distributed generation system; and
(b) The name, mailing address, telephone number and electronic mail address of the person responsible for all maintenance of the distributed generation system, if different from the solar installation company.
3. A description, which includes, without limitation, any assumptions, concerning the design and installation of the distributed generation system. Such a description must include, without limitation:
(a) The size of the distributed generation system;
(b) The estimated amount of production for the distributed generation system in the first year of operation; and
(c) The estimated annual degradation to the distributed generation system.
4. The total cost of the distributed generation system.
5. An estimated timeline for the installation of the distributed generation system.
6. A payment schedule, including, without limitation:
(a) The due dates for any deposit; and
(b) Any subsequent payments that are not to exceed the total system cost stated on the cover page pursuant to NRS 598.9813.
7. The granting to the purchaser the right to rescind the agreement for a period ending not less than 3 business days after the agreement is signed.
8. A copy of the warranty for the distributed generation system.
9. A disclosure notifying the purchaser of the transferability of the obligations under the warranty to a subsequent purchaser.
10. The identification of any incentives included in the calculation of the total cost of the distributed generation system.
11. A description of any guarantee of the performance of the distributed generation system.
12. A signature block that is signed and dated by the purchaser of the distributed generation system and the solar installation company.
13. A description of the basis for any estimates of savings that were provided to the purchaser, if applicable.
14. A disclosure concerning the retention of any portfolio energy credits, if applicable.
(Added to NRS by 2017, 4272)
NRS 598.9815 Agreement for purchase of distributed generation system: Disclosure.
1. An agreement for the purchase of a distributed generation system must include a disclosure that is not more than 3 pages in length and is in at least 10-point font.
2. The disclosure described in subsection 1 must be separate from the cover page and agreement described in NRS 598.9813 and 598.9814.
3. The disclosure described in subsection 1 must include, without limitation:
(a) The name, mailing address, telephone number and electronic mail address of the solar installation company;
(b) The name, mailing address, telephone number, electronic mail address and number of the contractor’s license of the person who installed the distributed generation system, if different from the solar installation company;
(c) The name, mailing address, telephone number, electronic mail address and the number of the contractor’s license of the person responsible for all maintenance of the distributed generation system, if different from the solar installation company;
(d) The purchase price of the distributed generation system;
(e) The payment schedule for the distributed generation system;
(f) The approximate start and completion dates for the installation of the distributed generation system;
(g) A disclosure notifying the purchaser of the responsible party for obtaining approval for connecting the distributed generation system to the electricity meter on the host customer’s side;
(h) Assumptions concerning the design of the distributed generation system, including, without limitation:
(1) The size of the distributed generation system;
(2) The estimated amount of production for the distributed generation system in the first year of operation;
(3) The estimated annual degradation to the distributed generation system; and
(4) As specified by the agreement at the time of installation, whether or not an electric utility must credit a customer of the electric utility for any excess energy that is generated by the distributed generation system;
(i) A disclosure notifying the purchaser if maintenance and repairs of the distributed generation system are included in the purchase;
(j) A disclosure describing any warranty for the repair of any damage to the roof of the property owned by the purchaser in connection with the installation or removal of the distributed generation system;
(k) A description of any guarantees of the performance of the distributed generation system;
(l) A description of the basis for any estimates of savings that were provided to the purchaser, if applicable; and
(m) A disclosure concerning the retention of any portfolio energy credits, if applicable.
(Added to NRS by 2017, 4273)
NRS 598.9816 Power purchase agreement: Cover page. A power purchase agreement for the sale of the output of a distributed generation system must include a cover page that:
1. Prominently displays the following information at the top of the cover page in at least 16-point font:
(a) Notice of the right to rescind or cancel the agreement, without any penalty or obligation, within 3 business days after the execution of the agreement, as provided in NRS 598.98216.
(b) An electronic mail address to which a notice of rescission or cancellation may be sent pursuant to NRS 598.98216 and notice that the host customer may send such a notice to that electronic mail address.
(c) Notice of the requirement to make and maintain a recording pursuant to NRS 598.98213.
(d) Notice that, before the installation of the distributed generation system, the host customer will have the opportunity to confirm that no representations, offers or promises were made at any time concerning the sale of the output of the distributed generation system other than what is contained in the agreement.
2. Provides the following information in at least 10-point font:
(a) The rate of any increase in the payments to be made during the term of the agreement and, if applicable, the date of the first such increase.
(b) An estimated timeline for the installation of the distributed generation system.
(c) The rate of electricity per kilowatt-hour of electricity for the first year of the agreement.
(d) The length of the term of the agreement.
(e) The amounts due at the signing for and at the completion of the installation or any inspection of the distributed generation system.
(f) The estimated production of the distributed generation system in the first year of operation and an explanation that:
(1) The host customer will always receive a power bill if the premises of the host customer are connected to the power grid;
(2) The estimated production or offset is based on available data on prior consumption; and
(3) Any change in consumption by the host customer will impact the estimated offset, or savings, in relation to the production.
(g) A description of the options available at the end of the term of the agreement.
(h) A description of any option to purchase the distributed generation system before the end of the term of the agreement.
(i) Notice of the existence of the Recovery Fund administered by the State Contractors’ Board pursuant to NRS 624.470.
(j) Notice that a person financially damaged by a licensed contractor who performs work on a residence may be eligible to recover certain financial damages from the Recovery Fund.
(k) Notice that a host customer may file a complaint with the Public Utilities Commission of Nevada.
(l) Contact information for the State Contractors’ Board and the Public Utilities Commission of Nevada, including, without limitation, a telephone number.
(m) Notice that the host customer, before execution of the agreement, may request any document used in the solicitation, offer or transaction for the power purchase agreement in any language.
(Added to NRS by 2017, 4274; A 2023, 1121)
NRS 598.9817 Power purchase agreement: Contents. A power purchase agreement for the sale of the output of a distributed generation system must include, without limitation, the following information in at least 10-point font:
1. The name, mailing address, telephone number, electronic mail address and number of the contractor’s license of the solar installation company.
2. The name, mailing address, telephone number and electronic mail address of:
(a) The provider of the distributed generation system; and
(b) The name, mailing address, telephone number and electronic mail address of the person responsible for all maintenance of the distributed generation system, if different from the solar installation company.
3. The length of the term of the agreement.
4. An estimated timeline for the installation of the distributed generation system.
5. The payments made during the first year of the agreement for the price of electricity, which includes, without limitation, the price per kilowatt-hour of electricity and the price per monthly system electrical output.
6. The estimated annual electrical output of the distributed generation system.
7. The rate of any increase in the payments to be made during the term of the agreement and, if applicable, the date of the first such increase.
8. A description of any obligation the solar installation company has regarding construction and repair of and insurance for the distributed generation system.
9. A description of any one-time or recurring fees, including, without limitation, a description of the circumstances that trigger any late fees.
10. A description of any:
(a) Taxes due at the commencement of the agreement; and
(b) Estimation of taxes known to be applicable during the term of the agreement, subject to a change in the state or local tax rate or tax structure.
11. A copy of the warranty for the distributed generation system.
12. A description of the ownership of any tax credits, tax rebates, tax incentives or portfolio energy credits in connection with the distributed generation system.
13. Any terms for renewal of the agreement.
14. A description of any option to purchase the distributed generation system before the end of the term of the agreement.
15. A description of all options available to the host customer in connection with the continuation, termination or transfer of the agreement in the event of the:
(a) Sale of the property to which the distributed generation system is affixed; or
(b) Death of the purchaser.
16. The granting to the purchaser of the right to rescind the agreement for a period ending not less than 3 business days after the agreement is signed.
17. A description of any restrictions that the agreement imposes on the modification or transfer of the property to which the distributed generation system is affixed.
18. A description of any guarantees of the performance of the distributed generation system.
19. A disclosure notifying the host customer of the transferability of the obligations under the warranty to a subsequent purchaser.
20. A signature block that is signed and dated by the purchaser and the solar installation company.
21. A statement describing the due dates of any payments.
(Added to NRS by 2017, 4274)
NRS 598.9818 Power purchase agreement: Disclosure.
1. A power purchase agreement for the sale of output of a distributed generation system must include a disclosure that is not more than 3 pages in length and is in at least 10-point font.
2. The disclosure described in subsection 1 must be separate from the cover page and agreement described in NRS 598.9816 and 598.9817.
3. The disclosure described in subsection 1 must include, without limitation:
(a) The name, mailing address, telephone number and electronic mail address of the solar installation company;
(b) The name, mailing address, telephone number, electronic mail address and number of the contractor’s license of the person who installed the distributed generation system, if different from the solar installation company;
(c) The name, mailing address, telephone number, electronic mail address and the number of the contractor’s license of the person responsible for all maintenance of the distributed generation system if different from the solar installation company;
(d) The payment schedule for the distributed generation system, including, without limitation, any payments that are due, if applicable, at:
(1) Signing for the distributed generation system;
(2) Commencement of installation of the distributed generation system; and
(3) Completion of installation of the distributed generation system;
(e) A description of any one-time or recurring fees, including, without limitation, a description of the circumstances that trigger:
(1) Any late fees;
(2) Estimated fees for the removal of the distributed generation system;
(3) Fees for a notice of removal and refiling pursuant to the Uniform Commercial Code;
(4) Fees for connecting to the Internet; and
(5) Fees for not enrolling in a program in which payments are made through an electronic transfer of money cleared through an automated clearinghouse;
(f) A statement that describes when payments are due;
(g) The rate of any payment increases and the date on which the first increase in the rate may occur, if applicable;
(h) Assumptions concerning the design of the distributed generation system, including, without limitation:
(1) The size of the distributed generation system;
(2) The estimated amount of production for the distributed generation system in the first year of operation;
(3) The estimated annual degradation to the distributed generation system; and
(4) As specified by the agreement at the time of installation, whether or not an electric utility must credit a customer of the electric utility for any excess energy that is generated by the distributed generation system;
(i) A disclosure notifying the purchaser of the intent of the owner of the distributed generation system to file a fixture filing, as defined in NRS 104A.2309, on the distributed generation system;
(j) A disclosure notifying the purchaser if maintenance and repairs of the distributed generation system are included in the agreement;
(k) A disclosure describing any warranty for the repair of any damage to the roof of the property owned by the purchaser in connection with the installation or removal of the distributed generation system;
(l) A disclosure describing the transferability of the distributed generation system in connection with the purchaser selling his or her property;
(m) A description of any guarantees of the performance of the distributed generation system;
(n) A description of the basis for any estimates of savings that were provided to the purchaser, if applicable; and
(o) A disclosure concerning the retention of any portfolio energy credits, if applicable.
(Added to NRS by 2017, 4275)
NRS 598.9819 Utility rates disclosure required in agreement in certain circumstances. If an agreement for the lease or purchase of a distributed generation system or if a power purchase agreement makes a written reference to the price of electricity that is provided by an electric utility, the agreement or power purchase agreement, as applicable, must also provide, in 12-point font, a disclosure in substantially the following form:
Actual utility rates may go up or down and actual savings may vary. For further information regarding rates, you may contact your local utility or the Public Utilities Commission of Nevada.
(Added to NRS by 2017, 4276)
NRS 598.9821 Certain express warranties required in agreement; exception.
1. An agreement for the lease or purchase of a distributed generation system and a power purchase agreement must include an express warranty for the installation of the distributed generation system and the penetration into the roof by the distributed generation system. Such warranties must:
(a) Be express and in writing; and
(b) Expire not earlier than 10 years after the installation of the distributed generation system.
2. An agreement for the lease of a distributed generation system and a power purchase agreement must include an express warranty that:
(a) Is in writing; and
(b) Does not expire earlier than 10 years after the installation of the distributed generation system.
3. An agreement for the purchase of a distributed generation system must include the following express warranties in writing for the component parts, including parts and labor, of the distributed generation system, either directly from the solar installation company or passed through from the manufacturer of the component parts:
(a) For collectors and storage units, not less than a 10-year warranty; and
(b) For inverters, not less than a 7-year warranty.
4. The provisions of this section that relate to a person who installs a distributed generation system do not apply to a person who installs a system on his or her own property.
(Added to NRS by 2017, 4277)
NRS 598.98213 Confirmation of information in cover page required; installation of distributed generation system prohibited until confirmation recorded; maintenance of recording.
1. A solar installation company shall, in person or by telephone or videoconference, verbally:
(a) Confirm the identity of a purchaser or lessee under an agreement for the purchase or lease of a distributed generation system or a host customer under a power purchase agreement;
(b) Communicate to the purchaser, lessee or host customer the information required to be included in a cover page pursuant to NRS 598.9809, 598.9813 or 598.9816, as applicable; and
(c) Confirm that the purchaser, lessee or host customer understands the information communicated pursuant to paragraph (b).
2. The verbal communication required by subsection 1 must be:
(a) Recorded by the solar installation company; and
(b) Conducted at the time of the execution of the agreement or within 48 hours after the execution of the agreement.
3. A solar installation company shall not commence the installation of any distributed generation system under an agreement until the recording required pursuant to this section has been made.
4. A solar installation company shall maintain the recording required pursuant to this section for not less than 4 years after the date of the final inspection of the distributed generation system within the jurisdiction in which the distributed generation system is located.
(Added to NRS by 2023, 1117)
NRS 598.98216 Rescission or cancellation of agreement. Any purchaser or lessee who enters into or signs an agreement for the purchase or lease of a distributed generation system or host customer who enters into a power purchase agreement may rescind or cancel the agreement, without any penalty or obligation, by giving notice in writing to the solar installation company either by delivering, mailing or telegraphing such notice or sending such notice by electronic mail not later than midnight of the third business day after the date the agreement was entered into or signed. The notice must be addressed to the solar installation company at the solar installation company’s place of business, or another place designated in the agreement, or sent to the electronic mail address set forth on the cover page required by NRS 598.9809, 598.9813 or 598.9816, as applicable, and must contain words indicating the intent of the purchaser, lessee or host customer to rescind or cancel the transaction previously entered into.
(Added to NRS by 2023, 1117)
NRS 598.9822 Complaints against solar installation company; noncompliance constitutes deceptive trade practice; noncompliance renders agreement voidable; violation constitutes consumer fraud; documents in English or other language.
1. A host customer may file a complaint concerning a solar installation company with the Public Utilities Commission of Nevada. Upon receipt of a complaint, the Commission may direct the host customer to the appropriate agency or person to resolve the complaint.
2. The failure of a person to comply with NRS 598.9801 to 598.9822, inclusive, constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.
3. If a solar installation company executes with a purchaser or lessee an agreement for the purchase or lease of a distributed generation system or with a host customer a power purchase agreement and knowingly fails to comply with any requirement of NRS 598.9801 to 598.9822, inclusive, including, without limitation, by failing to include any disclosure or information required by NRS 598.9801 to 598.9822, inclusive, or knowingly failing to maintain a recording of a verbal communication as required by NRS 598.98213, the agreement is voidable by the purchaser, lessee or host customer. The actions of persons who solely conduct administrative duties or provide administrative services directly to and for the benefit of the solar installation company are not imputed to the solar installation company for the purposes of this subsection.
4. A violation of any provision of NRS 598.9801 to 598.9822, inclusive, constitutes consumer fraud for the purposes of NRS 41.600.
5. Any document described in NRS 598.9809 to 598.9821, inclusive, must be provided in:
(a) English; or
(b) Any other language, if any person so requests before the execution of the relevant document.
6. If a solar installation company advertises its services or negotiates orally or in writing any of the requirements of NRS 598.9801 to 598.9822, inclusive, in a language other than English or permits an employee or agent of the solar installation company to so advertise or negotiate, the solar installation company must deliver a translation of any contract, agreement or notice described in NRS 598.9801 to 598.9822, inclusive, resulting from such advertising or negotiations in the language in which such advertising was made or such negotiations occurred to a person who is a party to such a contract or agreement, or who may sign the contract or agreement, or who is entitled to receive such notice. The translation of the contract, agreement or notice must be provided before the execution of the contract or agreement and include, without limitation, every term and condition in the contract, agreement or notice.
(Added to NRS by 2017, 4277; A 2023, 1122)
COSMETIC PRODUCTS TESTED ON ANIMALS
NRS 598.993 Prohibition on import, sale or offer for sale of cosmetic products tested on animals; exceptions; violation constitutes deceptive trade practice.
1. Except as otherwise provided in this section, a manufacturer shall not import for profit, sell or offer for sale in this State any cosmetic for which the manufacturer knew or reasonably should have known that animal testing was conducted or contracted by or on behalf of the manufacturer or any supplier of the manufacturer if the animal testing was conducted on or after January 1, 2020.
2. The prohibition in subsection 1 does not apply to animal testing that is conducted:
(a) To comply with a requirement of a federal or state regulatory agency if:
(1) The cosmetic or ingredient in the cosmetic which is tested is in wide use and cannot be replaced by another ingredient which is capable of performing a similar function;
(2) A specific human health problem relating to the cosmetic or ingredient is substantiated and the need to conduct animal testing is justified and supported by a detailed protocol for research that is proposed as the basis for the evaluation of the cosmetic or ingredient; and
(3) There does not exist a method of testing other than animal testing that is accepted for the relevant purpose by the federal or state regulatory agency.
(b) To comply with a requirement of a regulatory agency of a foreign jurisdiction, if no evidence derived from such testing was relied upon to substantiate the safety of a cosmetic sold within this State by the manufacturer.
(c) On any product or ingredient in the cosmetic subject to the requirements of Subchapter V of the Federal Food, Drug, and Cosmetic Act, 21 U.S.C. §§ 351 et seq.
(d) Except as otherwise provided in this paragraph, for purposes unrelated to cosmetics pursuant to a requirement of a federal, state or foreign regulatory agency provided that no evidence derived from such testing was relied upon to substantiate the safety of a cosmetic sold within this State by the manufacturer. If evidence from such testing was relied upon for that purpose, the prohibition in subsection 1 does not apply if:
(1) Documentary evidence exists of the intent of the test which was unrelated to cosmetics; and
(2) The ingredient that was the subject of the testing has been used for purposes unrelated to cosmetics for not less than 12 months before the earliest date of the testing.
3. This section does not apply to:
(a) A cosmetic if the cosmetic in its final form was tested on animals before January 1, 2020, even if the cosmetic is manufactured on or after that date;
(b) An ingredient in a cosmetic if the ingredient was sold in this State and was tested on animals before January 1, 2020, even if the ingredient is manufactured on or after that date; or
(c) A manufacturer of cosmetics that reviews, assesses or retains evidence obtained from animal testing.
4. No county, city, local government or other political subdivision of this State or agency thereof may establish or continue any prohibition on or relating to animal testing that is not identical to the prohibitions set forth in this section and that does not include the exemptions contained in this section.
5. A violation of this section constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.
6. As used in this section:
(a) “Animal testing” means the internal or external application of a cosmetic, either in its final form or any ingredient thereof, to the skin, eyes or other body part of a live, nonhuman vertebrate.
(b) “Cosmetic” means any article intended to be rubbed, poured, sprinkled or sprayed on, introduced into or otherwise applied to the human body or any part thereof for cleansing, beautifying, promoting attractiveness or altering the appearance, including, without limitation, personal hygiene products such as deodorant, shampoo or conditioner.
(c) “Ingredient” has the meaning ascribed to it in 21 C.F.R. § 700.3(e).
(d) “Manufacturer” means any person whose name appears on the label of a cosmetic pursuant to the requirements of 21 C.F.R. § 701.12.
(e) “Supplier” means any entity that supplies, directly or through a third party, any ingredient used by a manufacturer in the formulation of a cosmetic.
(Added to NRS by 2019, 1589)