[Rev. 10/12/2015 2:01:38 PM]

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      (a) Give notice of the time and place of the sale in the manner and for a time not less than that required by law for the sale of real property upon execution, except that in lieu of following the procedure for service on a judgment debtor pursuant to NRS 21.130, service must be made on the residential unit owner as follows:

             (1) A copy of the notice of sale must be mailed, on or before the date of first publication or posting, by certified or registered mail, return receipt requested, to the residential unit owner or his or her successor in interest at the residential unit owner’s address, if known, and to the address of the residential unit; and

             (2) A copy of the notice of sale must be served, on or before the date of first publication or posting, in the manner set forth in subsection 2; and

      (b) Mail, on or before the date of first publication or posting, a copy of the notice by first-class mail to:

             (1) Each person entitled to receive a copy of the notice of default and election to sell notice under NRS 116B.640;

             (2) The holder of a recorded security interest or the purchaser of the residential unit, if either of them has notified the association, before the mailing of the notice of sale, of the existence of the security interest, lease or contract of sale, as applicable; and

             (3) The Ombudsman.

      2.  In addition to the requirements set forth in subsection 1, a copy of the notice of sale must be served:

      (a) By a person who is 18 years of age or older and who is not a party to or interested in the sale by personally delivering a copy of the notice of sale to an occupant of the residential unit who is of suitable age; or

      (b) By posting a copy of the notice of sale in a conspicuous place on the residential unit.

      3.  Any copy of the notice of sale required to be served pursuant to this section must include:

      (a) The amount necessary to satisfy the lien as of the date of the proposed sale; and

      (b) The following warning in 14-point bold type:

 

WARNING! A SALE OF YOUR PROPERTY IS IMMINENT! UNLESS YOU PAY THE AMOUNT SPECIFIED IN THIS NOTICE BEFORE THE SALE DATE, YOU COULD LOSE YOUR [HOME,] UNIT, EVEN IF THE AMOUNT IS IN DISPUTE. YOU MUST ACT BEFORE THE SALE DATE. IF YOU HAVE ANY QUESTIONS, PLEASE CALL (name and telephone number of the contact person for the association or hotel unit owner). IF YOU NEED ASSISTANCE, PLEASE CALL THE FORECLOSURE SECTION OF THE OMBUDSMAN’S OFFICE, NEVADA REAL ESTATE DIVISION, AT (toll-free telephone number designated by the Division) IMMEDIATELY.

 

      4.  Proof of service of any copy of the notice of sale required to be served pursuant to this section must consist of:

      (a) A certificate of mailing which evidences that the notice was mailed through the United States Postal Service; or

      (b) An affidavit of service signed by the person who served the notice stating:

 


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             (1) The time of service, manner of service and location of service; and

             (2) The name of the person served or, if the notice was not served on a person, a description of the location where the notice was posted on the residential unit.

      Sec. 38. NRS 116B.665 is hereby amended to read as follows:

      116B.665  1.  Except as otherwise provided in subsection 2, a judgment for money against the association, if a copy of the docket or an abstract or copy of the judgment is recorded, is not a lien on the common elements, but is a lien in favor of the judgment lienholder against all of the other real property of the association and all of the units in the condominium hotel at the time the judgment was entered. No other property of a unit’s owner or the declarant is subject to the claims of creditors of the association.

      2.  If the association has granted a security interest in the common elements to a creditor of the association pursuant to NRS 116B.560, the holder of that security interest shall exercise its right against the common elements before its judgment lien on any unit may be enforced.

      3.  Whether perfected before or after the creation of the condominium hotel, if a lien, other than a deed of trust or mortgage, including a judgment lien or lien attributable to work performed or materials supplied before creation of the condominium hotel, becomes effective against two or more units, the owner of an affected unit may pay to the lienholder the amount of the lien attributable to his or her unit, and the lienholder, upon receipt of payment, promptly shall deliver a release of the lien covering that unit. The amount of the payment must be proportionate to the ratio which that owner’s liability for common expenses bears to the liabilities for common expenses of all owners whose units are subject to the lien. After payment, the association may not assess or have a lien against that owner’s unit for any portion of the common expenses incurred in connection with that lien.

      4.  A judgment against the association must be indexed in the name of the condominium hotel and the association and, when so indexed, is notice of the lien against the units.

      Sec. 39. NRS 116B.670 is hereby amended to read as follows:

      116B.670  1.  Except as otherwise provided in [this] subsection [,] 4, the executive board of an association shall, upon the written request of a unit’s owner, make available the books, records and other papers of the association for review during the regular working hours of the association, including, without limitation [, all] :

      (a) The financial statement of the association;

      (b) The budgets of the association required to be prepared pursuant to NRS 116B.600;

      (c) The study of the reserves of the association required to be conducted pursuant to NRS 116B.605; and

      (d) All contracts to which the association is a party and all records filed with a court relating to a civil or criminal action to which the association is a party. [The provisions of this subsection do not apply to:

      (a) The personnel records of the employees of the association, except for those records relating to the number of hours worked and the salaries and benefits of those employees;

      (b) The records of the association relating to another unit’s owner, except for those records described in subsection 2; and

 


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      (c) A contract between the association and an attorney.]

      2.  The executive board shall provide a copy of any of the records described in paragraphs (a), (b) and (c) of subsection 1 to a unit’s owner or the Ombudsman within 21 days after receiving a written request therefor. Such records must be provided in electronic format at no charge to the unit’s owner or, if the association is unable to provide the records in electronic format, the executive board may charge a fee to cover the actual costs of preparing a copy, but the fee may not exceed 25 cents per page for the first 10 pages, and 10 cents per page thereafter.

      3.  If the executive board fails to provide a copy of any of the records pursuant to subsection 2 within 21 days, the executive board must pay a penalty of $25 for each day the executive board fails to provide the records.

      4.  The provisions of subsection 1 do not apply to:

      (a) The personnel records of the employees of the association, except for those records relating to the number of hours worked and the salaries and benefits of those employees;

      (b) The records of the association relating to another unit’s owner, except for those records described in subsection 5; and

      (c) A contract between the association and an attorney.

      5.  The executive board of an association shall maintain a general record concerning each violation of the governing documents, other than a violation involving a failure to pay an assessment, for which the executive board has imposed a fine, or any other sanction. The general record:

      (a) Must contain a general description of the nature of the violation and the type of the sanction imposed. If the sanction imposed was a fine, the general record must specify the amount of the fine.

      (b) Must not contain the name or address of the person against whom the sanction was imposed or any other personal information which may be used to identify the person or the location of the unit, if any, that is associated with the violation.

      (c) Must be maintained in an organized and convenient filing system or data system that allows a unit’s owner to search and review the general records concerning violations of the governing documents.

      [3.]6.  If the executive board refuses to allow a unit’s owner to review the books, records or other papers of the association, the Ombudsman may:

      (a) On behalf of the unit’s owner and upon written request, review the books, records or other papers of the association during the regular working hours of the association; and

      (b) If the Ombudsman is denied access to the books, records or other papers, request the Commission, or any member thereof acting on behalf of the Commission, to issue a subpoena for their production.

      [4.]7.  The books, records and other papers of an association must be maintained for at least 10 years.

      [5.]8.  The executive board shall not require a unit’s owner to pay an amount in excess of $10 per hour to review any books, records, contracts or other papers of the association pursuant to the provisions of this section.

      Sec. 40. NRS 116B.725 is hereby amended to read as follows:

      116B.725  1.  Except as otherwise provided in [this section,] subsection 2, NRS 116B.725 to 116B.795, inclusive, apply to all condominium hotels.

      2.  Neither a public offering statement nor a certificate of resale need be prepared or delivered in the case of a:

 


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      (a) Gratuitous disposition of a unit;

      (b) Disposition pursuant to court order;

      (c) Disposition by a government or governmental agency;

      (d) Disposition by foreclosure or deed in lieu of foreclosure;

      (e) Disposition to a dealer;

      (f) Disposition that may be cancelled at any time and for any reason by the purchaser without penalty; or

      (g) Disposition of a unit not used for residential use.

      Sec. 41. NRS 116B.735 is hereby amended to read as follows:

      116B.735  1.  Except as otherwise provided in this chapter, a public offering statement must set forth or fully and accurately disclose each of the following:

      (a) The name and principal address of the declarant, the hotel unit owner and of the condominium hotel.

      (b) A general description of the condominium hotel, including to the extent possible, the types, number and declarant’s schedule of commencement and completion of construction of buildings, and amenities that the declarant anticipates including in the condominium hotel, including the shared components.

      (c) The estimated number of units in the condominium hotel.

      (d) Copies of this chapter, the declaration, bylaws, and any rules or regulations of the association or hotel unit owner, but a plat is not required.

      (e) [A current year-to-date] The financial [statement, including the most recent audited or reviewed financial statement, and the] information required by subsection 2.

      (f) The projected budget for the [association,] shared expenses, either within or as an exhibit to the public offering statement . [, for 1 year after the date of the first conveyance to a purchaser, and thereafter the current budget of the association.] The budget must include, without limitation:

             (1) A statement of the amount included in the budget as reserves for repairs, replacement and restoration pursuant to this chapter; [and]

             (2) The projected monthly [assessment for common] shared expenses for each type of unit, including the amount established as reserves pursuant to this chapter [.

      (f) The projected budget for the shared expenses, either within or as an exhibit to the public offering statement. The budget must include, without limitation:

             (1) A statement of the amount included in the budget as reserves for repairs, replacement and restoration pursuant to this chapter;

             (2) The projected monthly shared expenses for each type of unit, including the amount established as reserves pursuant to this chapter; and] ; and

             (3) A description of any other payments, fees and charges that may be charged by the hotel unit owner in order to offset the increased burden placed on the shared components due to use of residential units as transient rentals.

      (g) After the date of the first conveyance of a residential unit to a purchaser, a current year-to-date statement of the shared expenses charged to the units.

      (h) A description of any services or subsidies being provided by the declarant or an affiliate of the declarant or the hotel unit owner not reflected in the budget [.] that the declarant provides, or expenses which the declarant pays and which the declarant expects may become at any subsequent time a common expense of the association and the projected common expense assessment attributable to each of those services or expenses for the association and for each type of unit.

 


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declarant pays and which the declarant expects may become at any subsequent time a common expense of the association and the projected common expense assessment attributable to each of those services or expenses for the association and for each type of unit.

      (i) Any initial or special fee due from the purchaser at closing, including, without limitation, any transfer fees, whether payable to the association, the community manager of the association or any third party, together with a description of the purpose and method of calculating the fee.

      (j) The terms and significant limitations of any warranties provided by the declarant, including statutory warranties and limitations on the enforcement thereof or on damages.

      (k) A statement that the purchaser may cancel, by written notice, his or her contract for purchase until midnight of the fifth calendar day following the date of execution of the contract, and the contract must contain a provision to that effect.

      (l) A statement of any unsatisfied [judgments] judgment or pending [suits] action against the association or the hotel unit owner, and the status of any pending [suits] actions material to the condominium hotel of which a declarant has actual knowledge.

      (m) Any current or expected fees or charges to be paid by residential unit owners for the use of the shared components, the hotel unit or the common elements and other facilities related to the condominium hotel.

      (n) The information statements required by this chapter.

      (o) Any restraints on alienation of any portion of the condominium hotel and any restrictions:

             (1) On the leasing or renting of units; and

             (2) On the amount for which a unit may be sold or on the amount that may be received by a unit’s owner on the sale or condemnation of or casualty loss to the unit or to the condominium hotel, or on termination of the condominium hotel.

      2.  In addition to the information required pursuant to subsection 1, a statement of the budget’s assumptions concerning occupancy and inflation factors must be set forth or fully and accurately disclosed. The statement of budget assumptions must include:

      (a) A statement of the amount included in the budget as a reserve for repairs, replacement and restoration pursuant to NRS 116B.590;

      (b) A statement of any other reserves;

      (c) The projected common expense assessment by category of expenditures for the association; and

      (d) The projected monthly common expense assessment for each type of unit, including the amount established as reserves pursuant to NRS 116B.590.

      3.  A declarant is not required to revise a public offering statement more than once each calendar quarter, if the following warning is given prominence in the statement: “THIS PUBLIC OFFERING STATEMENT IS CURRENT AS OF (insert a specified date). RECENT DEVELOPMENTS REGARDING (here refer to particular provisions of NRS 116B.735 and 116B.740) MAY NOT BE REFLECTED IN THIS STATEMENT.”

      Sec. 42. NRS 116B.760 is hereby amended to read as follows:

      116B.760  1.  Except in the case of a sale in which delivery of a public offering statement is required, a unit’s owner or his or her authorized agent shall furnish to a purchaser a resale package containing all of the following:

 


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      (a) A copy of this chapter, the declaration, other than any plats, the bylaws, the rules or regulations of the association and the hotel unit owner and the information statement required by NRS 116B.765;

      (b) A statement setting forth the amount of the monthly assessment for common expenses and any unpaid assessment of any kind currently due from the selling unit’s owner;

      (c) A copy of the current operating budget of the association and current year-to-date financial statement for the association, which must include a summary of the reserves of the association required by this chapter;

      (d) A current year-to-date statement of the shared expenses charged to the units and the projected budget for the shared expenses, either within or as an exhibit to the public offering statement. The budget must include, without limitation:

             (1) A statement of the amount included in the budget as reserves for repairs, replacement and restoration pursuant to this chapter;

             (2) The projected monthly shared expenses for each type of unit, including the amount established as reserves pursuant to this chapter;

      (e) A description of any other payments, fees and charges that may be charged by the hotel unit owner, including those that may be charged in order to offset the increased burden placed on the shared components as a result of use of residential units as transient rentals; and

      (f) A statement of any unsatisfied judgments or pending legal actions against the association or the hotel unit owner which affect the shared components and the status of any pending legal actions relating to the condominium hotel of which the unit’s owner has actual knowledge.

      2.  The purchaser may, by written notice, cancel the contract of purchase until midnight of the fifth calendar day following the date of receipt of the resale package described in subsection 1, and the contract for purchase must contain a provision to that effect. If the purchaser elects to cancel a contract pursuant to this subsection, the purchaser must hand deliver the notice of cancellation to the residential unit owner or his or her authorized agent or mail the notice of cancellation by prepaid United States mail to the residential unit owner or his or her authorized agent. Cancellation is without penalty, and all payments made by the purchaser before cancellation must be refunded promptly. If the purchaser has accepted a conveyance of the residential unit, the purchaser is not entitled to:

      (a) Cancel the contract pursuant to this subsection; or

      (b) Damages, rescission or other relief based solely on the ground that the residential unit owner or his or her authorized agent failed to furnish the resale package, or any portion thereof, as required by this section.

      3.  Within 10 days after receipt of a written request by a residential unit owner or his or her authorized agent, the hotel unit owner shall furnish all of the following to the residential unit owner or his or her authorized agent for inclusion in the resale package:

      (a) Copies of the documents required pursuant to paragraphs (a) and (c) of subsection 1; and

      (b) A certificate containing the information necessary to enable the residential unit owner to comply with paragraphs (b) , [and] (d) , (e) and (f) of subsection 1.

      4.  If the hotel unit owner furnishes the documents and certificate pursuant to subsection 3:

 


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      (a) The residential unit owner or his or her authorized agent shall include the documents and certificate in the resale package provided to the purchaser, and neither the residential unit owner nor his or her authorized agent is liable to the purchaser for any erroneous information provided by the hotel unit owner and included in the documents and certificate.

      (b) The hotel unit owner may charge the residential unit owner a reasonable fee to cover the cost of preparing the certificate furnished pursuant to subsection 3. Such a fee must be based on the actual cost the association incurs to fulfill the requirements of this section in preparing the certificate. The Commission shall adopt regulations establishing the maximum amount of the fee that the hotel unit owner may charge for preparing the certificate.

      (c) The other documents furnished pursuant to subsection 3 must be provided in electronic format at no charge to the unit’s owner or, if the hotel unit owner is unable to provide such documents in electronic format, the hotel unit owner may charge the residential unit owner a reasonable fee, not to exceed 25 cents per page [,] for the first 10 pages, and 10 cents per page thereafter, to cover the cost of copying . [the other documents furnished pursuant to subsection 3.]

      (d) Except for the fees allowed pursuant to paragraphs (b) and (c), the hotel unit owner may not charge the residential unit owner any other fees for preparing or furnishing the documents and certificate pursuant to subsection 3.

      5.  Neither a purchaser nor the purchaser’s interest in a residential unit is liable for any unpaid assessment or fee greater than the amount set forth in the documents and certificate prepared by the hotel unit owner. If the hotel unit owner fails to furnish the documents and certificate within the 10 days allowed by this section, the [seller] purchaser is not liable for the delinquent assessment.

      6.  Upon the request of a residential unit owner or his or her authorized agent, or upon the request of a purchaser to whom the hotel unit owner has provided a resale package pursuant to this section or his or her authorized agent, the hotel unit owner shall make the entire study of the reserves of the association or the shared components reasonably available for the residential unit owner, purchaser or authorized agent to inspect, examine, photocopy and audit. The study must be made available at the business office of the association or the hotel unit owner or some other suitable location within the county where the condominium hotel is situated or, if it is situated in more than one county, within one of those counties.

      Sec. 43. NRS 116B.765 is hereby amended to read as follows:

      116B.765  The information statement required by NRS 116B.735 and 116B.760 must be in substantially the following form:

 

BEFORE YOU PURCHASE PROPERTY IN A

CONDOMINIUM HOTEL

DID YOU KNOW...

       1.  YOU GENERALLY HAVE 5 DAYS TO CANCEL THE PURCHASE AGREEMENT?

When you enter into a purchase agreement to buy a home or unit in a condominium hotel, in most cases you should receive either a public offering statement, if you are the original purchaser of the home or unit, or a resale package, if you are not the original purchaser. The law generally provides for a 5-day period in which you have the right to cancel the purchase agreement.

 


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law generally provides for a 5-day period in which you have the right to cancel the purchase agreement. The 5-day period begins on different starting dates, depending on whether you receive a public offering statement or a resale package. Upon receiving a public offering statement or a resale package, you should make sure you are informed of the deadline for exercising your right to cancel. In order to exercise your right to cancel, the law generally requires that you hand deliver the notice of cancellation to the seller within the 5-day period, or mail the notice of cancellation to the seller by prepaid United States mail within the 5-day period. For more information regarding your right to cancel, see NRS 116B.755, if you received a public offering statement, or NRS 116B.760, if you received a resale package.

       2.  YOU ARE AGREEING TO RESTRICTIONS ON HOW YOU CAN USE YOUR PROPERTY?

These restrictions are contained in a document known as the Declaration of Covenants, Conditions and Restrictions. The CC&Rs become a part of the title to your property. They bind you and every future owner of the property whether or not you have read them or had them explained to you. The CC&Rs, together with other “governing documents” (such as association bylaws and rules and regulations), are intended to preserve the character and value of properties in the condominium hotel, but may also restrict what you can do to improve or change your property and limit how you use and enjoy your property. By purchasing a property encumbered by CC&Rs, you are agreeing to limitations that could affect your lifestyle and freedom of choice. You should review the CC&Rs, and other governing documents before purchasing to make sure that these limitations and controls are acceptable to you. Certain provisions in the CC&Rs and other governing documents may be superseded by contrary provisions of chapter 116B of the Nevada Revised Statutes. The Nevada Revised Statutes are available at the Internet address http://www.leg.state.nv.us/nrs/.

       3.  YOU WILL HAVE TO PAY OWNERS’ ASSESSMENTS AND CHARGES FOR AS LONG AS YOU OWN YOUR PROPERTY?

As an owner in a condominium hotel, you are responsible for paying your share of expenses relating to the common elements and shared components. The obligation to pay these expenses binds you and every future owner of the property. Owners’ fees are usually assessed for these expenses monthly. You have to pay dues whether or not you agree with the way the association or the hotel unit owner is managing the property or spending the assessments or charges. The hotel unit owner executive board of the association may have the power to change and increase the amount of the assessment or charges and to levy special assessments or special charges against your property to meet extraordinary expenses.

       4.  IF YOU FAIL TO PAY OWNERS’ ASSESSMENTS OR CHARGES, YOU COULD LOSE YOUR HOME?

If you do not pay these assessments or charges when due, the hotel unit owner or the association usually has the power to collect them by selling your property in a nonjudicial foreclosure sale. If fees become delinquent, you may also be required to pay penalties and the association’s or hotel unit owner’s costs, as applicable, and attorney’s fees to become current.

 


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delinquent, you may also be required to pay penalties and the association’s or hotel unit owner’s costs, as applicable, and attorney’s fees to become current. If you dispute the obligation or its amount, your only remedy to avoid the loss of your home may be to file a lawsuit and ask a court to intervene in the dispute.

       5.  YOU MAY BECOME A MEMBER OF A HOMEOWNERS’ ASSOCIATION THAT HAS THE POWER TO AFFECT HOW YOU USE AND ENJOY YOUR PROPERTY?

Many condominium hotels have a homeowners’ association. In a new development, the association will usually be controlled by the developer until a certain number of units have been sold. After the period of developer control, the association may be controlled by property owners like yourself who are elected by homeowners to sit on an executive board and other boards and committees formed by the association. The association, and its executive board, are responsible for assessing homeowners for the cost of operating the association and the common elements of the condominium hotel. Because homeowners sitting on the executive board and other boards and committees of the association may not have the experience or professional background required to understand and carry out the responsibilities of the association properly, the association may hire professional condominium association managers to carry out these responsibilities.

Homeowners’ associations operate on democratic principles. Some decisions require all homeowners to vote, some decisions are made by the executive board or other boards or committees established by the association or governing documents. Although the actions of the association and its executive board are governed by state laws, the CC&Rs and other documents that govern the condominium hotel, decisions made by these persons will affect your use and enjoyment of your property, your lifestyle and freedom of choice, and your cost of living in the condominium hotel. You may not agree with decisions made by the association or its governing bodies even though the decisions are ones which the association is authorized to make. Decisions may be made by a few persons on the executive board or governing bodies that do not necessarily reflect the view of the majority of residential unit in the condominium hotel. If you do not agree with decisions made by the association, its executive board or other governing bodies, your remedy is typically to attempt to use the democratic processes of the association to seek the election of members of the executive board or other governing bodies that are more responsive to your needs. If you have a dispute with the association, its executive board or other governing bodies, you may be able to resolve the dispute through the complaint, investigation and intervention process administered by the Office of the Ombudsman for Owners in Common-Interest Communities and Condominium Hotels, the Nevada Real Estate Division and the Commission for Common-Interest Communities and Condominium Hotels. However, to resolve some disputes, you may have to mediate or arbitrate the dispute and, if mediation or arbitration is unsuccessful, you may have to file a lawsuit and ask a court to resolve the dispute. In addition to your personal cost in mediation or arbitration, or to prosecute a lawsuit, you may be responsible for paying your share of the association’s cost in defending against your claim.

 


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lawsuit, you may be responsible for paying your share of the association’s cost in defending against your claim.

       6.  YOU ARE REQUIRED TO PROVIDE PROSPECTIVE PURCHASERS OF YOUR PROPERTY WITH INFORMATION ABOUT LIVING IN YOUR CONDOMINIUM HOTEL?

The law requires you to provide a prospective purchaser of your property with a copy of the condominium hotel’s governing documents, including the CC&Rs, association bylaws, and rules and regulations, as well as a copy of this document. You are also required to provide a copy of the association’s current year-to-date financial statement, including, without limitation, the most recent audited or reviewed financial statement, a copy of the association’s operating budget and information regarding the amount of the monthly assessment for common expenses, including the amount set aside as reserves for the repair, replacement and restoration of common elements. You are also required to provide a copy of the current year-to-date statement of the shared expenses charged to your unit by the declarant or hotel unit owner, as applicable. You are also required to inform prospective purchasers of any outstanding judgments or lawsuits pending against the association of which you are aware. For more information regarding these requirements, see NRS 116B.725 to 116B.795, inclusive.

       7.  YOU HAVE CERTAIN RIGHTS REGARDING OWNERSHIP IN A CONDOMINIUM HOTEL THAT ARE GUARANTEED YOU BY THE STATE?

Pursuant to provisions of this chapter, you have the right:

       (a) To be notified of all meetings of the association and its executive board, except in cases of emergency.

       (b) To attend and speak at all meetings of the association and its executive board, except in some cases where the executive board is authorized to meet in closed, executive session.

       (c) To request a special meeting of the association.

       (d) To inspect, examine, photocopy and audit financial and other records of the association.

       (e) To be notified of all changes in the condominium hotel’s rules and regulations and other actions by the association or board that affect you.

       8.  QUESTIONS?

Although they may be voluminous, you should take the time to read and understand the documents that will control your ownership of a property in a condominium hotel. You may wish to ask your real estate professional, lawyer or other person with experience to explain anything you do not understand. You may also request assistance from the Office of the Ombudsman for Owners in Common-Interest Communities and Condominium Hotels, Nevada Real Estate Division, at (telephone number).

 

Buyer or prospective buyer’s initials:_____

Date:_____

      Sec. 44. NRS 116B.770 is hereby amended to read as follows:

      116B.770  1.  Except as otherwise provided in subsections 2 and 3, a deposit made in connection with the purchase or reservation of a unit from a person required to deliver a public offering statement pursuant to subsection 3 of NRS 116B.730 must be placed in escrow and held either in this State or in the state where the unit is located in an account designated solely for that purpose by a licensed title insurance company, an independent bonded escrow company, or an institution whose accounts are insured by a governmental agency or instrumentality until:

 


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person required to deliver a public offering statement pursuant to subsection 3 of NRS 116B.730 must be placed in escrow and held either in this State or in the state where the unit is located in an account designated solely for that purpose by a licensed title insurance company, an independent bonded escrow company, or an institution whose accounts are insured by a governmental agency or instrumentality until:

      (a) Delivered to the declarant at closing;

      (b) Delivered to the declarant because of the purchaser’s default under a contract to purchase the unit;

      (c) Released to the declarant for an additional item, improvement, optional item or alteration, but the amount so released:

             (1) Must not exceed the lesser of the amount due the declarant from the purchaser at the time of the release or the amount expended by the declarant for the purpose; and

             (2) Must be credited upon the purchase price; or

      (d) Refunded to the purchaser.

      2.  A deposit or advance payment made for an additional item, improvement, optional item or alteration may be deposited in escrow or delivered directly to the declarant, as the parties may contract.

      3.  In lieu of placing a deposit in escrow pursuant to subsection 1, the declarant may furnish a bond executed by the declarant as principal and by a corporation qualified under the laws of this State as surety, payable to the State of Nevada, and conditioned upon the performance of the declarant’s duties concerning the purchase or reservation of a unit. Each bond must be in a principal sum equal to the amount of the deposit. The bond must be held until:

      (a) Delivered to the declarant at closing;

      (b) Delivered to the declarant because of the purchaser’s default under a contract to purchase the unit; or

      (c) Released to the declarant for an additional item, improvement, optional item or alteration, but the amount so released must not exceed the amount due the declarant from the purchaser at the time of the release or the amount expended by the declarant for that purpose, whichever is less.

      4.  Pursuant to the provisions of subsection 1, a deposit made in connection with the purchase or reservation of a unit from a person required to deliver a public offering statement pursuant to subsection 3 of NRS 116B.735 is deemed to be placed in escrow and held in this State when the escrow holder has:

      (a) The legal right to conduct business in this State;

      (b) A registered agent in this State pursuant to subsection 1 of NRS 14.020; and

      (c) Consented to the jurisdiction of the courts of this State by:

             (1) Maintaining a physical presence in this State; or

             (2) Executing a written instrument containing such consent, with respect to any suit or claim, whether brought by the declarant or purchaser, relating to or arising in connection with such sale or the escrow agreement related thereto.

      Sec. 45. NRS 116B.790 is hereby amended to read as follows:

      116B.790  1.  If a declarant, hotel unit owner or any other person subject to this chapter fails to comply with any of its provisions or any provision of the declaration or bylaws, any person or class of persons suffering actual damages from the failure to comply has a claim for appropriate relief.

 


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provision of the declaration or bylaws, any person or class of persons suffering actual damages from the failure to comply has a claim for appropriate relief.

      2.  Subject to the requirements set forth in NRS 38.310 and except as otherwise provided in NRS 116B.555, a civil action for damages caused by a failure or refusal to comply with any provision of this chapter or the governing documents of an association may be brought:

      (a) By the association against:

             (1) A declarant; or

             (2) A unit’s owner.

      (b) By a unit’s owner against:

             (1) The association;

             (2) A declarant; or

             (3) Another unit’s owner of the association.

      3.  Members of the executive board are not personally liable to the victims of crimes occurring on the premises of the condominium hotel.

      4.  Except as otherwise provided in subsection 5, punitive damages may not be awarded against:

      (a) The association;

      (b) The members of the executive board for acts or omissions that occur in their official capacity as members of the executive board; or

      (c) The officers of the association for acts or omissions that occur in their capacity as officers of the association.

      5.  Punitive damages may be awarded for a willful and material failure to comply with this chapter if the failure is established by clear and convincing evidence.

      [4.]6.  The court may award reasonable attorney’s fees to the prevailing party.

      [5.]7.  The civil remedy provided by this section is in addition to, and not exclusive of, any other available remedy or penalty.

      8.  The provisions of this section do not prohibit the Commission from taking any disciplinary action against a member of an executive board pursuant to NRS 116B.865 to 116B.920, inclusive.

      Sec. 46. NRS 116B.815 is hereby amended to read as follows:

      116B.815  The Office of the Ombudsman for Owners in Common-Interest Communities and Condominium Hotels created by NRS 116.625 shall:

      1.  Assist in processing claims arising under this chapter that are submitted to mediation or arbitration or referred to a program pursuant to NRS 38.300 to 38.360, inclusive;

      2.  Assist owners in condominium hotels to understand their rights and responsibilities as set forth in this chapter and the governing documents of their associations, including, without limitation, publishing materials related to those rights and responsibilities;

      3.  Assist members of executive boards and officers of associations to carry out their duties;

      4.  When appropriate, investigate disputes involving the provisions of this chapter or the governing documents of an association and assist in resolving such disputes; and

      5.  Compile and maintain a registration of each association organized within the State which includes, without limitation, the following information:

 


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      (a) The name, address and telephone number of the association;

      (b) The names, mailing addresses and telephone numbers of the members of the executive board of the association;

      (c) The name of the declarant;

      (d) The name of the hotel unit owner;

      (e) The number of units in the condominium hotel;

      [(e)](f) The total annual assessment made by the association; and

      [(f)](g) The number of foreclosures which were completed on units within the condominium hotel and which were based on liens for the failure of the unit’s owner to pay any assessments levied against the unit or any fines imposed against the unit’s owner.

________

CHAPTER 258, SB 390

Senate Bill No. 390–Senators Harris, Hammond, Farley, Lipparelli; and Kieckhefer

 

CHAPTER 258

 

[Approved: May 27, 2015]

 

AN ACT relating to education; revising provisions governing the preferences for enrollment in a charter school by authorizing a preference for a pupil who is enrolled in a public school of a school district that is over its intended capacity for enrollment by a certain percentage and for a pupil who is enrolled in certain underperforming public schools; requiring each school district to post a list of each public school of the school district that is over its intended capacity for enrollment, if any; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Under existing law, the parent or guardian of a child may submit an application for the child’s enrollment in a charter school. A charter school is required to enroll children in the order in which the applications are received, however before a charter school enrolls other children, the charter school may enroll a child who: (1) is a sibling of a pupil currently enrolled in the charter school; (2) was enrolled, free of charge and on the basis of a lottery system, in a prekindergarten program at the charter school or other early childhood program affiliated with the charter school; (3) is a child of a person who is an employee of the charter school, a member of the committee to form the charter school or a member of the governing body of the charter school; (4) is in a particular at-risk category served by the charter school; or (5) resides within 2 miles of the charter school if the charter school is located in an area that the sponsor of the charter school determines includes a high percentage of children who are at risk. This bill expands the preferences for enrollment and allows a charter school to give a preference in enrollment for a child who, at the time of submission of his or her application is enrolled in a public school of a school district: (1) with an enrollment that is more than 25 percent over the school’s intended capacity; or (2) that received an annual rating established as one of the two lowest ratings possible indicating underperformance, as determined by the Department of Education pursuant to the statewide system of accountability for public schools in the preceding school year. This bill provides that if a charter school gives preference to pupils who are enrolled in such public schools, the charter school must enroll such pupils who reside within 2 miles of the charter school before enrolling other such pupils.

 


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enrolling other such pupils. This bill also provides that each school district is required to maintain and post a list of each public school of the school district that is over its intended capacity for enrollment, if any, and indicate on the list by what percentage each school is over capacity.

 

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

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 386.580 is hereby amended to read as follows:

      386.580  1.  An application for enrollment in a charter school may be submitted to the governing body of the charter school by the parent or legal guardian of any child who resides in this State. Except as otherwise provided in this subsection and subsection 2, a charter school shall enroll pupils who are eligible for enrollment in the order in which the applications are received. If the board of trustees of the school district in which the charter school is located has established zones of attendance pursuant to NRS 388.040, the charter school shall, if practicable, ensure that the racial composition of pupils enrolled in the charter school does not differ by more than 10 percent from the racial composition of pupils who attend public schools in the zone in which the charter school is located. If a charter school is sponsored by the board of trustees of a school district located in a county whose population is 100,000 or more, except for a program of distance education provided by the charter school, the charter school shall enroll pupils who are eligible for enrollment who reside in the school district in which the charter school is located before enrolling pupils who reside outside the school district. Except as otherwise provided in subsection 2, if more pupils who are eligible for enrollment apply for enrollment in the charter school than the number of spaces which are available, the charter school shall determine which applicants to enroll pursuant to this subsection on the basis of a lottery system.

      2.  Before a charter school enrolls pupils who are eligible for enrollment, a charter school may enroll a child who:

      (a) Is a sibling of a pupil who is currently enrolled in the charter school . [;]

      (b) Was enrolled, free of charge and on the basis of a lottery system, in a prekindergarten program at the charter school or any other early childhood educational program affiliated with the charter school . [;]

      (c) Is a child of a person who is:

             (1) Employed by the charter school;

             (2) A member of the committee to form the charter school; or

             (3) A member of the governing body of the charter school . [;]

      (d) Is in a particular category of at-risk pupils and the child meets the eligibility for enrollment prescribed by the charter school for that particular category . [; or]

      (e) At the time his or her application is submitted, is enrolled in a public school of a school district with an enrollment that is more than 25 percent over the public school’s intended capacity, as reported on the list maintained by the school district pursuant to subsection 9. If a charter school enrolls pupils who are enrolled in such a public school before enrolling other pupils who are eligible for enrollment, the charter school must enroll such pupils who reside within 2 miles of the charter school before enrolling other such pupils.

 


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school must enroll such pupils who reside within 2 miles of the charter school before enrolling other such pupils.

      (f) At the time his or her application is submitted, is enrolled in a public school that received an annual rating established as one of the two lowest ratings possible indicating underperformance of a public school, as determined by the Department pursuant to the statewide system of accountability for public schools for the immediately preceding school year. If a charter school enrolls pupils who are enrolled in such a public school before enrolling other pupils who are eligible for enrollment, the charter school must enroll such pupils who reside within 2 miles of the charter school before enrolling other such pupils.

      (g) Resides within the school district and within 2 miles of the charter school if the charter school is located in an area that the sponsor of the charter school determines includes a high percentage of children who are at risk. If space is available after the charter school enrolls pupils pursuant to this paragraph, the charter school may enroll children who reside outside the school district but within 2 miles of the charter school if the charter school is located within an area that the sponsor determines includes a high percentage of children who are at risk.

Ê If more pupils described in this subsection who are eligible apply for enrollment than the number of spaces available, the charter school shall determine which applicants to enroll pursuant to this subsection on the basis of a lottery system.

      3.  Except as otherwise provided in subsection 8, a charter school shall not accept applications for enrollment in the charter school or otherwise discriminate based on the:

      (a) Race;

      (b) Gender;

      (c) Religion;

      (d) Ethnicity; or

      (e) Disability,

Ê of a pupil.

      4.  If the governing body of a charter school determines that the charter school is unable to provide an appropriate special education program and related services for a particular disability of a pupil who is enrolled in the charter school, the governing body may request that the board of trustees of the school district of the county in which the pupil resides transfer that pupil to an appropriate school.

      5.  Except as otherwise provided in this subsection, upon the request of a parent or legal guardian of a child who is enrolled in a public school of a school district or a private school, or a parent or legal guardian of a homeschooled child, the governing body of the charter school shall authorize the child to participate in a class that is not otherwise available to the child at his or her school or homeschool or participate in an extracurricular activity at the charter school if:

      (a) Space for the child in the class or extracurricular activity is available;

      (b) The parent or legal guardian demonstrates to the satisfaction of the governing body that the child is qualified to participate in the class or extracurricular activity; and

 


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      (c) The child is a homeschooled child and a notice of intent of a homeschooled child to participate in programs and activities is filed for the child with the school district in which the child resides for the current school year pursuant to NRS 392.705.

Ê If the governing body of a charter school authorizes a child to participate in a class or extracurricular activity pursuant to this subsection, the governing body is not required to provide transportation for the child to attend the class or activity. A charter school shall not authorize such a child to participate in a class or activity through a program of distance education provided by the charter school pursuant to NRS 388.820 to 388.874, inclusive.

      6.  The governing body of a charter school may revoke its approval for a child to participate in a class or extracurricular activity at a charter school pursuant to subsection 5 if the governing body determines that the child has failed to comply with applicable statutes, or applicable rules and regulations. If the governing body so revokes its approval, neither the governing body nor the charter school is liable for any damages relating to the denial of services to the child.

      7.  The governing body of a charter school may, before authorizing a homeschooled child to participate in a class or extracurricular activity pursuant to subsection 5, require proof of the identity of the child, including, without limitation, the birth certificate of the child or other documentation sufficient to establish the identity of the child.

      8.  This section does not preclude the formation of a charter school that is dedicated to provide educational services exclusively to pupils:

      (a) With disabilities;

      (b) Who pose such severe disciplinary problems that they warrant a specific educational program, including, without limitation, a charter school specifically designed to serve a single gender that emphasizes personal responsibility and rehabilitation; or

      (c) Who are at risk.

Ê If more eligible pupils apply for enrollment in such a charter school than the number of spaces which are available, the charter school shall determine which applicants to enroll pursuant to this subsection on the basis of a lottery system.

      9.  Each school district shall create and maintain a list which specifies for each public school of the school district, the maximum enrollment capacity for each school, the actual number of pupils enrolled at each school and the percentage by which enrollment at each school exceeds the intended enrollment capacity, if applicable. Each school district shall post the list on the Internet website maintained by the school district as soon as practicable after the count of pupils is completed pursuant to NRS 387.1233 but not later than November 1 of each year.

      Sec. 2.  This act becomes effective on July 1, 2015.

________

 


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ê2015 Statutes of Nevada, Page 1257ê

 

CHAPTER 259, SB 441

Senate Bill No. 441–Committee on Commerce, Labor and Energy

 

CHAPTER 259

 

[Approved: May 27, 2015]

 

AN ACT relating to craft food operations; exempting a craft food operation from certain inspections and other rules enforced by certain health authorities; providing certain requirements for a craft food operation; providing that certain pickled foods may be prepared and sold by a craft food operation; providing requirements for the training of and registration for a person who produces certain pickled foods for a craft food operation; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Under existing law, a cottage food operation is not a food establishment for the purposes of certain provisions of existing law and, as such, is not subject to certain inspections and the enforcement of certain rules and regulations by certain state and local health authorities. (NRS 446.020, 446.866) Section 3 of this bill provides that a craft food operation is not a food establishment for the same purposes as a cottage food operation and, as such, is also not subject to certain inspections and enforcement by health authorities. Section 10 of this bill specifies the requirements for a craft food operation and authorizes the production of acidified foods by a craft food operation. “Acidified foods” are defined in section 6 of this bill as “a food item containing either fruits, vegetables or both fruits and vegetables which, when prepared for sale, has a finished equilibrium pH of not more than 4.6.” Section 11 of this bill provides various requirements for a person who produces such acidified foods, including certain required training, successful completion of an examination, pH testing of the foods, the documentation of certain information about the foods produced and registration with the State Department of Agriculture. Section 12 of this bill provides that the Department is authorized to charge a reasonable fee for such training, examinations and registration and may inspect the premises of a producer of acidified foods if: (1) it is suspected of being the source of an outbreak of illness known or suspected to be caused by a contaminated food item; or (2) a food item produced there may be deemed adulterated.

 

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

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Sections 1 and 2. (Deleted by amendment.)

      Sec. 3. NRS 446.020 is hereby amended to read as follows:

      446.020  1.  Except as otherwise limited by subsection 2, “food establishment” means any place, structure, premises, vehicle or vessel, or any part thereof, in which any food intended for ultimate human consumption is manufactured or prepared by any manner or means whatever, or in which any food is sold, offered or displayed for sale or served.

      2.  The term does not include:

      (a) Private homes, unless the food prepared or manufactured in the home is sold, or offered or displayed for sale or for compensation or contractual consideration of any kind;

 


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      (b) Fraternal or social clubhouses at which attendance is limited to members of the club;

      (c) Vehicles operated by common carriers engaged in interstate commerce;

      (d) Any establishment in which religious, charitable and other nonprofit organizations sell food occasionally to raise money or in which charitable organizations receive salvaged food in bulk quantities for free distribution, unless the establishment is open on a regular basis to sell food to members of the general public;

      (e) Any establishment where animals are slaughtered which is regulated and inspected by the State Department of Agriculture;

      (f) Dairy farms and plants which process milk and products of milk or frozen desserts which are regulated under chapter 584 of NRS;

      (g) The premises of a wholesale dealer of alcoholic beverages licensed under chapter 369 of NRS who handles only alcoholic beverages which are in sealed containers;

      (h) A cottage food operation that meets the requirements of NRS 446.866 with respect to food items as defined in that section; [or]

      (i) A craft food operation that meets the requirements of section 10 of this act with respect to food items as defined in that section; or

      (j) A farm for purposes of holding a farm-to-fork event.

      Sec. 4. Chapter 583 of NRS is hereby amended by adding thereto the provisions set forth as sections 5 to 14, inclusive, of this act.

      Sec. 5. As used in sections 5 to 14, inclusive, of this act, unless the context otherwise requires, the words and terms defined in sections 6 to 9, inclusive, of this act have the meanings ascribed to them in those sections.

      Sec. 6. 1.  “Acidified foods” means a food item containing either fruits, vegetables or both fruits and vegetables which, when prepared for sale, has a finished equilibrium pH level of not more than 4.6.

      2.  The term does not include any product that includes, without limitation, milk or milk products, eggs, meat, poultry, fish, shellfish, edible crustacean ingredients or any other ingredients capable of supporting the rapid growth of infectious or toxigenic microorganisms.

      Sec. 7. “Craft food operation” means a natural person who manufactures or prepares acidified foods in his or her private home or, if allowed by the health authority, in the kitchen of a fraternal or social clubhouse, a school or a religious, charitable or other nonprofit organization, for sale to a natural person for consumption, and whose gross sales of such foods are not more than $35,000 per calendar year.

      Sec. 8. “Department” means the State Department of Agriculture.

      Sec. 9. “Health authority” means the officers and agents of the Division of Public and Behavioral Health of the Department of Health and Human Services, or the officers and agents of the local boards of health.

      Sec. 10. 1.  A craft food operation which manufactures or prepares a food item by any manner or means whatever for sale, or which offers or displays a food item for sale, is not a “food establishment” pursuant to paragraph (i) of subsection 2 of NRS 446.020 if each such food item is:

      (a) Sold on the private property of the natural person who manufactures or prepares the food item or at a location where the natural person who manufactures or prepares the food item sells the food item directly to a consumer, including, without limitation, a farmers’ market licensed pursuant to chapter 244 or 268 of NRS, flea market, swap meet, church bazaar, garage sale or craft fair, by means of an in-person transaction that does not involve selling the food item by telephone or via the Internet;

 


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church bazaar, garage sale or craft fair, by means of an in-person transaction that does not involve selling the food item by telephone or via the Internet;

      (b) Sold to a natural person for his or her consumption and not for resale;

      (c) Affixed with a label which complies with the federal labeling requirements set forth in 21 U.S.C. § 343(w) and 9 C.F.R. Part 317 and 21 C.F.R. Part 101;

      (d) Labeled with:

             (1) The date the food item was produced; and

             (2) “MADE IN A CRAFT FOOD OPERATION THAT IS NOT SUBJECT TO GOVERNMENT FOOD SAFETY INSPECTION” printed prominently on the label for the food item;

      (e) Prepackaged in a manner that protects the food item from contamination during transport, display, sale and acquisition by consumers; and

      (f) Prepared and processed in the kitchen of the private home of the natural person who manufactures or prepares the food item or, if allowed by the health authority, in the kitchen of a fraternal or social clubhouse, a school or a religious, charitable or other nonprofit organization.

      2.  No local zoning board, planning commission or governing body of an unincorporated town, incorporated city or county may adopt any ordinance or other regulation that prohibits a natural person from preparing food in a craft food operation.

      3.  As used in this section, “food item” means acidified foods produced by a person who meets the requirements of sections 11 to 14, inclusive, of this act.

      Sec. 11. For the purposes of a craft food operation, an acidified food must be produced by a person who:

      1.  Complies with the requirements of section 10 of this act;

      2.  Is registered pursuant to section 12 of this act;

      3.  Maintains a log and supporting documentation for not less than 5 years which must include:

      (a) The name of each acidified food produced;

      (b) The recipe for each acidified food produced, including, without limitation, the ingredients and the process used in preparation of the acidified food;

      (c) The canning date of each batch produced; and

      (d) The results of the pH test for each batch produced;

      4.  For the purposes of paragraph (c), uses a pH test meter that meets the requirements of the regulations adopted by the State Department of Agriculture; and

      5.  Uses only canning recipes that have been approved by, or included in publications approved by, the State Department of Agriculture.

      Sec. 12. 1.  The Department shall register a person who produces acidified foods if the person:

      (a) Completes a course of training in basic food safety and the preparation and canning of acidified foods which has been approved by the Department;

      (b) Passes an examination on the preparation of acidified foods which has been approved by the Department;

      (c) Pays the registration fee prescribed by the Department; and

 


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      (d) Provides the Department with such information as the Department deems appropriate, including, without limitation:

             (1) The name, address and contact information of the natural person who is producing the acidified foods; and

             (2) If the acidified foods are sold under a name other than that of the natural person who produces the acidified foods, the name under which the natural person sells the acidified foods.

      2.  A registration that is issued or otherwise recorded pursuant to subsection 1 is valid for 3 years after the date of initial registration and may be renewed pursuant to the provisions of subsection 3.

      3.  The Department shall renew a registration that is issued or otherwise recorded pursuant to subsection 1 every 3 years if the person:

      (a) Provides proof satisfactory to the Department that the person has complied with the requirements of section 11 of this act;

      (b) Completes a course of training in basic food safety and the preparation and canning of acidified foods which has been approved by the Department;

      (c) Passes an examination on the preparation of acidified foods which has been approved by the Department;

      (d) Pays the renewal fee prescribed by the Department; and

      (e) Provides the Department with any such information as the Department deems appropriate.

      4.  The Department shall provide to each person registered to produce acidified foods pursuant to this section:

      (a) Periodic updates on, without limitation, the testing and preparation of acidified foods; and

      (b) Information about workshops or other training opportunities related to the safe production of acidified foods.

      5.  The Department may inspect the premises of a person registered to produce acidified foods pursuant to this section only to investigate a food item that may be deemed to be adulterated pursuant to NRS 585.300 to 585.360, inclusive, or an outbreak or suspected outbreak of illness known or suspected to be caused by a contaminated food item. The producer of acidified foods shall cooperate with the Department in any such inspection. If, as a result of such an inspection, the Department determines that the producer of acidified foods has produced an adulterated food item or was the source of an outbreak of illness caused by a contaminated food item, the Department may charge and collect from the producer of acidified foods a fee in an amount that does not exceed the actual cost to the Department to conduct the investigation.

      6.  The Department may charge a reasonable fee for:

      (a) Registration pursuant to subsection 1;

      (b) Renewal of a registration pursuant to subsection 3;

      (c) A course of training pursuant to subsections 1 and 3;

      (d) An examination pursuant to subsections 1 and 3; and

      (e) An investigation conducted pursuant to subsection 5.

      7.  The Department shall adopt regulations necessary to carry out the provisions of sections 5 to 14, inclusive, of this act.

      Sec. 13. 1.  In addition to any other requirements set forth in sections 5 to 14, inclusive, of this act, an applicant for registration or renewal of registration as a producer of acidified foods shall:

 


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      (a) Include the social security number of the applicant in the application submitted to the Department.

      (b) Submit to the Department the statement prescribed by the Division of Welfare and Supportive Services of the Department of Health and Human Services pursuant to NRS 425.520. The statement must be completed and signed by the applicant.

      2.  The Department shall include the statement required pursuant to subsection 1 in:

      (a) The application or any other forms that must be submitted for registration or renewal of registration; or

      (b) A separate form prescribed by the Department.

      3.  An applicant may not be registered or have his or her registration renewed by the Department if the applicant:

      (a) Fails to submit the statement required pursuant to subsection 1; or

      (b) Indicates on the statement submitted pursuant to subsection 1 that the applicant is subject to a court order for the support of a child and is not in compliance with the order or a plan approved by the district attorney or other public agency enforcing the order for the repayment of the amount owed pursuant to the order.

      4.  If an applicant indicates on the statement submitted pursuant to subsection 1 that the applicant is subject to a court order for the support of a child and is not in compliance with the order or a plan approved by the district attorney or other public agency enforcing the order for the repayment of the amount owed pursuant to the order, the Department shall advise the applicant to contact the district attorney or other public agency enforcing the order to determine the actions that the applicant may take to satisfy the arrearage.

      Sec. 14. 1.  If the Department receives a copy of a court order issued pursuant to NRS 425.540 that provides for the suspension of all professional, occupational and recreational licenses, certificates and permits issued to a person who is registered as a producer of acidified foods, the Department shall deem the registration of that person to be suspended at the end of the 30th day after the date on which the court order was issued unless the Department receives a letter issued to the registrant by the district attorney or other public agency pursuant to NRS 425.550 stating that the registrant has complied with the subpoena or warrant or has satisfied the arrearage pursuant to NRS 425.560.

      2.  The Department shall reinstate a registration that has been suspended by a district court pursuant to NRS 425.540 if the Department receives a letter issued by the district attorney or other public agency pursuant to NRS 425.550 to the person whose registration was suspended stating that the person whose registration was suspended has complied with the subpoena or warrant or has satisfied the arrearage pursuant to NRS 425.560.

      Sec. 15.  1.  This act becomes effective:

      (a) On passage and approval for the purpose of adopting regulations and performing any other preparatory administrative tasks necessary to carry out the provisions of this act; and

      (b) On January 1, 2016, for all other purposes.

      2.  Sections 13 and 14 of this act expire by limitation on the date on which the provisions of 42 U.S.C. § 666 requiring each state to establish procedures under which the state has authority to withhold or suspend, or to restrict the use of professional, occupational and recreational licenses of persons who:

 


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procedures under which the state has authority to withhold or suspend, or to restrict the use of professional, occupational and recreational licenses of persons who:

      (a) Have failed to comply with a subpoena or warrant relating to a proceeding to determine the paternity of a child or to establish or enforce an obligation for the support of a child; or

      (b) Are in arrears in the payment for the support of one or more children,

Ê are repealed by the Congress of the United States.

________

CHAPTER 260, SB 457

Senate Bill No. 457–Committee on Transportation

 

CHAPTER 260

 

[Approved: May 27, 2015]

 

AN ACT relating to trains; creating the Nevada High-Speed Rail Authority to provide for the Nevada High-Speed Rail System; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law provides for the California-Nevada Super Speed Ground Transportation Commission, charged with pursuing the development of a Super Speed Ground Transportation System connecting southern California with southern Nevada. (NRS 705.4291, 705.4293) This bill creates the Nevada High-Speed Rail Authority to provide for the Nevada High-Speed Rail System, which also will connect southern California with southern Nevada. Section 8.5 of this bill creates the Nevada High-Speed Rail Authority, and requires that the members of the Authority be appointed by the Governor. Section 8.6 of this bill charges the Authority with pursuing the implementation of the Nevada High-Speed Rail System connecting southern California with southern Nevada. Section 8.7 of this bill requires the Authority to select a franchisee to construct and operate the System. Section 8.7 also provides the criteria that the Authority must use to select a franchisee and requires the Authority and the franchisee selected by the Authority to perform various tasks related to the planning and development of the System. Section 8.8 of this bill allows the Authority to incorporate, and section 8.85 of this bill authorizes the Authority to issue bonds, notes, obligations or other evidences of borrowing to finance construction of the System. Section 8.9 of this bill requires the Governor to issue a proclamation declaring the completion of the System. Section 16 of this bill provides that the provisions of law relating to the System and the Authority expire by limitation upon the proclamation of the Governor that the System has been completed. Section 14 of this bill provides for staggered initial terms for the members of the Authority. Section 15 of this bill requires the Authority to select a franchisee to construct and operate the System on or before October 1, 2015.

 

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

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Sections 1-8. (Deleted by amendment.)

 


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      Sec. 8.1. Chapter 705 of NRS is hereby amended by adding thereto the provisions set forth as sections 8.2 to 8.9, inclusive, of this act.

      Sec. 8.2. The Legislature finds and declares that:

      1.  The passage of sections 8.2 to 8.9, inclusive, of this act is a declaration of legislative intent that the State of Nevada pursue the implementation of the Nevada High-Speed Rail System connecting southern California with southern Nevada.

      2.  The System will:

      (a) Provide economic benefits to both southern California and southern Nevada.

      (b) Reduce reliance on gasoline- and diesel-fueled engines and encourage the use of alternative energy sources.

      (c) Reduce congestion on Interstate Highway No. 15 between southern California and Las Vegas.

      (d) Provide a working example for a transportation system that could play an essential role in the development of future commuter and high-speed rail service in the Los Angeles Basin and the Las Vegas Valley.

      (e) Provide quick and convenient transportation service for residents and visitors in southern California and southern Nevada.

      Sec. 8.25.  As used in sections 8.2 to 8.9, inclusive, of this act, unless the context otherwise requires, the words and terms defined in sections 8.3, 8.35 and 8.4 of this act have the meanings ascribed to them in those sections.

      Sec. 8.3. “Authority” means the Nevada High-Speed Rail Authority created by section 8.5 of this act.

      Sec. 8.35. “Nevada High-Speed Rail System” means a high-speed passenger rail system that:

      1.  Is capable of sustained speeds of at least 150 miles per hour or the speed established by the United States Department of Transportation and the Federal Railroad Administration’s plans and policies for high-speed rail express services;

      2.  Carries primarily passengers between southern Nevada and southern California;

      3.  Operates on dedicated and exclusive standard gauge tracks for the purpose of high-speed rail service;

      4.  Allows for interoperability with existing and planned rail systems; and

      5.  Is certified or authorized by the Surface Transportation Board of the United States Department of Transportation as an interstate passenger railroad to construct and operate its route between southern Nevada and southern California.

      Sec. 8.4. “Southern California” means the counties of Kern, Los Angeles, Orange, Riverside, San Bernardino and San Diego.

      Sec. 8.5. 1.  There is hereby created the Nevada High-Speed Rail Authority as a separate legal entity. The governing body of the Authority consists of five members appointed by the Governor. The members must be residents of the State of Nevada and must be appointed based upon their knowledge, expertise or experience in the areas of rail transportation and high-speed rail services.

      2.  After their initial terms, the members serve for terms of 4 years and may be reappointed at the pleasure of the Governor.

      3.  The Authority shall elect one of its members as Chair.

 


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      4.  The members of the Authority serve without compensation but are entitled to receive the per diem allowance and travel expenses provided for state officers and employees generally while engaged in the official business of the Authority.

      Sec. 8.6. The Authority is hereby designated as an agency of the State of Nevada for the purposes of carrying out the provisions of sections 8.2 to 8.9, inclusive, of this act.

      Sec. 8.7. 1.  The Authority shall, subject to the provisions of subsection 2, select a franchisee for the construction and operation of a high-speed rail system, to be commonly known as the Nevada High-Speed Rail System, principally following the route of Interstate Highway No. 15 between Las Vegas, Nevada, and a point in southern California.

      2.  The Authority shall select a franchisee as required by subsection 1 based on criteria which must include, without limitation:

      (a) The extent to which environmental studies have been completed by or on behalf of a potential franchisee;

      (b) Confirmation by a potential franchisee of the level of private investment that has been made or committed for the Nevada High-Speed Rail System;

      (c) A review of the readiness of a potential franchisee for the Nevada High-Speed Rail System to engage in construction of that System; and

      (d) Pending or completed permit applications to implement the Nevada High-Speed Rail System.

      3.  A franchisee selected pursuant to this section may, with the assistance of the Authority:

      (a) Acquire or gain control or use of land for rights-of-way, stations and ancillary uses through purchase, gift, lease, use permit or easement.

      (b) Conduct engineering and other studies related to the selection and acquisition of rights-of-way, including, without limitation, environmental impact studies, socioeconomic impact studies and financial feasibility studies. All local, state and federal environmental requirements must be met by the franchisee.

      (c) Accept grants, gifts, fees and allocations from Nevada or its political subdivisions, the Federal Government, foreign governments and any private source.

      (d) Issue debt, but this debt does not constitute an obligation of the State of Nevada, or any of its political subdivisions.

      (e) Hire such staff and any consultants as deemed appropriate.

      (f) Obtain all necessary permits and certificates from governmental entities in California and Nevada, recognizing the preemptive federal authority of the Surface Transportation Board of the United States Department of Transportation over interstate passenger railroads.

      (g) Negotiate, enter into and execute all necessary local, regional and state governmental agreements to allow for the construction and implementation of the Nevada High-Speed Rail System.

      4.  The franchisee selected pursuant to this section must coordinate the implementation of the Nevada High-Speed Rail System with all governmental entities that have jurisdiction over the System, including, without limitation, the relevant counties and the Department of Transportation.

      Sec. 8.8. 1.  The Authority may incorporate under the general incorporation laws of either this State or the State of California, whichever the Authority determines to be in its best interests.

 


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the Authority determines to be in its best interests. Copies of its proceedings, records and acts, when authenticated, are admissible in evidence in all courts of either state and are prima facie evidence of the truth of all statements therein.

      2.  The members of the Authority and its agents and employees are not liable for any damages that result from any act or omission in the performance of their duties or the exercise of their powers pursuant to sections 8.2 to 8.9, inclusive, of this act.

      Sec. 8.85. 1.  The Authority, or a corporation formed by the Authority pursuant to the laws of this State or the State of California, as the Authority deems appropriate, may issue bonds, notes, obligations or other evidences of borrowing to finance all or a part of the construction of all or a part of the Nevada High-Speed Rail System. For the purposes of issuing bonds, notes, obligations or other evidences of borrowing pursuant to this section, the Authority and any corporation formed by the Authority are constituted authorities for the purposes of regulations enacted by the Internal Revenue Service pursuant to 26 U.S.C. §§ 103 and 141 to 150, inclusive.

      2.  Bonds, notes, obligations or other evidences of borrowing issued by the Authority or any corporation formed by the Authority which are issued to finance all or any part of the construction of all or a part of the Nevada High-Speed Rail System may be payable from and secured by:

      (a) A pledge of property of the Authority or a corporation formed by the Authority pursuant to this section;

      (b) A pledge of any revenue of the System, including revenue from fares, revenue from advertising and all other revenue of the System; and

      (c) A pledge of any other money made available to the Authority or a corporation formed by the Authority pursuant to this section by:

             (1) Grants from the Federal Government or any other federal funds as may be available to pay costs of the System or debt service on any borrowing;

             (2) Any company, public or private; or

             (3) Any local government or governmental entity in this State or in the State of California pursuant to an intergovernmental agreement or otherwise.

      3.  The Authority, in coordination with the franchisee selected pursuant to section 8.7 of this act, may enter into agreements with any person, local government or governmental entity for the provision of resources or assistance to the Authority or a corporation formed by the Authority concerning the financing of the Nevada High-Speed Rail System.

      4.  The Authority or any corporation formed by the Authority pursuant to this section may issue obligations to refund any obligations issued pursuant to the provisions of sections 8.2 to 8.9, inclusive, of this act for any purpose the Authority determines to be sufficient.

      5.  Nothing in this section authorizes the Authority or any corporation formed by the Authority to obligate this State or the State of California or any political subdivision thereof unless such state or political subdivision has obligated itself to the Authority or a corporation created by the Authority through an intergovernmental agreement.

      6.  The creation, perfection, priority and enforcement of any lien on pledged revenue or other money established to secure any bond, note, obligation or other evidence of borrowing issued pursuant to this section, must be as specified in this section and in the instruments approved by the Authority pertaining to that bond, note, obligation or other evidence of borrowing.

 


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obligation or other evidence of borrowing issued pursuant to this section, must be as specified in this section and in the instruments approved by the Authority pertaining to that bond, note, obligation or other evidence of borrowing. It is the purpose of this section to provide expressly for the creation, perfection, priority and enforcement of a security interest created by the Authority in pledged revenues or other money in connection with bonds, notes, obligations or other evidences of borrowing issued pursuant to this section, as provided for in paragraph (n) of subsection 4 of NRS 104.9109. Any lien on pledged revenue or other money created to secure any bond, note, obligation or other evidence of borrowing issued pursuant to this section has priority over any lien thereon created pursuant to the provisions of chapter 104 of NRS unless otherwise provided in the instrument creating the lien to secure such bond, note, obligation or other evidence of borrowing issued pursuant to the provisions of this section.

      Sec. 8.9. The Governor shall declare, by public proclamation on the date of completion of the Nevada High-Speed Rail System connecting southern California with southern Nevada, that the System has been completed.

      Sec. 9. NRS 709.050 is hereby amended to read as follows:

      709.050  1.  The board of county commissioners may grant to any person, company, corporation or association the franchise, right and privilege to construct, install, operate and maintain street railways, electric light, heat and power lines, gas and water mains, telephone lines, and all necessary or proper appliances used in connection therewith or appurtenant thereto, in the streets, alleys, avenues and other places in any unincorporated town in the county, and along the public roads and highways of the county, when the applicant complies with the terms and provisions of NRS 709.050 to 709.170, inclusive.

      2.  The board of county commissioners shall not:

      (a) Impose any terms or conditions on a franchise granted pursuant to subsection 1 for the provision of telecommunication service or interactive computer service other than terms or conditions concerning the placement and location of the telephone lines and fees imposed for a business license or the franchise, right or privilege to construct, install or operate such lines.

      (b) Require a company that provides telecommunication service or interactive computer service to obtain a franchise if it provides telecommunication service over the telephone lines owned by another company.

      3.  As used in NRS 709.050 to 709.170, inclusive:

      (a) “Interactive computer service” has the meaning ascribed to it in 47 U.S.C. § 230(f)(2), as that section existed on January 1, 2007.

      (b) “Street railway” means:

             (1) A system of public transportation operating over fixed rails on the surface of the ground; or

             (2) An overhead or underground system, other than a monorail, used for public transportation.

Ê The term does not include a Super Speed Ground Transportation System as defined in NRS 705.4292 [.] or a high-speed rail system as defined in section 8.35 of this act.

      (c) “Telecommunication service” has the meaning ascribed to it in NRS 704.028.

 


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ê2015 Statutes of Nevada, Page 1267 (Chapter 260, SB 457)ê

 

      4.  As used in this section, “monorail” has the meaning ascribed to it in NRS 705.650.

      Sec. 10. NRS 709.290 is hereby amended to read as follows:

      709.290  1.  The county commissioners, town trustees, supervisors or other governing body directly entrusted with the management of affairs of any town or city in this State are authorized to sell to the highest responsible bidder any franchise for a street railway through and over any street or streets of such town, according to the provisions of NRS 709.310.

      2.  As used in NRS 709.290 to 709.360, inclusive, “street railway” means:

      (a) A system of public transportation operating over fixed rails on the surface of the ground; or

      (b) An overhead or underground system, other than a monorail, used for public transportation.

Ê The term does not include a Super Speed Ground Transportation System as defined in NRS 705.4292 [.] or a high-speed rail system as defined in section 8.35 of this act.

      3.  As used in this section, “monorail” has the meaning ascribed to it in NRS 705.650.

      Secs. 11-13. (Deleted by amendment.)

      Sec. 14.  The initial appointments to the Nevada High-Speed Rail Authority created by section 8.5 of this act must be made as follows:

      1.  The Governor shall appoint one member to a term beginning on July 1, 2015, and ending on June 30, 2017;

      2.  The Governor shall appoint two members to terms beginning on July 1, 2015, and ending on June 30, 2018; and

      3.  The Governor shall appoint two members to terms beginning on July 1, 2015, and ending on June 30, 2019.

      Sec. 15.  The Nevada High-Speed Rail Authority created by section 8.5 of this act shall, on or before October 1, 2015, select a franchisee as required by section 8.7 of this act.

      Sec. 16.  1.  This act becomes effective upon passage and approval.

      2.  Sections 1 to 10, inclusive, of this act expire by limitation:

      (a) One year after the date on which the Governor declares by public proclamation that the Nevada High-Speed Rail System connecting southern California with southern Nevada has been completed; or

      (b) On the date all borrowing made pursuant to section 8.85 of this act is retired,

Ê whichever is later.

________

 


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ê2015 Statutes of Nevada, Page 1268ê

 

CHAPTER 261, SB 12

Senate Bill No. 12–Committee on Government Affairs

 

CHAPTER 261

 

[Approved: May 27, 2015]

 

AN ACT relating to the Public Employees’ Retirement System; eliminating the position of Assistant Investment Officer; creating the position of Chief Financial Officer; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law requires the Executive Officer of the Public Employees’ Retirement System to select certain employees, including an Assistant Investment Officer, who serve at the pleasure of the Executive Officer. (NRS 286.160) This bill eliminates the position of Assistant Investment Officer and requires the Executive Officer to select a Chief Financial Officer.

 

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

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 286.160 is hereby amended to read as follows:

      286.160  1.  The Board shall employ an Executive Officer who serves at the pleasure of the Board. The Executive Officer shall select an Operations Officer, Investment Officer, [Assistant Investment] Chief Financial Officer, Manager of Information Systems, Administrative Services Coordinator and Administrative Analyst whose appointments are effective upon confirmation by the Board. The Operations Officer, Investment Officer, [Assistant Investment] Chief Financial Officer, Manager of Information Systems, Administrative Services Coordinator and Administrative Analyst serve at the pleasure of the Executive Officer.

      2.  The Executive Officer, Operations Officer, Investment Officer, [Assistant Investment] Chief Financial Officer, Manager of Information Systems, Administrative Services Coordinator and Administrative Analyst are entitled to annual salaries fixed by the Board with the approval of the Interim Retirement and Benefits Committee of the Legislature created pursuant to NRS 218E.420. The salaries of these employees are exempt from the limitations of NRS 281.123.

      3.  The Executive Officer must:

      (a) Be a graduate of a 4-year college or university with a degree in business administration or public administration or equivalent degree.

      (b) Possess at least 5 years’ experience in a high level administrative or executive capacity, including responsibility for a variety of administrative functions such as retirement, insurance, investment or fiscal operations.

      4.  The Operations Officer, Investment Officer, [Assistant Investment] Chief Financial Officer, Manager of Information Systems and Administrative Analyst must each be a graduate of a 4-year college or university with a degree in business administration or public administration or an equivalent degree.

      5.  Except as otherwise provided in NRS 284.143, the Executive Officer shall not pursue any other business or occupation or perform the duties of any other office of profit during normal office hours unless on leave approved in advance.

 


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ê2015 Statutes of Nevada, Page 1269 (Chapter 261, SB 12)ê

 

any other office of profit during normal office hours unless on leave approved in advance. The Executive Officer shall not participate in any business enterprise or investment in real or personal property if the System owns or has a direct financial interest in that enterprise or property.

      Sec. 2.  This act becomes effective on July 1, 2015.

________

CHAPTER 262, SB 33

Senate Bill No. 33–Committee on Health and Human Services

 

CHAPTER 262

 

[Approved: May 27, 2015]

 

AN ACT relating to county hospitals; authorizing the board of hospital trustees of a county hospital to hold a closed meeting under certain circumstances; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Section 6 of this bill makes a technical correction to the definition of the term “taxpayers” for the purposes of eligibility to sign certain petitions relating to county hospitals without changing the substance of the definition.

      Except as otherwise provided by specific statute, existing law provides that any meeting of a public body must be open and public. (NRS 241.020) Section 8 of this bill authorizes the board of hospital trustees of a county hospital to hold a closed meeting to discuss: (1) providing a new service at the hospital or materially expanding an existing service; or (2) acquiring an additional facility for the hospital or materially expanding an existing facility. The records of such a meeting become public records 5 years after the date of the meeting or when the board determines that confidentiality is no longer required, whichever occurs first.

 

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

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Sections 1-5. (Deleted by amendment.)

      Sec. 6. NRS 450.010 is hereby amended to read as follows:

      450.010  [For the purposes of NRS 450.010 to 450.510, inclusive, “taxpayers” include only] “Taxpayers” means citizens of the United States of the age of 18 years and upward who, at the time of filing their petition, are registered electors of the county in which an election is proposed to be held and whose names appear on the latest assessment roll of the county as owners of real or personal property.

      Sec. 7. (Deleted by amendment.)

      Sec. 8.  NRS 450.140 is hereby amended to read as follows:

      450.140  1.  The board of hospital trustees shall hold meetings at least once each month, and shall keep a complete record of all its transactions.

      2.  Except as otherwise provided in NRS 241.0355:

      (a) In counties where three county commissioners are not members of the board, three members of the board constitute a quorum for the transaction of business.

 


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      (b) And except as otherwise provided in paragraph (c), in counties where three county commissioners are members of the board, any five of the members constitute a quorum for the transaction of business.

      (c) In counties where the board of county commissioners is the board of hospital trustees, a majority of the board constitutes a quorum for the transaction of business.

      3.  The board of hospital trustees may hold a closed meeting to discuss:

      (a) Providing a new health care service at the county hospital or materially expanding a health care service that is currently provided by the county hospital; or

      (b) The acquisition of an additional facility by the county hospital or the material expansion of an existing facility of the county hospital.

      4.  Subsection 3 must not be construed to authorize the board of hospital trustees to hold a closed meeting to discuss a change of management or ownership or the dissolution of the county hospital.

      5.  Minutes of a closed meeting held pursuant to subsection 3, any supporting material and any recording or transcript of the closed meeting become public records 5 years after the date on which the meeting is held or when the board of hospital trustees determines that the matters discussed no longer require confidentiality, whichever occurs first.

      Sec. 9. (Deleted by amendment.)

      Sec. 10. NRS 239.010 is hereby amended to read as follows:

      239.010  1.  Except as otherwise provided in this section and NRS 1.4683, 1A.110, 49.095, 62D.420, 62D.440, 62E.516, 62E.620, 62H.025, 62H.030, 62H.170, 62H.220, 62H.320, 76.160, 78.152, 80.113, 81.850, 82.183, 86.246, 86.54615, 87.515, 87.5413, 87A.200, 87A.580, 87A.640, 88.3355, 88.5927, 88.6067, 88A.345, 88A.7345, 89.045, 89.251, 90.730, 91.160, 116.757, 116A.270, 116B.880, 118B.026, 119.260, 119.265, 119.267, 119.280, 119A.280, 119A.653, 119B.370, 119B.382, 120A.690, 125.130, 125B.140, 126.141, 126.161, 126.163, 126.730, 127.007, 127.057, 127.130, 127.140, 127.2817, 130.312, 159.044, 172.075, 172.245, 176.015, 176.0625, 176.09129, 176.156, 176A.630, 178.39801, 178.4715, 178.5691, 179.495, 179A.070, 179A.165, 179A.450, 179D.160, 200.3771, 200.3772, 200.5095, 200.604, 202.3662, 205.4651, 209.392, 209.3925, 209.419, 209.521, 211A.140, 213.010, 213.040, 213.095, 213.131, 217.105, 217.110, 217.464, 217.475, 218E.625, 218F.150, 218G.130, 218G.240, 218G.350, 228.270, 228.450, 228.495, 228.570, 231.069, 233.190, 237.300, 239.0105, 239.0113, 239B.030, 239B.040, 239B.050, 239C.140, 239C.210, 239C.230, 239C.250, 239C.270, 240.007, 241.020, 241.030, 242.105, 244.264, 244.335, 250.087, 250.130, 250.140, 250.150, 268.095, 268.490, 268.910, 271A.105, 281.195, 281A.350, 281A.440, 281A.550, 284.4068, 286.110, 287.0438, 289.025, 289.080, 289.387, 293.5002, 293.503, 293.558, 293B.135, 293D.510, 331.110, 332.061, 332.351, 333.333, 333.335, 338.070, 338.1379, 338.1725, 338.1727, 348.420, 349.597, 349.775, 353.205, 353A.085, 353A.100, 353C.240, 360.240, 360.247, 360.255, 360.755, 361.044, 361.610, 365.138, 366.160, 368A.180, 372A.080, 378.290, 378.300, 379.008, 386.655, 387.626, 387.631, 388.5275, 388.528, 388.5315, 388.750, 391.035, 392.029, 392.147, 392.264, 392.271, 392.652, 392.850, 394.167, 394.1698, 394.447, 394.460, 394.465, 396.3295, 396.405, 396.525, 396.535, 398.403, 408.3885, 408.3886, 412.153, 416.070, 422.290, 422.305, 422A.320, 422A.350, 425.400, 427A.1236, 427A.872, 432.205, 432B.175, 432B.280, 432B.290, 432B.407, 432B.430, 432B.560, 433.534, 433A.360, 439.270, 439.840, 439B.420, 440.170, 441A.195, 441A.220, 441A.230, 442.330, 442.395, 445A.665, 445B.

 


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ê2015 Statutes of Nevada, Page 1271 (Chapter 262, SB 33)ê

 

432B.175, 432B.280, 432B.290, 432B.407, 432B.430, 432B.560, 433.534, 433A.360, 439.270, 439.840, 439B.420, 440.170, 441A.195, 441A.220, 441A.230, 442.330, 442.395, 445A.665, 445B.570, 449.209, 449.245, 449.720, 450.140, 453.1545, 453.720, 453A.610, 453A.700, 458.055, 458.280, 459.050, 459.3866, 459.555, 459.7056, 459.846, 463.120, 463.15993, 463.240, 463.3403, 463.3407, 463.790, 467.1005, 467.137, 481.063, 482.170, 482.5536, 483.340, 483.363, 483.800, 484E.070, 485.316, 503.452, 522.040, 534A.031, 561.285, 571.160, 584.583, 584.655, 598.0964, 598.0979, 598.098, 598A.110, 599B.090, 603.070, 603A.210, 604A.710, 612.265, 616B.012, 616B.015, 616B.315, 616B.350, 618.341, 618.425, 622.310, 623.131, 623A.353, 624.110, 624.265, 624.327, 625.425, 625A.185, 628.418, 629.069, 630.133, 630.30665, 630.336, 630A.555, 631.368, 632.121, 632.125, 632.405, 633.283, 633.301, 633.524, 634.212, 634.214, 634A.185, 635.158, 636.107, 637.085, 637A.315, 637B.288, 638.087, 638.089, 639.2485, 639.570, 640.075, 640A.220, 640B.730, 640C.400, 640C.745, 640C.760, 640D.190, 640E.340, 641.090, 641A.191, 641B.170, 641C.760, 642.524, 643.189, 644.446, 645.180, 645.625, 645A.050, 645A.082, 645B.060, 645B.092, 645C.220, 645C.225, 645D.130, 645D.135, 645E.300, 645E.375, 645G.510, 645H.320, 645H.330, 647.0945, 647.0947, 648.033, 648.197, 649.065, 649.067, 652.228, 654.110, 656.105, 661.115, 665.130, 665.133, 669.275, 669.285, 669A.310, 671.170, 673.430, 675.380, 676A.340, 676A.370, 677.243, 679B.122, 679B.152, 679B.159, 679B.190, 679B.285, 679B.690, 680A.270, 681A.440, 681B.260, 681B.280, 683A.0873, 685A.077, 686A.289, 686B.170, 686C.306, 687A.110, 687A.115, 687C.010, 688C.230, 688C.480, 688C.490, 692A.117, 692C.190, 692C.420, 693A.480, 693A.615, 696B.550, 703.196, 704B.320, 704B.325, 706.1725, 710.159, 711.600, sections 35, 38 and 41 of chapter 478, Statutes of Nevada 2011 and section 2 of chapter 391, Statutes of Nevada 2013 and unless otherwise declared by law to be confidential, all public books and public records of a governmental entity must be open at all times during office hours to inspection by any person, and may be fully copied or an abstract or memorandum may be prepared from those public books and public records. Any such copies, abstracts or memoranda may be used to supply the general public with copies, abstracts or memoranda of the records or may be used in any other way to the advantage of the governmental entity or of the general public. This section does not supersede or in any manner affect the federal laws governing copyrights or enlarge, diminish or affect in any other manner the rights of a person in any written book or record which is copyrighted pursuant to federal law.

      2.  A governmental entity may not reject a book or record which is copyrighted solely because it is copyrighted.

      3.  A governmental entity that has legal custody or control of a public book or record shall not deny a request made pursuant to subsection 1 to inspect or copy or receive a copy of a public book or record on the basis that the requested public book or record contains information that is confidential if the governmental entity can redact, delete, conceal or separate the confidential information from the information included in the public book or record that is not otherwise confidential.

      4.  A person may request a copy of a public record in any medium in which the public record is readily available. An officer, employee or agent of a governmental entity who has legal custody or control of a public record:

 


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      (a) Shall not refuse to provide a copy of that public record in a readily available medium because the officer, employee or agent has already prepared or would prefer to provide the copy in a different medium.

      (b) Except as otherwise provided in NRS 239.030, shall, upon request, prepare the copy of the public record and shall not require the person who has requested the copy to prepare the copy himself or herself.

      Sec. 11.  This act becomes effective on July 1, 2015.

________

CHAPTER 263, SB 39

Senate Bill No. 39–Committee on Judiciary

 

CHAPTER 263

 

[Approved: May 27, 2015]

 

AN ACT relating to business; revising various provisions governing the state business license; requiring certain persons who are not required to obtain a state business license to obtain a certificate of exemption from the Secretary of State; revising provisions governing the penalty imposed on a person who conducts a business in this State without obtaining a state business license; revising provisions governing the annual renewal of a state business license; revising provisions governing the duties of a registered agent; authorizing certain business entities to dissolve or surrender their right to transact business in this State without paying certain fees and penalties under certain circumstances; authorizing certain business entities to renew or revive their right to transact business in this State under certain circumstances; revising provisions governing the filing of articles of conversion by an entity converting into a domestic entity; revising provisions governing the service of process on business entities; requiring the Secretary of State to assign business identification numbers under certain circumstances; revising provisions relating to the location where certain documents of a business entity are maintained; providing penalties; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Sections 1-1.7 of this bill exempt from the annual state business license fee certain nonprofit unit-owners’ associations.

      Section 1.7 also requires that a state business license contain the business identification number as assigned by the Secretary of State pursuant to section 64 of this bill.

      Under existing law, certain persons are excluded from the definition of “business” for the purposes of state business licenses and, thus, are not required to obtain a state business license. (NRS 76.020) Section 2 of this bill requires these persons to obtain annually from the Secretary of State a certificate of exemption from the requirement to obtain a state business license.

 

 

 

 


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      Under existing law, a person who conducts a business in this State without obtaining a state business license and a person who fails to renew the person’s state business license by paying the annual state business license fee must pay, in addition to the annual state business license fee, a penalty of $100. (NRS 76.110, 76.130) Section 3 of this bill requires the penalty for conducting a business in this State without obtaining a state business license to be assessed for each year for which business was conducted without obtaining a state business license. Section 4 of this bill provides that the penalty for failing to renew a state business license applies unless the person conducting the business cancels the person’s state business license. Section 4 further requires the Secretary of State to waive the annual state business license fee and any related penalty imposed on a natural person or partnership if the natural person or partnership conducted no business in this State during the period for which the fees and penalties would be waived.

      Under existing law, a registered agent for a business entity has certain responsibilities relating to providing certain notices for his or her represented entities. (NRS 77.400) Section 6 of this bill requires a registered agent to maintain certain documents and information for those entities.

      Under existing law, the charter or certificate of registration, limited partnership or trust, as applicable, of a business entity organized under the laws of this State is revoked if the business entity fails to file an annual list and pay the fee for filing such an annual list. A business entity whose charter or certificate has been revoked is not authorized to transact business in this State. (NRS 78.175, 82.193, 86.274, 87.520, 87A.305, 88.405, 88A.640, 89.254) Sections 8, 14, 19, 26, 35, 45 and 55 of this bill provide that the Secretary of State shall authorize a domestic business entity whose charter has been revoked to dissolve without paying certain additional fees and penalties and, thus, use the procedures of existing law to dissolve the entity and wind up its affairs. Sections 10, 20, 37, 47 and 57 of this bill apply these provisions to foreign business entities whose right to transact business in this State has been revoked.

      Existing law authorizes certain domestic entities to renew their charter, certificate of registration, limited partnership or trust, or articles of association which have expired or revive their charter, certificate or articles which have been revoked by filing a certificate of renewal or revival with the Secretary of State and paying certain fees. (NRS 78.730, 82.546, 86.580) Sections 11, 12, 15, 16, 21, 22, 27, 28, 31, 32, 36, 38, 40, 41, 46, 48, 50, 51, 56 and 58-61 of this bill: (1) extend the provisions concerning such renewal or revival to additional domestic business entities; and (2) authorize certain foreign entities whose right to transact business in this State has been forfeited to renew or revive their right to transact business in this State by following a similar procedure.

      Section 63 of this bill specifies that: (1) service of process on a business entity may be made by serving process on the registered agent listed as the registered agent for the business entity in the records of the Secretary of State; and (2) such service is valid regardless of whether the business entity is in default or revoked status with the Secretary of State and regardless of any debts and disputes between the registered agent and the business entity if such process is served within 3 years after the entity’s date of default.

      Sections 8.3, 8.7, 11.5, 15.3, 15.7, 21.3, 21.7, 40.2-40.8, 50.3-50.7, 53.5, 58.5, 61.5 and 62 of this bill amend various provisions of existing law to allow certain documents of certain business entities to be kept at the principal office of the business entity in this State or with a custodian of records whose name and street address are available at the office of the registered agent of the business entity in this State.

      Section 64 of this bill requires the Secretary of State to assign a business identification number to businesses under certain circumstances.

 


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

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. Chapter 76 of NRS is hereby amended by adding thereto a new section to read as follows:

      “Unit-owners’ association” has the meaning ascribed to it in NRS 116.011.

      Sec. 1.3. NRS 76.010 is hereby amended to read as follows:

      76.010  As used in this chapter, unless the context otherwise requires, the words and terms defined in NRS 76.020, 76.030 and 76.040 and section 1 of this act have the meanings ascribed to them in those sections.

      Sec. 1.5. NRS 76.020 is hereby amended to read as follows:

      76.020  1.  Except as otherwise provided in subsection 2, “business” means:

      (a) Any person, except a natural person, that performs a service or engages in a trade for profit;

      (b) Any natural person who performs a service or engages in a trade for profit if the person is required to file with the Internal Revenue Service a Schedule C (Form 1040), Profit or Loss From Business Form, or its equivalent or successor form, a Schedule E (Form 1040), Supplemental Income and Loss Form, or its equivalent or successor form, or a Schedule F (Form 1040), Profit or Loss From Farming Form, or its equivalent or successor form, for that activity; or

      (c) Any entity organized pursuant to this title, including, without limitation, those entities required to file with the Secretary of State, whether or not the entity performs a service or engages in a business for profit.

      2.  The term does not include:

      (a) A governmental entity.

      (b) A nonprofit religious, charitable, fraternal or other organization that qualifies as a tax-exempt organization pursuant to 26 U.S.C. § 501(c).

      (c) A person who operates a business from his or her home and whose net earnings from that business are not more than 66 2/3 percent of the average annual wage, as computed for the preceding calendar year pursuant to chapter 612 of NRS and rounded to the nearest hundred dollars.

      (d) A natural person whose sole business is the rental of four or fewer dwelling units to others.

      (e) A business whose primary purpose is to create or produce motion pictures. As used in this paragraph, “motion pictures” has the meaning ascribed to it in NRS 231.020.

      (f) A business organized pursuant to chapter 82 or 84 of NRS.

      (g) A business organized pursuant to chapter 81 of NRS if the business is a nonprofit unit-owners’ association.

      Sec. 1.7. NRS 76.100 is hereby amended to read as follows:

      76.100  1.  A person shall not conduct a business in this State unless and until the person obtains a state business license issued by the Secretary of State. If the person is:

      (a) An entity required to file an initial or annual list with the Secretary of State pursuant to this title, the person must obtain the state business license at the time of filing the initial or annual list.

 


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      (b) Not an entity required to file an initial or annual list with the Secretary of State pursuant to this title, the person must obtain the state business license before conducting a business in this State.

      2.  An application for a state business license must:

      (a) Be made upon a form prescribed by the Secretary of State;

      (b) Set forth the name under which the applicant transacts or intends to transact business, or if the applicant is an entity organized pursuant to this title and on file with the Secretary of State, the exact name on file with the Secretary of State, the entity number as assigned by the Secretary of State, if known, and the location in this State of the place or places of business;

      (c) Be accompanied by a fee in the amount of $100; and

      (d) Include any other information that the Secretary of State deems necessary.

Ê If the applicant is an entity organized pursuant to this title and on file with the Secretary of State and the applicant has no location in this State of its place of business, the address of its registered agent shall be deemed to be the location in this State of its place of business.

      3.  The application must be signed pursuant to NRS 239.330 by:

      (a) The owner of a business that is owned by a natural person.

      (b) A member or partner of an association or partnership.

      (c) A general partner of a limited partnership.

      (d) A managing partner of a limited-liability partnership.

      (e) A manager or managing member of a limited-liability company.

      (f) An officer of a corporation or some other person specifically authorized by the corporation to sign the application.

      4.  If the application for a state business license is defective in any respect or the fee required by this section is not paid, the Secretary of State may return the application for correction or payment.

      5.  A state business license issued pursuant to this section must contain the business identification number assigned by the Secretary of State pursuant to section 64 of this act.

      6.  The state business license required to be obtained pursuant to this section is in addition to any license to conduct business that must be obtained from the local jurisdiction in which the business is being conducted.

      [6.]7.  For the purposes of this chapter, a person shall be deemed to conduct a business in this State if a business for which the person is responsible:

      (a) Is organized pursuant to this title, other than a business organized pursuant to:

             (1) Chapter 82 or 84 of NRS; or

             (2) Chapter 81 of NRS if the business is a nonprofit [religious,] :

                   (I) Unit-owners’ association; or

                   (II) Religious, charitable, fraternal or other organization that qualifies as a tax-exempt organization pursuant to 26 U.S.C. § 501(c).

      (b) Has an office or other base of operations in this State;

      (c) Has a registered agent in this State; or

      (d) Pays wages or other remuneration to a natural person who performs in this State any of the duties for which he or she is paid.

      [7.]8.  As used in this section, “registered agent” has the meaning ascribed to it in NRS 77.230.

 


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      Sec. 2. NRS 76.105 is hereby amended to read as follows:

      76.105  1.  Except as otherwise provided in subsection [2,] 6, a person who claims to be excluded from the requirement to obtain a state business license because the person is an entity, organization, person or business listed in subsection 2 of NRS 76.020 or who conducts a business in this State but claims to be exempt from the requirement to obtain a state business license must submit annually to the Secretary of State [a claim] an application for [the] a certificate of exemption on a form provided by the Secretary of State.

      2.  The application must be signed pursuant to NRS 239.330 by:

      (a) The owner of a business that is owned by a natural person.

      (b) A member or partner of an association or partnership.

      (c) A general partner of a limited partnership.

      (d) A managing partner of a limited-liability partnership.

      (e) A manager or managing member of a limited-liability company.

      (f) An officer of a corporation or some other person specifically authorized by the corporation to sign the application.

      3.  If the application for a certificate of exemption is defective in any respect, the Secretary of State may return the application for correction.

      4.  A certificate of exemption issued pursuant to this section must contain the business identification number assigned by the Secretary of State pursuant to section 64 of this act.

      5.  A certificate of exemption must be renewed annually. A person who applies for the renewal of a certificate of exemption must submit the application for renewal:

      (a) If the person is an entity required to file an annual list with the Secretary of State pursuant to this title, at the time the person submits the annual list to the Secretary of State, unless the person submits a certificate or other form evidencing the dissolution of the entity; or

      (b) If the person is not an entity required to file an annual list with the Secretary of State pursuant to this title, on the last day of the month in which the anniversary date of issuance of the certificate of exemption occurs in each year, unless the person submits a written statement to the Secretary of State, at least 10 days before that date, indicating that the person will not be conducting an activity for which a certificate of exemption must be obtained.

      6.  The provisions of subsection 1 do not apply to a business organized pursuant to [chapter] :

      (a) Chapter 82 or 84 of NRS [.] ; or

      (b) Chapter 81 of NRS if the business is a nonprofit:

             (1) Unit-owners’ association; or

             (2) Religious, charitable, fraternal or other organization that qualifies as a tax-exempt organization pursuant to 26 U.S.C. § 501(c).

      Sec. 3. NRS 76.110 is hereby amended to read as follows:

      76.110  1.  If a person fails to obtain a state business license and pay the fee required pursuant to NRS 76.100 before conducting a business in this State and the person is:

      [1.](a) An entity required to file an annual list with the Secretary of State pursuant to this title, the person:

      [(a)](1) Shall pay a penalty of $100 in addition to the annual state business license fee [;

      (b)] for each year in which the entity fails to obtain a state business license;

 


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             (2) Shall be deemed to have not complied with the requirement to file an annual list with the Secretary of State; and

      [(c)](3) Is subject to all applicable provisions relating to the failure to file an annual list, including, without limitation, the provisions governing default and revocation of its charter or right to transact business in this State, except that the person is required to pay the penalty set forth in subparagraph (1) of paragraph (a).

      [2.](b) Not an entity required to file an annual list with the Secretary of State, the person shall pay a penalty in the amount of $100 in addition to the annual state business license fee [.] for each year in which the person has conducted business in this State without a state business license.

      2.  The Secretary of State may refuse to issue a state business license to a person that has failed to pay the fees and penalties required by this chapter.

      Sec. 4. NRS 76.130 is hereby amended to read as follows:

      76.130  1.  A person who applies for renewal of a state business license shall submit a fee in the amount of $100 to the Secretary of State:

      (a) If the person is an entity required to file an annual list with the Secretary of State pursuant to this title, at the time the person submits the annual list to the Secretary of State, unless the person submits a certificate or other form evidencing the dissolution of the entity; or

      (b) If the person is not an entity required to file an annual list with the Secretary of State pursuant to this title, on the last day of the month in which the anniversary date of issuance of the state business license occurs in each year, unless the person submits a written statement to the Secretary of State, at least 10 days before that date, indicating that the person will not be conducting a business in this State after that date.

      2.  The Secretary of State shall, 90 days before the last day for filing an application for renewal of the state business license of a person who holds a state business license, provide to the person a notice of the state business license fee due pursuant to this section and a reminder to file the application for renewal required pursuant to this section. Failure of any person to receive a notice does not excuse the person from the penalty imposed by law.

      3.  If a person fails to submit the annual state business license fee required pursuant to this section in a timely manner and the person is:

      (a) An entity required to file an annual list with the Secretary of State pursuant to this title, the person:

             (1) Shall pay a penalty of $100 in addition to the annual state business license fee;

             (2) Shall be deemed to have not complied with the requirement to file an annual list with the Secretary of State; and

             (3) Is subject to all applicable provisions relating to the failure to file an annual list, including, without limitation, the provisions governing default and revocation of its charter or right to transact business in this State, except that the person is required to pay the penalty set forth in subparagraph (1).

      (b) Not an entity required to file an annual list with the Secretary of State, the person shall pay a penalty in the amount of $100 in addition to the annual state business license fee. The Secretary of State shall provide to the person a written notice that:

             (1) Must include a statement indicating the amount of the fees and penalties required pursuant to this section and the costs remaining unpaid.

 


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             (2) May be provided electronically, if the person has requested to receive communications by electronic transmission, by electronic mail or other electronic communication.

      4.  A person who continues to do business in this State without renewing the person’s state business license before its renewal date is subject to the fees and penalties provided for in this section unless the person files a certificate of cancellation of the person’s state business license with the Secretary of State.

      5.  The Secretary of State shall waive the annual state business license fee and any related penalty imposed on a natural person or partnership if the natural person or partnership provides evidence satisfactory to the Secretary of State that the natural person or partnership conducted no business in this State during the period for which the fees and penalties would be waived.

      Sec. 5. (Deleted by amendment.)

      Sec. 6. NRS 77.400 is hereby amended to read as follows:

      77.400  The only duties under this chapter required of a registered agent who has complied with this chapter are:

      1.  To receive and forward to the represented entity at the address most recently supplied to the agent by the entity any process, notice or demand that is served on the agent;

      2.  To provide the notices required by this chapter to the entity at the address most recently supplied to the agent by the entity;

      3.  If the agent is a noncommercial registered agent, to keep current the information required pursuant to NRS 77.310 in the most recent registered agent filing for the entity; [and]

      4.  If the agent is a commercial registered agent, to keep current the information in its registration under subsection 2 of NRS 77.320 [.] ;

      5.  To maintain the documents required to be held by the represented entity with the registered agent pursuant to this title; and

      6.  To maintain the name and street address of a contact person for each represented entity.

      Sec. 6.5. NRS 77.443 is hereby amended to read as follows:

      77.443  The Secretary of State may conduct [periodic, special or any other] examinations of any records required to be maintained pursuant to this chapter or any other provision of NRS pertaining to the duties of a registered agent [as] if the Secretary of State [deems necessary or appropriate to determine whether] has reason to believe that a violation of this chapter or any other provision of NRS pertaining to the duties of a registered agent has been violated.

      Sec. 7. NRS 77.447 is hereby amended to read as follows:

      77.447  1.  A person who violates a provision of this chapter is subject to a civil penalty of not more than $500 [,] per violation and not more than $10,000 in the aggregate to be recovered in a civil action brought in the district court in the county in which the person’s principal place of business is located or in the district court of Carson City. The court may reduce the amount of the civil penalty imposed by the Secretary of State if the court determines that the amount of the civil penalty is disproportionate to the violation.

      2.  Except as otherwise provided in subsection 3, before filing a civil action to recover a civil penalty pursuant to subsection 1, if the person who allegedly violated a provision of this chapter has not been issued a written notice of a violation of this chapter within the immediately preceding 3 years, the Secretary of State must provide to the person written notice of the alleged violation and 10 business days to correct the alleged violation.

 


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notice of a violation of this chapter within the immediately preceding 3 years, the Secretary of State must provide to the person written notice of the alleged violation and 10 business days to correct the alleged violation. The Secretary of State may provide a greater period to correct the alleged violation as the Secretary of State deems appropriate.

      3.  If a person who allegedly violated a provision of this chapter engaged in conduct in the course of acting as a registered agent that was intended to deceive or defraud the public or to promote illegal activities, the Secretary of State may take any or all of the following actions:

      (a) File a civil action pursuant to subsection 1 without providing the notice and the opportunity to correct the alleged violation required by subsection 2.

      (b) Deny or revoke the person’s registration as a commercial registered agent.

      (c) Issue an order requiring the person to comply with the provisions of this chapter.

      (d) Refuse to accept filings for entities for which the person serves as registered agent.

      Sec. 8. Chapter 78 of NRS is hereby amended by adding thereto a new section to read as follows:

      1.  The Secretary of State shall authorize a corporation whose charter has been revoked to dissolve without paying additional fees and penalties, other than the fee for filing a certificate of dissolution required by NRS 78.780, if the corporation provides evidence satisfactory to the Secretary of State that the corporation did not transact business in this State or as a corporation organized pursuant to the laws of this State:

      (a) During the entire period for which its charter was revoked; or

      (b) During a portion of the period for which its charter was revoked and paying the fees and penalties for the portion of that period in which the corporation transacted business in this State or as a corporation organized pursuant to the laws of this State.

      2.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 8.3. NRS 78.105 is hereby amended to read as follows:

      78.105  1.  A corporation shall keep a copy of the following records at its principal office or with its custodian of records whose name and street address are available at the corporation’s registered office:

      (a) A copy certified by the Secretary of State of its articles of incorporation, and all amendments thereto;

      (b) A copy certified by an officer of the corporation of its bylaws and all amendments thereto; and

      (c) A stock ledger or a duplicate stock ledger, revised annually, containing the names, alphabetically arranged, of all persons who are stockholders of the corporation, showing their places of residence, if known, and the number of shares held by them respectively. [In lieu of the stock ledger or duplicate stock ledger, the corporation may keep a statement setting out the name of the custodian of the stock ledger or duplicate stock ledger, and the present and complete mailing or street address where the stock ledger or duplicate stock ledger specified in this section is kept.]

      2.  [A stock ledger, duplicate stock ledger or statement setting out the name of the custodian of the stock ledger or duplicate stock ledger described in paragraph (c) of subsection 1 must be maintained by the registered agent of the corporation for 3 years following the resignation or termination of the registered agent or the dissolution of the corporation by the Secretary of State.

 


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of the corporation for 3 years following the resignation or termination of the registered agent or the dissolution of the corporation by the Secretary of State.

      3.]  Any person who has been a stockholder of record of a corporation for at least 6 months immediately preceding the demand, or any person holding, or thereunto authorized in writing by the holders of, at least 5 percent of all of its outstanding shares, upon at least 5 days’ written demand is entitled to inspect in person or by agent or attorney, during usual business hours, the records required by subsection 1 and make copies therefrom. Holders of voting trust certificates representing shares of the corporation must be regarded as stockholders for the purpose of this subsection. If the records required by subsection 1 are kept outside of this State, a stockholder or other person entitled to inspect those records may serve a demand to inspect the records upon the corporation’s registered agent. Upon such a request, the corporation shall send copies of the requested records, either in paper or electronic form, to the stockholder or other person entitled to inspect the requested records within 10 business days after service of the request upon the registered agent. Every corporation that neglects or refuses to keep the records required by subsection 1 open for inspection, as required in this subsection, shall forfeit to the State the sum of $25 for every day of such neglect or refusal.

      [4.]3.  If any corporation willfully neglects or refuses to make any proper entry in the stock ledger or duplicate copy thereof, or neglects or refuses to permit an inspection of the records required by subsection 1 upon demand by a person entitled to inspect them, or refuses to permit copies to be made therefrom, as provided in subsection [3,] 2, the corporation is liable to the person injured for all damages resulting to the person therefrom.

      [5.  When the corporation keeps a statement in the manner provided for in paragraph (c) of subsection 1, the information contained thereon must be given to any stockholder of the corporation demanding the information, when the demand is made during business hours. Every corporation that neglects or refuses to keep a statement available, as in this subsection required, shall forfeit to the State the sum of $25 for every day of such neglect or refusal.

      6.]4.  In every instance where an attorney or other agent of the stockholder seeks the right of inspection, the demand must be accompanied by a power of attorney signed by the stockholder authorizing the attorney or other agent to inspect on behalf of the stockholder.

      [7.]5.  The right to copy records under subsection [3] 2 includes, if reasonable, the right to make copies by photographic, xerographic or other means.

      [8.]6.  The corporation may impose a reasonable charge to recover the costs of labor and materials and the cost of copies of any records provided to the stockholder.

      Sec. 8.7. NRS 78.152 is hereby amended to read as follows:

      78.152  1.  In addition to any records required to be kept at [the registered] its principal office in this State or with the custodian of records pursuant to NRS 78.105, a corporation that is not a publicly traded corporation shall maintain at [its registered office or] the principal [place of business] office in this State [:

      (a) A] or with the custodian of records a current list of its owners of record . [; or

 


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      (b) A statement indicating where such a list is maintained.]

      2.  Upon the request of the Secretary of State, the corporation shall:

      (a) Provide the Secretary of State with the name and contact information of the custodian of the list described in subsection 1. The information required pursuant to this paragraph shall be kept confidential by the Secretary of State.

      (b) Provide written notice to the Secretary of State within 10 days after any change in the information contained in the list described in subsection 1.

      3.  Upon the request of any law enforcement agency in the course of a criminal investigation, the Secretary of State may require a corporation to:

      (a) Submit to the Secretary of State, within 3 business days, a copy of the list required to be maintained pursuant to subsection 1; or

      (b) Answer any interrogatory submitted by the Secretary of State that will assist in the criminal investigation.

      4.  If a corporation fails to comply with any requirement pursuant to subsection 3, the Secretary of State may take any action necessary, including, without limitation, the suspension or revocation of the corporate charter.

      5.  The Secretary of State shall not reinstate or revive a charter that was revoked or suspended pursuant to subsection 4 unless:

      (a) The corporation complies with the requirements of subsection 3; or

      (b) The law enforcement agency conducting the investigation advises the Secretary of State to reinstate or revive the corporate charter.

      6.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 9. Chapter 80 of NRS is hereby amended by adding thereto the provisions set forth as sections 10 and 11 of this act.

      Sec. 10. 1.  The Secretary of State shall authorize a foreign corporation whose right to transact business in this State has been revoked to surrender its right to transact business in this State without paying additional fees and penalties, other than the fee for filing a notice of withdrawal required by NRS 80.050, if the foreign corporation provides evidence satisfactory to the Secretary of State that the foreign corporation did not transact business in this State:

      (a) During the entire period for which its right to transact business in this State was revoked; or

      (b) During a portion of the period for which its right to transact business in this State was revoked and paying the fees and penalties for the portion of that period in which the foreign corporation transacted business in this State.

      2.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 11. 1.  Except as otherwise provided in NRS 80.113, a foreign corporation which was qualified to transact business in this State pursuant to this chapter may, upon complying with the provisions of NRS 80.170, procure a renewal or revival of its right to transact business in this State for any period, together with all the rights, franchises, privileges and immunities, and subject to all its existing and preexisting debts, duties and liabilities secured or imposed by its original qualification to transact business in this State and amendments thereto, or existing qualification to transact business in this State, by filing:

 


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      (a) A certificate with the Secretary of State, which must set forth:

             (1) The name of the foreign corporation, which must be the name of the foreign corporation at the time of the renewal or revival, or its name at the time its original qualification to transact business in this State expired.

             (2) The information required pursuant to NRS 77.310.

             (3) The date on which the renewal or revival of the qualification to transact business in this State is to commence or be effective, which may be, in cases of a revival, before the date of the certificate.

             (4) The time for which the renewal or revival is to continue.

             (5) That the foreign corporation desiring to renew or revive its right to transact business in this State is, or has been, organized and carrying on the business authorized by its existing or original qualification to transact business in this State and amendments thereto, and desires to renew or continue through revival its qualification to transact business in this State pursuant to and subject to the provisions of this chapter.

      (b) A list of its president, secretary and treasurer, or the equivalent thereof, and all of its directors and their addresses, either residence or business.

      (c) A declaration under penalty of perjury, on a form provided by the Secretary of State, that the renewal or revival is authorized by a court of competent jurisdiction in this State or by the duly elected board of directors of the foreign corporation or, if the foreign corporation does not have a board of directors, the equivalent of such a board.

      2.  A foreign corporation whose qualification to transact business in this State has not expired and is being renewed shall cause the certificate to be signed by an officer of the corporation. The certificate must be approved by a majority of the voting power of the shares of the foreign corporation.

      3.  A foreign corporation seeking to revive its qualification to transact business in this State shall cause the certificate to be signed by a person or persons designated or appointed by the stockholders of the foreign corporation. The signing and filing of the certificate must be approved by the written consent of the stockholders of the foreign corporation holding at least a majority of the voting power and must contain a recital that this consent was secured. If no stock has been issued, the certificate must contain a statement of that fact, and a majority of the directors then in office may designate the person to sign the certificate. The foreign corporation shall pay to the Secretary of State the fee required to qualify a foreign corporation to transact business in this State pursuant to the provisions of this chapter.

      4.  The filed certificate, or a copy thereof which has been certified under the hand and seal of the Secretary of State, must be received in all courts and places as prima facie evidence of the facts therein stated and of the qualification to transact business in this State of the foreign corporation therein named.

      5.  Except as otherwise provided in NRS 80.175, a renewal or revival pursuant to this section relates back to the date on which the foreign corporation’s qualification to transact business in this State expired or was forfeited and renews or revives the foreign corporation’s qualification to transact business in this State as if such right had at all times remained in full force and effect.

 


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      Sec. 11.5. NRS 80.113 is hereby amended to read as follows:

      80.113  1.  A foreign corporation that is not a publicly traded corporation shall maintain at its principal office in this State or with its custodian of records whose name and street address is available at the foreign corporation’s registered office [or principal place of business in this State:

      (a) A] a current list of its owners of record . [; or

      (b) A statement indicating where such a list is maintained.]

      2.  Upon the request of the Secretary of State, the foreign corporation shall:

      (a) Provide the Secretary of State with the name and contact information of the custodian of the list described in subsection 1. The information required pursuant to this paragraph shall be kept confidential by the Secretary of State.

      (b) Provide written notice to the Secretary of State within 10 days after any change in the information contained in the list described in subsection 1.

      3.  Upon the request of any law enforcement agency in the course of a criminal investigation, the Secretary of State may require a foreign corporation to:

      (a) Submit to the Secretary of State, within 3 business days, a copy of the list required to be maintained pursuant to subsection 1; or

      (b) Answer any interrogatory submitted by the Secretary of State that will assist in the criminal investigation.

      4.  If a foreign corporation fails to comply with any requirement pursuant to subsection 3, the Secretary of State may take any action necessary, including, without limitation, the suspension or revocation of the right of the foreign corporation to transact business in this State.

      5.  The Secretary of State shall not reinstate or revive the right of a foreign corporation to transact business that was revoked or suspended pursuant to subsection 4 unless:

      (a) The foreign corporation complies with the requirements of subsection 3; or

      (b) The law enforcement agency conducting the investigation advises the Secretary of State to reinstate or revive the right of the foreign corporation to transact business in this State.

      6.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 12. NRS 80.175 is hereby amended to read as follows:

      80.175  1.  Except as otherwise provided in subsection 2, if a foreign corporation applies to reinstate or revive its charter but its name has been legally reserved or acquired by another artificial person formed, organized, registered or qualified pursuant to the provisions of this title whose name is on file with the Office of the Secretary of State or reserved in the Office of the Secretary of State pursuant to the provisions of this title, the foreign corporation must in its application for reinstatement or revival submit in writing to the Secretary of State some other name under which it desires its existence to be reinstated [.] or revived. If that name is distinguishable from all other names reserved or otherwise on file, the Secretary of State shall reinstate or revive the foreign corporation under that new name.

      2.  If the applying foreign corporation submits the written, acknowledged consent of the artificial person having a name, or the person who has reserved a name, which is not distinguishable from the old name of the applying foreign corporation or a new name it has submitted, it may be reinstated or revived under that name.

 


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name of the applying foreign corporation or a new name it has submitted, it may be reinstated or revived under that name.

      3.  For the purposes of this section, a proposed name is not distinguishable from a name on file or reserved solely because one or the other contains distinctive lettering, a distinctive mark, a trademark or a trade name, or any combination thereof.

      4.  The Secretary of State may adopt regulations that interpret the requirements of this section.

      Sec. 13. Chapter 82 of NRS is hereby amended by adding thereto the provisions set forth as sections 14 and 15 of this act.

      Sec. 14. 1.  The Secretary of State shall authorize a nonprofit corporation whose charter has been revoked to dissolve without paying additional fees and penalties, other than the fee for filing a certificate of dissolution required by NRS 82.531, if the nonprofit corporation provides evidence satisfactory to the Secretary of State that the nonprofit corporation did not transact business in this State or as a nonprofit corporation organized pursuant to the laws of this State:

      (a) During the entire period for which its charter was revoked; or

      (b) During a portion of the period for which its charter was revoked and paying the fees and penalties for the portion of that period in which the nonprofit corporation transacted business in this State or as a nonprofit corporation organized pursuant to the laws of this State.

      2.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 15. 1.  A foreign nonprofit corporation which was qualified to transact business in this State pursuant to this chapter may, upon complying with the provisions of NRS 82.5237, procure a renewal or revival of its right to transact business in this State for any period, together with all the rights, franchises, privileges and immunities, and subject to all its existing and preexisting debts, duties and liabilities secured or imposed by its original qualification to transact business in this State and amendments thereto, or existing qualification to transact business in this State, by filing:

      (a) A certificate with the Secretary of State, which must set forth:

             (1) The name of the foreign nonprofit corporation, which must be the name of the foreign nonprofit corporation at the time of the renewal or revival, or its name at the time its original qualification to transact business in this State expired.

             (2) The information required pursuant to NRS 77.310.

             (3) The date on which the renewal or revival of the qualification to transact business in this State is to commence or be effective, which may be, in cases of a revival, before the date of the certificate.

             (4) The time for which the renewal or revival is to continue.

             (5) That the foreign nonprofit corporation desiring to renew or revive its right to transact business in this State is, or has been, organized and carrying on the business authorized by its existing or original qualification to transact business in this State and amendments thereto, and desires to renew or continue through revival its qualification to transact business in this State pursuant to and subject to the provisions of this chapter.

 


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      (b) A list of its president, secretary and treasurer, or the equivalent thereof, and all of its directors and their addresses, either residence or business.

      (c) A declaration under penalty of perjury, on a form provided by the Secretary of State, that the renewal or revival is authorized by a court of competent jurisdiction in this State or by the duly elected board of directors of the foreign nonprofit corporation or, if the foreign nonprofit corporation does not have a board of directors, the equivalent of such a board.

      2.  A foreign nonprofit corporation whose qualification to transact business in this State has not expired and is being renewed shall cause the certificate to be signed by an officer of the corporation. The certificate must be approved by a majority of the directors of the foreign nonprofit corporation or, if the foreign nonprofit corporation does not have a board of directors, the equivalent of such a board.

      3.  A foreign nonprofit corporation seeking to revive its qualification to transact business in this State shall cause the certificate to be signed by a person or persons designated or appointed by the directors of the foreign nonprofit corporation, or their equivalent. The signing and filing of the certificate must be approved by the written consent of the directors of the foreign nonprofit corporation, or their equivalent, holding at least a majority of the voting power and must contain a recital that this consent was secured. The foreign nonprofit corporation shall pay to the Secretary of State the fee required to qualify a foreign nonprofit corporation to transact business in this State pursuant to the provisions of this chapter.

      4.  The filed certificate, or a copy thereof which has been certified under the hand and seal of the Secretary of State, must be received in all courts and places as prima facie evidence of the facts therein stated and of the qualification to transact business in this State of the foreign nonprofit corporation therein named.

      5.  Except as otherwise provided in NRS 82.5239, a renewal or revival pursuant to this section relates back to the date on which the foreign nonprofit corporation’s qualification to transact business in this State expired or was forfeited and renews or revives the foreign nonprofit corporation’s qualification to transact business in this State as if such right had at all times remained in full force and effect.

      Sec. 15.3. NRS 82.181 is hereby amended to read as follows:

      82.181  1.  A corporation shall keep a copy of the following records at its principal office or with its custodian of records whose name and street address is available at the corporation’s registered office:

      (a) A copy, certified by the Secretary of State, of its articles and all amendments thereto;

      (b) A copy, certified by an officer of the corporation, of its bylaws and all amendments thereto; and

      (c) If the corporation has members, a members’ ledger or a duplicate members’ ledger, revised annually, containing the names, alphabetically arranged, of all persons who are members of the corporation, showing their places of residence, if known, and the class of membership held by each . [; or

      (d) In lieu of the members’ ledger or duplicate members’ ledger specified in paragraph (c), a statement setting out the name of the custodian of the members’ ledger or duplicate members’ ledger, and the present and complete mailing or street address where the members’ ledger or duplicate members’ ledger specified in this section is kept.]

 


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complete mailing or street address where the members’ ledger or duplicate members’ ledger specified in this section is kept.]

      2.  A corporation must maintain the records required by subsection 1 in written form or in another form capable of conversion into written form within a reasonable time.

      3.  A director or any person who has been a member of record of a corporation for at least 6 months, or at least 5 percent of the members of the corporation, upon at least 5 days’ written demand, is entitled to inspect in person or by agent or attorney, during usual business hours, the members’ ledger or duplicate ledger [, whether kept in the registered office or elsewhere as provided in paragraph (d) of subsection 1,] and to make copies therefrom. If the records required by subsection 1 are kept outside of this State, a director or other person entitled to inspect those records may serve a demand to inspect the records upon the corporation’s registered agent. Upon such a request, the corporation shall send copies of the requested records, either in paper or electronic form, to the director or other person entitled to inspect the requested records within 10 business days after service of the request upon the registered agent. Every corporation that neglects or refuses to keep the members’ ledger or duplicate copy thereof open for inspection, as required in this subsection, shall forfeit to the State the sum of $25 for every day of such neglect or refusal.

      4.  An inspection authorized by subsection 3 may be denied to a member or other person upon the refusal of the member or other person to furnish to the corporation an affidavit that the inspection is not desired for any purpose not relating to his or her interest as a member, including, but not limited to, those purposes set forth in subsection [6.] 5.

      5.  [When the corporation keeps and maintains a statement in the manner provided for in paragraph (d) of subsection 1, the information contained thereon must be given to any director or member of such corporation as provided in subsection 2 when the demand is made during business hours. Every corporation that neglects or refuses to keep such statement available, as required in this subsection, shall forfeit to the State the sum of $25 for every day of such neglect or refusal.

      6.]  It is a defense to any action to enforce the provisions of this section or for charges, penalties or damages under this section that the person suing has used or intends to use the list for any of the following purposes:

      (a) To solicit money or property from the members unless the money or property will be used solely to solicit the votes of members;

      (b) For any commercial purpose or purpose in competition with the corporation;

      (c) To sell to any person; or

      (d) For any other purpose not related to his or her interest as a member.

      [7.]6.  This section does not impair the power or jurisdiction of any court to compel the production for examination of the books of a corporation in any proper case.

      [8.]7.  In every instance where an attorney or other agent of the director or member seeks the right of inspection, the demand must be accompanied by a power of attorney signed by the director or member authorizing the attorney or other agent to inspect on behalf of the director or member.

 


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      [9.]8.  The right to copy records under subsection 3 includes, if reasonable, the right to make copies by photographic, xerographic or other means.

      [10.]9.  The corporation may impose a reasonable charge, covering costs of labor, materials and copies of any records provided to the member or director.

      Sec. 15.7. NRS 82.183 is hereby amended to read as follows:

      82.183  1.  Upon the request of the Secretary of State, a corporation shall provide the Secretary of State with the name and contact information of the custodian of the members’ ledger or duplicate members’ ledger kept [by the corporation at its registered office] pursuant to [paragraph (c) of] subsection 1 of NRS 82.181. The information required pursuant to this paragraph shall be kept confidential by the Secretary of State.

      2.  Upon the request of any law enforcement agency in the course of a criminal investigation, the Secretary of State may require a corporation to answer any interrogatory submitted by the Secretary of State that will assist in the criminal investigation.

      3.  If a corporation fails to comply with any requirement pursuant to subsection 2, the Secretary of State may take any action necessary, including, without limitation, the suspension or revocation of the right of the corporation to transact business in this State.

      4.  The Secretary of State shall not reinstate or revive the right of a corporation to transact business in this State that was revoked or suspended pursuant to subsection 3 unless:

      (a) The corporation complies with the requirements of subsection 2; or

      (b) The law enforcement agency conducting the investigation advises the Secretary of State to reinstate or revive the right of the corporation to transact business in this State.

      5.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 16. NRS 82.5239 is hereby amended to read as follows:

      82.5239  1.  Except as otherwise provided in subsection 2, if a foreign nonprofit corporation applies to reinstate or revive its charter but its name has been legally reserved or acquired by another artificial person formed, organized, registered or qualified pursuant to the provisions of this title and that name is on file with the Office of the Secretary of State or reserved in the Office of the Secretary of State pursuant to the provisions of this title, the foreign nonprofit corporation must in its application for reinstatement or revival submit in writing to the Secretary of State some other name under which it desires its existence to be reinstated [.] or revived. If that name is distinguishable from all other names reserved or otherwise on file, the Secretary of State shall reinstate or revive the foreign nonprofit corporation under that new name.

      2.  If the applying foreign nonprofit corporation submits the written, acknowledged consent of the artificial person having a name, or who has reserved a name, which is not distinguishable from the old name of the applying foreign nonprofit corporation or a new name it has submitted, it may be reinstated or revived under that name.

      3.  For the purposes of this section, a proposed name is not distinguishable from a name on file or reserved solely because one or the other contains distinctive lettering, a distinctive mark, a trademark or a trade name, or any combination thereof.

 


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      4.  The Secretary of State may adopt regulations that interpret the requirements of this section.

      Sec. 17. NRS 84.120 is hereby amended to read as follows:

      84.120  1.  If a registered agent resigns pursuant to NRS 77.370 or if a commercial registered agent terminates its registration as a commercial registered agent pursuant to NRS 77.330, the corporation sole, before the effective date of the resignation or termination, shall file with the Secretary of State a statement of change of registered agent pursuant to NRS 77.340.

      2.  A corporation sole that fails to comply with subsection 1 shall be deemed in default and is subject to the provisions of NRS [84.130 and] 84.140.

      3.  As used in this section, “commercial registered agent” has the meaning ascribed to it in NRS 77.040.

      Sec. 18.  Chapter 86 of NRS is hereby amended by adding thereto the provisions set forth as sections 19, 20 and 21 of this act.

      Sec. 19. 1.  The Secretary of State shall authorize a limited-liability company whose charter has been revoked to dissolve without paying additional fees and penalties, other than the fee for filing articles of dissolution required by NRS 86.561, if the limited-liability company provides evidence satisfactory to the Secretary of State that the limited-liability company did not transact business in this State or as a limited-liability company organized pursuant to the laws of this State:

      (a) During the entire period for which its charter was revoked; or

      (b) During a portion of the period for which its charter was revoked and paying the fees and penalties for the portion of that period in which the limited-liability company transacted business in this State or as a limited-liability company organized pursuant to the laws of this State.

      2.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 20. 1.  The Secretary of State shall authorize a foreign limited-liability company whose right to transact business in this State has been revoked to cancel its registration without paying additional fees and penalties, other than the fee for filing a certificate of cancellation required by NRS 86.561, if the foreign limited-liability company provides evidence satisfactory to the Secretary of State that the foreign limited-liability company did not transact business in this State:

      (a) During the entire period for which its right to transact business in this State was revoked; or

      (b) During a portion of the period for which its right to transact business in this State was revoked and paying the fees and penalties for the portion of that period in which the foreign limited-liability company transacted business in this State.

      2.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 21.  1.  Except as otherwise provided in NRS 86.54615, a foreign limited-liability company which was registered to transact business in this State may, upon complying with the provisions of NRS 86.5467, procure a renewal or revival of its registration for any period, together with all the rights, franchises, privileges and immunities, and subject to all its existing and preexisting debts, duties and liabilities secured or imposed by its original registration and amendments thereto, or existing registration, by filing:

 


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      (a) A certificate with the Secretary of State, which must set forth:

             (1) The name of the foreign limited-liability company, which must be the name of the foreign limited-liability company at the time of the renewal or revival, or its name at the time its registration to transact business in this State was forfeited.

             (2) The information required pursuant to NRS 77.310.

             (3) The date when the renewal or revival of the registration is to commence or be effective, which may be, in cases of a revival, before the date of the certificate.

             (4) Whether or not the renewal or revival is to be perpetual and, if not perpetual, the time for which the renewal or revival is to continue.

             (5) That the foreign limited-liability company desiring to renew or revive its registration is, or has been, organized and carrying on the business authorized by its registration, and desires to renew or continue through revival its right to transact business in this State pursuant to and subject to the provisions of this chapter.

      (b) A list of its managers or, if there are no managers, all its managing members and their mailing or street addresses, either residence or business.

      (c) A declaration under penalty of perjury, on a form provided by the Secretary of State, that the renewal or revival is authorized by a court of competent jurisdiction in this State or by the duly selected manager or managers of the foreign limited-liability company or, if there are no managers, its managing members.

      2.  A foreign limited-liability company whose charter has not expired and is being renewed shall cause the certificate to be signed by its manager or, if there is no manager, by a person designated by its members. The certificate must be approved by a majority in interest.

      3.  A foreign limited-liability company seeking to revive its registration to transact business in this State shall cause the certificate to be signed by a person or persons designated or appointed by the members. The signing and filing of the certificate must be approved by the written consent of a majority in interest and must contain a recital that this consent was secured. The foreign limited-liability company shall pay to the Secretary of State the fee required to register a foreign limited-liability company pursuant to the provisions of NRS 86.543 to 86.549, inclusive, this section and section 20 of this act.

      4.  The filed certificate, or a copy thereof which has been certified under the hand and seal of the Secretary of State, must be received in all courts and places as prima facie evidence of the facts therein stated and of the existence of the foreign limited-liability company therein named.

      5.  Except as otherwise provided in NRS 86.5468, a renewal or revival pursuant to this section relates back to the date on which the foreign limited-liability company’s registration expired or was revoked and renews or revives the foreign limited-liability company’s registration and right to transact business as if such right had at all times remained in full force and effect.

      Sec. 21.3.NRS 86.241 is hereby amended to read as follows:

      86.241  1.  Each limited-liability company shall continuously [maintain] keep at its principal office in this State [an] or with its custodian of records whose name and street address is available at its registered office, [which may but need not be a place of its business in this State, at which it shall keep,] unless otherwise provided by an operating agreement [:] , the following:

 


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office, [which may but need not be a place of its business in this State, at which it shall keep,] unless otherwise provided by an operating agreement [:] , the following:

      (a) A current list of the full name and last known business address of each member and manager, separately identifying the members in alphabetical order and the managers, if any, in alphabetical order;

      (b) A copy of the filed articles of organization and all amendments thereto, together with signed copies of any powers of attorney pursuant to which any record has been signed; and

      (c) Copies of any then effective operating agreement of the company.

      2.  [In lieu of keeping at an office in this State the information required in paragraphs (a) and (b) of subsection 1, the limited-liability company may keep a statement with the registered agent setting out the name of the custodian of the information required in paragraphs (a) and (b) of subsection 1, and the present and complete address, including street and number, if any, where the information required in paragraphs (a) and (b) of subsection 1 is kept.

      3.]  Each member of a limited-liability company is entitled to obtain from the company, from time to time upon reasonable demand, for any purpose reasonably related to the interest of the member as a member of the company:

      (a) The records required to be maintained pursuant to subsection 1;

      (b) True and, in light of the member’s stated purpose, complete records regarding the activities and the status of the business and financial condition of the company;

      (c) Promptly after becoming available, a copy of the company’s federal, state and local income tax returns for each year;

      (d) True and complete records regarding the amount of cash and a description and statement of the agreed value of any other property or services contributed by each member and which each member has agreed to contribute in the future, and the date on which each became a member; and

      (e) Other records regarding the affairs of the company as is just and reasonable under the circumstances and in light of the member’s stated purpose for demanding such records.

Ê The right to obtain records under this subsection includes, if reasonable, the right to make copies or abstracts by photographic, xerographic, electronic or other means.

      [4.]3.  Each manager of a limited-liability company managed by a manager or managers is entitled to examine from time to time upon reasonable demand, for a purpose reasonably related to the manager’s rights, powers and duties as such, the records described in subsection [3.] 2.

      [5.]4.  Any demand by a member or manager under subsection 2 or 3 [or 4] is subject to such reasonable standards regarding at what time and location and at whose expense records are to be furnished as may be set forth in the articles of organization or in an operating agreement adopted or amended as provided in subsection [8] 7 or, if no such standards are set forth in the articles of organization or operating agreement, the records must be provided or made available for examination, as the case may be, during ordinary business hours, at the company’s principal office [required to be maintained pursuant to subsection 1] in this State and at the expense of the demanding member or manager.

 


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      [6.]If such records are maintained outside of this State, the manager or member may serve a demand for the records upon the limited-liability company’s registered agent. Upon receipt of such a demand the limited-liability company shall send copies of the requested records, either in paper or electronic form to the manager or member within 10 business days after the demand is served upon the registered agent.

      5.  Any demand by a member or manager under this section must be in writing and must state the purpose of such demand. When a demanding member seeks to obtain or a manager seeks to examine the records described in subsection [3,] 2, the demanding member or manager must first establish that:

      (a) The demanding member or manager has complied with the provisions of this section respecting the form and manner of making a demand for obtaining or examining such records; and

      (b) The records sought by the demanding member or manager are reasonably related to the member’s interest as a member or the manager’s rights, powers and duties as a manager, as the case may be.

      [7.]6.  In every instance where an attorney or other agent of a member or manager seeks to exercise any right arising under this section on behalf of such member or manager, the demand must be accompanied by a power of attorney signed by the member or manager authorizing the attorney or other agent to exercise such rights on behalf of the member or manager.

      [8.]7.  The rights of a member to obtain or a manager to examine records as provided in this section may be restricted or denied entirely in the articles of organization or in an operating agreement adopted by all of the members or by the sole member or in any subsequent amendment adopted by all of the members at the time of amendment.

      Sec. 21.7. NRS 86.54615 is hereby amended to read as follows:

      86.54615  1.  A foreign limited-liability company shall maintain at its principal office in this State or with its custodian of records whose name and street address are available at the company’s registered office [or principal place of business in this State:

      (a) A] a current list of each member and manager . [; or

      (b) A statement indicating where such a list is maintained.]

      2.  Upon the request of the Secretary of State, the foreign limited-liability company shall:

      (a) Provide the Secretary of State with the name and contact information of the custodian of the list described in subsection 1. The information required pursuant to this paragraph shall be kept confidential by the Secretary of State.

      (b) Provide written notice to the Secretary of State within 10 days after any change in the information contained in the list described in subsection 1.

      3.  Upon the request of any law enforcement agency in the course of a criminal investigation, the Secretary of State may require a foreign limited-liability company to:

      (a) Submit to the Secretary of State, within 3 business days, a copy of the list required to be maintained pursuant to subsection 1; or

      (b) Answer any interrogatory submitted by the Secretary of State that will assist in the criminal investigation.

      4.  If a foreign limited-liability company fails to comply with any requirement pursuant to subsection 3, the Secretary of State may take any action necessary, including, without limitation, the suspension or revocation of the registration of the foreign limited-liability company.

 


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action necessary, including, without limitation, the suspension or revocation of the registration of the foreign limited-liability company.

      5.  The Secretary of State shall not reinstate or revive a registration that was revoked or suspended pursuant to subsection 4 unless:

      (a) The foreign limited-liability company complies with the requirements of subsection 3; or

      (b) The law enforcement agency conducting the investigation advises the Secretary of State to reinstate or revive the registration.

      6.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 22. NRS 86.5468 is hereby amended to read as follows:

      86.5468  1.  Except as otherwise provided in subsection 2, if a foreign limited-liability company applies to reinstate or revive its registration but its name has been legally reserved or acquired by another artificial person formed, organized, registered or qualified pursuant to the provisions of this title whose name is on file with the Office of the Secretary of State or reserved in the Office of the Secretary of State pursuant to the provisions of this title, the foreign limited-liability company must in its application for reinstatement or revival submit in writing to the Secretary of State some other name under which it desires its existence to be reinstated [.] or revived. If that name is distinguishable from all other names reserved or otherwise on file, the Secretary of State shall reinstate or revive the foreign limited-liability company under that new name.

      2.  If the applying foreign limited-liability company submits the written, acknowledged consent of the artificial person having a name, or the person who has reserved a name, which is not distinguishable from the old name of the applying foreign limited-liability company or a new name it has submitted, it may be reinstated or revived under that name.

      3.  For the purposes of this section, a proposed name is not distinguishable from a name on file or reserved solely because one or the other contains distinctive lettering, a distinctive mark, a trademark or a trade name, or any combination thereof.

      4.  The Secretary of State may adopt regulations that interpret the requirements of this section.

      Sec. 23. NRS 86.5483 is hereby amended to read as follows:

      86.5483  1.  For the purposes of NRS 86.543 to 86.549, inclusive, and sections 20 and 21 of this act, the following activities do not constitute transacting business in this State:

      (a) Maintaining, defending or settling any proceeding;

      (b) Holding meetings of the managers or members or carrying on other activities concerning internal company affairs;

      (c) Maintaining accounts in banks or credit unions;

      (d) Maintaining offices or agencies for the transfer, exchange and registration of the company’s own securities or maintaining trustees or depositaries with respect to those securities;

      (e) Making sales through independent contractors;

      (f) Soliciting or receiving orders outside this State through or in response to letters, circulars, catalogs or other forms of advertising, accepting those orders outside this State and filling them by shipping goods into this State;

      (g) Creating or acquiring indebtedness, mortgages and security interests in real or personal property;

 


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      (h) Securing or collecting debts or enforcing mortgages and security interests in property securing the debts;

      (i) Owning, without more, real or personal property;

      (j) Isolated transactions completed within 30 days and not a part of a series of similar transactions;

      (k) The production of motion pictures as defined in NRS 231.020;

      (l) Transacting business as an out-of-state depository institution pursuant to the provisions of title 55 of NRS; and

      (m) Transacting business in interstate commerce.

      2.  The list of activities in subsection 1 is not exhaustive.

      3.  A person who is not transacting business in this State within the meaning of this section need not qualify or comply with any provision of this chapter, title 55 or 56 of NRS or chapter 645A, 645B or 645E of NRS unless the person:

      (a) Maintains an office in this State for the transaction of business; or

      (b) Solicits or accepts deposits in the State, except pursuant to the provisions of chapter 666 or 666A of NRS.

      4.  The fact that a person is not transacting business in this State within the meaning of this section:

      (a) Does not affect the determination of whether any court, administrative agency or regulatory body in this State may exercise personal jurisdiction over the person in any civil action, criminal action, administrative proceeding or regulatory proceeding; and

      (b) Except as otherwise provided in subsection 3, does not affect the applicability of any other provision of law with respect to the person and may not be offered as a defense or introduced in evidence in any civil action, criminal action, administrative proceeding or regulatory proceeding to prove that the person is not transacting business in this State, including, without limitation, any civil action, criminal action, administrative proceeding or regulatory proceeding involving an alleged violation of chapter 597, 598 or 598A of NRS.

      5.  As used in this section, “deposits” means demand deposits, savings deposits and time deposits, as those terms are defined in chapter 657 of NRS.

      Sec. 24. NRS 86.549 is hereby amended to read as follows:

      86.549  The Attorney General may bring an action to restrain a foreign limited-liability company from transacting business in this State in violation of NRS 86.543 to 86.549, inclusive [.] , and sections 20 and 21 of this act.

      Sec. 25. Chapter 87 of NRS is hereby amended by adding thereto the provisions set forth as sections 26, 27 and 28 of this act.

      Sec. 26. 1.  The Secretary of State shall authorize a registered limited-liability partnership whose certificate of registration has been revoked to dissolve without paying additional fees and penalties, other than the fee for filing a notice of withdrawal required by NRS 87.470, if the registered limited-liability partnership provides evidence satisfactory to the Secretary of State that the registered limited-liability partnership did not transact business in this State or as a registered limited-liability partnership organized pursuant to the laws of this State:

      (a) During the entire period for which its certificate of registration was revoked; or

      (b) During a portion of the period for which its certificate of registration was revoked and paying the fees and penalties for the portion of that period in which the registered limited-liability partnership transacted business in this State or as a registered limited-liability partnership organized pursuant to the laws of this State.

 


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transacted business in this State or as a registered limited-liability partnership organized pursuant to the laws of this State.

      2.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 27. 1.  Except as otherwise provided in NRS 87.515, a registered limited-liability partnership which did exist or is existing under the laws of this State may, upon complying with the provisions of NRS 87.530, procure a renewal or revival of its certificate of registration for any period, together with all the rights, franchises, privileges and immunities, and subject to all its existing and preexisting debts, duties and liabilities secured or imposed by its original certificate of registration and amendments thereto, or existing certificate of registration, by filing:

      (a) A certificate with the Secretary of State, which must set forth:

             (1) The name of the registered limited-liability partnership, which must be the name of the registered limited-liability partnership at the time of the renewal or revival, or its name at the time its original certificate of registration expired.

             (2) The information required pursuant to NRS 77.310.

             (3) The date on which the renewal or revival of the certificate of registration is to commence or be effective, which may be, in cases of a revival, before the date of the certificate.

             (4) Whether or not the renewal or revival is to be perpetual and, if not perpetual, the time for which the renewal or revival is to continue.

             (5) That the registered limited-liability partnership desiring to renew or revive its certificate of registration is, or has been, organized and carrying on the business authorized by its existing or original certificate of registration and amendments thereto, and desires to renew or continue through revival its existence pursuant to and subject to the provisions of this chapter.

      (b) A list of its managing partners, or the equivalent thereof, and their addresses, either residence or business.

      (c) A declaration under penalty of perjury, on a form provided by the Secretary of State, that the renewal or revival is authorized by a court of competent jurisdiction in this State or by the managing partners of the registered limited-liability partnership.

      2.  A registered limited-liability partnership whose certificate of registration has not expired and is being renewed shall cause the certificate to be signed by a managing partner of the registered limited-liability partnership. The certificate of renewal must be approved by a majority of the managing partners.

      3.  A registered limited-liability partnership seeking to revive its original or amended certificate of registration shall cause the certificate to be signed by a person or persons designated or appointed by the managing partners of the registered limited-liability partnership. The signing and filing of the certificate of revival must be approved by the written consent of the managing partners of the registered limited-liability partnership holding at least a majority of the voting power and must contain a recital that this consent was secured. The registered limited-liability partnership shall pay to the Secretary of State the fee required to qualify a limited-liability partnership pursuant to the provisions of NRS 87.440 to 87.540, inclusive, this section and sections 26 and 27 of this act.

 


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      4.  The filed certificate, or a copy thereof which has been certified under the hand and seal of the Secretary of State, must be received in all courts and places as prima facie evidence of the facts therein stated and of the qualification to do business in this State of the registered limited-liability partnership named therein.

      5.  Except as otherwise provided in NRS 87.455, a renewal or revival pursuant to this section relates back to the date on which the registered limited-liability partnership’s certificate of registration expired or was revoked and renews or revives the registered limited-liability partnership’s certificate of registration and right to transact business as if such right had at all times remained in full force.

      6.  A registered limited-liability partnership that has revived or renewed its certificate of registration pursuant to the provisions of this section:

      (a) Is a registered limited-liability partnership and continues to be a registered limited-liability partnership for the time stated in the certificate of revival or renewal;

      (b) Possesses the rights, privileges and immunities conferred by the original certificate of registration and by this chapter; and

      (c) Is subject to the restrictions and liabilities set forth in this chapter.

      Sec. 28. 1.  Except as otherwise provided in NRS 87.5413, any foreign registered limited-liability partnership which has forfeited its right to transact business in this State under the provisions of this chapter may, upon complying with the provisions of NRS 87.5435, procure a renewal or revival of its right to transact business in this State for any period, together with all the rights, franchises, privileges and immunities, and subject to all its existing and preexisting debts, duties and liabilities secured or imposed by its original certificate authorizing it to transact business in this State and amendments thereto, or existing certificate, by filing:

      (a) A certificate with the Secretary of State, which must set forth:

             (1) The name of the foreign registered limited-liability partnership, which must be the name of the foreign registered limited-liability partnership at the time of the renewal or revival, or its name at the time of the expiration of its original certificate authorizing it to transact business in this State.

             (2) The information required pursuant to NRS 77.310.

             (3) The date on which the renewal or revival of the right to transact business in this State is to commence or be effective, which may be, in cases of a revival, before the date of the certificate.

             (4) Whether or not the renewal or revival is to be perpetual and, if not perpetual, the time for which the renewal or revival is to continue.

             (5) That the foreign registered limited-liability partnership desiring to renew or revive its right to transact business in this State is, or has been, organized and carrying on the business authorized by its existing or original certificate authorizing it to transact business in this State and amendments thereto, and desires to renew or continue through revival its transaction of business in this State pursuant to and subject to the provisions of this chapter.

      (b) A list of its managing partners, or the equivalent thereof, and their addresses, either residence or business.

      (c) A declaration under penalty of perjury, on a form provided by the Secretary of State, that the renewal or revival is authorized by a court of competent jurisdiction in this State or by the managing partners of the foreign registered limited-liability partnership.

 


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competent jurisdiction in this State or by the managing partners of the foreign registered limited-liability partnership.

      2.  A foreign registered limited-liability partnership whose registration has not expired and is being renewed shall cause the certificate of renewal to be signed by a managing partner of the foreign registered limited-liability partnership. The certificate of renewal must be approved by a majority of the managing partners.

      3.  A foreign registered limited-liability partnership seeking to revive its original or amended certificate authorizing it to transact business in this State shall cause the certificate of revival to be signed by a person or persons designated or appointed by the managing partners of the foreign registered limited-liability partnership. The signing and filing of the certificate must be approved by the written consent of the managing partners of the foreign registered limited-liability partnership holding at least a majority of the voting power and must contain a recital that this consent was secured. The foreign registered limited-liability partnership shall pay to the Secretary of State the fee required to qualify a foreign registered limited-liability partnership to transact business in this State pursuant to the provisions of NRS 87.5405 to 87.544, inclusive, and this section.

      4.  The filed certificate, or a copy thereof which has been certified under the hand and seal of the Secretary of State, must be received in all courts and places as prima facie evidence of the facts therein stated and of the qualification to transact business in this State of the foreign registered limited-liability partnership named therein.

      5.  Except as otherwise provided in NRS 87.544, a renewal or revival pursuant to this section relates back to the date on which the foreign registered limited-liability partnership’s right to transact business in this State was forfeited and renews or revives the foreign registered limited-liability partnership’s right to transact business as if such right had at all times remained in full force.

      Sec. 29. NRS 87.020 is hereby amended to read as follows:

      87.020  As used in NRS 87.010 to 87.430, inclusive, unless the context otherwise requires:

      1.  “Bankrupt” includes bankrupt under the Federal Bankruptcy Act or insolvent under any state insolvent act.

      2.  “Conveyance” includes every assignment, lease, mortgage or encumbrance.

      3.  “Court” includes every court and judge having jurisdiction in the case.

      4.  “Real property” includes land and any interest or estate in land.

      5.  “Registered limited-liability partnership” means a partnership formed pursuant to an agreement governed by NRS 87.010 to 87.430, inclusive, and registered pursuant to and complying with NRS 87.440 to 87.560, inclusive [.] , and sections 26, 27 and 28 of this act.

      Sec. 30. NRS 87.4311 is hereby amended to read as follows:

      87.4311  “Registered limited-liability partnership” means a partnership formed pursuant to an agreement governed by NRS 87.4301 to 87.4357, inclusive, and registered pursuant to and complying with NRS 87.440 to 87.560, inclusive [.] , and sections 26, 27 and 28 of this act.

 


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      Sec. 31. NRS 87.455 is hereby amended to read as follows:

      87.455  1.  Except as otherwise provided in subsection 2, if a registered limited-liability partnership applies to reinstate or revive its right to transact business but its name has been legally acquired by any other artificial person formed, organized, registered or qualified pursuant to the provisions of this title whose name is on file with the Office of the Secretary of State or reserved in the Office of the Secretary of State pursuant to the provisions of this title, the applying registered limited-liability partnership shall submit in writing to the Secretary of State some other name under which it desires its right to transact business to be reinstated [.] or revived. If that name is distinguishable from all other names reserved or otherwise on file, the Secretary of State shall reinstate or revive the registered limited-liability partnership under that new name.

      2.  If the applying registered limited-liability partnership submits the written, acknowledged consent of the artificial person having the name, or the person who has reserved the name, that is not distinguishable from the old name of the applying registered limited-liability partnership or a new name it has submitted, it may be reinstated or revived under that name.

      3.  For the purposes of this section, a proposed name is not distinguishable from a name on file or reserved name solely because one or the other contains distinctive lettering, a distinctive mark, a trademark or a trade name, or any combination of these.

      4.  The Secretary of State may adopt regulations that interpret the requirements of this section.

      Sec. 32. NRS 87.544 is hereby amended to read as follows:

      87.544  1.  Except as otherwise provided in subsection 2, if a foreign registered limited-liability partnership applies to reinstate or revive its certificate of registration and its name has been legally reserved or acquired by another artificial person formed, organized, registered or qualified pursuant to the provisions of this title whose name is on file with the Office of the Secretary of State or reserved in the Office of the Secretary of State pursuant to the provisions of this title, the foreign registered limited-liability partnership must submit in writing in its application for reinstatement or revival to the Secretary of State some other name under which it desires its existence to be reinstated [.] or revived. If that name is distinguishable from all other names reserved or otherwise on file, the Secretary of State shall reinstate or revive the foreign registered limited-liability partnership under that new name.

      2.  If the applying foreign registered limited-liability partnership submits the written, acknowledged consent of the artificial person having a name, or the person who has reserved a name, which is not distinguishable from the old name of the applying foreign registered limited-liability partnership or a new name it has submitted, it may be reinstated or revived under that name.

      3.  For the purposes of this section, a proposed name is not distinguishable from a name on file or reserved solely because one or the other contains distinctive lettering, a distinctive mark, a trademark or a trade name, or any combination thereof.

      4.  The Secretary of State may adopt regulations that interpret the requirements of this section.

 


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      Sec. 33. NRS 87.550 is hereby amended to read as follows:

      87.550  In addition to any other fees required by NRS 87.440 to 87.540, inclusive, and sections 26 and 27 of this act and NRS 87.560, the Secretary of State shall charge and collect the following fees for services rendered pursuant to those sections:

      1.  For certifying records required by NRS 87.440 to 87.540, inclusive, and sections 26 and 27 of this act and NRS 87.560, $30 per certification.

      2.  For signing a certificate verifying the existence of a registered limited-liability partnership, if the registered limited-liability partnership has not filed a certificate of amendment, $50.

      3.  For signing a certificate verifying the existence of a registered limited-liability partnership, if the registered limited-liability partnership has filed a certificate of amendment, $50.

      4.  For signing, certifying or filing any certificate or record not required by NRS 87.440 to 87.540, inclusive, and sections 26 and 27 of this act and NRS 87.560, $50.

      5.  For any copies provided by the Office of the Secretary of State, $2 per page.

      6.  For examining and provisionally approving any record before the record is presented for filing, $125.

      Sec. 34. Chapter 87A of NRS is hereby amended by adding thereto the provisions set forth as sections 35 to 38, inclusive, of this act.

      Sec. 35. 1.  The Secretary of State shall authorize a limited partnership whose certificate of limited partnership has been revoked to dissolve without paying additional fees and penalties, other than the fee for filing a certificate of cancellation required by NRS 87A.315, if the limited partnership provides evidence satisfactory to the Secretary of State that the limited partnership did not transact business in this State or as a limited partnership organized pursuant to the laws of this State:

      (a) During the entire period for which its certificate of limited partnership was revoked; or

      (b) During a portion of the period for which its certificate of limited partnership was revoked and paying the fees and penalties for the portion of that period in which the limited partnership transacted business in this State or as a limited partnership organized pursuant to the laws of this State.

      2.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 36. 1.  Except as otherwise provided in NRS 87A.200 and 87A.640, a limited partnership which did exist or is existing under this chapter may, upon complying with the provisions of NRS 87A.310, procure a renewal or revival of its certificate of limited partnership for any period, together with all the rights, franchises, privileges and immunities, and subject to all its existing and preexisting debts, duties and liabilities secured or imposed by its original certificate of limited partnership and amendments thereto, or existing certificate of limited partnership, by filing:

      (a) A certificate with the Secretary of State, which must set forth:

             (1) The name of the limited partnership, which must be the name of the registered limited-liability partnership at the time of the renewal or revival, or its name at the time its original certificate of limited partnership expired.

             (2) The information required pursuant to NRS 77.310.

 


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             (3) The date on which the renewal or revival of the certificate of limited partnership is to commence or be effective, which may be, in cases of a revival, before the date of the certificate.

             (4) Whether or not the renewal or revival is to be perpetual and, if not perpetual, the time for which the renewal or revival is to continue.

             (5) That the limited partnership desiring to renew or revive its certificate of limited partnership is, or has been, organized and carrying on the business authorized by its existing or original certificate of limited partnership and amendments thereto, and desires to renew or continue through revival its existence pursuant to and subject to the provisions of this chapter.

      (b) A list of its general partners, or the equivalent thereof, and their addresses, either residence or business.

      (c) A declaration under penalty of perjury, on a form provided by the Secretary of State, that the renewal or revival is authorized by a court of competent jurisdiction in this State or by the general partners of the limited partnership.

      2.  A limited partnership whose certificate of limited partnership has not expired and is being renewed shall cause the certificate to be signed by a general partner of the limited partnership. The certificate of renewal must be approved by a majority of the general partners.

      3.  A limited partnership seeking to revive its original or amended certificate of limited partnership shall cause the certificate of revival to be signed by a person or persons designated or appointed by the general partners of the limited partnership. The signing and filing of the certificate of revival must be approved by the written consent of the general partners of the limited partnership holding at least a majority of the voting power and must contain a recital that this consent was secured. The limited partnership shall pay to the Secretary of State the fee required to form a new limited partnership pursuant to the provisions of this chapter.

      4.  The filed certificate of renewal or revival, or a copy thereof which has been certified under the hand and seal of the Secretary of State, must be received in all courts and places as prima facie evidence of the facts therein stated and of the qualification to do business in this State of the limited partnership named therein.

      5.  Except as otherwise provided in NRS 87A.185, a renewal or revival pursuant to this section relates back to the date on which the limited partnership’s certificate of limited partnership expired or was revoked and renews or revives the limited partnership’s certificate of limited partnership and right to transact business as if such right had at all times remained in full force.

      6.  A limited partnership that has revived or renewed its certificate of limited partnership pursuant to the provisions of this section:

      (a) Is a limited partnership and continues to be a limited partnership for the time stated in the certificate of revival or renewal;

      (b) Possesses the rights, privileges and immunities conferred by the original certificate of limited partnership and by this chapter; and

      (c) Is subject to the restrictions and liabilities set forth in this chapter.

      Sec. 37. 1.  The Secretary of State shall authorize a foreign limited partnership whose right to transact business in this State has been revoked to cancel its registration in this State without paying additional fees and penalties, other than the fee for filing a certificate of cancellation required by NRS 87A.315, if the foreign limited partnership provides evidence satisfactory to the Secretary of State that the foreign limited partnership did not transact business in this State:

 


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by NRS 87A.315, if the foreign limited partnership provides evidence satisfactory to the Secretary of State that the foreign limited partnership did not transact business in this State:

      (a) During the entire period for which its registration in this State was revoked; or

      (b) During a portion of the period for which its registration in this State was revoked and paying the fees and penalties for the portion of that period in which the foreign limited partnership transacted business in this State.

      2.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 38. 1.  Except as otherwise provided in NRS 87A.580, any foreign limited partnership which has forfeited its right to transact business in this State under the provisions of this chapter may, upon complying with the provisions of NRS 87A.595, procure a renewal or revival of its right to transact business in this State for any period, together with all the rights, franchises, privileges and immunities, and subject to all its existing and preexisting debts, duties and liabilities secured or imposed by its original certificate authorizing it to transact business in this State and amendments thereto, or existing certificate authorizing it to transact business in this State, by filing:

      (a) A certificate with the Secretary of State, which must set forth:

             (1) The name of the foreign limited partnership, which must be the name of the foreign limited partnership at the time of the renewal or revival, or its name at the time of the expiration of its original certificate authorizing it to transact business in this State.

             (2) The information required pursuant to NRS 77.310.

             (3) The date on which the renewal or revival of the right to transact business in this State is to commence or be effective, which may be, in cases of a revival, before the date of the certificate.

             (4) Whether or not the renewal or revival is to be perpetual and, if not perpetual, the time for which the renewal or revival is to continue.

             (5) That the foreign limited partnership desiring to renew or revive its right to transact business in this State is, or has been, organized and carrying on the business authorized by its existing or original certificate authorizing it to transact business in this State and amendments thereto, and desires to renew or continue through revival its transaction of business in this State pursuant to and subject to the provisions of this chapter.

      (b) A list of its general partners, or the equivalent thereof, and their addresses, either residence or business.

      (c) A declaration under penalty of perjury, on a form provided by the Secretary of State, that the renewal or revival is authorized by a court of competent jurisdiction in this State or by the general partners of the foreign limited partnership.

      2.  A foreign limited partnership whose registration has not expired and is being renewed shall cause the certificate of renewal to be signed by a general partner of the foreign limited partnership. The certificate of renewal must be approved by a majority of the general partners.

      3.  A foreign limited partnership seeking to revive its original or amended certificate authorizing it to transact business in this State shall cause the certificate of revival to be signed by a person or persons designated or appointed by the general partners of the foreign limited partnership.

 


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partnership. The signing and filing of the certificate must be approved by the written consent of the general partners of the foreign limited partnership holding at least a majority of the voting power and must contain a recital that this consent was secured. The foreign limited partnership shall pay to the Secretary of State the fee required to qualify a foreign limited partnership to transact business in this State pursuant to the provisions of this chapter.

      4.  The filed certificate of renewal or revival, or a copy thereof which has been certified under the hand and seal of the Secretary of State, must be received in all courts and places as prima facie evidence of the facts therein stated and of the qualification to transact business in this State of the foreign limited partnership named therein.

      5.  Except as otherwise provided in NRS 87A.600, a renewal or revival pursuant to this section relates back to the date on which the foreign limited partnership’s right to transact business in this State was forfeited and renews or revives the foreign limited partnership’s right to transact business as if such right had at all times remained in full force.

      Sec. 39. NRS 87A.045 is hereby amended to read as follows:

      87A.045  “Foreign registered limited-liability limited partnership” means a foreign limited-liability limited partnership:

      1.  Formed pursuant to an agreement governed by the laws of another state; and

      2.  Registered pursuant to and complying with NRS 87A.535 to 87A.625, inclusive, and sections 37 and 38 of this act and NRS 87A.655.

      Sec. 40. NRS 87A.185 is hereby amended to read as follows:

      87A.185  1.  Except as otherwise provided in subsection 2, if a limited partnership applies to reinstate or revive its right to transact business but its name has been legally reserved or acquired by any other artificial person formed, organized, registered or qualified pursuant to the provisions of this title whose name is on file with the Office of the Secretary of State or reserved in the Office of the Secretary of State pursuant to the provisions of this title, the applying limited partnership shall submit in writing to the Secretary of State some other name under which it desires its right to be reinstated [.] or revived. If that name is distinguishable from all other names reserved or otherwise on file, the Secretary of State shall reinstate or revive the limited partnership under that new name.

      2.  If the applying limited partnership submits the written, acknowledged consent of the other artificial person having the name, or the person who has reserved the name, that is not distinguishable from the old name of the applying limited partnership or a new name it has submitted, it may be reinstated or revived under that name.

      3.  For the purposes of this section, a proposed name is not distinguishable from a name on file or reserved name solely because one or the other contains distinctive lettering, a distinctive mark, a trademark or a trade name, or any combination thereof.

      4.  The Secretary of State may adopt regulations that interpret the requirements of this section.

      Sec. 40.2. NRS 87A.195 is hereby amended to read as follows:

      87A.195  A limited partnership shall maintain at its [designated] principal office in this State or with its custodian of records whose name and street address are available at the limited partnership’s registered office the following information:

 


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      1.  A current list showing the full name and last known street and mailing address of each partner, separately identifying the general partners, in alphabetical order, and the limited partners, in alphabetical order.

      2.  A copy of the certificate of limited partnership and all amendments to and restatements of the certificate, together with signed copies of any powers of attorney under which any certificate, amendment or restatement has been signed.

      3.  A copy of any filed articles of conversion or merger.

      4.  A copy of the limited partnership’s federal, state and local income tax returns and reports, if any, for the 3 most recent years.

      5.  A copy of any partnership agreement made in a record and any amendment made in a record to any partnership agreement.

      6.  A copy of any financial statement of the limited partnership for the 3 most recent years.

      7.  A copy of the three most recent annual lists filed with the Secretary of State pursuant to NRS 87A.290.

      8.  A copy of any record made by the limited partnership during the past 3 years of any consent given by or vote taken of any partner pursuant to this chapter or the partnership agreement.

      9.  Unless contained in a partnership agreement made in a record, a record stating:

      (a) The amount of cash, and a description and statement of the agreed value of the other benefits, contributed and agreed to be contributed by each partner;

      (b) The times at which, or events on the happening of which, any additional contributions agreed to be made by each partner are to be made;

      (c) For any person that is both a general partner and a limited partner, a specification of what transferable interest the person owns in each capacity; and

      (d) Any events upon the happening of which the limited partnership is to be dissolved and its activities wound up.

[Ê In lieu of keeping at the designated office the information required in subsections 1, 4 and 6 to 9, inclusive, the limited partnership may keep a statement with the registered agent setting out the name of the custodian of the information required in subsections 1, 4 and 6 to 9, inclusive, and the present and complete post office address, including street and number, if any, where the information required in subsections 1, 4 and 6 to 9, inclusive, is kept.]

      Sec. 40.4. NRS 87A.200 is hereby amended to read as follows:

      87A.200  1.  A limited partnership shall maintain at its registered office or principal [place of business] office in this State a statement indicating where the list required pursuant to subsection 1 of NRS 87A.195 is maintained.

      2.  Upon the request of the Secretary of State, the limited partnership shall:

      (a) Provide the Secretary of State with the name and contact information of the custodian of the list described in subsection 1 . [, if different than the registered agent for such limited partnership.] The information required pursuant to this paragraph shall be kept confidential by the Secretary of State.

      (b) Provide written notice to the Secretary of State within 10 days after any change in the custodian of the list described in subsection 1.

 


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      3.  Upon the request of any law enforcement agency in the course of a criminal investigation, the Secretary of State may require a limited partnership to:

      (a) Submit to the Secretary of State, within 3 business days, a copy of the list required to be maintained pursuant to subsection 1 of NRS 87A.195; or

      (b) Answer any interrogatory submitted by the Secretary of State that will assist in the criminal investigation.

      4.  If a limited partnership fails to comply with any requirement pursuant to subsection 3, the Secretary of State may take any action necessary, including, without limitation, the suspension or revocation of the right of the limited partnership to transact any business in this State.

      5.  The Secretary of State shall not reinstate or revive the right of a limited partnership to transact any business in this State that was revoked or suspended pursuant to subsection 4 unless:

      (a) The limited partnership complies with the requirements of subsection 3; or

      (b) The law enforcement agency conducting the investigation advises the Secretary of State to reinstate or revive the right of the limited partnership to transact business in this State.

      6.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 40.6. NRS 87A.215 is hereby amended to read as follows:

      87A.215  1.  Each limited partnership shall designate and continuously maintain : [in this State:]

      (a) [An] A principal office [,] in this State, which may but need not be a place of its business in this State, or a custodian of records, at which must be kept the records required by NRS 87A.195 to be maintained; and

      (b) A registered agent.

      2.  Within 30 days after changing the location of the office which contains records for a limited partnership, a general partner of the limited partnership shall file a certificate of a change in address with the Secretary of State which sets forth the name of the limited partnership, the previous address of the office which contains records and the new address of the office which contains records.

      Sec. 40.8. NRS 87A.580 is hereby amended to read as follows:

      87A.580  1.  A foreign limited partnership shall maintain at its principal office in this State or with its custodian of records whose name and street address are available at the foreign limited partnership’s registered office [or principal place of business in this State:

      (a) A] a current list of each general partner . [; or

      (b) A statement indicating where such a list is maintained.]

      2.  Upon the request of the Secretary of State, the foreign limited partnership shall:

      (a) Provide the Secretary of State with the name and contact information of the custodian of the list described in subsection 1. The information required pursuant to this paragraph shall be kept confidential by the Secretary of State.

      (b) Provide written notice to the Secretary of State within 10 days after any change in the information contained in the list described in subsection 1.

      3.  Upon the request of any law enforcement agency in the course of a criminal investigation, the Secretary of State may require a foreign limited partnership to:

 


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      (a) Submit to the Secretary of State, within 3 business days, a copy of the list required to be maintained pursuant to subsection 1; or

      (b) Answer any interrogatory submitted by the Secretary of State that will assist in the criminal investigation.

      4.  If a foreign limited partnership fails to comply with any requirement pursuant to subsection 3, the Secretary of State may take any action necessary, including, without limitation, the suspension or revocation of the certificate authorizing the foreign limited partnership to transact business in this State.

      5.  The Secretary of State shall not reinstate or revive a certificate authorizing a foreign limited partnership to transact business in this State that was revoked or suspended pursuant to subsection 4 unless:

      (a) The foreign limited partnership complies with the requirements of subsection 3; or

      (b) The law enforcement agency conducting the investigation advises the Secretary of State to reinstate or revive the certificate authorizing the foreign limited partnership to transact business in this State.

      6.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 41.  NRS 87A.600 is hereby amended to read as follows:

      87A.600  1.  Except as otherwise provided in subsection 2, if a foreign limited partnership applies to reinstate or revive its certificate of registration and its name has been legally reserved or acquired by another artificial person formed, organized, registered or qualified pursuant to the provisions of this title whose name is on file with the Office of the Secretary of State or reserved in the Office of the Secretary of State pursuant to the provisions of this title, the foreign limited partnership must in its application for reinstatement or revival submit in writing to the Secretary of State some other name under which it desires its existence to be reinstated [.] or revived. If that name is distinguishable from all other names reserved or otherwise on file, the Secretary of State shall reinstate or revive the foreign limited partnership under that new name.

      2.  If the applying foreign limited partnership submits the written, acknowledged consent of the artificial person having a name, or the person who has reserved a name, which is not distinguishable from the old name of the applying foreign limited partnership or a new name it has submitted, it may be reinstated or revived under that name.

      3.  For the purposes of this section, a proposed name is not distinguishable from a name on file or reserved solely because one or the other contains distinctive lettering, a distinctive mark, a trademark or a trade name, or any combination thereof.

      4.  The Secretary of State may adopt regulations that interpret the requirements of this section.

      Sec. 42. NRS 87A.615 is hereby amended to read as follows:

      87A.615  1.  For the purposes of NRS 87A.535 to 87A.625, inclusive, and sections 37 and 38 of this act, the following activities do not constitute transacting business in this State:

      (a) Maintaining, defending or settling any proceeding;

      (b) Holding meetings of the managers or members or carrying on other activities concerning internal company affairs;

      (c) Maintaining accounts in banks or credit unions;

 


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      (d) Maintaining offices or agencies for the transfer, exchange and registration of the company’s own securities or maintaining trustees or depositaries with respect to those securities;

      (e) Making sales through independent contractors;

      (f) Soliciting or receiving orders outside this State through or in response to letters, circulars, catalogs or other forms of advertising, accepting those orders outside this State and filling them by shipping goods into this State;

      (g) Creating or acquiring indebtedness, mortgages and security interests in real or personal property;

      (h) Securing or collecting debts or enforcing mortgages and security interests in property securing the debts;

      (i) Owning, without more, real or personal property;

      (j) Isolated transactions completed within 30 days and not a part of a series of similar transactions;

      (k) The production of motion pictures as defined in NRS 231.020;

      (l) Transacting business as an out-of-state depository institution pursuant to the provisions of title 55 of NRS; and

      (m) Transacting business in interstate commerce.

      2.  The list of activities in subsection 1 is not exhaustive.

      3.  A person who is not transacting business in this State within the meaning of this section need not qualify or comply with any provision of this chapter, title 55 or 56 of NRS or chapter 645A, 645B or 645E of NRS unless the person:

      (a) Maintains an office in this State for the transaction of business; or

      (b) Solicits or accepts deposits in the State, except pursuant to the provisions of chapter 666 or 666A of NRS.

      4.  The fact that a person is not transacting business in this State within the meaning of this section:

      (a) Does not affect the determination of whether any court, administrative agency or regulatory body in this State may exercise personal jurisdiction over the person in any civil action, criminal action, administrative proceeding or regulatory proceeding; and

      (b) Except as otherwise provided in subsection 3, does not affect the applicability of any other provision of law with respect to the person and may not be offered as a defense or introduced in evidence in any civil action, criminal action, administrative proceeding or regulatory proceeding to prove that the person is not transacting business in this State, including, without limitation, any civil action, criminal action, administrative proceeding or regulatory proceeding involving an alleged violation of chapter 597, 598 or 598A of NRS.

      5.  As used in this section, “deposits” means demand deposits, savings deposits and time deposits, as those terms are defined in chapter 657 of NRS.

      Sec. 43. NRS 87A.625 is hereby amended to read as follows:

      87A.625  The Attorney General may bring an action to restrain a foreign limited partnership from transacting business in this State in violation of NRS 87A.535 to 87A.625, inclusive [.] , and sections 37 and 38 of this act.

      Sec. 44. Chapter 88 of NRS is hereby amended by adding thereto the provisions set forth as sections 45 to 48, inclusive, of this act.

      Sec. 45. 1.  The Secretary of State shall authorize a limited partnership whose certificate of limited partnership has been revoked to dissolve without paying additional fees and penalties, other than the fee for filing a certificate of cancellation required by NRS 88.415, if the limited partnership provides evidence satisfactory to the Secretary of State that the limited partnership did not transact business in this State or as a limited partnership organized pursuant to the laws of this State:

 


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partnership provides evidence satisfactory to the Secretary of State that the limited partnership did not transact business in this State or as a limited partnership organized pursuant to the laws of this State:

      (a) During the entire period for which its certificate of limited partnership was revoked; or

      (b) During a portion of the period for which its certificate of limited partnership was revoked and paying the fees and penalties for the portion of that period in which the limited partnership transacted business in this State or as a limited partnership organized pursuant to the laws of this State.

      2.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 46. 1.  Except as otherwise provided in NRS 88.3355 and 88.6067, a limited partnership which did exist or is existing under this chapter may, upon complying with the provisions of NRS 88.410, procure a renewal or revival of its certificate of limited partnership for any period, together with all the rights, franchises, privileges and immunities, and subject to all its existing and preexisting debts, duties and liabilities secured or imposed by its original certificate of limited partnership and amendments thereto, or existing certificate of limited partnership, by filing:

      (a) A certificate with the Secretary of State, which must set forth:

             (1) The name of the limited partnership, which must be the name of the limited partnership at the time of the renewal or revival, or its name at the time its original certificate of limited partnership expired.

             (2) The information required pursuant to NRS 77.310.

             (3) The date on which the renewal or revival of the certificate of limited partnership is to commence or be effective, which may be, in cases of a revival, before the date of the certificate.

             (4) Whether or not the renewal or revival is to be perpetual and, if not perpetual, the time for which the renewal or revival is to continue.

             (5) That the limited partnership desiring to renew or revive its certificate of limited partnership is, or has been, organized and carrying on the business authorized by its existing or original certificate of limited partnership and amendments thereto, and desires to renew or continue through revival its existence pursuant to and subject to the provisions of this chapter.

      (b) A list of its general partners, or the equivalent thereof, and their addresses, either residence or business.

      (c) A declaration under penalty of perjury, on a form provided by the Secretary of State, that the renewal or revival is authorized by a court of competent jurisdiction in this State or by the general partners of the limited partnership.

      2.  A limited partnership whose certificate of limited partnership has not expired and is being renewed shall cause the certificate to be signed by a general partner of the limited partnership. The certificate of renewal must be approved by a majority of the general partners.

      3.  A limited partnership seeking to revive its original or amended certificate of limited partnership shall cause the certificate of revival to be signed by a person or persons designated or appointed by the general partners of the limited partnership. The signing and filing of the certificate of revival must be approved by the written consent of the general partners of the limited partnership holding at least a majority of the voting power and must contain a recital that this consent was secured.

 


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and must contain a recital that this consent was secured. The limited partnership shall pay to the Secretary of State the fee required to form a new limited partnership pursuant to the provisions of this chapter.

      4.  The filed certificate of renewal or revival, or a copy thereof which has been certified under the hand and seal of the Secretary of State, must be received in all courts and places as prima facie evidence of the facts therein stated and of the qualification to do business in this State of the limited partnership named therein.

      5.  Except as otherwise provided in NRS 88.327, a renewal or revival pursuant to this section relates back to the date on which the limited partnership’s certificate of limited partnership expired or was revoked and renews or revives the limited partnership’s certificate of limited partnership and right to transact business as if such right had at all times remained in full force.

      6.  A limited partnership that has revived or renewed its certificate of limited partnership pursuant to the provisions of this section:

      (a) Is a limited partnership and continues to be a limited partnership for the time stated in the certificate of revival or renewal;

      (b) Possesses the rights, privileges and immunities conferred by the original certificate of limited partnership and by this chapter; and

      (c) Is subject to the restrictions and liabilities set forth in this chapter.

      Sec. 47. 1.  The Secretary of State shall authorize a foreign limited partnership whose right to transact business in this State has been revoked to cancel its registration in this State without paying additional fees and penalties, other than the fee for filing a certificate of cancellation required by NRS 88.415, if the foreign limited partnership provides evidence satisfactory to the Secretary of State that the foreign limited partnership did not transact business in this State:

      (a) During the entire period for which its registration in this State was revoked; or

      (b) During a portion of the period for which its registration in this State was revoked and paying the fees and penalties for the portion of that period in which the foreign limited partnership transacted business in this State.

      2.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 48. 1.  Except as otherwise provided in NRS 88.5927, any foreign limited partnership which has forfeited its right to transact business in this State under the provisions of this chapter may, upon complying with the provisions of NRS 88.594, procure a renewal or revival of its right to transact business in this State for any period, together with all the rights, franchises, privileges and immunities, and subject to all its existing and preexisting debts, duties and liabilities secured or imposed by its original certificate authorizing it to transact business in this State and amendments thereto, or existing certificate authorizing it to transact business in this State, by filing:

      (a) A certificate with the Secretary of State, which must set forth:

             (1) The name of the foreign limited partnership, which must be the name of the foreign limited partnership at the time of the renewal or revival, or its name at the time of the expiration of its original certificate authorizing it to transact business in this State.

             (2) The information required pursuant to NRS 77.310.

 


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             (3) The date on which the renewal or revival of the right to transact business in this State is to commence or be effective, which may be, in cases of a revival, before the date of the certificate.

             (4) Whether or not the renewal or revival is to be perpetual and, if not perpetual, the time for which the renewal or revival is to continue.

             (5) That the foreign limited partnership desiring to renew or revive its right to transact business in this State is, or has been, organized and carrying on the business authorized by its existing or original certificate authorizing it to transact business in this State and amendments thereto, and desires to renew or continue through revival its transaction of business in this State pursuant to and subject to the provisions of this chapter.

      (b) A list of its general partners, or the equivalent thereof, and their addresses, either residence or business.

      (c) A declaration under penalty of perjury, on a form provided by the Secretary of State, that the renewal or revival is authorized by a court of competent jurisdiction in this State or by the general partners of the foreign limited partnership.

      2.  A foreign limited partnership whose registration has not expired and is being renewed shall cause the certificate of renewal to be signed by a general partner of the foreign limited partnership. The certificate of renewal must be approved by a majority of the general partners.

      3.  A foreign limited partnership seeking to revive its original or amended certificate authorizing it to transact business in this State shall cause the certificate of revival to be signed by a person or persons designated or appointed by the general partners of the foreign limited partnership. The signing and filing of the certificate must be approved by the written consent of the general partners of the foreign limited partnership holding at least a majority of the voting power and must contain a recital that this consent was secured. The foreign limited partnership shall pay to the Secretary of State the fee required to qualify a foreign limited partnership to transact business in this State pursuant to the provisions of this chapter.

      4.  The filed certificate of renewal or revival, or a copy thereof which has been certified under the hand and seal of the Secretary of State, must be received in all courts and places as prima facie evidence of the facts therein stated and of the qualification to transact business in this State of the foreign limited partnership named therein.

      5.  Except as otherwise provided in NRS 88.5945, a renewal or revival pursuant to this section relates back to the date on which the foreign limited partnership’s right to transact business in this State was forfeited and renews or revives the foreign limited partnership’s right to transact business as if such right had at all times remained in full force.

      Sec. 49. NRS 88.315 is hereby amended to read as follows:

      88.315  As used in this chapter, unless the context otherwise requires:

      1.  “Certificate of limited partnership” means the certificate referred to in NRS 88.350, and the certificate as amended or restated.

      2.  “Contribution” means any cash, property, services rendered, or a promissory note or other binding obligation to contribute cash or property or to perform services, which a partner contributes to a limited partnership in his or her capacity as a partner.

      3.  “Event of withdrawal of a general partner” means an event that causes a person to cease to be a general partner as provided in NRS 88.450.

 


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      4.  “Foreign limited partnership” means a partnership formed under the laws of a jurisdiction other than this State and having as partners one or more general partners and one or more limited partners.

      5.  “Foreign registered limited-liability limited partnership” means a foreign limited-liability limited partnership:

      (a) Formed pursuant to an agreement governed by the laws of another state; and

      (b) Registered pursuant to and complying with NRS 88.570 to 88.605, inclusive, and sections 47 and 48 of this act and NRS 88.609.

      6.  “General partner” means a person who has been admitted to a limited partnership as a general partner in accordance with the partnership agreement and named in the certificate of limited partnership as a general partner.

      7.  “Limited partner” means a person who has been admitted to a limited partnership as a limited partner in accordance with the partnership agreement.

      8.  “Limited partnership” and “domestic limited partnership” mean a partnership formed by two or more persons under the laws of this State and having one or more general partners and one or more limited partners, including a restricted limited partnership.

      9.  “Partner” means a limited or general partner.

      10.  “Partnership agreement” means any valid agreement, written or oral, of the partners as to the affairs of a limited partnership and the conduct of its business.

      11.  “Partnership interest” means a partner’s share of the profits and losses of a limited partnership and the right to receive distributions of partnership assets.

      12.  “Registered limited-liability limited partnership” means a limited partnership:

      (a) Formed pursuant to an agreement governed by this chapter; and

      (b) Registered pursuant to and complying with NRS 88.350 to 88.415, inclusive, and sections 45 and 46 of this act and NRS 88.606, 88.6065 and 88.607.

      13.  “Registered agent” has the meaning ascribed to it in NRS 77.230.

      14.  “Registered office” means the office maintained at the street address of the registered agent.

      15.  “Restricted limited partnership” means a limited partnership organized and existing under this chapter that elects to include the optional provisions permitted by NRS 88.350.

      16.  “State” means a state, territory or possession of the United States, the District of Columbia or the Commonwealth of Puerto Rico.

      Sec. 50. NRS 88.327 is hereby amended to read as follows:

      88.327  1.  Except as otherwise provided in subsection 2, if a limited partnership applies to reinstate or revive its right to transact business but its name has been legally reserved or acquired by any other artificial person formed, organized, registered or qualified pursuant to the provisions of this title whose name is on file with the Office of the Secretary of State or reserved in the Office of the Secretary of State pursuant to the provisions of this title, the applying limited partnership shall submit in writing to the Secretary of State some other name under which it desires its right to be reinstated [.] or revived. If that name is distinguishable from all other names reserved or otherwise on file, the Secretary of State shall reinstate or revive the limited partnership under that new name.

 


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      2.  If the applying limited partnership submits the written, acknowledged consent of the other artificial person having the name, or the person who has reserved the name, that is not distinguishable from the old name of the applying limited partnership or a new name it has submitted, it may be reinstated or revived under that name.

      3.  For the purposes of this section, a proposed name is not distinguishable from a name on file or reserved name solely because one or the other contains distinctive lettering, a distinctive mark, a trademark or a trade name, or any combination thereof.

      4.  The Secretary of State may adopt regulations that interpret the requirements of this section.

      Sec. 50.3. NRS 88.330 is hereby amended to read as follows:

      88.330  1.  Each limited partnership shall continuously maintain : [in this State:]

      (a) [An] A principal office [,] in this State, which may but need not be a place of its business in this State, or a custodian of records, at which must be kept the records required by NRS 88.335 to be maintained; and

      (b) A registered agent.

      2.  Within 30 days after changing the location of the office which contains records for a limited partnership, a general partner of the limited partnership shall file a certificate of a change in address with the Secretary of State which sets forth the name of the limited partnership, the previous address of the office which contains records and the new address of the office which contains records.

      Sec. 50.5. NRS 88.335 is hereby amended to read as follows:

      88.335  1.  A limited partnership shall keep at the principal office , or with its custodian of records as referred to in paragraph (a) of subsection 1 of NRS 88.330 , the following:

      (a) A current list of the full name and last known business address of each partner, separately identifying the general partners in alphabetical order and the limited partners in alphabetical order;

      (b) A copy of the certificate of limited partnership and all certificates of amendment thereto, together with signed copies of any powers of attorney pursuant to which any certificate has been signed;

      (c) Copies of the limited partnership’s federal, state, and local income tax returns and reports, if any, for the 3 most recent years;

      (d) Copies of any then effective written partnership agreements;

      (e) Copies of any financial statements of the limited partnership for the 3 most recent years; and

      (f) Unless contained in a written partnership agreement, a writing setting out:

             (1) The amount of cash and a description and statement of the agreed value of the other property or services contributed by each partner and which each partner has agreed to contribute;

             (2) The times at which or events on the happening of which any additional contributions agreed to be made by each partner are to be made;

             (3) Any right of a partner to receive, or of a general partner to make, distributions to a partner which include a return of all or any part of the partner’s contribution; and

             (4) Any events upon the happening of which the limited partnership is to be dissolved and its affairs wound up.

 


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      2.  In lieu of keeping at an office in this State the information required in paragraphs (a), (c), (e) and (f) of subsection 1, the limited partnership may keep a statement with the registered agent setting out the name of the custodian of the information required in paragraphs (a), (c), (e) and (f) of subsection 1, and the present and complete post office address, including street and number, if any, where the information required in paragraphs (a), (c), (e) and (f) of subsection 1 is kept.

      3.  Records kept pursuant to this section are subject to inspection and copying at the reasonable request, and at the expense, of any partner during ordinary business hours.

      Sec. 50.7. NRS 88.5927 is hereby amended to read as follows:

      88.5927  1.  A foreign limited partnership shall maintain at its principal office in this State or with its custodian of records whose name and street address are kept at the foreign limited partnership’s registered office [or principal place of business in this State:

      (a) A] a current list of each general partner . [; or

      (b) A statement indicating where such a list is maintained.]

      2.  Upon the request of the Secretary of State, the foreign limited partnership shall:

      (a) Provide the Secretary of State with the name and contact information of the custodian of the list described in subsection 1. The information required pursuant to this paragraph shall be kept confidential by the Secretary of State.

      (b) Provide written notice to the Secretary of State within 10 days after any change in the information contained in the list described in subsection 1.

      3.  Upon the request of any law enforcement agency in the course of a criminal investigation, the Secretary of State may require a foreign limited partnership to:

      (a) Submit to the Secretary of State, within 3 business days, a copy of the list required to be maintained pursuant to subsection 1; or

      (b) Answer any interrogatory submitted by the Secretary of State that will assist in the criminal investigation.

      4.  If a foreign limited partnership fails to comply with any requirement pursuant to subsection 3, the Secretary of State may take any action necessary, including, without limitation, the suspension or revocation of the certificate authorizing the foreign limited partnership to transact business in this State.

      5.  The Secretary of State shall not reinstate or revive a certificate authorizing a foreign limited partnership to transact business in this State that was revoked or suspended pursuant to subsection 4 unless:

      (a) The foreign limited partnership complies with the requirements of subsection 3; or

      (b) The law enforcement agency conducting the investigation advises the Secretary of State to reinstate or revive the certificate authorizing the foreign limited partnership to transact business in this State.

      6.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 51. NRS 88.5945 is hereby amended to read as follows:

      88.5945  1.  Except as otherwise provided in subsection 2, if a foreign limited partnership applies to reinstate or revive its certificate of registration and its name has been legally reserved or acquired by another artificial person formed, organized, registered or qualified pursuant to the provisions of this title whose name is on file with the Office of the Secretary of State or reserved in the Office of the Secretary of State pursuant to the provisions of this title, the foreign limited partnership must in its application for reinstatement or revival submit in writing to the Secretary of State some other name under which it desires its existence to be reinstated [.]

 


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of this title whose name is on file with the Office of the Secretary of State or reserved in the Office of the Secretary of State pursuant to the provisions of this title, the foreign limited partnership must in its application for reinstatement or revival submit in writing to the Secretary of State some other name under which it desires its existence to be reinstated [.] or revived. If that name is distinguishable from all other names reserved or otherwise on file, the Secretary of State shall reinstate or revive the foreign limited partnership under that new name.

      2.  If the applying foreign limited partnership submits the written, acknowledged consent of the artificial person having a name, or the person who has reserved a name, which is not distinguishable from the old name of the applying foreign limited partnership or a new name it has submitted, it may be reinstated or revived under that name.

      3.  For the purposes of this section, a proposed name is not distinguishable from a name on file or reserved solely because one or the other contains distinctive lettering, a distinctive mark, a trademark or a trade name, or any combination thereof.

      4.  The Secretary of State may adopt regulations that interpret the requirements of this section.

      Sec. 52. NRS 88.602 is hereby amended to read as follows:

      88.602  1.  For the purposes of NRS 88.570 to 88.605, inclusive, and sections 47 and 48 of this act, the following activities do not constitute transacting business in this State:

      (a) Maintaining, defending or settling any proceeding;

      (b) Holding meetings of the managers or members or carrying on other activities concerning internal company affairs;

      (c) Maintaining accounts in banks or credit unions;

      (d) Maintaining offices or agencies for the transfer, exchange and registration of the company’s own securities or maintaining trustees or depositaries with respect to those securities;

      (e) Making sales through independent contractors;

      (f) Soliciting or receiving orders outside this State through or in response to letters, circulars, catalogs or other forms of advertising, accepting those orders outside this State and filling them by shipping goods into this State;

      (g) Creating or acquiring indebtedness, mortgages and security interests in real or personal property;

      (h) Securing or collecting debts or enforcing mortgages and security interests in property securing the debts;

      (i) Owning, without more, real or personal property;

      (j) Isolated transactions completed within 30 days and not a part of a series of similar transactions;

      (k) The production of motion pictures as defined in NRS 231.020;

      (l) Transacting business as an out-of-state depository institution pursuant to the provisions of title 55 of NRS; and

      (m) Transacting business in interstate commerce.

      2.  The list of activities in subsection 1 is not exhaustive.

      3.  A person who is not transacting business in this State within the meaning of this section need not qualify or comply with any provision of this chapter, title 55 or 56 of NRS or chapter 645A, 645B or 645E of NRS unless the person:

 


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      (a) Maintains an office in this State for the transaction of business; or

      (b) Solicits or accepts deposits in the State, except pursuant to the provisions of chapter 666 or 666A of NRS.

      4.  The fact that a person is not transacting business in this State within the meaning of this section:

      (a) Does not affect the determination of whether any court, administrative agency or regulatory body in this State may exercise personal jurisdiction over the person in any civil action, criminal action, administrative proceeding or regulatory proceeding; and

      (b) Except as otherwise provided in subsection 3, does not affect the applicability of any other provision of law with respect to the person and may not be offered as a defense or introduced in evidence in any civil action, criminal action, administrative proceeding or regulatory proceeding to prove that the person is not transacting business in this State, including, without limitation, any civil action, criminal action, administrative proceeding or regulatory proceeding involving an alleged violation of chapter 597, 598 or 598A of NRS.

      5.  As used in this section, “deposits” means demand deposits, savings deposits and time deposits, as those terms are defined in chapter 657 of NRS.

      Sec. 53. NRS 88.605 is hereby amended to read as follows:

      88.605  The Attorney General may bring an action to restrain a foreign limited partnership from transacting business in this State in violation of NRS 88.570 to 88.605, inclusive [.] , and sections 47 and 48 of this act.

      Sec. 53.5. NRS 88.6067 is hereby amended to read as follows:

      88.6067  1.  A registered limited-liability limited partnership shall maintain at its principal office in this State or with its custodian of records whose name and street address are available at the registered office [or principal place of business in this State:

      (a) A] of the registered limited-liability limited partnership a current list of each general partner . [; or

      (b) A statement indicating where such a list is maintained.]

      2.  Upon the request of the Secretary of State, the registered limited-liability limited partnership shall:

      (a) Provide the Secretary of State with the name and contact information of the custodian of the list described in subsection 1. The information required pursuant to this paragraph shall be kept confidential by the Secretary of State.

      (b) Provide written notice to the Secretary of State within 10 days after any change in the information contained in the list described in subsection 1.

      3.  Upon the request of any law enforcement agency in the course of a criminal investigation, the Secretary of State may require a registered limited-liability limited partnership to:

      (a) Submit to the Secretary of State, within 3 business days, a copy of the list required to be maintained pursuant to subsection 1; or

      (b) Answer any interrogatory submitted by the Secretary of State that will assist in the criminal investigation.

      4.  If a registered limited-liability limited partnership fails to comply with any requirement pursuant to subsection 3, the Secretary of State may take any action necessary, including, without limitation, the suspension or revocation of the certificate of registration.

      5.  The Secretary of State shall not reinstate or revive a certificate of registration that was revoked or suspended pursuant to subsection 4 unless:

 


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      (a) The registered limited-liability limited partnership complies with the requirements of subsection 3; or

      (b) The law enforcement agency conducting the investigation advises the Secretary of State to reinstate or revive the certificate of registration.

      6.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 54. Chapter 88A of NRS is hereby amended by adding thereto the provisions set forth as sections 55 to 58, inclusive, of this act.

      Sec. 55. 1.  The Secretary of State shall authorize a business trust whose certificate of trust has been revoked to cancel its certificate of trust without paying additional fees and penalties, other than the fee for filing a certificate of cancellation required by NRS 88A.900, if the business trust provides evidence satisfactory to the Secretary of State that the business trust did not transact business in this State or as a business trust organized pursuant to the laws of this State:

      (a) During the entire period for which its certificate of trust was revoked; or

      (b) During a portion of the period for which its certificate of trust was revoked and paying the fees and penalties for the portion of that period in which the business trust transacted business in this State or as a business trust organized pursuant to the laws of this State.

      2.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 56. 1.  Except as otherwise provided in NRS 88A.345, a business trust which did exist or is existing under this chapter may, upon complying with the provisions of NRS 88A.650, procure a renewal or revival of its certificate of trust for any period, together with all the rights, franchises, privileges and immunities, and subject to all its existing and preexisting debts, duties and liabilities secured or imposed by its original certificate of trust and amendments thereto, or existing certificate of trust, by filing:

      (a) A certificate with the Secretary of State, which must set forth:

             (1) The name of the business trust, which must be the name of the business trust at the time of the renewal or revival, or its name at the time its original certificate of trust expired.

             (2) The information required pursuant to NRS 77.310.

             (3) The date on which the renewal or revival of the certificate of trust is to commence or be effective, which may be, in cases of a revival, before the date of the certificate of revival.

             (4) Whether or not the renewal or revival is to be perpetual and, if not perpetual, the time for which the renewal or revival is to continue.

             (5) That the business trust desiring to renew or revive its certificate of trust is, or has been, organized and carrying on the business authorized by its existing or original certificate of trust and amendments thereto, and desires to renew or continue through revival its existence pursuant to and subject to the provisions of this chapter.

      (b) A list of its trustees, or the equivalent thereof, and their addresses, either residence or business.

      (c) A declaration under penalty of perjury, on a form provided by the Secretary of State, that the renewal or revival is authorized by a court of competent jurisdiction in this State or by the trustees of the business trust.

 


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      2.  A business trust whose certificate of trust has not expired and is being renewed shall cause the certificate to be signed by a trustee of the business trust. The certificate of renewal must be approved by a majority of the trustees.

      3.  A business trust seeking to revive its original or amended certificate of trust shall cause the certificate of revival to be signed by a person or persons designated or appointed by the trustees of the business trust. The signing and filing of the certificate of revival must be approved by the written consent of the trustees of the business trust holding at least a majority of the voting power and must contain a recital that this consent was secured. The business trust shall pay to the Secretary of State the fee required to form a new business trust pursuant to the provisions of this chapter.

      4.  The filed certificate of renewal or revival, or a copy thereof which has been certified under the hand and seal of the Secretary of State, must be received in all courts and places as prima facie evidence of the facts therein stated and of the qualification to do business in this State of the business trust named therein.

      5.  Except as otherwise provided in NRS 88A.660, a renewal or revival pursuant to this section relates back to the date on which the business trust’s certificate of trust expired or was revoked and renews or revives the business trust’s certificate of trust and right to transact business as if such right had at all times remained in full force.

      6.  A business trust that has revived or renewed its certificate of trust pursuant to the provisions of this section:

      (a) Is a business trust and continues to be a business trust for the time stated in the certificate of revival or renewal;

      (b) Possesses the rights, privileges and immunities conferred by the original certificate of trust and by this chapter; and

      (c) Is subject to the restrictions and liabilities set forth in this chapter.

      Sec. 57. 1.  The Secretary of State shall authorize a foreign business trust whose right to transact business in this State has been revoked to cancel its registration in this State without paying additional fees and penalties, other than the fee for filing a certificate of cancellation required by NRS 88A.900, if the foreign business trust provides evidence satisfactory to the Secretary of State that the foreign business trust did not transact business in this State:

      (a) During the entire period for which its right to transact business in this State was revoked; or

      (b) During a portion of the period for which its right to transact business in this State was revoked and paying the fees and penalties for the portion of that period in which the foreign business trust transacted business in this State.

      2.  The Secretary of State may adopt regulations to administer the provisions of this section.

      Sec. 58. 1.  Except as otherwise provided in NRS 88A.7345, a foreign business trust which has forfeited its right to transact business in this State under the provisions of this chapter may, upon complying with the provisions of NRS 88A.737, procure a renewal or revival of its right to transact business in this State for any period, together with all the rights, franchises, privileges and immunities, and subject to all its existing and preexisting debts, duties and liabilities secured or imposed by its original certificate of registration and amendments thereto, or existing certificate of registration, by filing:

 


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preexisting debts, duties and liabilities secured or imposed by its original certificate of registration and amendments thereto, or existing certificate of registration, by filing:

      (a) A certificate with the Secretary of State, which must set forth:

             (1) The name of the foreign business trust, which must be the name of the foreign business trust at the time of the renewal or revival, or its name at the time of the expiration of its original certificate of registration.

             (2) The information required pursuant to NRS 77.310.

             (3) The date on which the renewal or revival of the right to transact business in this State is to commence or be effective, which may be, in cases of a revival, before the date of the certificate.

             (4) Whether or not the renewal or revival is to be perpetual and, if not perpetual, the time for which the renewal or revival is to continue.

             (5) That the foreign business trust desiring to renew or revive its right to transact business in this State is, or has been, organized and carrying on the business authorized by its existing or original certificate of registration and amendments thereto, and desires to renew or continue through revival its transaction of business in this State pursuant to and subject to the provisions of this chapter.

      (b) A list of its trustees, or the equivalent thereof, and their addresses, either residence or business.

      (c) A declaration under penalty of perjury, on a form provided by the Secretary of State, that the renewal or revival is authorized by a court of competent jurisdiction in this State or by the trustees of the foreign business trust.

      2.  A foreign business trust whose registration has not expired and is being renewed shall cause the certificate of renewal to be signed by a trustee of the foreign business trust. The certificate of renewal must be approved by a majority of the beneficial owners.

      3.  A foreign business trust seeking to revive its original or amended certificate authorizing it to transact business in this State shall cause the certificate of revival to be signed by a person or persons designated or appointed by the trustees of the foreign business trust. The signing and filing of the certificate must be approved by the written consent of the trustees of the foreign business trust holding at least a majority of the voting power and must contain a recital that this consent was secured. The foreign business trust shall pay to the Secretary of State the fee required to register a foreign business trust to transact business in this State pursuant to the provisions of this chapter.

      4.  The filed certificate of renewal or revival, or a copy thereof which has been certified under the hand and seal of the Secretary of State, must be received in all courts and places as prima facie evidence of the facts therein stated and of the qualification to transact business in this State of the foreign business trust named therein.

      5.  Except as otherwise provided in NRS 88A.738, a renewal or revival pursuant to this section relates back to the date on which the foreign business trust’s right to transact business in this State was forfeited and renews or revives the foreign business trust’s right to transact business as if such right had at all times remained in full force.

 


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      Sec. 58.5. NRS 88A.340 is hereby amended to read as follows:

      88A.340  1.  A business trust shall keep a copy of the following records at its principal office in this State or with its custodian of records whose name and street address are available at the registered office [:] of the business trust:

      (a) A copy certified by the Secretary of State of its certificate of trust and all amendments thereto or restatements thereof;

      (b) A copy certified by one of its trustees of its governing instrument and all amendments thereto; and

      (c) A ledger or duplicate ledger, revised annually, containing the names, alphabetically arranged, of all its beneficial owners, showing their places of residence if known. [Instead of this ledger, the business trust may keep a statement containing the name of the custodian of the ledger and the present complete address, including street and number, if any, where the ledger is kept.]

      2.  A business trust shall maintain the records required by subsection 1 in written form or in another form capable of conversion into written form within a reasonable time.

      Sec. 59. NRS 88A.660 is hereby amended to read as follows:

      88A.660  1.  Except as otherwise provided in subsection 2, if a certificate of trust is revoked pursuant to the provisions of this chapter and the name of the business trust has been legally reserved or acquired by another artificial person formed, organized, registered or qualified pursuant to the provisions of this title whose name is on file with the Office of the Secretary of State or reserved in the Office of the Secretary of State pursuant to the provisions of this title, the business trust shall submit in writing to the Secretary of State some other name under which it desires to be reinstated [.] or revived. If that name is distinguishable from all other names reserved or otherwise on file, the Secretary of State shall reinstate or revive the business trust under that new name.

      2.  If the defaulting business trust submits the written, acknowledged consent of the artificial person using a name, or the person who has reserved a name, which is not distinguishable from the old name of the business trust or a new name it has submitted, it may be reinstated or revived under that name.

      Sec. 60. NRS 88A.738 is hereby amended to read as follows:

      88A.738  1.  Except as otherwise provided in subsection 2, if a foreign business trust applies to reinstate or revive its certificate of trust and its name has been legally reserved or acquired by another artificial person formed, organized, registered or qualified pursuant to the provisions of this title whose name is on file with the Office of the Secretary of State or reserved in the Office of the Secretary of State pursuant to the provisions of this title, the foreign business trust must submit in writing in its application for reinstatement or revival to the Secretary of State some other name under which it desires its existence to be reinstated [.] or revived. If that name is distinguishable from all other names reserved or otherwise on file, the Secretary of State shall reinstate or revive the foreign business trust under that new name.

      2.  If the applying foreign business trust submits the written, acknowledged consent of the artificial person having a name, or the person who has reserved a name, which is not distinguishable from the old name of the applying foreign business trust or a new name it has submitted, it may be reinstated or revived under that name.

 


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who has reserved a name, which is not distinguishable from the old name of the applying foreign business trust or a new name it has submitted, it may be reinstated or revived under that name.

      3.  For the purposes of this section, a proposed name is not distinguishable from a name on file or reserved solely because one or the other contains distinctive lettering, a distinctive mark, a trademark or a trade name, or any combination thereof.

      4.  The Secretary of State may adopt regulations that interpret the requirements of this section.

      Sec. 61. Chapter 89 of NRS is hereby amended by adding thereto a new section to read as follows:

      1.  Except as otherwise provided in NRS 89.251, a professional association which did exist or is existing under NRS 89.200 to 89.270, inclusive, and this section may, upon complying with the provisions of NRS 89.256, procure a renewal or revival of its articles of association for any period, together with all the rights, franchises, privileges and immunities, and subject to all its existing and preexisting debts, duties and liabilities secured or imposed by its original articles of association and amendments thereto, or existing articles of association, by filing:

      (a) A certificate with the Secretary of State, which must set forth:

             (1) The name of the professional association, which must be the name of the professional association at the time of the renewal or revival, or its name at the time its original articles of association expired.

             (2) The information required pursuant to NRS 77.310.

             (3) The date on which the renewal or revival of the professional association’s articles of association is to commence or be effective, which may be, in cases of a revival, before the date of the certificate of revival.

             (4) Whether or not the renewal or revival is to be perpetual and, if not perpetual, the time for which the renewal or revival is to continue.

             (5) That the professional association desiring to renew or revive its articles of association is, or has been, organized and carrying on the business authorized by its existing or original articles of association and amendments thereto, and desires to renew or continue through revival its existence pursuant to and subject to the provisions of this chapter.

      (b) A list of its members and employees who are licensed or otherwise authorized by law to render professional services in this State and their addresses, either residence or business.

      (c) A declaration under penalty of perjury, on a form provided by the Secretary of State, that the renewal or revival is authorized by a court of competent jurisdiction in this State or by the owners of the membership interests in the professional association.

      2.  A professional association whose articles of association have expired and are being renewed shall cause the certificate to be signed by a member of the professional association. The certificate of renewal must be approved by a majority of the members who hold a membership interest in the professional association.

      3.  A professional association seeking to revive its original or amended articles of association shall cause the certificate of revival to be signed by a person or persons designated or appointed by the members of the professional association. The signing and filing of the certificate of revival must be approved by the written consent of the holders of a membership interest in the professional association holding at least a majority of the voting power and must contain a recital that this consent was secured.

 


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voting power and must contain a recital that this consent was secured. The professional association shall pay to the Secretary of State the fee required to form a new professional association pursuant to the provisions of NRS 89.200 to 89.270, inclusive, and this section.

      4.  The filed certificate of renewal or revival, or a copy thereof which has been certified under the hand and seal of the Secretary of State, must be received in all courts and places as prima facie evidence of the facts therein stated and of the qualification to do business in this State of the professional association named therein.

      5.  A renewal or revival pursuant to this section relates back to the date on which the professional association’s articles of association expired or was revoked and renews or revives the professional association’s articles of association and right to transact business as if such right had at all times remained in full force.

      6.  A professional association that has revived or renewed its articles of association pursuant to the provisions of this section:

      (a) Is a professional association and continues to be a professional association for the time stated in the certificate of revival or renewal;

      (b) Possesses the rights, privileges and immunities conferred by the original articles of association and by NRS 89.200 to 89.270, inclusive, and this section; and

      (c) Is subject to the restrictions and liabilities set forth in NRS 89.200 to 89.270, inclusive, and this section.

      Sec. 61.5. NRS 92A.200 is hereby amended to read as follows:

      92A.200  1.  After a plan of merger or exchange is approved as required by this chapter, the surviving or acquiring entity shall deliver to the Secretary of State for filing articles of merger or exchange setting forth:

      (a) The name and jurisdiction of organization of each constituent entity;

      (b) That a plan of merger or exchange has been adopted by each constituent entity or the parent domestic entity only, if the merger is pursuant to NRS 92A.180;

      (c) If approval of the owners of one or more constituent entities was not required, a statement to that effect and the name of each entity;

      (d) If approval of owners of one or more constituent entities was required, the name of each entity and a statement for each entity that the plan was approved by the required consent of the owners;

      (e) In the case of a merger, the amendment, if any, to the charter document of the surviving entity, which amendment may be set forth in the articles of merger as a specific amendment or in the form of an amended and restated charter document or attached in that form as an exhibit; and

      (f) If the entire plan of merger or exchange is not set forth, a statement that the complete signed plan of merger or plan of exchange is on file at the [registered] principal office or with the custodian of records if a corporation, limited-liability company or business trust, or at the principal office or with the custodian of records, as described in paragraph (a) of subsection 1 of NRS 87A.215 or paragraph (a) of subsection 1 of NRS 88.330 , if a limited partnership, or other place of business of the surviving entity or the acquiring entity, respectively.

      2.  Any of the terms of the plan of merger, conversion or exchange may be made dependent upon facts ascertainable outside of the plan of merger, conversion or exchange, provided that the plan of merger, conversion or exchange clearly and expressly sets forth the manner in which such facts shall operate upon the terms of the plan.

 


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shall operate upon the terms of the plan. As used in this section, the term “facts” includes, without limitation, the occurrence of an event, including a determination or action by a person or body, including a constituent entity.

      Sec. 62. NRS 92A.205 is hereby amended to read as follows:

      92A.205  1.  After a plan of conversion is approved as required by this chapter, if the resulting entity is a domestic entity, the constituent entity shall , at the time of filing the articles of conversion, deliver to the Secretary of State for filing:

      (a) Articles of conversion setting forth:

             (1) The name and jurisdiction of organization of the constituent entity and the resulting entity; and

             (2) That a plan of conversion has been adopted by the constituent entity in compliance with the law of the jurisdiction governing the constituent entity.

      (b) The charter document of the domestic resulting entity required by the applicable provisions of chapter 78, 78A, 78B, 82, 86, 87A, 88, 88A or 89 of NRS.

      (c) The information required pursuant to NRS 77.310.

      2.  After a plan of conversion is approved as required by this chapter, if the resulting entity is a foreign entity, the constituent entity shall deliver to the Secretary of State for filing articles of conversion setting forth:

      (a) The name and jurisdiction of organization of the constituent entity and the resulting entity;

      (b) That a plan of conversion has been adopted by the constituent entity in compliance with the laws of this State; and

      (c) The address of the resulting entity where copies of process may be sent by the Secretary of State.

      3.  If the entire plan of conversion is not set forth in the articles of conversion, the filing party must include in the articles of conversion a statement that the complete signed plan of conversion is on file at the registered office or principal place of business of the resulting entity or, if the resulting entity is a domestic limited partnership, at the principal office or with the custodian of records, as described in paragraph (a) of subsection 1 of NRS 87A.215 or paragraph (a) of subsection 1 of NRS 88.330.

      4.  If the conversion takes effect on a later date specified in the articles of conversion pursuant to NRS 92A.240, the charter document to be filed with the Secretary of State pursuant to paragraph (b) of subsection 1 must state the name and the jurisdiction of the constituent entity and that the existence of the resulting entity does not begin until the later date.

      5.  Any records filed with the Secretary of State pursuant to this section must be accompanied by the fees required pursuant to this title for filing the charter document.

      Sec. 63. NRS 14.020 is hereby amended to read as follows:

      14.020  1.  Every corporation, miscellaneous organization described in chapter 81 of NRS, limited-liability company, limited-liability partnership, limited partnership, limited-liability limited partnership, business trust and municipal corporation created and existing under the laws of this State, any other state, territory or foreign government, or the Government of the United States, doing business in this State shall appoint and keep in this State a registered agent who resides or is located in this State, upon whom all legal process and any demand or notice authorized by law to be served upon it may be served in the manner provided in subsection 2. A statement of change of registered agent must be filed in the manner provided in NRS 77.340 if the corporation, miscellaneous organization, limited-liability company, limited-liability partnership, limited partnership, limited-liability limited partnership, business trust or municipal corporation desires to change its registered agent.

 


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change of registered agent must be filed in the manner provided in NRS 77.340 if the corporation, miscellaneous organization, limited-liability company, limited-liability partnership, limited partnership, limited-liability limited partnership, business trust or municipal corporation desires to change its registered agent. A registered agent must file a statement of change in the manner provided in NRS 77.350 or 77.360 if the registered agent changes its name or address.

      2.  All legal process and any demand or notice authorized by law to be served upon the corporation, miscellaneous organization, limited-liability company, limited-liability partnership, limited partnership, limited-liability limited partnership, business trust or municipal corporation may be served upon the registered agent listed as the registered agent of the entity in the records of the Secretary of State, personally or by leaving a true copy thereof with a person of suitable age and discretion at the most recent street address of the registered agent shown on the information filed with the Secretary of State pursuant to chapter 77 of NRS. Service of legal process or any demand or notice pursuant to this subsection is valid regardless of whether the status of the entity in the records of the Secretary of State is in default or is revoked and regardless of any debts or disputes between the entity and its registered agent if such process is served within 3 years after the entity’s date of default.

      3.  Unless the street address of the registered agent is the home residence of the registered agent, the street address of the registered agent of a corporation, miscellaneous organization, limited-liability company, limited-liability partnership, limited partnership, limited-liability limited partnership, business trust or municipal corporation must be staffed during normal business hours by:

      (a) The registered agent; or

      (b) One or more natural persons who are:

             (1) Of suitable age and discretion to receive service of legal process and any demand or notice authorized by law to be served upon the corporation, miscellaneous organization, limited-liability company, limited-liability partnership, limited partnership, limited-liability limited partnership, business trust or municipal corporation; and

             (2) Authorized by the registered agent to receive service of legal process and any demand or notice authorized by law to be served upon the corporation, miscellaneous organization, limited-liability company, limited-liability partnership, limited partnership, limited-liability limited partnership, business trust or municipal corporation.

      4.  A corporation, miscellaneous organization, limited-liability company, limited-liability partnership, limited partnership, limited-liability limited partnership, business trust or municipal corporation that fails or refuses to comply with the requirements of subsection 3 is subject to a fine of not less than $100 nor more than $500 for each day of such failure or refusal to comply with the requirements of subsection 3, to be recovered with costs by the State, before any court of competent jurisdiction, by action at law prosecuted by the Attorney General or by the district attorney of the county in which the action or proceeding to recover the fine is prosecuted.

      5.  Subsection 2 provides an additional mode and manner of serving process, demand or notice and does not affect the validity of any other service authorized by law.

      6.  As used in this section:

 


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      (a) “Registered agent” has the meaning ascribed to it in NRS 77.230.

      (b) “Street address” means the actual physical location in this State at which a registered agent is available for service of process.

      Sec. 64. Chapter 225 of NRS is hereby amended by adding thereto a new section to read as follows:

      For the purpose of establishing the identity of an entity organized pursuant to title 7 of NRS or a person who is issued a state business license pursuant to chapter 76 of NRS or a certificate of exemption pursuant to NRS 76.105, the Secretary of State shall assign a unique business identification number to each such entity or person.

      Sec. 65.  NRS 84.130 is hereby repealed.

________

CHAPTER 264, SB 129

Senate Bill No. 129–Senators Goicoechea; Gustavson and Settelmeyer

 

Joint Sponsor: Assemblyman Ellison

 

CHAPTER 264

 

[Approved: May 27, 2015]

 

AN ACT relating to civil liability; limiting the civil liability of certain persons for injuries or death resulting from certain inherent risks of equine activities; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Section 1 of this bill provides immunity from civil liability to certain persons for an injury or death resulting from an inherent risk of an equine activity under certain circumstances.

      Existing law provides that certain nonprofit entities are not immune from civil liability for injury or death arising out of their activities under certain circumstances. Existing law also provides immunity from personal civil liability to certain persons acting in their official capacity for certain nonprofit entities under certain circumstances. (NRS 41.480) Section 2 of this bill provides immunity from civil liability to those persons and nonprofit entities for causes of action for injury or death resulting from an inherent risk of an equine activity under certain circumstances.

 

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

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. Chapter 41 of NRS is hereby amended by adding thereto a new section to read as follows:

      1.  Except as otherwise provided in this section, a sponsor, an equine professional, a veterinarian or any other person is immune from civil liability for an injury to or the death of a participant as a result of an inherent risk of an equine activity.

      2.  A participant shall:

      (a) Act in a safe and responsible manner when engaged in an equine activity; and

 


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      (b) Before engaging in an equine activity, know and be aware of the inherent risks of that activity.

      3.  A person is not immune from civil liability pursuant to this section if the person:

      (a) Provided to the participant defective tack or other equipment that caused the injury or death of the participant and the person knew or should have known of the defective condition of the tack or equipment.

      (b) Provided to the participant the equine upon or around which the injury or death occurred without making reasonable efforts to determine the ability of the participant to:

             (1) Engage in the equine activity safely; and

             (2) Control the equine based upon a representation made to the person by the participant concerning the ability of the participant to control that equine.

      (c) Owns, leases, rents or is otherwise in lawful possession and control of the property or facility where the injury or death occurred if the injury or death was the result of a dangerous latent condition that was known or should have been known to the person.

      (d) Committed an act or omission that:

             (1) Was in willful or wanton disregard for the safety of the participant; and

             (2) Caused the injury or death of the participant.

      (e) Intentionally injured or caused the death of the participant.

      (f) Failed to act responsibly while conducting an equine activity or maintaining an equine.

      4.  A person is not immune from civil liability pursuant to this section in an action for product liability.

      5.  As used in this section:

      (a) “Equine” means a horse, pony, mule, hinny or donkey.

      (b) “Equine activity” means an activity in which an equine is ridden, driven or otherwise used. The term includes, without limitation:

             (1) Shows, fairs, competitions, performances, parades, rodeos, cutting events, polo matches, steeplechases, endurance rides, trail rides or packing or hunting trips.

             (2) Lessons, training or other instructional activities.

             (3) Boarding an equine.

             (4) Riding, inspecting, evaluating or allowing the use of an equine owned by another person, regardless of whether the owner of the equine receives money or other consideration for the use of the equine.

             (5) Providing medical treatment for an equine.

             (6) Placing or measuring gear or tack on an equine.

             (7) Placing or replacing shoes on an equine.

Ê The term does not include a race for which a license is required pursuant to the provisions of chapter 466 of NRS.

      (c) “Equine professional” means a person who, for money or other consideration:

             (1) Provides to a participant lessons, training or instruction relating to an equine activity; or

             (2) Rents or leases to a participant an equine or tack or other equipment.

      (d) “Inherent risk of an equine activity” means a danger or condition that is an essential part of an equine activity, including, without limitation:

 


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             (1) The propensity of an equine to behave in a manner that may result in injury or death to a person who is on or near the equine;

             (2) The unpredictable reaction of an equine to sounds, sudden movements or unfamiliar objects, persons or other animals;

             (3) A hazardous surface or subsurface or other hazardous condition;

             (4) A collision with another animal or object; and

             (5) The failure of a participant to maintain control of an equine or to engage safely in an equine activity.

      (e) “Participant” means a person who engages in an equine activity, regardless of whether a fee is paid to engage in that activity. The term includes, without limitation:

             (1) A person who assists a participant in an equine activity; and

             (2) A spectator at an equine activity if the spectator is in an unauthorized area that is in the immediate area of the equine activity.

      (f) “Product liability” has the meaning ascribed to it in NRS 695E.090.

      (g) “Sponsor” means a person who organizes or provides money or a facility for an equine activity.

      Sec. 2. NRS 41.480 is hereby amended to read as follows:

      41.480  Except as otherwise provided in section 1 of this act:

      1.  A nonprofit corporation, association or organization formed under the laws of this State is not immune from liability for the injury or damage caused any person, firm or corporation as a result of the negligent or wrongful act of the nonprofit corporation, association or organization, or its agents, employees or servants acting within the scope of their agency or employment.

      2.  No action may be brought against an officer, trustee, director or other possessor of the corporate powers of a nonprofit association or trust formed under the laws of this State based on any act or omission arising from failure in his or her official capacity to exercise due care regarding the management or operation of the entity unless the act or omission involves intentional misconduct, fraud or a knowing violation of the law.

      Sec. 3.  The amendatory provisions of this act do not apply to a cause of action or claim arising from an injury or death specified in section 1 of this act that accrues before October 1, 2015.

________

 


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CHAPTER 265, SB 394

Senate Bill No. 394–Senators Roberson, Hardy, Farley, Hammond and Harris

 

Joint Sponsors: Assemblymen Hickey and Woodbury

 

CHAPTER 265

 

[Approved: May 27, 2015]

 

AN ACT relating to children; revising provisions relating to guardians ad litem for a child in certain circumstances; requiring the instruction of pupils in personal safety; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law authorizes certain courts to appoint an attorney to serve as a guardian ad litem to represent a child in certain matters concerning child welfare, and further provides that an attorney may not receive any compensation for services as a guardian ad litem. (NRS 432B.420) Existing law also requires certain courts to appoint a guardian ad litem, who must be a volunteer and who has had certain training, to represent a child in a proceeding to determine if a child is in need of protection, and provides that no compensation may be allowed a person serving as such a guardian ad litem. (NRS 432B.500, 432B.505) Sections 11 and 12 of this bill remove the prohibition on a guardian ad litem receiving compensation, and section 13 of this bill removes the requirement that a guardian ad litem be a volunteer.

      Sections 15 and 16 of this bill require pupils in public schools to be provided with age-appropriate instruction in personal safety. Section 15 requires the Department of Education, in consultation with persons and organizations who possess knowledge and expertise in the personal safety of children, to develop age-appropriate curriculum standards for teaching personal safety to children. The Department must also develop recommendations to assist a school district or a charter school to develop and implement various programs related to the personal safety of children. Section 16 requires the board of trustees of each school district and the governing body of each charter school to ensure that instruction on the personal safety of children be carried out as part of a course of study in health and based on the standards developed by the Department. The school district or charter school is required to determine the appropriate grade levels, course content and materials for such instruction, and the instruction must be provided by: (1) a licensed teacher; (2) an employee of the school district with special knowledge or training in the teaching of personal safety to children; (3) an employee of an agency which has as its primary purpose the teaching of personal safety to children; (4) an employee of a law enforcement agency; or (5) a volunteer of an agency which has as its primary purpose the teaching of personal safety to children who has undergone a background investigation and has special training in the teaching of personal safety. Section 16 also provides that the parent or guardian of each pupil to whom such instruction will be provided must be notified of such instruction and provided with an opportunity to review the instructional materials to be used and to submit a written request that the pupil be excused from the instruction, unless the course in which the instruction is provided is required for graduation.

      Finally, section 19 of this bill gives the Department until July 1, 2016, to develop the age-appropriate curriculum standards, and gives the board of trustees of each school district and the governing board of each charter school until July 1, 2020, to begin providing instruction in the personal safety of children.

 


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

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Sections 1-10. (Deleted by amendment.)

      Sec. 11. NRS 432B.420 is hereby amended to read as follows:

      432B.420  1.  A parent or other person responsible for the welfare of a child who is alleged to have abused or neglected the child may be represented by an attorney at all stages of any proceedings under NRS 432B.410 to 432B.590, inclusive. Except as otherwise provided in subsection 2, if the person is indigent, the court may appoint an attorney to represent the person. The court may, if it finds it appropriate, appoint an attorney to represent the child. The child may be represented by an attorney at all stages of any proceedings held pursuant to NRS 432B.410 to 432B.590, inclusive. If the child is represented by an attorney, the attorney has the same authority and rights as an attorney representing a party to the proceedings.

      2.  If the court determines that the parent of an Indian child for whom protective custody is sought is indigent, the court:

      (a) Shall appoint an attorney to represent the parent;

      (b) May appoint an attorney to represent the Indian child; and

      (c) May apply to the Secretary of the Interior for the payment of the fees and expenses of such an attorney,

Ê as provided in the Indian Child Welfare Act.

      3.  Each attorney, other than a public defender, if appointed under the provisions of subsection 1, is entitled to the same compensation and payment for expenses from the county as provided in NRS 7.125 and 7.135 for an attorney appointed to represent a person charged with a crime. Except as otherwise provided in NRS 432B.500, an attorney appointed to represent a child may also be appointed as guardian ad litem for the child. [An attorney may not receive any compensation for services as a guardian ad litem.]

      Sec. 12. NRS 432B.500 is hereby amended to read as follows:

      432B.500  1.  After a petition is filed that a child is in need of protection pursuant to NRS 432B.490, the court shall appoint a guardian ad litem for the child. The person so appointed:

      (a) Must meet the requirements of NRS 432B.505 or, if such a person is not available, a representative of an agency which provides child welfare services, a juvenile probation officer, an officer of the court or another volunteer.

      (b) Must not be a parent or other person responsible for the child’s welfare.

      2.  [No compensation may be allowed a person serving as a guardian ad litem pursuant to this section.

      3.]  A guardian ad litem appointed pursuant to this section shall:

      (a) Represent and protect the best interests of the child until excused by the court;

      (b) Thoroughly research and ascertain the relevant facts of each case for which the guardian ad litem is appointed, and ensure that the court receives an independent, objective account of those facts;

      (c) Meet with the child wherever the child is placed as often as is necessary to determine that the child is safe and to ascertain the best interests of the child;

 


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      (d) Explain to the child the role of the guardian ad litem and, when appropriate, the nature and purpose of each proceeding in the case;

      (e) Participate in the development and negotiation of any plans for and orders regarding the child, and monitor the implementation of those plans and orders to determine whether services are being provided in an appropriate and timely manner;

      (f) Appear at all proceedings regarding the child;

      (g) Inform the court of the desires of the child, but exercise independent judgment regarding the best interests of the child;

      (h) Present recommendations to the court and provide reasons in support of those recommendations;

      (i) Request the court to enter orders that are clear, specific and, when appropriate, include periods for compliance;

      (j) Review the progress of each case for which the guardian ad litem is appointed, and advocate for the expedient completion of the case; and

      (k) Perform such other duties as the court orders.

      Sec. 13. NRS 432B.505 is hereby amended to read as follows:

      432B.505  1.  To qualify for appointment as a guardian ad litem pursuant to NRS 432B.500 in a judicial district that includes a county whose population is less than 100,000, a special advocate must [be a volunteer from the community who completes] complete an initial 12 hours of specialized training and, annually thereafter, [completes] complete 6 hours of specialized training. The training must be approved by the court and include information regarding:

      (a) The dynamics of the abuse and neglect of children;

      (b) Factors to consider in determining the best interests of a child, including planning for the permanent placement of the child;

      (c) The interrelationships between the family system, legal process and system of child welfare;

      (d) Skills in mediation and negotiation;

      (e) Federal, state and local laws affecting children;

      (f) Cultural, ethnic and gender-specific issues;

      (g) Domestic violence;

      (h) Resources and services available in the community for children in need of protection;

      (i) Child development;

      (j) Standards for guardians ad litem;

      (k) Confidentiality issues; and

      (l) Such other topics as the court deems appropriate.

      2.  To qualify for appointment as a guardian ad litem pursuant to NRS 432B.500 in a judicial district that does not include a county whose population is less than 100,000, a special advocate must be qualified pursuant to the standards for training of the National Court Appointed Special Advocate Association or its successor. If such an Association ceases to exist, the court shall determine the standards for training.

      Sec. 14. Chapter 389 of NRS is hereby amended by adding thereto the provisions set forth as sections 15 and 16 of this act.

      Sec. 15. 1.  The Department, in consultation with persons and organizations who possess knowledge and expertise in the teaching of personal safety of children, shall develop:

 


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      (a) Age-appropriate curriculum standards based on best practices for teaching the personal safety of children to pupils in kindergarten and grades 1 to 12, inclusive.

      (b) Recommendations to assist a school district or charter school in developing:

             (1) A training plan to ensure that at least one employee at each school, as designated by the principal, receives training on the personal safety of children;

             (2) Educational materials and information to be distributed to parents, guardians or other caretakers of pupils regarding the personal safety of children and how and when to teach and reinforce concepts and skills of the personal safety of children; and

             (3) Policies and procedures for the referral of a child who has reported or experienced an incident that did or could have threatened his or her personal safety, and his or her family or guardian, if appropriate, to various services, including, without limitation, counseling or any other available services or resources.

      (c) Recommendations of existing research-based programs and curriculum samples to be considered for implementation.

      2.  The Department will review the standards and recommendations developed pursuant to subsection 1 on an annual basis to ensure that those standards and recommendations contain current information.

      3.  The Department may apply for and accept grants, gifts, donations, bequests or devises from any public or private source to carry out the provisions of this section.

      4.  As used in this section, “personal safety of children” means an age-appropriate recognition of various hazards and dangers that are particular to children, including, without limitation, the danger associated with unsafe persons, both known and unknown to the child, abuse, becoming lost or separated from a parent or guardian, and an awareness of age-appropriate steps a child may take to avoid, lessen or alleviate those hazards and dangers, including, without limitation, reporting threats of harm to a responsible adult.

      Sec. 16. 1.  The board of trustees of each school district and the governing body of each charter school shall ensure that instruction in the personal safety of children, based on the standards developed by the Department pursuant to section 15 of this act, be implemented as part of a course of study in health prescribed pursuant to paragraph (c) of subsection 3 of NRS 389.018.

      2.  The school district and the charter school, in accordance with the recommendations provided by the Department pursuant to subsection 1 of section 15 of this act, shall determine, for the instruction required by subsection 1:

      (a) The content of and materials to be used to provide the instruction; and

      (b) The grade levels in which the instruction will be provided.

      3.  A person who provides the instruction required by subsection 1 must be:

      (a) A licensed teacher;

      (b) An employee of the school district with special knowledge or training in the teaching of the personal safety of children;

 


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      (c) An employee of an agency which has as its primary purpose the teaching of the personal safety of children;

      (d) An employee of a law enforcement agency; or

      (e) A volunteer of an agency which has as its primary purpose the teaching of the personal safety of children and who meets the requirements of subsection 8.

      4.  The school district and the charter school shall develop a procedure for the notification of the parent or guardian of each pupil to whom the instruction required by subsection 1 is to be provided. The procedure must inform the parent or guardian that:

      (a) The parent or guardian may submit a written request that the pupil be excused from some or all of the instruction, except when the instruction is included in a course which is required for graduation; and

      (b) All instructional materials to be used in the instruction required by subsection 1 are available for inspection by the parent or guardian at reasonable times and locations before the instruction is provided.

      5.  A pupil whose parent or guardian submits a written request pursuant to paragraph (a) of subsection 4 must be excused from such instruction without any penalty as to credits or academic standing.

      6.  The school district and the charter school shall consider the recommendations developed by the Department pursuant to paragraph (b) of subsection 1 of section 15 of this act and, to the extent money is available for this purpose, develop and implement:

      (a) A training plan to ensure that all school employees receive training as to the teaching of the personal safety of children;

      (b) Educational materials and information to be distributed to parents, guardians or other caretakers of pupils regarding the teaching of the personal safety of children; and

      (c) Policies and procedures for the referral of a child who has reported or experienced an incident that did or could have threatened his or her personal safety, and his or her family or guardian, if appropriate, to various services, including, without limitation, counseling or any other available services or resources.

      7.  On or before August 1 of each year, each board of trustees and each governing body shall report to the Department for the preceding year:

      (a) The grade levels in which the instruction required by subsection 1 was conducted;

      (b) The curriculum content and materials distributed and utilized for the instruction required by subsection 1;

      (c) The person, persons or agency utilized to provide the instruction required by subsection 1; and

      (d) The number of reports or disclosures by pupils of incidents that did or could have threatened their personal safety during the preceding school year.

      8.  An agency which has as its primary purpose the teaching of the personal safety of children, before allowing any volunteer of the agency to provide instruction pursuant to paragraph (e) of subsection 3, must ensure that the volunteer has successfully completed:

      (a) A national background check, which must include, without limitation, a report of the criminal history of the volunteer from the Federal Bureau of Investigation and the Central Repository for Nevada Records of Criminal History;

 


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      (b) A child abuse and neglect screening through the Statewide Central Registry for the Collection of Information Concerning the Abuse or Neglect of a Child established pursuant to NRS 432.100; and

      (c) Adequate and appropriate training specific to providing instruction regarding the personal safety of children.

      9.  An agency which has as its primary purpose the teaching of the personal safety of children shall, upon request from a school district or charter school and to the extent allowed by federal law, make available to the school district or charter school documentation of the agency’s conclusions regarding a volunteer’s successful completion of the requirements of subsection 8.

      10.  A board of trustees of a school district and a governing body of a charter school may apply for and accept grants, gifts, donations, bequests or devises from any public or private source to carry out the provisions of this section.

      11.  As used in this section, “personal safety of children” has the meaning ascribed to it in section 15 of this act.

      Sec. 17. NRS 389.018 is hereby amended to read as follows:

      389.018  1.  The following subjects are designated as the core academic subjects that must be taught, as applicable for grade levels, in all public schools, the Caliente Youth Center, the Nevada Youth Training Center and any other state facility for the detention of children that is operated pursuant to title 5 of NRS:

      (a) English, including reading, composition and writing;

      (b) Mathematics;

      (c) Science; and

      (d) Social studies, which includes only the subjects of history, geography, economics and government.

      2.  Except as otherwise provided in this subsection, a pupil enrolled in a public high school must enroll in a minimum of:

      (a) Four units of credit in English;

      (b) Four units of credit in mathematics, including, without limitation, Algebra I and geometry, or an equivalent course of study that integrates Algebra I and geometry;

      (c) Three units of credit in science, including two laboratory courses; and

      (d) Three units of credit in social studies, including, without limitation:

             (1) American government;

             (2) American history; and

             (3) World history or geography.

Ê A pupil is not required to enroll in the courses of study and credits required by this subsection if the pupil, the parent or legal guardian of the pupil and an administrator or a counselor at the school in which the pupil is enrolled mutually agree to a modified course of study for the pupil and that modified course of study satisfies at least the requirements for a standard high school diploma or an adjusted diploma, as applicable.

      3.  Except as otherwise provided in this subsection, in addition to the core academic subjects, the following subjects must be taught as applicable for grade levels and to the extent practicable in all public schools, the Caliente Youth Center, the Nevada Youth Training Center and any other state facility for the detention of children that is operated pursuant to title 5 of NRS:

 


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      (a) The arts;

      (b) Computer education and technology;

      (c) Health; and

      (d) Physical education.

Ê If the State Board requires the completion of course work in a subject area set forth in this subsection for graduation from high school or promotion to the next grade, a public school shall offer the required course work. Except as otherwise provided for a course of study in health prescribed by subsection 1 of NRS 389.0185 [,] and the instruction prescribed by subsection 1 of section 16 of this act, unless a subject is required for graduation from high school or promotion to the next grade, a charter school is not required to comply with this subsection.

      Sec. 18. (Deleted by amendment.)

      Sec. 19.  1.  This act becomes effective upon passage and approval for the purpose of adopting regulations and performing any other preparatory administrative tasks that are necessary to carry out the provisions of this act.

      2.  This section and sections 1 to 13, inclusive, and 18 of this act become effective on January 1, 2016, for all other purposes.

      3.  Sections 14 and 15 of this act become effective on July 1, 2016, for all other purposes.

      4.  Sections 16 and 17 of this act become effective on July 1, 2020, for all other purposes.

________

CHAPTER 266, SB 306

Senate Bill No. 306–Senators Ford and Hammond

 

CHAPTER 266

 

[Approved: May 27, 2015]

 

AN ACT relating to common-interest communities; revising provisions governing a unit-owners’ association’s lien on a unit for certain amounts due to the association; revising provisions governing the foreclosure of an association’s lien; requiring the trustee under a deed of trust securing real property to provide a homeowners’ association certain notice concerning the Foreclosure Mediation Program under certain circumstances; requiring certain financial institutions to provide certain contact information to the Division of Financial Institutions of the Department of Business and Industry; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Under existing law, a unit-owners’ association has a lien on a unit for certain amounts due to the association and may foreclose its lien through a nonjudicial foreclosure sale. (NRS 116.3116-116.31168) Generally, the association’s lien is not prior to a first security interest on the unit recorded before the date on which the amount sought to be enforced became delinquent. However, the association’s lien is prior to the first security interest on the unit to the extent of certain maintenance and abatement charges and a certain amount of assessments for common expenses. The portion of the association’s lien that is prior to the first security interest on the unit is commonly referred to as the “super-priority lien.”

 


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commonly referred to as the “super-priority lien.” (NRS 116.3116) In SFR Investments Pool 1, LLC v. U.S. Bank, 130 Nev. Adv. Op. 75, 334 P.3d 408 (2014), the Nevada Supreme Court held that the foreclosure of the super-priority lien by the association extinguishes the first security interest on the unit.

      This bill amends various provisions governing the association’s super-priority lien and the procedures required for an association to foreclose its lien. Section 1 of this bill authorizes a limited amount of the costs of enforcing the association’s lien to be included in the super-priority lien. Section 1 also specifically states that an association, a member of the association’s executive board, an officer or employee of the association or the community manager of the association is not required to be a licensed debt collection agency or contract with a licensed debt collection agency to collect amounts included in the association’s lien until a notice and default and election to sell the unit to enforce the lien is recorded. Finally, section 1 specifically states that any payment of an amount included in the association’s lien by the holder of a subordinate lien on the unit becomes a debt due from the unit’s owner to the holder of the lien.

      Sections 2-7 of this bill revise provisions governing the procedures for the foreclosure of the association’s lien. Sections 2-4 revise provisions relating to the notice of the association’s foreclosure required to be given to the holders of recorded security interests on the unit. Under section 3, an association is required to mail by certified mail, not later than 10 days after recording the notice of default and election to sell, a copy of the notice to each holder of a security interest recorded before the association recorded the notice. Section 4 similarly requires the association to mail by certified mail, not later than 10 days after recording notice of the foreclosure sale of the unit, a copy of the notice of sale to each holder of a security interest recorded before the association recorded the notice of sale. Section 2 also: (1) specifically states that the mailing of the copy of the notice of default and election to sell and the copy of the notice of sale to each holder of a recorded security interest is a condition which must be satisfied before the association may sell the unit; and (2) requires the association to record an affidavit stating the name of each holder of a recorded security interest to whom a copy of the notice of default and election to sell and notice of sale was mailed and the address to which those notices were sent. Section 4 further requires the publishing, posting and giving of notice of the foreclosure sale of a unit by an association in a manner similar to the publishing, posting and giving of notice of the nonjudicial foreclosure sale of real property secured by a deed of trust.

      Sections 5 and 6 revise provisions relating to the foreclosure sale of a unit by an association. Section 5 requires the sale to be conducted at the same location that a nonjudicial foreclosure sale of real property secured by a deed of trust must be conducted. Section 5 also provides that if the sale is postponed by oral proclamation, the sale must be postponed to a later date at the same time and location. However, if the date of sale has been postponed by oral proclamation three times, any new sale information must be provided by giving certain notice of the sale. Finally, section 5 requires the person conducting the sale to announce at the sale whether or not the super-priority lien has been satisfied.

      Section 6 provides that if the holder of the first security interest pays the amount of the super-priority lien not later than 5 days before the date of sale, the foreclosure of the association’s lien does not extinguish the first security interest. Section 6 also provides that after a sale of a unit to enforce the association’s lien, the unit’s owner or a holder of a security interest on the unit may redeem the unit by paying certain amounts to the purchaser within 60 days after the sale. If the unit’s owner redeems the unit, the unit’s owner is restored to his or her ownership of the unit subject to any security interest on the unit that existed at the time of the sale. If a holder of a security interest on the unit redeems the unit, that holder becomes the owner of the unit. Section 6 further provides that upon expiration of the redemption period, any failure to comply with the requirements of existing law for the foreclosure of the association’s lien does not affect the rights of a bona fide purchaser or encumbrancer for value.

 


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      Existing law further provides that if a unit is subject to the Foreclosure Mediation Program, a unit-owners’ association may not foreclose its lien on the unit until the trustee has recorded the required certificate. (NRS 107.086, 116.31162) Section 2 revises the language of existing law and specifies that a unit-owners’ association may foreclose its lien on a unit that is subject to the Foreclosure Mediation Program if the unit’s owner has failed to pay amounts that became due to the association during the pendency of the mediation. Section 8 of this bill requires the trustee under a deed of trust to notify the association that a unit is subject to the Foreclosure Mediation Program, and to notify the association that the trustee has received the required certificate from the Program.

      Section 8.5 of this bill requires a financial institution that is a mortgagee or beneficiary of a deed of trust under certain residential mortgage loans to provide to the Division of Financial Institutions of the Department of Business and Industry the name and street address of a person to whom: (1) a borrower or a borrower’s representative may send information and notices to facilitate a mediation under the Foreclosure Mediation Program; and (2) a unit-owners’ association may mail notices concerning the association’s lien. Under section 8.5, the Division is required to maintain this information on its Internet website and provide a prominent display of, or a link to, this information on the home page of its Internet website.

 

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

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 116.3116 is hereby amended to read as follows:

      116.3116  1.  The association has a lien on a unit for any construction penalty that is imposed against the unit’s owner pursuant to NRS 116.310305, any assessment levied against that unit or any fines imposed against the unit’s owner from the time the construction penalty, assessment or fine becomes due. Unless the declaration otherwise provides, any penalties, fees, charges, late charges, fines and interest charged pursuant to paragraphs (j) to (n), inclusive, of subsection 1 of NRS 116.3102 and any costs of collecting a past due obligation charged pursuant to NRS 116.310313 are enforceable as assessments under this section. If an assessment is payable in installments, the full amount of the assessment is a lien from the time the first installment thereof becomes due.

      2.  A lien under this section is prior to all other liens and encumbrances on a unit except:

      (a) Liens and encumbrances recorded before the recordation of the declaration and, in a cooperative, liens and encumbrances which the association creates, assumes or takes subject to;

      (b) A first security interest on the unit recorded before the date on which the assessment sought to be enforced became delinquent or, in a cooperative, the first security interest encumbering only the unit’s owner’s interest and perfected before the date on which the assessment sought to be enforced became delinquent [; and] , except that a lien under this section is prior to a security interest described in this paragraph to the extent set forth in subsection 3;

      (c) Liens for real estate taxes and other governmental assessments or charges against the unit or cooperative [.

Ê The lien is also] ; and

      (d) Liens for any fee or charge levied pursuant to subsection 1 of NRS 444.520.

 


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      3.  A lien under this section is prior to all security interests described in paragraph (b) of subsection 2 to the extent of [any] :

      (a) Any charges incurred by the association on a unit pursuant to NRS 116.310312 [and to the extent of the] ;

      (b) The unpaid amount of assessments, not to exceed an amount equal to assessments for common expenses based on the periodic budget adopted by the association pursuant to NRS 116.3115 which would have become due in the absence of acceleration during the 9 months immediately preceding [institution of an action to enforce the lien,] the date on which the notice of default and election to sell is recorded pursuant to paragraph (b) of subsection 1 of NRS 116.31162; and

      (c) The costs incurred by the association to enforce the lien in an amount not to exceed the amounts set forth in subsection 5,

Ê unless federal regulations adopted by the Federal Home Loan Mortgage Corporation or the Federal National Mortgage Association require a shorter period of priority for the lien. If federal regulations adopted by the Federal Home Loan Mortgage Corporation or the Federal National Mortgage Association require a shorter period of priority for the lien, the period during which the lien is prior to all security interests described in paragraph (b) of subsection 2 must be determined in accordance with those federal regulations, except that notwithstanding the provisions of the federal regulations, the period of priority for the lien must not be less than the 6 months immediately preceding the recording of a notice of default and election to sell pursuant to paragraph (b) of subsection 1 of NRS 116.31162 or the institution of [an] a judicial action to enforce the lien.

      4.  This [subsection] section does not affect the priority of mechanics’ or materialmen’s liens, or the priority of liens for other assessments made by the association.

      [3.]5.  The amount of the costs of enforcing the association’s lien that are prior to the security interest described in paragraph (b) of subsection 2 must not exceed the actual costs incurred by the association, must not include more than one trustee’s sale guaranty and must not exceed:

      (a) For a demand or intent to lien letter, $150.

      (b) For a notice of delinquent assessment, $325.

      (c) For an intent to record a notice of default letter, $90.

      (d) For a notice of default, $400.

      (e) For a trustee’s sale guaranty, $400.

Ê No costs of enforcing the association’s lien, other than the costs described in this subsection, and no amount of attorney’s fees may be included in the amount of the association’s lien that is prior to the security interest described in paragraph (b) of subsection 2.

      6.  Notwithstanding any other provision of law, an association, or member of the executive board, officer, employee or unit’s owner of the association, acting under the authority of this chapter or the governing documents of the association, or the community manager of the association, or any employee, agent or affiliate of the community manager, while engaged in the management of the common-interest community governed by the association, is not required to be licensed as a collection agency pursuant to chapter 649 of NRS or hire or contract with a collection agency licensed pursuant to chapter 649 to collect amounts due to the association in accordance with subsection 1 before the recording of a notice of default and election to sell pursuant to paragraph (b) of subsection 1 of NRS 116.31162.

 


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to the association in accordance with subsection 1 before the recording of a notice of default and election to sell pursuant to paragraph (b) of subsection 1 of NRS 116.31162.

      7.  The holder of the security interest described in paragraph (b) of subsection 2 or the holder’s authorized agent may establish an escrow account, loan trust account or other impound account for advance contributions for the payment of assessments for common expenses based on the periodic budget adopted by the association pursuant to NRS 116.3115 if the unit’s owner and the holder of that security interest consent to the establishment of such an account. If such an account is established, payments from the account for assessments for common expenses must be made in accordance with the same due dates as apply to payments of such assessments by a unit’s owner.

      [4.]8.  Unless the declaration otherwise provides, if two or more associations have liens for assessments created at any time on the same property, those liens have equal priority.

      [5.]9.  Recording of the declaration constitutes record notice and perfection of the lien. No further recordation of any claim of lien for assessment under this section is required.

      [6.]10.  A lien for unpaid assessments is extinguished unless a notice of default and election to sell is recorded as required by paragraph (b) of subsection 1 of NRS 116.31162, or judicial proceedings to enforce the lien are instituted , within 3 years after the full amount of the assessments becomes due.

      [7.]11.  This section does not prohibit actions to recover sums for which subsection 1 creates a lien or prohibit an association from taking a deed in lieu of foreclosure.

      [8.]12.  A judgment or decree in any action brought under this section must include costs and reasonable attorney’s fees for the prevailing party.

      [9.]13.  The association, upon written request, shall furnish to a unit’s owner a statement setting forth the amount of unpaid assessments against the unit. If the interest of the unit’s owner is real estate or if a lien for the unpaid assessments may be foreclosed under NRS 116.31162 to 116.31168, inclusive, the statement must be in recordable form. The statement must be furnished within 10 business days after receipt of the request and is binding on the association, the executive board and every unit’s owner.

      [10.]14.  In a cooperative, upon nonpayment of an assessment on a unit, the unit’s owner may be evicted in the same manner as provided by law in the case of an unlawful holdover by a commercial tenant, and:

      (a) In a cooperative where the owner’s interest in a unit is real estate under NRS 116.1105, the association’s lien may be foreclosed under NRS 116.31162 to 116.31168, inclusive.

      (b) In a cooperative where the owner’s interest in a unit is personal property under NRS 116.1105, the association’s lien:

             (1) May be foreclosed as a security interest under NRS 104.9101 to 104.9709, inclusive; or

             (2) If the declaration so provides, may be foreclosed under NRS 116.31162 to 116.31168, inclusive.

      [11.]15.  In an action by an association to collect assessments or to foreclose a lien created under this section, the court may appoint a receiver to collect all rents or other income from the unit alleged to be due and owing to a unit’s owner before commencement or during pendency of the action.

 


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The receivership is governed by chapter 32 of NRS. The court may order the receiver to pay any sums held by the receiver to the association during pendency of the action to the extent of the association’s common expense assessments based on a periodic budget adopted by the association pursuant to NRS 116.3115.

      16.  Notwithstanding any other provision of law, any payment of an amount due to an association in accordance with subsection 1 by the holder of any lien or encumbrance on a unit that is subordinate to the association’s lien under this section becomes a debt due from the unit’s owner to the holder of the lien or encumbrance.

      Sec. 2. NRS 116.31162 is hereby amended to read as follows:

      116.31162  1.  Except as otherwise provided in subsection 5 [or 6,] , 6 or 7, in a condominium, in a planned community, in a cooperative where the owner’s interest in a unit is real estate under NRS 116.1105, or in a cooperative where the owner’s interest in a unit is personal property under NRS 116.1105 and the declaration provides that a lien may be foreclosed under NRS 116.31162 to 116.31168, inclusive, the association may foreclose its lien by sale after all of the following occur:

      (a) The association has mailed by certified or registered mail, return receipt requested, to the unit’s owner or his or her successor in interest, at his or her address, if known, and at the address of the unit, a notice of delinquent assessment which states the amount of the assessments and other sums which are due in accordance with subsection 1 of NRS 116.3116, a description of the unit against which the lien is imposed and the name of the record owner of the unit.

      (b) Not less than 30 days after mailing the notice of delinquent assessment pursuant to paragraph (a), the association or other person conducting the sale has executed and caused to be recorded, with the county recorder of the county in which the common-interest community or any part of it is situated, a notice of default and election to sell the unit to satisfy the lien which must contain the same information as the notice of delinquent assessment and which must also comply with the following:

             (1) Describe the deficiency in payment.

             (2) State the total amount of the deficiency in payment, with a separate statement of:

                   (I) The amount of the association’s lien that is prior to the first security interest on the unit pursuant to subsection 3 of NRS 116.3116 as of the date of the notice;

                   (II) The amount of the lien described in sub-subparagraph (I) that is attributable to assessments based on the periodic budget adopted by the association pursuant to NRS 116.3115 as of the date of the notice;

                   (III) The amount of the lien described in sub-subparagraph (I) that is attributable to amounts described in NRS 116.310312 as of the date of the notice; and

                   (IV) The amount of the lien described in sub-subparagraph (I) that is attributable to the costs of enforcing the association’s lien as of the date of the notice.

             (3) State that :

                   (I) If the holder of the first security interest on the unit does not satisfy the amount of the association’s lien that is prior to that first security interest pursuant to subsection 3 of NRS 116.3116, the association may foreclose its lien by sale and that the sale may extinguish the first security interest as to the unit; and

 


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interest pursuant to subsection 3 of NRS 116.3116, the association may foreclose its lien by sale and that the sale may extinguish the first security interest as to the unit; and

                   (II) If, not later than 5 days before the date of the sale, the holder of the first security interest on the unit satisfies the amount of the association’s lien that is prior to that first security interest pursuant to subsection 3 of NRS 116.3116 and, not later than 2 days before the date of the sale, a record of such satisfaction is recorded in the office of the recorder of the county in which the unit is located, the association may foreclose its lien by sale but the sale may not extinguish the first security interest as to the unit.

             (4) State the name and address of the person authorized by the association to enforce the lien by sale.

             [(3)](5) Contain, in 14-point bold type, the following warning:

 

WARNING! IF YOU FAIL TO PAY THE AMOUNT SPECIFIED IN THIS NOTICE, YOU COULD LOSE YOUR HOME, EVEN IF THE AMOUNT IS IN DISPUTE!

 

      (c) The unit’s owner or his or her successor in interest has failed to pay the amount of the lien, including costs, fees and expenses incident to its enforcement, for 90 days following the recording of the notice of default and election to sell.

      (d) The unit’s owner or his or her successor in interest, or the holder of a recorded security interest on the unit, has, for a period which commences in the manner and subject to the requirements described in subsection 3 and which expires 5 days before the date of sale, failed to pay the assessments and other sums that are due to the association in accordance with subsection 1 of NRS 116.3116.

      (e) The association or other person conducting the sale has executed and caused to be recorded, with the county recorder of the county in which the common-interest community or any part of it is situated, an affidavit which states, based on the direct, personal knowledge of the affiant, the personal knowledge which the affiant acquired by a review of a trustee sale guarantee or a similar product or the personal knowledge which the affiant acquired by a review of the business records of the association or other person conducting the sale, which business records must meet the standards set forth in NRS 51.135, the following:

             (1) The name of each holder of a security interest on the unit to which the notice of default and election to sell and the notice of sale was mailed, as required by subsection 2 of NRS 116.31163 and paragraph (d) of subsection 1 of NRS 116.311635; and

             (2) The address at which the notices were mailed to each such holder of a security interest.

      2.  The notice of default and election to sell must be signed by the person designated in the declaration or by the association for that purpose or, if no one is designated, by the president of the association.

      3.  The period of 90 days described in paragraph (c) of subsection 1 begins on the first day following:

      (a) The date on which the notice of default and election to sell is recorded; or

 


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      (b) The date on which a copy of the notice of default and election to sell is mailed by certified or registered mail, return receipt requested, to the unit’s owner or his or her successor in interest at his or her address, if known, and at the address of the unit,

Ê whichever date occurs later.

      4.  An association may not mail to a unit’s owner or his or her successor in interest a letter of its intent to mail a notice of delinquent assessment pursuant to paragraph (a) of subsection 1, mail the notice of delinquent assessment or take any other action to collect a past due obligation from a unit’s owner or his or her successor in interest unless [, not] :

      (a) Not earlier than 60 days after the obligation becomes past due, the association mails to the address on file for the unit’s owner:

      [(a)](1) A schedule of the fees that may be charged if the unit’s owner fails to pay the past due obligation;

      [(b)](2) A proposed repayment plan; and

      [(c)](3) A notice of the right to contest the past due obligation at a hearing before the executive board and the procedures for requesting such a hearing [.] ; and

      (b) Within 30 days after the date on which the information described in paragraph (a) is mailed, the past due obligation has not been paid in full or the unit’s owner or his or her successor in interest has not entered into a repayment plan or requested a hearing before the executive board. If the unit’s owner or his or her successor in interest requests a hearing or enters into a repayment plan within 30 days after the date on which the information described in paragraph (a) is mailed and is unsuccessful at the hearing or fails to make a payment under the repayment plan within 10 days after the due date, the association may take any lawful action pursuant to subsection 1 to enforce its lien.

      5.  The association may not foreclose a lien by sale if the association has not mailed a copy of the notice of default and election to sell and a copy of the notice of sale to each holder of a security interest on the unit in the manner and subject to the requirements set forth in subsection 2 of NRS 116.31163 and paragraph (d) of subsection 1 of 116.311635.

      6.  The association may not foreclose a lien by sale based on a fine or penalty for a violation of the governing documents of the association unless:

      (a) The violation poses an imminent threat of causing a substantial adverse effect on the health, safety or welfare of the units’ owners or residents of the common-interest community; or

      (b) The penalty is imposed for failure to adhere to a schedule required pursuant to NRS 116.310305.

      [6.]7.  The association may not foreclose a lien by sale if [:

      (a) The unit is owner-occupied housing encumbered by a deed of trust;

      (b) The beneficiary under the deed of trust, the successor in interest of the beneficiary or the trustee has recorded a notice of default and election to sell with respect to the unit pursuant to subsection 2 of NRS 107.080; and

      (c) The] the association has received notice pursuant to NRS 107.086 that the unit is subject to foreclosure mediation pursuant to that section, unless:

      (a) The trustee of record has [not] recorded the certificate provided to the trustee pursuant to subparagraph (1) or (2) of paragraph [(d)] (e) of subsection 2 of NRS 107.086 [.

 


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Ê As used in this subsection, “owner-occupied housing” has the meaning ascribed to it in NRS 107.086.] ; or

      (b) The unit’s owner has failed to pay to the association any amounts enforceable as assessments pursuant to subsection 1 of NRS 116.3116 that become due during the pendency of foreclosure mediation pursuant to NRS 107.086, other than past due obligations as described in subsection 10 of NRS 107.086.

      Sec. 3. NRS 116.31163 is hereby amended to read as follows:

      116.31163  The association or other person conducting the sale shall also mail, within 10 days after the notice of default and election to sell is recorded, a copy of the notice by [first-class] certified mail to:

      1.  Each person who has requested notice pursuant to NRS [107.090 or] 116.31168; and

      2.  [Any] Each holder of a recorded security interest encumbering the unit’s owner’s interest [who has notified the association, 30 days] which was recorded before the recordation of the notice of default, [of the existence of the security interest; and

      3.  A purchaser of the unit, if the unit’s owner has notified the association, 30 days before the recordation of the notice, that the unit is the subject of a contract of sale and the association has been requested to furnish the certificate required by NRS 116.4109.] at the address of the holder that is provided pursuant to section 8.5 of this act on the Internet website maintained by the Division of Financial Institutions of the Department of Business and Industry.

      Sec. 4. NRS 116.311635 is hereby amended to read as follows:

      116.311635  1.  The association or other person conducting the sale shall also, after the expiration of the [90 days] 90-day period described in paragraph (c) of subsection 1 of NRS 116.31162 and before selling the unit [:

      (a) Give] , give notice of the time and place of the sale [in the manner and for a time not less than that required by law for the sale of real property upon execution, except that in lieu of following the procedure for service on a judgment debtor pursuant to NRS 21.130, service must be made on] by recording the notice of sale and by:

      (a) Posting a similar notice particularly describing the unit, for 20 days consecutively, in a public place in the county where the unit is situated;

      (b) Publishing a copy of the notice three times, once each week for 3 consecutive weeks, in a newspaper of general circulation in the county where the unit is situated;

      (c) Notifying the unit’s owner or his or her successor in interest as follows:

             (1) A copy of the notice of sale must be mailed, on or before the date of first publication or posting, by certified or registered mail, return receipt requested, to the unit’s owner or his or her successor in interest at his or her address, if known, and to the address of the unit; and

             (2) A copy of the notice of sale must be served, on or before the date of first publication or posting, in the manner set forth in subsection 2; and

      [(b) Mail,]

      (d) Mailing, on or before the date of first publication or posting, a copy of the notice by certified [or registered] mail [, return receipt requested,] to:

             (1) Each person entitled to receive a copy of the notice of default and election to sell notice under subsection 1 of NRS 116.31163;

 


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             (2) The holder of a [recorded] security interest [or the purchaser of the unit, if either of them has notified the association,] recorded before the mailing of the notice of sale [, of the existence of the security interest, lease or contract of sale, as applicable;] , at the address of the holder that is provided pursuant to section 8.5 of this act on the Internet website maintained by the Division of Financial Institutions of the Department of Business and Industry; and

             (3) The Ombudsman.

      2.  In addition to the requirements set forth in subsection 1, a copy of the notice of sale must be served:

      (a) By a person who is 18 years of age or older and who is not a party to or interested in the sale by personally delivering a copy of the notice of sale to an occupant of the unit who is of suitable age; or

      (b) By posting a copy of the notice of sale in a conspicuous place on the unit.

      3.  Any copy of the notice of sale required to be served pursuant to this section must include:

      (a) The amount necessary to satisfy the lien as of the date of the proposed sale; and

      (b) The following warning in 14-point bold type:

 

WARNING! A SALE OF YOUR PROPERTY IS IMMINENT! UNLESS YOU PAY THE AMOUNT SPECIFIED IN THIS NOTICE BEFORE THE SALE DATE, YOU COULD LOSE YOUR HOME, EVEN IF THE AMOUNT IS IN DISPUTE. YOU MUST ACT BEFORE THE SALE DATE. IF YOU HAVE ANY QUESTIONS, PLEASE CALL (name and telephone number of the contact person for the association). IF YOU NEED ASSISTANCE, PLEASE CALL THE FORECLOSURE SECTION OF THE OMBUDSMAN’S OFFICE, NEVADA REAL ESTATE DIVISION, AT (toll-free telephone number designated by the Division) IMMEDIATELY.

 

      4.  Proof of service of any copy of the notice of sale required to be served pursuant to this section must consist of:

      (a) A certificate of mailing which evidences that the notice was mailed through the United States Postal Service; or

      (b) An affidavit of service signed by the person who served the notice stating:

             (1) The time of service, manner of service and location of service; and

             (2) The name of the person served or, if the notice was not served on a person, a description of the location where the notice was posted on the unit.

      Sec. 5. NRS 116.31164 is hereby amended to read as follows:

      116.31164  1.  The sale must be conducted in accordance with the provisions of this section.

      2.  If the holder of the security interest described in paragraph (b) of subsection 2 of NRS 116.3116 satisfies the amount of the association’s lien that is prior to its security interest not later than 5 days before the date of sale, the sale may not occur unless a record of such satisfaction is recorded in the office of the county recorder of the county in which the unit is located not later than 2 days before the date of sale.

 


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in the office of the county recorder of the county in which the unit is located not later than 2 days before the date of sale.

      3.  The sale must be [conducted] made between the hours of 9 a.m. and 5 p.m. and:

      (a) If the unit is located in a county whose population is less than 100,000, at the courthouse in the county in which the [common-interest community] unit [or part of it] is [situated, and] located.

      (b) If the unit is located in a county whose population is 100,000 or more, at the public location in the county designated by the governing body of the county to conduct a sale of real property pursuant to NRS 107.080.

      4.  The sale may be conducted by the association, its agent or attorney, or a title insurance company or escrow agent licensed to do business in this State . [, except that the sale may be made at the office of the association if the notice of the sale so provided, whether the unit is located within the same county as the office of the association or not.]

      5. The association or other person conducting the sale may from time to time postpone the sale by such advertisement and notice as it considers reasonable or, without further advertisement or notice, by proclamation made to the persons assembled at the time and place previously set and advertised for the sale [.

      2.], except that:

      (a) If the sale is postponed by oral proclamation, the sale must be postponed to a later date at the same time and location; and

      (b) If such a date has been postponed by oral proclamation three times, any new sale information must be provided by notice as provided in NRS 116.311635.

      6.  On the day of sale , [originally advertised or to which the sale is postponed,] at the time and place specified in the notice , [or postponement,] the person conducting the sale [may] :

      (a) Shall state to the persons assembled for the sale whether or not the holder of the security interest described in paragraph (b) of subsection 2 of NRS 116.3116 has satisfied the amount of the association’s lien that is prior to that first security interest pursuant to subsection 3 of NRS 116.3116.

      (b) May sell the unit at public auction to the highest cash bidder. Except as otherwise provided in this subsection, the person conducting the sale or any entity in which that person holds an interest may not become a purchaser at the sale. Unless otherwise provided in the declaration or by agreement, the association may purchase the unit and hold, lease, mortgage or convey it. The association may purchase by a credit bid up to the amount of the unpaid assessments and any permitted costs, fees and expenses incident to the enforcement of its lien.

      [3.]7.  After the sale, the person conducting the sale shall [:

      (a) Make, execute and, after payment is made, deliver to the purchaser, or his or her successor or assign, a deed without warranty which conveys to the grantee all title of the unit’s owner to the unit;

      (b) Deliver a copy of the deed to the Ombudsman within 30 days after the deed is delivered to the purchaser, or his or her successor or assign;] :

      (a) Comply with the provisions of subsection 2 of NRS 116.31166; and

      [(c)](b) Apply the proceeds of the sale for the following purposes in the following order:

 


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             (1) The reasonable expenses of sale;

             (2) The reasonable expenses of securing possession before sale, holding, maintaining, and preparing the unit for sale, including payment of taxes and other governmental charges, premiums on hazard and liability insurance, and, to the extent provided for by the declaration, reasonable attorney’s fees and other legal expenses incurred by the association;

             (3) Satisfaction of the association’s lien;

             (4) Satisfaction in the order of priority of any subordinate claim of record; and

             (5) Remittance of any excess to the unit’s owner.

      Sec. 6. NRS 116.31166 is hereby amended to read as follows:

      116.31166  1.  Every sale of a unit pursuant to NRS 116.31162 to 116.31168, inclusive, vests in the purchaser the title of the unit’s owner subject to the right of redemption provided by this section. If the holder of the security interest described in paragraph (b) of subsection 2 of NRS 116.3116 satisfies the amount of the association’s lien that is prior to its security interest not later than 5 days before the date of sale, the sale of the unit does not extinguish that security interest to any extent.

      2.  After the sale conducted pursuant to NRS 116.31164, the person conducting the sale shall:

      (a) Give to the purchaser a certificate of the sale containing:

             (1) A particular description of the unit sold;

             (2) The price bid for the unit;

             (3) The whole price paid; and

             (4) A statement that the unit is subject to redemption; and

      (b) Record a copy of the certificate in the office of the county recorder of the county in which the unit or part of it is located.

      3.  A unit sold pursuant to NRS 116.31162 to 116.31168, inclusive, may be redeemed by the unit’s owner whose interest in the unit was extinguished by the sale, or his or her successor in interest, or any holder of a recorded security interest that is subordinate to the lien on which the unit was sold, or that holder’s successor in interest. The unit’s owner whose interest in the unit was extinguished, the holder of the recorded security interest on the unit or a successor in interest of those persons may redeem the property at any time within 60 days after the sale by paying :

      (a) The purchaser the amount of his or her purchase price, with interest at the rate of 1 percent per month thereon in addition, to the time of redemption, plus:

             (1) The amount of any assessment, taxes or payments toward liens which were created before the purchase and which the purchaser may have paid thereon after the purchase, and interest on such amount;

             (2) If the purchaser is also a creditor having a prior lien to that of the redemptioner, other than the association’s lien under which the purchase was made, the amount of such lien, and interest on such amount; and

             (3) Any reasonable amount expended by the purchaser which is reasonably necessary to maintain and repair the unit in accordance with the standards set forth in the governing documents, including, without limitation, any provisions governing maintenance, standing water or snow removal; and

      (b) If the redemptioner is the holder of a recorded security interest on the unit or the holder’s successor in interest, the amount of any lien before his or her own lien, with interest, but the association’s lien under which the unit was sold is not required to be so paid as a lien.

 


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his or her own lien, with interest, but the association’s lien under which the unit was sold is not required to be so paid as a lien.

      4.  Notice of redemption must be served by the person redeeming the unit on the person who conducted the sale and on the person from whom the unit is redeemed, together with:

      (a) If the person redeeming the unit is the unit’s owner whose interest in the unit was extinguished by the sale or his or her successor in interest, a certified copy of the deed to the unit and, if the person redeeming the unit is the successor of that unit’s owner, a copy of any document necessary to establish that the person is the successor of the unit’s owner.

      (b) If the person redeeming the unit is the holder of a recorded security interest on the unit or the holder’s successor in interest:

             (1) An original or certified copy of the deed of trust securing the unit or a certified copy of any other recorded security interest of the holder.

             (2) A copy of any assignment necessary to establish the claim of the person redeeming the unit, verified by the affidavit of that person, or that person’s agent, or of a subscribing witness thereto.

             (3) An affidavit by the person redeeming the unit, or that person’s agent, showing the amount then actually due on the lien.

      5.  If the unit’s owner whose interest in the unit was extinguished by the sale redeems the property as provided in this section:

      (a) The effect of the sale is terminated, and the unit’s owner is restored to his or her interest in the unit, subject to any security interest on the unit that existed at the time of sale; and

      (b) The person to whom the redemption amount was paid must execute and deliver to the unit’s owner a certificate of redemption, acknowledged or approved before a person authorized to take acknowledgements of conveyances of real property, and the certificate must be recorded in the office of the recorder of the county in which the unit or part of the unit is situated.

      6.  If the holder of a recorded security interest redeems the unit as provided in this section and the period for a redemption set forth in subsection 3 has expired, the person conducting the sale shall:

      (a) Make, execute and, if the amount required to redeem the unit is paid to the person from whom the unit is redeemed, deliver to the person who redeemed the unit or his or her successor or assign, a deed without warranty which conveys to the person who redeemed the unit all title of the unit’s owner to the unit; and

      (b) Deliver a copy of the deed to the Ombudsman within 30 days after the deed is delivered to the person who redeemed the unit, or his or her successor or assign.

      7.  If no redemption is made within 60 days after the date of sale, the person conducting the sale shall:

      (a) Make, execute and, if payment is made, deliver to the purchaser, or his or her successor or assign, a deed without warranty which conveys to the purchaser all title of the unit’s owner to the unit; and

      (b) Deliver a copy of the deed to the Ombudsman within 30 days after the deed is delivered to the purchaser, or his or her successor or assign.

      8. The recitals in a deed made pursuant to [NRS 116.31164] subsection 6 or 7 of:

      (a) Default, the mailing of the notice of delinquent assessment, and the mailing and recording of the notice of default and election to sell;

 


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      (b) The elapsing of the [90 days; and] 90-day period set forth in paragraph (c) of subsection 1 of NRS 116.31162;

      (c) The [giving] recording, mailing, publishing and posting of the notice of sale [,] ;

      (d) The failure to pay the assessments and other sums which are due in accordance with subsection 1 of NRS 116.3116 before the expiration of the period described in paragraph (d) of subsection 1 of NRS 116.31162; and

      (e) The recording of the affidavit required to be recorded pursuant to paragraph (e) of subsection 1 of NRS 116.31162,

Ê are conclusive proof of the matters recited.

      [2.  Such a]

      9.  A deed containing [those] the recitals set forth in subsection 8 is conclusive against the unit’s former owner, his or her heirs and assigns, and all other persons. The receipt for the purchase money contained in such a deed is sufficient to discharge the purchaser from obligation to see to the proper application of the purchase money.

      [3.  The sale of a unit pursuant to NRS 116.31162, 116.31163 and 116.31164 vests in the purchaser the title of the unit’s owner without equity or right of redemption.]

      10.  Upon the expiration of the redemption period set forth in subsection 3, any failure to comply with the provisions of NRS 116.3116 to 116.31168, inclusive, does not affect the rights of a bona fide purchaser or bona fide encumbrancer for value.

      Sec. 7. NRS 116.31168 is hereby amended to read as follows:

      116.31168  1.  [The provisions of NRS 107.090 apply to the foreclosure of an association’s lien as if a deed of trust were being foreclosed. The request must identify the lien by stating the names of the unit’s owner and the common-interest community.

      2.  An association may, after recording a notice of default and election to sell, waive the default and withdraw the notice or any proceeding to foreclose. The association is thereupon restored to its former position and has the same rights as though the notice had not been recorded.] A person with an interest or any other person who is or may be held liable for any amounts which are the subject of the association’s lien pursuant to NRS 116.3116 or the servicer of a loan secured by a deed of trust or mortgage on real property which is subject to such lien desiring a copy of a notice of default and election to sell or notice of sale under the association’s lien may record in the office of the county recorder of the county in which any part of the real property is situated an acknowledged request for a copy of the notice of default and election to sell or the notice of sale. The request must:

      (a) State the name and address of the person requesting copies of the notices;

      (b) State a legal description of the unit in which the person has an interest or the assessor’s parcel number of that unit; and

      (c) The names of the unit’s owner and the common-interest community.

      2.  The association or other person authorized to record the notice of default and election to sell shall, within 10 days after the notice is recorded and mailed pursuant to NRS 116.31162, cause to be deposited in the United States mail an envelope, registered or certified, return receipt requested and with postage prepaid, containing a copy of the notice, addressed to each person who has recorded a request for a copy of the notice.

 


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requested and with postage prepaid, containing a copy of the notice, addressed to each person who has recorded a request for a copy of the notice.

      3.  The association or other person authorized to make the sale shall, at least 20 days before the date of sale, cause to be deposited in the United States mail an envelope, registered or certified, return receipt requested and with postage prepaid, containing a copy of the notice of time and place of sale, addressed to each person described in subsection 2.

      4.  As used in this section, “person with an interest” means any person who has or claims any right, title or interest in, or lien or charge upon, a unit being foreclosed pursuant to NRS 116.31162 to 116.31168, inclusive.

      Sec. 8. NRS 107.086 is hereby amended to read as follows:

      107.086  1.  Except as otherwise provided in this subsection, in addition to the requirements of NRS 107.085, the exercise of the power of sale pursuant to NRS 107.080 with respect to any trust agreement which concerns owner-occupied housing is subject to the provisions of this section. The provisions of this section do not apply to the exercise of the power of sale if the notice of default and election to sell recorded pursuant to subsection 2 of NRS 107.080 includes an affidavit and a certification indicating that, pursuant to NRS 107.130, an election has been made to use the expedited procedure for the exercise of the power of sale with respect to abandoned residential property.

      2.  The trustee shall not exercise a power of sale pursuant to NRS 107.080 unless the trustee:

      (a) Includes with the notice of default and election to sell which is mailed to the grantor or the person who holds the title of record as required by subsection 3 of NRS 107.080:

             (1) Contact information which the grantor or the person who holds the title of record may use to reach a person with authority to negotiate a loan modification on behalf of the beneficiary of the deed of trust;

             (2) Contact information for at least one local housing counseling agency approved by the United States Department of Housing and Urban Development;

             (3) A notice provided by the Mediation Administrator indicating that the grantor or the person who holds the title of record will be enrolled to participate in mediation pursuant to this section if he or she pays to the Mediation Administrator his or her share of the fee established pursuant to subsection 11; and

             (4) A form upon which the grantor or the person who holds the title of record may indicate an election to waive mediation pursuant to this section and one envelope addressed to the trustee and one envelope addressed to the Mediation Administrator, which the grantor or the person who holds the title of record may use to comply with the provisions of subsection 3;

      (b) In addition to including the information described in paragraph (a) with the notice of default and election to sell which is mailed to the grantor or the person who holds the title of record as required by subsection 3 of NRS 107.080, provides to the grantor or the person who holds the title of record the information described in paragraph (a) concurrently with, but separately from, the notice of default and election to sell which is mailed to the grantor or the person who holds the title of record as required by subsection 3 of NRS 107.080;

 


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      (c) Serves a copy of the notice upon the Mediation Administrator; [and]

      (d) If the owner-occupied housing is located within a common-interest community, notifies the unit-owners’ association of the common-interest community, not later than 10 days after mailing the copy of the notice of default and election to sell as required by subsection 3 of NRS 107.080, that the exercise of the power of sale is subject to the provisions of this section; and

      (e) Causes to be recorded in the office of the recorder of the county in which the trust property, or some part thereof, is situated:

             (1) The certificate provided to the trustee by the Mediation Administrator pursuant to subsection 4 or 7 which provides that no mediation is required in the matter; or

             (2) The certificate provided to the trustee by the Mediation Administrator pursuant to subsection 8 which provides that mediation has been completed in the matter.

      3.  If the grantor or the person who holds the title of record elects to waive mediation, he or she shall, not later than 30 days after service of the notice in the manner required by NRS 107.080, complete the form required by subparagraph (4) of paragraph (a) of subsection 2 and return the form to the trustee and the Mediation Administrator by certified mail, return receipt requested. If the grantor or the person who holds the title of record does not elect to waive mediation, he or she shall, not later than 30 days after the service of the notice in the manner required by NRS 107.080, pay to the Mediation Administrator his or her share of the fee established pursuant to subsection 11. Upon receipt of the share of the fee established pursuant to subsection 11 owed by the grantor or the person who holds title of record, the Mediation Administrator shall notify the trustee, by certified mail, return receipt requested, of the enrollment of the grantor or person who holds the title of record to participate in mediation pursuant to this section and shall assign the matter to a senior justice, judge, hearing master or other designee and schedule the matter for mediation. The trustee shall notify the beneficiary of the deed of trust and every other person with an interest as defined in NRS 107.090, by certified mail, return receipt requested, of the enrollment of the grantor or the person who holds the title of record to participate in mediation. If the grantor or person who holds the title of record is enrolled to participate in mediation pursuant to this section, no further action may be taken to exercise the power of sale until the completion of the mediation.

      4.  If the grantor or the person who holds the title of record indicates on the form described in subparagraph (4) of paragraph (a) of subsection 2 an election to waive mediation or fails to pay to the Mediation Administrator his or her share of the fee established pursuant to subsection 11, as required by subsection 3, the Mediation Administrator shall, not later than 60 days after the Mediation Administrator receives the form indicating an election to waive mediation or 90 days after the service of the notice in the manner required by NRS 107.080, whichever is earlier, provide to the trustee a certificate which provides that no mediation is required in the matter.

      5.  Each mediation required by this section must be conducted by a senior justice, judge, hearing master or other designee pursuant to the rules adopted pursuant to subsection 11. The beneficiary of the deed of trust or a representative shall attend the mediation. The grantor or his or her representative, or the person who holds the title of record or his or her representative, shall attend the mediation.

 


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representative, shall attend the mediation. The beneficiary of the deed of trust shall bring to the mediation the original or a certified copy of the deed of trust, the mortgage note and each assignment of the deed of trust or mortgage note. If the beneficiary of the deed of trust is represented at the mediation by another person, that person must have authority to negotiate a loan modification on behalf of the beneficiary of the deed of trust or have access at all times during the mediation to a person with such authority.

      6.  If the beneficiary of the deed of trust or the representative fails to attend the mediation, fails to participate in the mediation in good faith or does not bring to the mediation each document required by subsection 5 or does not have the authority or access to a person with the authority required by subsection 5, the mediator shall prepare and submit to the Mediation Administrator a petition and recommendation concerning the imposition of sanctions against the beneficiary of the deed of trust or the representative. The court may issue an order imposing such sanctions against the beneficiary of the deed of trust or the representative as the court determines appropriate, including, without limitation, requiring a loan modification in the manner determined proper by the court.

      7.  If the grantor or the person who holds the title of record is enrolled to participate in mediation pursuant to this section but fails to attend the mediation, the Mediation Administrator shall, not later than 30 days after the scheduled mediation, provide to the trustee a certificate which states that no mediation is required in the matter.

      8.  If the mediator determines that the parties, while acting in good faith, are not able to agree to a loan modification, the mediator shall prepare and submit to the Mediation Administrator a recommendation that the matter be terminated. The Mediation Administrator shall, not later than 30 days after submittal of the mediator’s recommendation that the matter be terminated, provide to the trustee a certificate which provides that the mediation required by this section has been completed in the matter.

      9.  Upon receipt of the certificate provided to the trustee by the Mediation Administrator pursuant to subsection 4, 7 or 8, if the property is located within a common-interest community, the trustee shall , not later than 10 days after receipt of the certificate, notify the [unit-owner’s] unit-owners’ association [organized under NRS 116.3101] of the existence of the certificate.

      10.  During the pendency of any mediation pursuant to this section, a unit’s owner must continue to pay any obligation, other than any past due obligation.

      11.  The Supreme Court shall adopt rules necessary to carry out the provisions of this section. The rules must, without limitation, include provisions:

      (a) Designating an entity to serve as the Mediation Administrator pursuant to this section. The entities that may be so designated include, without limitation, the Administrative Office of the Courts, the district court of the county in which the property is situated or any other judicial entity.

      (b) Ensuring that mediations occur in an orderly and timely manner.

      (c) Requiring each party to a mediation to provide such information as the mediator determines necessary.

      (d) Establishing procedures to protect the mediation process from abuse and to ensure that each party to the mediation acts in good faith.

 


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      (e) Establishing a total fee of not more than $400 that may be charged and collected by the Mediation Administrator for mediation services pursuant to this section and providing that the responsibility for payment of the fee must be shared equally by the parties to the mediation.

      12.  Except as otherwise provided in subsection 14, the provisions of this section do not apply if:

      (a) The grantor or the person who holds the title of record has surrendered the property, as evidenced by a letter confirming the surrender or delivery of the keys to the property to the trustee, the beneficiary of the deed of trust or the mortgagee, or an authorized agent thereof; or

      (b) A petition in bankruptcy has been filed with respect to the grantor or the person who holds the title of record under chapter 7, 11, 12 or 13 of Title 11 of the United States Code and the bankruptcy court has not entered an order closing or dismissing the case or granting relief from a stay of foreclosure.

      13.  A noncommercial lender is not excluded from the application of this section.

      14.  The Mediation Administrator and each mediator who acts pursuant to this section in good faith and without gross negligence are immune from civil liability for those acts.

      15.  As used in this section:

      (a) “Common-interest community” has the meaning ascribed to it in NRS 116.021.

      (b) “Mediation Administrator” means the entity so designated pursuant to subsection 11.

      (c) “Noncommercial lender” means a lender which makes a loan secured by a deed of trust on owner-occupied housing and which is not a bank, financial institution or other entity regulated pursuant to title 55 or 56 of NRS.

      (d) “Obligation” has the meaning ascribed to it in NRS 116.310313.

      (e) “Owner-occupied housing” means housing that is occupied by an owner as the owner’s primary residence. The term does not include vacant land or any time share or other property regulated under chapter 119A of NRS.

      (f) “Unit-owners’ association” has the meaning ascribed to it in NRS 116.011.

      (g) “Unit’s owner” has the meaning ascribed to it in NRS 116.095.

      Sec. 8.5. Chapter 657 of NRS is hereby amended by adding thereto a new section to read as follows:

      1.  A bank, credit union, savings bank, savings and loan association, thrift company or other financial institution which is licensed, registered or otherwise authorized to do business in this State and which is the mortgagee or beneficiary of a deed of trust under a residential mortgage loan shall provide to the Division of Financial Institutions the name, street address and any other contact information of a person to whom:

      (a) A borrower or a representative of a borrower must send any document, record or notification necessary to facilitate a mediation conducted pursuant to NRS 40.437 or 107.086.

      (b) A unit-owners’ association must send any notice required to be given pursuant to NRS 116.3116 to 116.31168, inclusive.

      2.  The Division of Financial Institutions shall maintain on its Internet website the information provided to the Division pursuant to subsection 1 and provide a prominent display of, or a link to, the information described in subsection 1, on the home page of its Internet website.

 


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subsection 1 and provide a prominent display of, or a link to, the information described in subsection 1, on the home page of its Internet website.

      3.  As used in this section:

      (a) “Borrower” means a person who is a mortgagor or grantor of a deed of trust under a residential mortgage loan.

      (b) “Residential mortgage loan” means a loan which is primarily for personal, family or household use and which is secured by a mortgage or deed of trust on owner-occupied housing as defined in NRS 107.086.

      Sec. 9.  1.  Subsections 1 to 6, inclusive, of NRS 116.31162 and NRS 116.31163, as amended by sections 2 and 3 of this act, respectively, apply only to a notice of default and election to sell that is recorded pursuant to paragraph (b) of subsection 1 of NRS 116.31162, as amended by section 2 of this act, on or after October 1, 2015.

      2.  Subsection 7 of NRS 116.31162 and NRS 107.086, as amended by sections 2 and 8 of this act, respectively, apply if a notice of default and election to sell is recorded pursuant to NRS 107.080, on or after October 1, 2015.

      3.  NRS 116.311635 and 116.31164, as amended by sections 4 and 5 of this act, respectively, apply only if a notice of sale is recorded pursuant to NRS 116.311635, as amended by section 4 of this act, on or after October 1, 2015.

      4.  NRS 116.31166, as amended by section 6 of this act, applies only to a sale of a unit pursuant to NRS 116.31162 to 116.31168, inclusive, as amended by sections 2 to 7, inclusive, of this act, respectively, which occurs on or after October 1, 2015.

________

 

 

 

 

 

 

 


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CHAPTER 267, SB 410

Senate Bill No. 410–Senators Goicoechea and Hammond

 

CHAPTER 267

 

[Approved: May 28, 2015]

 

AN ACT relating to motor vehicles; revising the speed limit that is specific to school buses that are transporting pupils; making a conforming change in the provisions governing pupils who have a restricted driver’s license; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law provides that it is unlawful for any person to drive or operate a vehicle of any kind at a rate of speed that: (1) is greater than is reasonable or proper considering all the relevant conditions; (2) endangers the life, limb or property of any person; or (3) is greater than that posted by a public authority for the particular portion of highway being traversed. (NRS 484B.600) Existing law also provides that a school bus shall not exceed a speed of 55 miles per hour when transporting pupils to and from school or any activity which is properly a part of a school program. (NRS 484B.360) Section 2 of this bill replaces that restriction for a school bus when transporting pupils to and from those school activities with a requirement that the school bus not exceed the speed limit posted by a public authority for the portion of highway upon which the school bus is traveling.

      Existing law also limits the speed at which a pupil between the ages of 14 and 18 years who has a restricted license may travel to the same maximum speed established for a school bus. Section 1 of this bill replaces the reference to the speed limit set by law for school buses, which was revised by section 2 with a reference to the actual maximum speed of 55 miles per hour.

 

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

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 483.270 is hereby amended to read as follows:

      483.270  1.  The Department may issue a restricted license to any pupil between the ages of 14 and 18 years who is attending:

      (a) A public school in a school district in this State in a county whose population is less than 55,000 or in a city or town whose population is less than 25,000 when transportation to and from school is not provided by the board of trustees of the school district, if the pupil meets the requirements for eligibility adopted by the Department pursuant to subsection 5; or

      (b) A private school meeting the requirements for approval under NRS 392.070 when transportation to and from school is not provided by the private school,

Ê and it is impossible or impracticable to furnish such pupil with private transportation to and from school.

      2.  An application for the issuance of a restricted license under this section must:

      (a) Be made upon a form provided by the Department.

      (b) Be signed and verified as provided in NRS 483.300.

      (c) Include a written statement signed by the:

 


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             (1) Principal of the public school in which the pupil is enrolled or by a designee of the principal and which is provided to the applicant pursuant to NRS 392.123; or

             (2) Parent or legal guardian of the pupil which states that the pupil is excused from compulsory school attendance pursuant to NRS 392.070.

      (d) Contain such other information as may be required by the Department.

      3.  Any restricted license issued pursuant to this section:

      (a) Is effective only for the school year during which it is issued or for a more restricted period.

      (b) Authorizes the licensee to drive a motor vehicle on a street or highway only while going to and from school, and at a speed not in excess of [the speed limit set by law for school buses.] 55 miles per hour.

      (c) May contain such other restrictions as the Department may deem necessary and proper.

      (d) May authorize the licensee to transport as passengers in a motor vehicle driven by the licensee, only while the licensee is going to and from school, members of his or her immediate family, or other minor persons upon written consent of the parents or guardians of such minors, but in no event may the number of passengers so transported at any time exceed the number of passengers for which the vehicle was designed.

      4.  No restricted license may be issued under the provisions of this section until the Department is satisfied fully as to the applicant’s competency and fitness to drive a motor vehicle.

      5.  The Department shall adopt regulations that set forth the requirements for eligibility of a pupil to receive a restricted license pursuant to paragraph (a) of subsection 1.

      Sec. 2. NRS 484B.360 is hereby amended to read as follows:

      484B.360  A school bus shall not exceed : [a]

      1.  A speed of 55 miles per hour when transporting pupils to and from school ; or

      2.  The speed limit posted by a public authority for the portion of highway being traversed when transporting pupils to and from any activity which is properly a part of a school program.

      Sec. 3.  This act becomes effective on July 1, 2015.

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CHAPTER 268, SB 54

Senate Bill No. 54–Committee on Judiciary

                                                                               

CHAPTER 268

 

[Approved: May 28, 2015]

 

AN ACT relating to criminal procedure; revising provisions governing the commitment and release of incompetent criminal defendants; and providing other matters properly relating thereto.

Legislative Counsel’s Digest:

      Existing law provides that if criminal proceedings against a defendant who is charged with any category A felony or certain category B felonies are dismissed because the defendant has been: (1) found incompetent, with no substantial probability of attaining competency in the foreseeable future; and (2) released from custody or from obligations as an outpatient, the prosecuting attorney may file, within 10 judicial days after such dismissal, a motion with the court for a hearing to determine whether to commit the person to the custody of the Administrator of the Division of Public and Behavioral Health of the Department of Health and Human Services. Existing law requires the Division to perform and provide to the court a comprehensive risk assessment which indicates whether the person requires the level of security provided by a forensic facility. (NRS 178.425, 178.461) Section 1 of this bill provides that if such a defendant is charged with any category A felony other than murder or sexual assault or certain category B felonies, the court must dismiss the motion if the comprehensive risk assessment indicates that the person does not require the level of security provided by a forensic facility.

      Existing law also provides that the Division or a person who is committed to the custody of the Administrator of the Division may petition the court which committed the person for conditional release. If such a person serves a period of conditional release, the court is required to review the eligibility of the person for discharge from conditional release at least once every 12 months. The court must discharge the person from conditional release if, at the conclusion of such a review, the court finds by clear and convincing evidence that the person: (1) no longer has a mental disorder; and (2) is not a danger to himself or herself or others. (NRS 178.463) Section 2 of this bill removes the requirement that the court find by clear and convincing evidence that the person no longer has a mental disorder.

      Section 3 of this bill provides that the amendatory provisions of section 1 apply retroactively to a person who is charged with any category A felony other than murder or sexual assault or a category B felony listed in subsection 6 of NRS 178.461 if: (1) the proceedings against the person were dismissed before the effective date of this bill; and (2) on the effective date of this bill, the court has not yet ordered the commitment of the person to the custody of the Administrator of the Division.

 

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

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

      Section 1. NRS 178.461 is hereby amended to read as follows:

      178.461  1.  If the proceedings against a defendant who is charged with any category A felony or a category B felony listed in subsection 6 are dismissed pursuant to subsection 5 of NRS 178.425, the prosecuting attorney may, within 10 judicial days after the dismissal, file a motion with the court for a hearing to determine whether to commit the person to the custody of the Administrator pursuant to subsection 3. [The] Except as otherwise provided in subsection 2, the court shall hold the hearing within 10 judicial days after the motion is filed with the court.

 


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provided in subsection 2, the court shall hold the hearing within 10 judicial days after the motion is filed with the court.

      2.  If the prosecuting attorney files a motion pursuant to subsection 1, the prosecuting attorney shall, not later than the date on which the prosecuting attorney files the motion, request from the Division a comprehensive risk assessment which indicates whether the person requires the level of security provided by a forensic facility. The Division shall provide the requested comprehensive risk assessment to the court, the prosecuting attorney and counsel for the person not later than three judicial days before the hearing. If the person was charged with any category A felony other than murder or sexual assault or a category B felony listed in subsection 6 and the comprehensive risk assessment indicates that the person does not require the level of security provided by a forensic facility, the court shall dismiss the motion.

      3.  At a hearing held pursuant to subsection 1, if the court finds by clear and convincing evidence that the person has a mental disorder, that the person is a danger to himself or herself or others and that the person’s dangerousness is such that the person requires placement at a forensic facility, the court may order:

      (a) The sheriff to take the person into protective custody and transport the person to a forensic facility; and

      (b) That the person be committed to the custody of the Administrator and kept under observation until the person is eligible for conditional release pursuant to NRS 178.463 or until the maximum length of commitment described in subsection 4 has expired.

      4.  The length of commitment of a person pursuant to subsection 3 must not exceed 10 years, including any time that the person has been on conditional release pursuant to NRS 178.463.

      5.  At least once every 12 months, the court shall review the eligibility of the defendant for conditional release.

      6.  The provisions of subsection 1 apply to any of the following category B felonies:

      (a) Voluntary manslaughter pursuant to NRS 200.050;

      (b) Mayhem pursuant to NRS 200.280;

      (c) Kidnapping in the second degree pursuant to NRS 200.330;

      (d) Assault with a deadly weapon pursuant to NRS 200.471;

      (e) Battery with a deadly weapon pursuant to NRS 200.481;

      (f) Aggravated stalking pursuant to NRS 200.575;

      (g) First degree arson pursuant to NRS 205.010;

      (h) Burglary with a deadly weapon pursuant to NRS 205.060;

      (i) Invasion of the home with a deadly weapon pursuant to NRS 205.067;

      (j) Any category B felony involving the use of a firearm; and

      (k) Any attempt to commit a category A felony.

      Sec. 2. NRS 178.463 is hereby amended to read as follows:

      178.463  1.  The Division or a person who is committed to the custody of the Administrator pursuant to NRS 178.461 may petition the court which committed the person for conditional release.

      2.  A person who is committed to the custody of the Administrator pursuant to NRS 178.461 is eligible for conditional release only after:

      (a) The Division has completed a comprehensive risk assessment concerning the person;

 


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      (b) A decision to release the person from commitment with conditions imposed by the court in consultation with the Division has been made based on input from the person’s treatment team, the prosecuting attorney, the counsel for the person and the team that will supervise the person in the community; and

      (c) The court which committed the person has approved the conditional release.

      3.  If a person is serving a period of conditional release pursuant to this section, the court must, at least once every 12 months, review the eligibility of the defendant for discharge from conditional release. If, at the conclusion of the review required by this subsection, the court finds by clear and convincing evidence [that the person no longer has a mental disorder and] that the person is not a danger to himself or herself or others, the court must discharge the person from conditional release.

      4.  The length of the period of conditional release must not exceed 10 years, including any time that the person has been committed to the custody of the Administrator pursuant to NRS 178.461 and 178.464.

      Sec. 3.  1.  The amendatory provisions of section 1 of this act apply retroactively to a person who is charged with any category A felony other than murder or sexual assault or a category B felony listed in subsection 6 of NRS 178.461 if:

      (a) The proceedings against the person were dismissed pursuant to subsection 5 of NRS 178.425 before the effective date of this act; and

      (b) On the effective date of this act, the court has not yet ordered the commitment of the person to the custody of the Administrator of the Division of Public and Behavioral Health of the Department of Health and Human Services pursuant to subsection 3 of NRS 178.461.

      2.  The amendatory provisions of section 2 of this act apply to a review conducted by a court pursuant to subsection 3 of NRS 178.463 that is concluded after the effective date of this act.

      Sec. 4.  This act becomes effective upon passage and approval.

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