2005 Nevada Revised Statutes - Chapter 645 — Real Estate Brokers and Salesmen; Qualified Intermediaries

CHAPTER 645 - REAL ESTATE BROKERS ANDSALESMEN; QUALIFIED INTERMEDIARIES

GENERAL PROVISIONS

NRS 645.0005 Definitions.

NRS 645.001 Administratordefined.

NRS 645.002 Advancefee defined.

NRS 645.004 Advancefee listing defined.

NRS 645.005 Brokerageagreement defined.

NRS 645.007 Businessdefined.

NRS 645.0075 Businessbroker defined.

NRS 645.009 Clientdefined.

NRS 645.010 Commissiondefined.

NRS 645.013 Designatedproperty manager defined.

NRS 645.015 Directordefined.

NRS 645.018 Owner-developerdefined.

NRS 645.019 Propertymanagement defined.

NRS 645.0192 Propertymanagement agreement defined.

NRS 645.0195 Propertymanager defined.

NRS 645.020 Realestate defined.

NRS 645.030 Realestate broker defined.

NRS 645.035 Realestate broker-salesman defined.

NRS 645.037 RealEstate Division and Division defined.

NRS 645.040 Realestate salesman defined.

NRS 645.042 Usedmanufactured home or used mobile home defined.

NRS 645.044 Useof terms salesman, saleswoman and salesperson authorized.

ADMINISTRATION

NRS 645.045 Administrationby Real Estate Division.

NRS 645.050 RealEstate Commission: Creation; number and appointment of members; powers andduties; service of process.

NRS 645.060 RealEstate Commission: Limitation on consecutive service by member.

NRS 645.070 RealEstate Commission: Oaths of members.

NRS 645.090 RealEstate Commission: Qualifications of members.

NRS 645.100 RealEstate Commission: Residency of members; northern and southern districts.

NRS 645.110 RealEstate Commission: Officers.

NRS 645.120 Administrator:Qualifications; restrictions.

NRS 645.130 Employees,legal counsel, investigators and other professional consultants of Real EstateDivision.

NRS 645.140 Depositand use of money received by Division; compensation of members and employees ofCommission.

NRS 645.145 RealEstate Commission: Fiscal year.

NRS 645.150 RealEstate Commission: Meetings.

NRS 645.160 RealEstate Commission: Quorum; effect of vacancy; act of majority.

NRS 645.170 RealEstate Division: Principal and branch offices.

NRS 645.180 RealEstate Division: Seal; general provisions governing public inspection andconfidentiality of records; admissibility of certified copies of records asevidence.

NRS 645.190 Powersof Real Estate Division; regulations of Commission or Administrator;publication of manual or guide.

NRS 645.191 Authorityfor Real Estate Division to conduct business electronically; regulations; fees;use of unsworn declaration; exclusions.

NRS 645.193 RealEstate Division to prepare and distribute forms setting forth certain dutiesowed by licensees.

NRS 645.194 RealEstate Division to prepare booklet concerning certain disclosures required insale of residential property.

NRS 645.195 Inspectionof records of broker and owner-developer by Division; regulations.

NRS 645.200 AttorneyGeneral: Opinions and action as attorney.

NRS 645.210 Injunctions.

NRS 645.215 Investigationby Division of certain transactions relating to unimproved land or subdivision;injunction for fraud, deceit or false advertising.

REGULATION OF PRACTICES

NRS 645.230 Unlawfulto engage in certain conduct without license or permit or without complyingwith certain provisions of chapter; power of Division to file complaint withcourt and assist in prosecution of violation; prosecution by district attorneyor Attorney General.

NRS 645.235 Administrativefine for engaging in certain conduct without license, permit, certificate,registration or authorization; procedure for imposition of fine; judicialreview; exceptions.

NRS 645.240 Personsand services to which chapter does not apply.

NRS 645.250 Powerof cities and towns to license and regulate brokers and salesmen not affected.

NRS 645.251 Licenseenot required to comply with certain principles of common law.

NRS 645.252 Dutiesof licensee acting as agent in real estate transaction.

NRS 645.253 Licenseesaffiliated with same brokerage: Additional duties when assigned to separateparties to real estate transaction.

NRS 645.254 Additionalduties of licensee entering into brokerage agreement to represent client inreal estate transaction.

NRS 645.257 Actionto recover damages suffered as result of licensees failure to perform certainduties; standard of care.

NRS 645.258 Dutiesconcerning transaction involving used manufactured home or used mobile home.

NRS 645.259 Liabilityof licensee for misrepresentation made by client; failure of seller to makerequired disclosures is public record.

NRS 645.260 Oneact constitutes action in capacity of broker or salesman.

NRS 645.270 Allegationand proof of licensed status in action for compensation.

NRS 645.280 Associationwith or compensation of unlicensed broker, broker-salesman or salesmanunlawful; payment of commission other than through broker or owner-developerunlawful.

NRS 645.283 Owner-developers:Employment of licensed salesmen; association with qualified sales manager;registration.

NRS 645.285 Owner-developers:Form and contents of application for registration.

NRS 645.287 Owner-developers:Regulations concerning qualifications; principal place of business and records.

NRS 645.289 Owner-developers:Qualifications and duties of person who acts as sales manager.

NRS 645.300 Deliveryof copy of written brokerage agreement; receipt.

NRS 645.310 Depositsand trust accounts: Accounting; commingling; records; inspection and audit.

NRS 645.313 Otherfinancial accounts: Investigation and audit involving insolvency of broker orenforcement by Division; regulations governing scope of audit; grounds fordisciplinary action.

NRS 645.314 Administratormay charge broker for costs and fees of audit under certain circumstances;additional grounds for disciplinary action.

NRS 645.315 Conditionsand limitations on certain advertisements; required disclosures; prohibitedacts.

NRS 645.320 Requirementsfor exclusive agency representation.

NRS 645.3205 Dealingwith party to real estate transaction in manner which is deceitful, fraudulentor dishonest prohibited.

NRS 645.321 Discriminatorypractices unlawful; penalty.

ADVANCE FEES

NRS 645.322 Accountingof use of advance fee charged or collected; Division may demand accounting.

NRS 645.323 Licenserequired for acceptance of advance fee listing.

NRS 645.324 Formsof brokerage agreements; reports and forms of accounting; regulations;maintenance of agreements for review and audit; grounds for disciplinaryaction.

LICENSES

NRS 645.330 Generalqualifications of applicant; grounds for denial of application; eligibility forlicensing as broker.

NRS 645.332 Applicantslicensed in another jurisdiction: Exemption from certain examinationrequirements; issuance of license as broker or broker-salesman by reciprocity.

NRS 645.335 Depositoryfinancial institution prohibited from being licensed.

NRS 645.343 Educationalrequirements; regulations of Commission concerning standards of education.

NRS 645.345 Regulationsof Division concerning schools and courses of instruction in principles andpractice of real estate; standard of instruction.

NRS 645.350 Application:Form and contents.

NRS 645.355 Investigationof applicants background; fees; fingerprints.

NRS 645.358 Paymentof child support: Submission of certain information by applicant; grounds fordenial of license; duty of Division. [Effective until the date of the repeal ofthe federal law requiring each state to establish procedures for withholding,suspending and restricting the professional, occupational and recreationallicenses for child support arrearages and for noncompliance with certainprocesses relating to paternity or child support proceedings.]

NRS 645.358 Paymentof child support: Submission of certain information by applicant; grounds fordenial of license; duty of Division. [Effective on the date of the repeal ofthe federal law requiring each state to establish procedures for withholding,suspending and restricting the professional, occupational and recreationallicenses for child support arrearages and for noncompliance with certainprocesses relating to paternity or child support proceedings and expires bylimitation 2 years after that date.]

NRS 645.370 Issuanceof license to certain organizations doing business as broker; restrictions.

NRS 645.380 Issuanceof license as broker required for certain members and officers of certainorganizations.

NRS 645.385 Waiverof requirements of NRS 645.370 and 645.380.

NRS 645.387 Issuanceof license as broker-salesman or salesman to sole shareholder of corporation onbehalf of corporation or to manager of limited-liability company on behalf ofcompany; restrictions; duties; expiration.

NRS 645.400 Additionalinformation concerning applicants may be required by Division; regulationsconcerning applications.

NRS 645.410 Regulationsconcerning fees for examination; time for payment of fees.

NRS 645.420 Actionon application by Division; additional investigation; invalidation of licensefor certain errors in issuance.

NRS 645.430 Restrictionson reapplication after applicant denied license on ground other than failure ofexamination.

NRS 645.440 Denialof application: Notice; hearing; written decision; false statement ground fordenial.

NRS 645.450 Timefor examinations.

NRS 645.460 Examination:Subjects covered; acceptance of national examination.

NRS 645.475 Examinationfor license as broker may be taken before meeting requirements for experience;issuance of license as broker-salesman upon passing examination; applicationand experience required for issuance of license as broker.

NRS 645.490 Issuanceof license; duty of Real Estate Division; renewal of license.

NRS 645.495 Nonresidentlicensee to authorize service of process upon Administrator.

NRS 645.510 Authorityof license limited to person or place of business licensed.

NRS 645.520 Formand contents; limitation on association with or employment of broker-salesmanor salesman.

NRS 645.530 Delivery;display.

NRS 645.550 Brokerto maintain place of business; business must be done from location designatedin license; licensing of broker or owner-developer by county, city or town.

NRS 645.560 Broker:Erection, maintenance, size and placement of signs.

NRS 645.570 Noticeof change of name, location of business or association; requirements fortransfer of association; effect of failure to give notice.

NRS 645.575 Continuingeducation: Standards; renewal or reinstatement of license.

NRS 645.577 Placementof license on inactive status; reinstatement.

NRS 645.580 Terminationof association or employment of broker-salesman or salesman; duties of brokeror owner-developer and broker-salesman or salesman; transfer of license or newlicense.

NRS 645.590 Terminationof association by broker with limited-liability company, partnership or corporation;new license.

NRS 645.600 Inactivestatus for period of military service; reinstatement.

NRS 645.605 Certificateauthorizing out-of-state licensed broker to cooperate with broker in Nevada: Issuance; fee; regulations.

PROPERTY MANAGERS

NRS 645.6052 Permitto engage in property management: Persons eligible; requirements; instruction;expiration; renewal; regulations.

NRS 645.6054 Permitto engage in property management: Requirements for certain organizations.

NRS 645.6055 Designatedproperty managers: Requirements; qualifications; duties.

NRS 645.6056 Propertymanagement agreements: Requirements; contents.

NRS 645.6058 Dispositionof fees, penalties and fines received by Division; delegation of authority ofDivision to hearing officer or panel.

QUALIFIED INTERMEDIARIES FOR TAX-DEFERRED EXCHANGES OFPROPERTY

NRS 645.606 Qualifiedintermediary defined.

NRS 645.6065 Registration;regulations; renewal of registration.

NRS 645.6068 Paymentof child support: Submission of certain information by applicant; grounds fordenial of registration; duty of Division. [Effective until the date of the repealof the federal law requiring each state to establish procedures forwithholding, suspending and restricting the professional, occupational andrecreational licenses for child support arrearages and for noncompliance withcertain processes relating to paternity or child support proceedings.]

NRS 645.6068 Paymentof child support: Submission of certain information by applicant; grounds fordenial of registration; duty of Division. [Effective on the date of the repealof the federal law requiring each state to establish procedures forwithholding, suspending and restricting the professional, occupational andrecreational licenses for child support arrearages and for noncompliance withcertain processes relating to paternity or child support proceedings andexpires by limitation 2 years after that date.]

NRS 645.6069 Suspensionof registration for failure to pay child support or comply with certainsubpoenas or warrants; reinstatement of registration. [Expires by limitation 2years after the date of the repeal of the federal law requiring each state toestablish procedures for withholding, suspending and restricting the professional,occupational and recreational licenses for child support arrearages and fornoncompliance with certain processes relating to paternity or child support proceedings.]

NRS 645.607 Officersand directors of corporation required to register.

NRS 645.6075 Noticeof change of address or telephone number.

NRS 645.608 Bondor deposit.

NRS 645.6085 Depositand use of money received from civil penalty.

NRS 645.609 Suspensionof registration for failure to pay child support or comply with certainsubpoenas or warrants; reinstatement of registration. [Replaced in revision by NRS 645.6069.]

DISCIPLINARY ACTION

NRS 645.610 Investigationof actions of licensees and other persons.

NRS 645.620 Maintenanceby Division of record of complaints, investigations and denials ofapplications.

NRS 645.625 Certainrecords relating to investigation deemed confidential; certain records relatingto disciplinary action deemed public records.

NRS 645.630 Authorizeddisciplinary action; grounds for disciplinary action; orders imposing disciplinedeemed public records.

NRS 645.633 Additionalgrounds for disciplinary action: Improper trade practices; violations ofcertain orders, agreements, laws and regulations; criminal offenses; otherunprofessional and improper conduct; reciprocal discipline; violations relatingto property management; log of complaints; reports.

NRS 645.635 Additionalgrounds for disciplinary action: Unprofessional and improper conduct relatingto real estate transactions.

NRS 645.645 Additionalgrounds for disciplinary action: Unprofessional and improper conduct relatingto sale of insurance for home protection.

NRS 645.647 Additionalgrounds for disciplinary action: Failure to pay money to Commission orDivision.

NRS 645.648 Suspensionof license for failure to pay child support or comply with certain subpoenas orwarrants; reinstatement of license. [Expires by limitation 2 years after thedate of the repeal of the federal law requiring each state to establishprocedures for withholding, suspending and restricting the professional,occupational and recreational licenses for child support arrearages and fornoncompliance with certain processes relating to paternity or child supportproceedings.]

NRS 645.660 Knowledgeof associate or employer of violation by licensee or employee; penalties.

NRS 645.670 Effecton limited-liability company, partnership or corporation of revocation orsuspension of license of manager, partner or officer; termination of suspensionor reinstatement of license.

NRS 645.675 Disciplinaryproceedings, fines and penalties not affected by expiration, revocation orvoluntary surrender of license, permit or registration.

NRS 645.680 Revocation,suspension or denial of renewal of license, permit or registration: Complaint;notice of hearing.

NRS 645.685 Revocation,suspension or denial of renewal of license, permit or registration: Answer;limitations on time of commencing proceeding.

NRS 645.690 Revocation,suspension or denial of renewal of license, permit or registration: Hearing;transcript.

NRS 645.700 Powerof Commission to administer oaths, certify acts and issue subpoenas; service ofprocess.

NRS 645.710 Feesand mileage for witness.

NRS 645.720 Enforcementof subpoenas.

NRS 645.730 Depositions;taking of evidence in another state; rights of party to hearing.

NRS 645.740 Decisionof Commission: Rendition; notice; effective date; stay of decision.

NRS 645.760 Decisionfinal when in favor of licensee; judicial review of decision against licensee.

NRS 645.770 Restrictionson issuance of new license, permit or registration after revocation.

EXPIRATION AND RENEWAL OF LICENSES

NRS 645.780 Expirationof licenses; length of license periods.

NRS 645.785 Effectof failure to renew license; increased fee for late renewal.

FEES

NRS 645.830 Amountof fees.

REAL ESTATE EDUCATION, RESEARCH AND RECOVERY FUND

NRS 645.841 Funddefined.

NRS 645.842 Creation;use; balances; interest and income.

NRS 645.843 Paymentof additional fee by licensee for augmentation of Fund.

NRS 645.844 Recoveryfrom Fund: Procedure; grounds; amount; hearing.

NRS 645.845 Administratormay answer petition for recovery; effect of judgment; compromise of claim.

NRS 645.846 Courtorder requiring payment from Fund.

NRS 645.847 Automaticsuspension of license upon payment from Fund; conditions for reinstatement oflicense.

NRS 645.848 Distributionof payment from Fund if claims exceed maximum liability of Fund; order ofpayment of claims if balance of Fund insufficient; interest; use of certainmoney deposited in Fund.

NRS 645.8491 Administratorsubrogated to rights of judgment creditor; deposit of money recovered.

NRS 645.8492 Waiverof rights.

NRS 645.8494 Disciplinaryaction against licensee not restricted.

BUSINESS BROKERS

NRS 645.863 Permitto engage in business as business broker: Persons eligible; requirements;continuing education; expiration; renewal; regulations.

NRS 645.865 Permitto engage in business as business broker: Requirements for certainorganizations.

NRS 645.867 Designatedbusiness brokers: Requirements; qualifications; duties.

BROKERAGE AGREEMENTS INVOLVING COMMERCIAL REAL ESTATE

General Provisions

NRS 645.8701 Definitions.

NRS 645.8705 Brokerageagreement defined.

NRS 645.8711 Commercialreal estate defined.

NRS 645.8715 Commissiondefined.

NRS 645.8721 Dispositiondefined.

NRS 645.8725 Escrowdefined.

NRS 645.8731 Escrowagent defined.

NRS 645.8735 Ownerdefined.

NRS 645.8741 Ownersnet proceeds defined.

 

Rights, Duties and Liabilities Relating to Commissions

NRS 645.8761 Brokerhas claim upon owners net proceeds for earned commissions; conditions andlimitations on enforcement of claim; waiver; inapplicability to third-partyclaims; obligation to close escrow unaffected by claim.

NRS 645.8765 Requirementsfor broker to enforce claim: Written notice to owner and escrow agent; effectof failure to provide notice; exceptions.

NRS 645.8771 Requirementsfor broker to enforce claim: Information required in notice; verification byoath; acknowledgment.

NRS 645.8775 Dutyof owner to confirm or deny claim; effect of confirming claim; effect ofdenying claim or failing to respond; recording of claim by broker.

NRS 645.8781 Dutiesof escrow agent upon notice of claim.

NRS 645.8785 Depositof proceeds with district court; discharge of escrow agent from furtherliability concerning proceeds.

NRS 645.8791 Civilaction concerning claim: Issuance of order to broker to appear and show cause;effect of failure to appear; hearings; release of proceeds; frivolous claims;compensatory damages; award of costs and attorneys fees to prevailing party.

NRS 645.8795 Priorityof recorded claim.

NRS 645.8801 Releaseof recorded claim.

NRS 645.8805 Serviceof notice.

NRS 645.8811 Escrowagents: Immunity; collection of fees for services.

UNLAWFUL ACTS; PENALTIES

NRS 645.990 Unlawfulacts; penalties.

NRS 645.993 Unlawfulto file documents that are false or contain willful, material misstatement offact; penalty.

_________

GENERAL PROVISIONS

NRS 645.0005 Definitions. As used in this chapter, unless the context otherwiserequires, the words and terms defined in NRS645.001 to 645.042, inclusive, havethe meanings ascribed to them in those sections.

(Added to NRS by 1985, 1260; A 1995, 2074; 1997, 956;2003, 931, 1290; 2005, 648, 665)

NRS 645.001 Administratordefined. As used in this chapter, Administratormeans the Real Estate Administrator.

(Added to NRS by 1963, 663)

NRS 645.002 Advancefee defined. Advance fee means a fee contractedfor, claimed, demanded, charged, received or collected for an advance feelisting, advertisement or offer to sell or lease property, issued for thepurpose of promoting the sale or lease of a business or real estate or forreferral to a business or real estate brokers or salesmen, or both, before thelast printing or other last issuance thereof, other than by a newspaper ofgeneral circulation.

(Added to NRS by 1957, 210; A 1985, 1260)

NRS 645.004 Advancefee listing defined.

1. Advance fee listing includes, but is not limitedto:

(a) The name or a list of the names of the owners,landlords, exchangers or lessors, or the location of property or a business, orof an interest therein, offered for rent, sale, lease or exchange.

(b) The name, or a list of the names, or the locationat which prospective or potential purchasers, buyers, lessees, tenants orexchangers of property may be communicated with or found.

(c) A brokerage agreement by which a person who isengaged in the business of promoting the sale or lease of businesses or realestate agrees to render to an owner or lessee of the property any services, topromote the sale or lease of the property, for an advance fee.

(d) A brokerage agreement by which a person agrees tolocate or promote the sale or lease of a business or real estate for an advancefee.

2. The term does not include publications intended forgeneral circulation.

(Added to NRS by 1957, 210; A 1971, 681; 1979, 1534;1985, 1260; 1987, 731; 1995, 2074)

NRS 645.005 Brokerageagreement defined. Brokerage agreementmeans an oral or written contract between a client and a broker in which thebroker agrees to accept valuable consideration from the client or anotherperson for assisting, soliciting or negotiating the sale, purchase, option,rental or lease of real property, or the sale, exchange, option or purchase ofa business. The term does not include a property management agreement.

(Added to NRS by 1995, 2072; A 2003, 932; 2005, 648)

NRS 645.007 Businessdefined. Business means the tangible assetsand goodwill of an existing enterprise.

(Added to NRS by 1985, 1260)

NRS 645.0075 Businessbroker defined. Business broker means a personwho, while acting as a real estate broker, real estate broker-salesman or realestate salesman for another and for compensation or with the intention orexpectation of receiving compensation:

1. Sells, exchanges, options or purchases a business;

2. Negotiates or offers, attempts or agrees to negotiatethe sale, exchange, option or purchase of a business; or

3. Lists or solicits prospective purchasers of abusiness.

(Added to NRS by 2005, 646)

NRS 645.009 Clientdefined. Client means a person who hasentered into a brokerage agreement with a broker or a property managementagreement with a broker.

(Added to NRS by 1995, 2072; A 2003, 932)

NRS 645.010 Commissiondefined. As used in this chapter, Commissionmeans the Real Estate Commission.

[Part 6:150:1947; A 1949, 433; 1955, 131](NRS A1963, 663; 1981, 1605)

NRS 645.013 Designatedproperty manager defined. Designated propertymanager means a person who has the qualifications required by NRS 645.6055 to be a designated propertymanager and who is appointed as the designated property manager for an officepursuant to NRS 645.6055.

(Added to NRS by 2003, 1287)

NRS 645.015 Directordefined. As used in this chapter, Directormeans the Director of the Department of Business and Industry.

(Added to NRS by 1963, 663; A 1993, 1891)

NRS 645.018 Owner-developerdefined. As used in this chapter,owner-developer means a person who owns five or more lots within a recordedsubdivision, shown on an approved parcel map, or the parceling of which hasbeen approved by the county, on each of which there is a single-familyresidence not previously sold.

(Added to NRS by 1975, 1639; A 1979, 1535)

NRS 645.019 Propertymanagement defined. Property managementmeans the physical, administrative or financial maintenance and management ofreal property, or the supervision of such activities for a fee, commission orother compensation or valuable consideration, pursuant to a property managementagreement.

(Added to NRS by 1997, 954; A 2003, 932)

NRS 645.0192 Propertymanagement agreement defined. Propertymanagement agreement means a written contract between a client and a broker inwhich the broker agrees to accept valuable consideration from the client oranother person for providing property management for the client.

(Added to NRS by 2003, 931)

NRS 645.0195 Propertymanager defined. Property manager means aperson engaged in property management who, as an employee or independent contractor,is associated with a licensed real estate broker, whether or not for compensation.

(Added to NRS by 1997, 954)

NRS 645.020 Realestate defined. As used in this chapter,real estate means every interest or estate in real property including but notlimited to freeholds, leaseholds and interests in condominiums, town houses orplanned unit developments, whether corporeal or incorporeal, and whether thereal property is situated in this State or elsewhere.

[Part 2:150:1947; 1943 NCL 6396.02](NRS A 1973,1097; 1975, 1541)

NRS 645.030 Realestate broker defined.

1. Real estate broker means a person who, foranother and for compensation or with the intention or expectation of receivingcompensation:

(a) Sells, exchanges, options, purchases, rents orleases, or negotiates or offers, attempts or agrees to negotiate the sale,exchange, option, purchase, rental or lease of, or lists or solicitsprospective purchasers, lessees or renters of, any real estate or theimprovements thereon or any modular homes, used manufactured homes, used mobilehomes or other housing offered or conveyed with any interest in real estate;

(b) Engages in or offers to engage in the business ofclaiming, demanding, charging, receiving, collecting or contracting for thecollection of an advance fee in connection with any employment undertaken topromote the sale or lease of business opportunities or real estate by advancefee listing advertising or other offerings to sell, lease, exchange or rentproperty;

(c) Engages in or offers to engage in the business ofproperty management; or

(d) Engages in or offers to engage in the business ofbusiness brokerage.

2. Any person who, for another and for compensation,aids, assists, solicits or negotiates the procurement, sale, purchase, rentalor lease of public lands is a real estate broker within the meaning of thischapter.

3. The term does not include a person who is employedby a licensed real estate broker to accept reservations on behalf of a personengaged in the business of the rental of lodging for 31 days or less, if theemployee does not perform any tasks related to the sale or other transfer of aninterest in real estate.

[Part 2:150:1947; 1943 NCL 6396.02] +[2.5:150:1947; added 1955, 615](NRS A 1957, 337; 1959, 393; 1963, 330; 1973,1097; 1975, 1383; 1977, 928; 1979, 1535; 1981, 1327; 1985, 312, 1261; 1997,505, 956; 2005, 648,665)

NRS 645.035 Realestate broker-salesman defined.

1. Within the meaning of this chapter, a real estatebroker-salesman is any person who holds a real estate brokers license, or whohas passed the real estate brokers examination, but who, as an employee or asan independent contractor, for compensation or otherwise, is associated with:

(a) A licensed real estate broker in the capacity of asalesman, to do or to deal in any act, acts or transactions included within thedefinition of a real estate broker in NRS645.030; or

(b) A registered owner-developer in the capacity of asales manager in accordance with NRS 645.283and 645.289.

2. In this chapter, the term real estate salesmanincludes real estate broker-salesman when applicable.

(Added to NRS by 1957, 337; A 1975, 793, 1541; 1977,928; 1981, 1605; 1985, 312; 2005, 1286)

NRS 645.037 RealEstate Division and Division defined. Asused in this chapter, Real Estate Division and Division means the RealEstate Division of the Department of Business and Industry.

(Added to NRS by 1963, 663; A 1973, 1098; 1993, 1891)

NRS 645.040 Realestate salesman defined. Within the meaningof this chapter, a real estate salesman is any person who, as an employee oras an independent contractor, is associated with a licensed real estate brokeror registered owner-developer to do or to deal in any act, acts or transactionsset out or comprehended by the definition of a real estate broker in NRS 645.030, for a compensation orotherwise.

[3:150:1947; 1943 NCL 6396.03](NRS A 1971, 1410;1973, 1763; 1975, 1541, 1639; 1977, 929; 1985, 313)

NRS 645.042 Usedmanufactured home or used mobile home defined. Usedmanufactured home or used mobile home means a manufactured home or mobilehome, respectively, which has been:

1. Sold, rented or leased, and which was occupiedbefore or after the sale, rental or lease; or

2. Registered with or been the subject of acertificate of title issued by the appropriate agency of authority of thisState, any other state, the District of Columbia, any territory or possessionof the United States, or any foreign state, province or country.

(Added to NRS by 2005, 664)

NRS 645.044 Useof terms salesman, saleswoman and salesperson authorized.

1. A person licensed as a real estate salesman may usethe term real estate salesman, real estate saleswoman or real estatesalesperson in the course of doing business.

2. A person licensed as a real estate broker-salesmanmay use the term real estate broker-salesman, real estate broker-saleswomanor real estate broker-salesperson in the course of doing business.

(Added to NRS by 1999, 92)

ADMINISTRATION

NRS 645.045 Administrationby Real Estate Division. The provisions ofthis chapter shall be administered by the Real Estate Division, subject toadministrative supervision by the Director.

(Added to NRS by 1963, 663)

NRS 645.050 RealEstate Commission: Creation; number and appointment of members; powers andduties; service of process.

1. The Real Estate Commission is hereby created. TheCommission consists of five members appointed by the Governor.

2. The Commission shall act in an advisory capacity tothe Real Estate Division, adopt regulations and conduct hearings as provided inthis chapter. The Commission shall adopt regulations establishing standards forthe operation of licensees offices and for their business conduct and ethics.

3. The Commission may by regulation delegate anyauthority conferred upon it by this chapter to the Administrator to beexercised pursuant to the regulations of the Commission.

4. Service of process and other communications uponthe Commission may be made at the principal office of the Real Estate Division.

[Part 6:150:1947; A 1949, 433; 1955, 131](NRS A1963, 663; 1973, 1098; 1979, 1536; 1981, 1605)

NRS 645.060 RealEstate Commission: Limitation on consecutive service by member. Members are eligible for reappointment, but shall notserve for a period greater than 6 years consecutively, after which time theyare not eligible for appointment or reappointment until 3 years have elapsedfrom any period of previous service. If a successor is appointed to fill thebalance of any unexpired term of a member, the time served by the successorshall not apply in computing the 6 years consecutive service unless thebalance of the unexpired term exceeds 18 months.

[Part 6:150:1947; A 1949, 433; 1955, 131](NRS A1977, 1259)

NRS 645.070 RealEstate Commission: Oaths of members. Eachmember of the Commission shall, before entering upon the duties of his office:

1. Take the constitutional oath of office; and

2. In addition, make oath that he is legally qualifiedunder the provisions of this chapter to serve as a member of the Commission.

[Part 6:150:1947; A 1949, 433; 1955, 131]

NRS 645.090 RealEstate Commission: Qualifications of members. Eachmember of the Commission must:

1. Be a citizen of the United States.

2. Have been a resident of the State of Nevada for notless than 5 years.

3. Have been actively engaged in business as:

(a) A real estate broker within the State of Nevada forat least 3 years immediately preceding the date of his appointment; or

(b) A real estate broker-salesman within the State ofNevada for at least 5 years immediately preceding the date of his appointment.

[Part 6:150:1947; A 1949, 433; 1955, 131](NRS A1981, 1605; 1987, 912)

NRS 645.100 RealEstate Commission: Residency of members; northern and southern districts.

1. At least two members of the Commission must beresidents of the southern district of Nevada, and at least two members of theCommission must be residents of the northern district of Nevada.

2. Not more than two members may be appointed from anyone county.

3. The southern district consists of all that portionof the State lying within the boundaries of the counties of Clark, Esmeralda,Lincoln and Nye.

4. The northern district consists of all that portionof the State lying within the boundaries of Carson City and the counties ofChurchill, Douglas, Elko, Eureka, Humboldt, Lander, Lyon, Mineral, Pershing,Storey, Washoe and White Pine.

[Part 6:150:1947; A 1949, 433; 1955, 131](NRS A1959, 393; 1969, 343, 893; 1981, 1328)

NRS 645.110 RealEstate Commission: Officers. The Commission,at the first meeting of each fiscal year, shall elect a President, a VicePresident and a Secretary to serve for the ensuing year.

[Part 6:150:1947; A 1949, 433; 1955, 131](NRS A1963, 161, 663; 1981, 1606)

NRS 645.120 Administrator:Qualifications; restrictions. The Administratorshall:

1. Possess a broad knowledge of generally acceptedreal estate practice and be reasonably well informed on laws governing realestate agency contracts.

2. Not be interested in any real estate firm orbrokerage firm, nor shall he act as a broker or salesman or agent therefor.

[Part 6:150:1947; A 1949, 433; 1955, 131](NRS A1957, 337; 1959, 394; 1963, 664; 1967, 931; 1975, 351; 1985, 1261)

NRS 645.130 Employees,legal counsel, investigators and other professional consultants of Real EstateDivision.

1. The Real Estate Division may employ:

(a) Legal counsel, investigators and other professionalconsultants without regard to the provisions of chapter284 of NRS.

(b) Such other employees as are necessary to thedischarge of its duties.

2. No employee of the Real Estate Division may beinterested in any real estate firm or brokerage firm, nor may any employee actas a broker or salesman or agent therefor.

[Part 6:150:1947; A 1949, 433; 1955, 131](NRS A1963, 162, 664; 1967, 1503; 1971, 1442; 1981, 1285; 1985, 445, 1261)

NRS 645.140 Depositand use of money received by Division; compensation of members and employees ofCommission.

1. Except as otherwise provided in this section, allfees, penalties and charges received by the Division pursuant to NRS 645.410, 645.660 and 645.830 must be deposited with the StateTreasurer for credit to the State General Fund. The fees received by theDivision:

(a) From the sale of publications, must be retained bythe Division to pay the costs of printing and distributing publications.

(b) For examinations, must be retained by the Divisionto pay the costs of the administration of examinations.

Any surplusof the fees retained by the Division must be deposited with the State Treasurerfor credit to the State General Fund.

2. Money for the support of the Division must beprovided by direct legislative appropriation, and be paid out on claims asother claims against the State are paid.

3. Each member of the Commission is entitled toreceive:

(a) A salary of not more than $80 per day, as fixed bythe Commission, while engaged in the business of the Commission; and

(b) A per diem allowance and travel expenses at a ratefixed by the Commission, while engaged in the business of the Commission. Therate must not exceed the rate provided for state officers and employeesgenerally.

4. While engaged in the business of the Commission,each employee of the Commission is entitled to receive a per diem allowance andtravel expenses at a rate fixed by the Commission. The rate must not exceed therate provided for state officers and employees generally.

[Part 6:150:1947; A 1949, 433; 1955, 131](NRS A1957, 547; 1960, 305; 1963, 162, 664; 1965, 1140; 1967, 931; 1973, 1098; 1975,307; 1979, 1536; 1981, 1995; 1983, 332, 1544, 1546; 1985, 445; 1989, 1705;1995, 161; 1997, 847)

NRS 645.145 RealEstate Commission: Fiscal year. The Commissionshall operate on the basis of a fiscal year commencing on July 1 andterminating on June 30.

(Added to NRS by 1963, 161)

NRS 645.150 RealEstate Commission: Meetings.

1. The Commission may hold at least two regularmeetings annually, one of which must be held in the southern part of the State,and one of which must be held in the northern part of the State, at such placeor places as the Commission designates for that purpose.

2. Additional meetings of the Commission may be heldat the call of the President when there is sufficient business to come beforethe Commission to warrant such action, at any place convenient to theCommission, or upon written request of two members of the Commission. Writtennotice of the time, place and purpose of all meetings must be given to eachmember at least 3 working days before the meeting.

[Part 6:150:1947; A 1949, 433; 1955, 131](NRS A1959, 394; 1981, 1606; 1983, 1448)

NRS 645.160 RealEstate Commission: Quorum; effect of vacancy; act of majority.

1. A majority of the Commission shall constitute aquorum for the transaction of business, for the performance of any duty, or forthe exercise of any power or authority of the Commission.

2. A vacancy on the Commission shall not impair theright of the remaining members to perform all of the duties and exercise all ofthe power and authority of the Commission.

3. The act of the majority of the Commission when insession as a Commission shall constitute the act of the Commission.

[Part 6:150:1947; A 1949, 433; 1955, 131]

NRS 645.170 RealEstate Division: Principal and branch offices.

1. The Director shall designate the location of theprincipal office of the Real Estate Division. The Administrator shall conductbusiness primarily in the principal office of the Real Estate Division.

2. If the principal office of the Real Estate Divisionis located in:

(a) The southern district of Nevada created pursuant tosubsection 3 of NRS 645.100, the RealEstate Division shall establish at least one branch office in the northerndistrict of Nevada created pursuant to subsection 4 of NRS 645.100.

(b) The northern district of Nevada, the Real EstateDivision shall establish at least one branch office in the southern district ofNevada.

3. The Real Estate Division may designate otherconvenient places within the State for the establishment of branch offices.

[Part 6:150:1947; A 1949, 433; 1955, 131](NRS A1963, 664; 1995, 993)

NRS 645.180 RealEstate Division: Seal; general provisions governing public inspection andconfidentiality of records; admissibility of certified copies of records asevidence.

1. The Division shall adopt a seal by which it shallauthenticate its proceedings.

2. Except as otherwise provided in NRS 645.625, records kept in the office ofthe Division under authority of this chapter are open to public inspectionunder regulations adopted by the Division, except that the Division may refuseto make public, unless ordered to do so by a court:

(a) Real estate brokers and real estate salesmensexaminations; and

(b) The criminal and financial records of licensees,applicants for licenses and owner-developers.

3. Copies of all records and papers in the office ofthe Division, certified and authenticated by the seal of the Division, must bereceived in evidence in all courts equally and with like effect as theoriginals.

[Part 6:150:1947; A 1949, 433; 1955, 131](NRS A1963, 665; 1975, 1541; 1979, 1537; 2003, 3464)

NRS 645.190 Powersof Real Estate Division; regulations of Commission or Administrator;publication of manual or guide.

1. The Division may do all things necessary andconvenient for carrying into effect the provisions of this chapter.

2. The Commission or the Administrator, with theapproval of the Commission, may from time to time adopt reasonable regulationsfor the administration of this chapter. When regulations are proposed by theAdministrator, in addition to other notices required by law, he shall providecopies of the proposed regulations to the Commission no later than 30 daysbefore the next Commission meeting. The Commission shall approve, amend ordisapprove any proposed regulations at that meeting.

3. All regulations adopted by the Commission, oradopted by the Administrator with the approval of the Commission, must bepublished by the Division and offered for sale at a reasonable fee.

4. The Division may publish or supply a referencemanual or study guide for licensees or applicants for licenses, and may offerit for sale at a reasonable fee.

[Part 6:150:1947; A 1949, 433; 1955, 131](NRS A1963, 1073; 1973, 1099; 1975, 1542; 1977, 91; 1979, 1537)

NRS 645.191 Authorityfor Real Estate Division to conduct business electronically; regulations; fees;use of unsworn declaration; exclusions.

1. The Administrator may adopt regulations whichestablish procedures for the Division to conduct business electronicallypursuant to title 59 of NRS with persons who are regulated pursuant to thischapter and with any other persons with whom the Division conducts business.The regulations may include, without limitation, the establishment of fees topay the costs of conducting business electronically with the Division.

2. In addition to the process authorized by NRS 719.280, if the Division is conductingbusiness electronically with a person and a law requires a signature or recordto be notarized, acknowledged, verified or made under oath, the Division mayallow the person to substitute a declaration that complies with the provisionsof NRS 53.045 to satisfy the legalrequirement.

3. The Division may refuse to conduct businesselectronically with a person who has failed to pay money which the person owesto the Division or the Commission.

(Added to NRS by 2003, 1288)

NRS 645.193 RealEstate Division to prepare and distribute forms setting forth certain dutiesowed by licensees. The Division shall prepareand distribute to licensees:

1. A form which sets forth the duties owed by alicensee who is acting for only one party to a real estate transaction.

2. A form which sets forth the duties owed by alicensee who is acting for more than one party to a real estate transaction.

3. A form which sets forth the duties owed by a realestate broker who assigns different licensees affiliated with his brokerage toseparate parties to a real estate transaction.

(Added to NRS by 1995, 2073)

NRS 645.194 RealEstate Division to prepare booklet concerning certain disclosures required insale of residential property.

1. The Division shall prepare a booklet that providesrelevant information concerning the disclosures that are required by federal,state and local laws and regulations by a buyer and a seller in a transactioninvolving the sale of residential property.

2. The Division shall make copies of the bookletprepared pursuant to subsection 1 available to licensees which the licenseemust distribute to prospective buyers and sellers in the sale of residentialproperty in accordance with the regulations adopted by the Commission.

3. The Commission shall approve the format and contentof the information that must be included in the booklet.

4. As used in this section, residential property hasthe meaning ascribed to it in NRS 113.100.

(Added to NRS by 2005, 1285)

NRS 645.195 Inspectionof records of broker and owner-developer by Division; regulations.

1. The Division shall regularly inspect thetransaction files, trust records and pertinent real estate business accounts ofall real estate brokers and owner-developers to ensure compliance with theprovisions of this chapter.

2. The Commission shall adopt regulations pertainingto those inspections.

(Added to NRS by 1973, 989; A 1975, 1542; 1979, 1537)

NRS 645.200 AttorneyGeneral: Opinions and action as attorney.

1. The Attorney General shall render to the Divisionopinions upon all questions of law relating to the construction orinterpretation of this chapter, or arising in the administration thereof, thatmay be submitted to him by the Division or the Commission.

2. The Attorney General shall act as the attorney forthe Division in all actions and proceedings brought against or by the Divisionpursuant to any of the provisions of this chapter.

[7:150:1947; 1943 NCL 6396.07](NRS A 1963, 665;1979, 1537)

NRS 645.210 Injunctions.

1. Whenever the Real Estate Division believes fromevidence satisfactory to it that any person has violated or is about to violateany of the provisions of this chapter, or any order, license, permit, decision,demand or requirement, or any part or provision thereof, it may bring anaction, in the name of the Real Estate Division, in the district court of theState of Nevada in and for the county wherein such person resides, or, if suchperson resides outside the State of Nevada, in any court of competentjurisdiction within or outside the State of Nevada, against such person toenjoin such person from continuing such violation or engaging therein or doingany act or acts in furtherance thereof.

2. If this action is in a district court of the Stateof Nevada, an order or judgment may be entered awarding such preliminary orfinal injunction as may be proper, but no preliminary injunction or temporaryrestraining order shall be granted without at least 5 days notice to theopposite party.

[31:150:1947; 1943 NCL 6396.31](NRS A 1963, 665;1973, 1099)

NRS 645.215 Investigationby Division of certain transactions relating to unimproved land or subdivision;injunction for fraud, deceit or false advertising.

1. If the Real Estate Division has reason to believethat fraud, deceit or false advertising is being, has been or is to beperpetrated in connection with the proposed or completed sale, purchase,rental, lease or exchange of any vacant or unimproved land or subdivisionoutside the corporate limits of any city, it may investigate the circumstancesof such sale, purchase, rental, lease or exchange.

2. If such investigation reveals any evidence offraud, deceit or false advertising which has influenced or induced or mayinfluence or induce the sale, purchase, rental, lease or exchange, the RealEstate Division shall advise the Attorney General or the district attorney ofthe county in which the land or subdivision is located. The district attorneyor, upon the request of the Administrator, the Attorney General shall causeappropriate legal action to be taken to enjoin any further sale, purchase,rental, lease or exchange until the fraud, deceit or false advertising iseliminated and restitution has been made for any loss.

3. Nothing in this section shall prevent prosecutionof any person in a criminal action under the provisions of any other law.

(Added to NRS by 1961, 75; A 1963, 666; 1973, 1099)

REGULATION OF PRACTICES

NRS 645.230 Unlawfulto engage in certain conduct without license or permit or without complyingwith certain provisions of chapter; power of Division to file complaint withcourt and assist in prosecution of violation; prosecution by district attorneyor Attorney General.

1. It is unlawful for any person, limited-liabilitycompany, partnership, association or corporation to engage in the business of,act in the capacity of, advertise or assume to act as, a:

(a) Real estate broker, real estate broker-salesman orreal estate salesman within the State of Nevada without first obtaining theappropriate license from the Real Estate Division as provided for in thischapter;

(b) Property manager within the State of Nevada withoutfirst obtaining from the Real Estate Division as provided for in this chapter alicense as a real estate broker, real estate broker-salesman or real estatesalesman and a permit to engage in property management;

(c) Designated property manager within the State ofNevada without complying with the provisions of NRS 645.6055;

(d) Business broker within the State of Nevada withoutfirst obtaining from the Real Estate Division as provided for in this chapter alicense as a real estate broker, real estate broker-salesman or real estatesalesman and a permit to engage in business as a business broker issuedpursuant to the provisions of NRS 645.863;or

(e) Designated business broker within the State ofNevada without complying with the provisions of NRS 645.867.

2. The Real Estate Division may prefer a complaint fora violation of this section before any court of competent jurisdiction and mayassist in presenting the law or facts upon any trial for a violation of thissection.

3. The district attorney of each county shallprosecute all violations of this section in their respective counties in whichviolations occur, unless prosecuted by the Attorney General. Upon the requestof the Administrator, the Attorney General shall prosecute any violation ofthis section in lieu of the district attorney.

[1:150:1947; 1943 NCL 6396.01](NRS A 1963, 666;1973, 1100; 1981, 514; 1985, 1262; 1997, 166, 957; 2003, 1290; 2005, 649)

NRS 645.235 Administrativefine for engaging in certain conduct without license, permit, certificate,registration or authorization; procedure for imposition of fine; judicialreview; exceptions.

1. In addition to any other remedy or penalty, theCommission may impose an administrative fine against any person who knowingly:

(a) Engages or offers to engage in any activity forwhich a license, permit, certificate or registration or any type ofauthorization is required pursuant to this chapter, or any regulation adoptedpursuant thereto, if the person does not hold the required license, permit,certificate or registration or has not been given the required authorization;or

(b) Assists or offers to assist another person tocommit a violation described in paragraph (a).

2. If the Commission imposes an administrative fineagainst a person pursuant to this section, the amount of the administrativefine may not exceed the amount of any gain or economic benefit that the personderived from the violation or $5,000, whichever amount is greater.

3. In determining the appropriate amount of theadministrative fine, the Commission shall consider:

(a) The severity of the violation and the degree of anyharm that the violation caused to other persons;

(b) The nature and amount of any gain or economicbenefit that the person derived from the violation;

(c) The persons history or record of other violations;and

(d) Any other facts or circumstances that theCommission deems to be relevant.

4. Before the Commission may impose the administrativefine, the Commission must provide the person with notice and an opportunity tobe heard.

5. The person is entitled to judicial review of thedecision of the Commission in the manner provided by chapter 233B of NRS.

6. The provisions of this section do not apply to aperson who engages or offers to engage in activities within the purview of thischapter if:

(a) A specific statute exempts the person from complyingwith the provisions of this chapter with regard to those activities; and

(b) The person is acting in accordance with theexemption while engaging or offering to engage in those activities.

(Added to NRS by 2003, 1289)

NRS 645.240 Personsand services to which chapter does not apply.

1. The provisions of this chapter do not apply to, andthe terms real estate broker and real estate salesman do not include, any:

(a) Owner or lessor of property, or any regularemployee of such a person, who performs any of the acts mentioned in NRS 645.030, 645.040, 645.230and 645.260, with respect to theproperty in the regular course of or as an incident to the management of orinvestment in the property. For the purposes of this paragraph, managementmeans activities which tend to preserve or increase the income from theproperty by preserving the physical desirability of the property or maintaininghigh standards of service to tenants. The term does not include salesactivities.

(b) Employee of a real estate broker while engaged inthe collection of rent for or on behalf of the broker.

(c) Person while performing the duties of a propertymanager for a property, if the person maintains an office on the property anddoes not engage in property management with regard to any other property.

(d) Person while performing the duties of a propertymanager for a common-interest community governed by the provisions of chapter 116 of NRS, a condominium projectgoverned by the provisions of chapter 117 ofNRS, a time share governed by the provisions of chapter119A of NRS, or a planned unit development governed by the provisions of chapter 278A of NRS, if the person is a memberin good standing of, and, if applicable, holds a current certificate,registration or other similar form of recognition from, a nationally recognizedorganization or association for persons managing such properties that has beenapproved by the Real Estate Division by regulation.

(e) Person while performing the duties of a propertymanager for property used for residential housing that is subsidized eitherdirectly or indirectly by this State, an agency or political subdivision ofthis State, or the Federal Government or an agency of the Federal Government.

2. Except as otherwise provided in NRS 645.606 to 645.6085, inclusive, the provisions ofthis chapter do not apply to:

(a) Any bank, thrift company, credit union, trustcompany, savings and loan association or any mortgage or farm loan associationlicensed under the laws of this State or of the United States, with referenceto property it has acquired for development, for the convenient transaction ofits business, or as a result of foreclosure of property encumbered in goodfaith as security for a loan or other obligation it has originated or holds.

(b) A corporation which, through its regular officerswho receive no special compensation for it, performs any of those acts withreference to the property of the corporation.

(c) The services rendered by an attorney at law in theperformance of his duties as an attorney at law.

(d) A receiver, trustee in bankruptcy, administrator orexecutor, or any other person doing any of the acts specified in NRS 645.030 under the jurisdiction of anycourt.

(e) A trustee acting under a trust agreement, deed oftrust or will, or the regular salaried employees thereof.

(f ) The purchase,sale or locating of mining claims or options thereon or interests therein.

(g) The State of Nevada or a political subdivisionthereof.

[5:150:1947; A 1955, 457](NRS A 1973, 1100; 1979,1538; 1981, 1328; 1983, 151; 1985, 1262, 1507; 1987, 517; 1993, 2021; 1997,957; 1999, 938)

NRS 645.250 Powerof cities and towns to license and regulate brokers and salesmen not affected. Nothing contained in this chapter shall affect the power ofcities and towns to tax, license and regulate real estate brokers or realestate salesmen. The requirements of this chapter shall be in addition to therequirements of any existing or future ordinance of any city or town so taxing,licensing or regulating real estate brokers or real estate salesmen.

[32:150:1947; 1943 NCL 6396.32]

NRS 645.251 Licenseenot required to comply with certain principles of common law. A licensee is not required to comply with any principlesof common law that may otherwise apply to any of the duties of the licensee asset forth in NRS 645.252, 645.253 and 645.254 and the regulations adopted tocarry out those sections.

(Added to NRS by 1995, 2072)

NRS 645.252 Dutiesof licensee acting as agent in real estate transaction. A licensee who acts as an agent in a real estatetransaction:

1. Shall disclose to each party to the real estatetransaction as soon as is practicable:

(a) Any material and relevant facts, data orinformation which he knows, or which by the exercise of reasonable care anddiligence he should have known, relating to the property which is the subjectof the transaction.

(b) Each source from which he will receive compensationas a result of the transaction.

(c) That he is a principal to the transaction or has aninterest in a principal to the transaction.

(d) Except as otherwise provided in NRS 645.253, that he is acting for morethan one party to the transaction. If a licensee makes such a disclosure, hemust obtain the written consent of each party to the transaction for whom he isacting before he may continue to act in his capacity as an agent. The writtenconsent must include:

(1) A description of the real estatetransaction.

(2) A statement that the licensee is acting fortwo or more parties to the transaction who have adverse interests and that inacting for these parties, the licensee has a conflict of interest.

(3) A statement that the licensee will notdisclose any confidential information for 1 year after the revocation ortermination of any brokerage agreement entered into with a party to thetransaction, unless he is required to do so by a court of competentjurisdiction or he is given written permission to do so by that party.

(4) A statement that a party is not required toconsent to the licensee acting on his behalf.

(5) A statement that the party is giving hisconsent without coercion and understands the terms of the consent given.

(e) Any changes in his relationship to a party to thetransaction.

2. Shall exercise reasonable skill and care withrespect to all parties to the real estate transaction.

3. Shall provide the appropriate form prepared by theDivision pursuant to NRS 645.193 to:

(a) Each party for whom the licensee is acting as anagent in the real estate transaction; and

(b) Each unrepresented party to the real estatetransaction, if any.

4. Unless otherwise agreed upon in writing, owes noduty to:

(a) Independently verify the accuracy of a statementmade by an inspector certified pursuant to chapter645D of NRS or another appropriate licensed or certified expert.

(b) Conduct an independent inspection of the financialcondition of a party to a real estate transaction.

(Added to NRS by 1995, 2072; A 2001, 2892; 2005, 649)

NRS 645.253 Licenseesaffiliated with same brokerage: Additional duties when assigned to separateparties to real estate transaction. If a realestate broker assigns different licensees affiliated with his brokerage toseparate parties to a real estate transaction, the licensees are not requiredto obtain the written consent required pursuant to paragraph (d) of subsection1 of NRS 645.252. Each licensee shallnot disclose, except to the real estate broker, confidential informationrelating to a client in violation of NRS645.254.

(Added to NRS by 1995, 2073)

NRS 645.254 Additionalduties of licensee entering into brokerage agreement to represent client inreal estate transaction. A licensee who hasentered into a brokerage agreement to represent a client in a real estatetransaction:

1. Shall exercise reasonable skill and care to carryout the terms of the brokerage agreement and to carry out his duties pursuantto the terms of the brokerage agreement;

2. Shall not disclose confidential informationrelating to a client for 1 year after the revocation or termination of thebrokerage agreement, unless he is required to do so pursuant to an order of acourt of competent jurisdiction or he is given written permission to do so bythe client; and

3. Shall promote the interests of his client by:

(a) Seeking a sale, lease or property at the price andterms stated in the brokerage agreement or at a price acceptable to the client.

(b) Presenting all offers made to or by the client assoon as is practicable.

(c) Disclosing to the client material facts of whichthe licensee has knowledge concerning the transaction.

(d) Advising the client to obtain advice from an expertrelating to matters which are beyond the expertise of the licensee.

(e) Accounting for all money and property he receivesin which the client may have an interest as soon as is practicable.

(Added to NRS by 1995, 2073)

NRS 645.257 Actionto recover damages suffered as result of licensees failure to perform certainduties; standard of care.

1. A person who has suffered damages as the proximateresult of a licensees failure to perform any duties required by NRS 645.252, 645.253 or 645.254 or the regulations adopted to carryout those sections may bring an action against the licensee for the recovery ofhis actual damages.

2. In such an action, any knowledge of the client ofthe licensee of material facts, data or information relating to the realproperty which is the subject of the real estate transaction may not be imputedto the licensee.

3. In an action brought by a person against a licenseepursuant to subsection 1, the standard of care owed by a licensee is the degreeof care that a reasonably prudent real estate licensee would exercise and ismeasured by the degree of knowledge required to be obtained by a real estatelicensee pursuant to NRS 645.343 and 645.345.

(Added to NRS by 1995, 2073; A 2001, 2893)

NRS 645.258 Dutiesconcerning transaction involving used manufactured home or used mobile home.

1. In any transaction involving a used manufacturedhome or used mobile home that has not been converted to real property pursuantto NRS 361.244, a licensee shall provideto the purchaser, on a form prepared by the Real Estate Division, the followingdisclosures:

(a) The year, serial number and manufacturer of theused manufactured home or used mobile home;

(b) A statement that the used manufactured home or usedmobile home is personal property subject to personal property taxes;

(c) A statement of the requirements of NRS 489.521 and 489.531; and

(d) Such other disclosures as may be required by theReal Estate Division.

2. The disclosures required pursuant to subsection 1do not constitute a warranty as to the title or condition of the usedmanufactured home or used mobile home.

3. A real estate broker who represents a client insuch a transaction shall take such actions as necessary to ensure that theclient complies with the requirements of NRS489.521 and 489.531.

(Added to NRS by 2005, 665)

NRS 645.259 Liabilityof licensee for misrepresentation made by client; failure of seller to makerequired disclosures is public record. Alicensee may not be held liable for:

1. A misrepresentation made by his client unless thelicensee:

(a) Knew his client made the misrepresentation; and

(b) Failed to inform the person to whom the client madethe misrepresentation that the statement was false.

2. Except as otherwise provided in this subsection,the failure of the seller to make the disclosures required by NRS 113.130 and 113.135 if the information that would havebeen disclosed pursuant to NRS 113.130and 113.135 is a public record which isreadily available to the client. Notwithstanding the provisions of this subsection,a licensee is not relieved of the duties imposed by paragraph (a) of subsection1 of NRS 645.252.

(Added to NRS by 1995, 2074; A 2001, 2893)

NRS 645.260 Oneact constitutes action in capacity of broker or salesman. Any person, limited-liability company, partnership,association or corporation who, for another, in consideration of compensationby fee, commission, salary or otherwise, or with the intention or expectationof receiving compensation, does, offers or attempts or agrees to do, engagesin, or offers or attempts or agrees to engage in, either directly orindirectly, any single act or transaction contained in the definition of a realestate broker in NRS 645.030, whetherthe act is an incidental part of a transaction, or the entire transaction, isacting in the capacity of a real estate broker or real estate salesman within themeaning of this chapter.

[4:150:1947; 1943 NCL 6396.04](NRS A 1985, 1263;1997, 166)

NRS 645.270 Allegationand proof of licensed status in action for compensation. A person, limited-liability company, partnership,association or corporation engaged in the business or acting in the capacity ofa real estate broker or a real estate salesman within this State may notcommence or maintain any action in the courts of this State for the collectionof compensation for the performance of any of the acts mentioned in NRS 645.030 without alleging and provingthat the person, limited-liability company, partnership, association orcorporation was a licensed real estate broker or real estate salesman at thetime the alleged cause of action arose.

[30:150:1947; 1943 NCL 6396.30](NRS A 1985, 1263;1997, 166)

NRS 645.280 Associationwith or compensation of unlicensed broker, broker-salesman or salesmanunlawful; payment of commission other than through broker or owner-developerunlawful.

1. It is unlawful for any licensed real estate broker,or broker-salesman or salesman to offer, promise, allow, give or pay, directlyor indirectly, any part or share of his commission, compensation or findersfee arising or accruing from any real estate transaction to any person who isnot a licensed real estate broker, broker-salesman or salesman, inconsideration of services performed or to be performed by the unlicensedperson. A licensed real estate broker may pay a commission to a licensed brokerof another state.

2. A real estate broker-salesman or salesman shall notbe associated with or accept compensation from any person other than the brokeror owner-developer under whom he is licensed at the time of the real estatetransaction.

3. It is unlawful for any licensed real estatebroker-salesman or salesman to pay a commission to any person except throughthe broker or owner-developer under whom he is licensed at the time of the realestate transaction.

[26:150:1947; 1943 NCL 6396.26](NRS A 1959, 394;1975, 1542; 1979, 1538; 1985, 1263; 2005, 1286)

NRS 645.283 Owner-developers:Employment of licensed salesmen; association with qualified sales manager;registration.

1. Except as otherwise provided in subsection 2, anowner-developer who is registered with the Real Estate Division may employ oneor more licensed real estate salesmen to sell any single-family residence,owned by the owner-developer and not previously sold, which is within the areacovered by his current registration.

2. An owner-developer may not employ a licensed realestate salesman pursuant to subsection 1 unless a licensed real estatebroker-salesman who is qualified pursuant to NRS645.289 is associated with the owner-developer as a sales manager tooversee the activities of the real estate salesman.

3. The area covered by an owner-developersregistration may be enlarged from time to time upon application and payment ofthe required fee.

4. Registration may be kept in force by annualrenewal.

(Added to NRS by 1975, 1639; A 2005, 1287)

NRS 645.285 Owner-developers:Form and contents of application for registration.

1. Application for original registration as anowner-developer shall be made on a form provided by the Division, and shall setforth:

(a) The limits of the area within which the applicantowns the residences proposed to be sold;

(b) The location of the applicants principal place ofbusiness; and

(c) Any further information required by regulations ofthe Commission.

2. An application to enlarge the area covered by aregistration shall set forth the limits of the area to be added.

(Added to NRS by 1975, 1639)

NRS 645.287 Owner-developers:Regulations concerning qualifications; principal place of business and records.

1. Regulations adopted by the Real Estate Commissionshall not establish any educational qualification or require any examination ofan owner-developer, but shall provide appropriate standards of good moralcharacter and financial stability.

2. Each owner-developer shall maintain a principalplace of business and keep there the records concerning salesmen employed byhim.

(Added to NRS by 1975, 1639)

NRS 645.289 Owner-developers:Qualifications and duties of person who acts as sales manager.

1. To qualify as a sales manager for the purposes of NRS 645.283, a licensed real estatebroker-salesman must have at least 2 years of experience during the immediatelypreceding 4 years as a real estate broker-salesman or salesman licensed in thisState or any other state or territory of the United States, or the District ofColumbia.

2. A real estate broker-salesman shall:

(a) Before becoming associated with an owner-developeras a sales manager, notify the Division on a form prescribed by the Divisionthat he will be acting in that capacity; and

(b) Upon the termination of his association with anowner-developer as a sales manager, notify the Division of that fact.

(Added to NRS by 2005, 1286)

NRS 645.300 Deliveryof copy of written brokerage agreement; receipt. Whena licensee prepares or has prepared a written brokerage agreement authorizingor employing him to purchase or sell real estate for compensation orcommission, he shall deliver a copy of the written brokerage agreement to theclient signing it at the time the signature is obtained, if possible, orotherwise within a reasonable time thereafter. Receipt for the copy may be madeon the face of the written brokerage agreement.

[28:150:1947; 1943 NCL 6396.28](NRS A 1979, 1539;1995, 2074)

NRS 645.310 Depositsand trust accounts: Accounting; commingling; records; inspection and audit.

1. All deposits accepted by every real estate brokeror person registered as an owner-developer pursuant to this chapter, which areretained by him pending consummation or termination of the transactioninvolved, must be accounted for in the full amount at the time of theconsummation or termination.

2. Every real estate salesman or broker-salesman whoreceives any money on behalf of a broker or owner-developer shall pay over themoney promptly to the real estate broker or owner-developer.

3. A real estate broker shall not commingle the moneyor other property of his client with his own.

4. If a real estate broker receives money, as abroker, which belongs to others, he shall promptly deposit the money in aseparate checking account located in a bank or credit union in this State whichmust be designated a trust account. All down payments, earnest money deposits,rents, or other money which he receives, on behalf of his client or any otherperson, must be deposited in the account unless all persons who have anyinterest in the money have agreed otherwise in writing. A real estate brokermay pay to any seller or the sellers authorized agent the whole or any portionof such special deposit. The real estate broker is personally responsible andliable for such deposit at all times. A real estate broker shall not permit anyadvance payment of money belonging to others to be deposited in the real estatebrokers business or personal account or to be commingled with any money he mayhave on deposit.

5. Every real estate broker required to maintain aseparate trust account shall keep records of all money deposited therein. Therecords must clearly indicate the date and from whom he received money, thedate deposited, the dates of withdrawals, and other pertinent informationconcerning the transaction, and must show clearly for whose account the moneyis deposited and to whom the money belongs. The real estate broker shallbalance each separate trust account at least monthly. The real estate brokershall provide to the Division, on a form provided by the Division, an annualaccounting which shows an annual reconciliation of each separate trust account.All such records and money are subject to inspection and audit by the Divisionand its authorized representatives. All such separate trust accounts must designatethe real estate broker as trustee and provide for withdrawal of money withoutprevious notice.

6. Each real estate broker shall notify the Divisionof the names of the banks and credit unions in which he maintains trustaccounts and specify the names of the accounts on forms provided by theDivision.

7. If a real estate broker who has money in a trustaccount dies or becomes mentally disabled, the Division, upon application tothe district court, may have a trustee appointed to administer and distributethe money in the account with the approval of the court. The trustee may servewithout posting a bond.

[27.5:150:1947; added 1955, 76](NRS A 1963, 1073;1975, 1543; 1979, 1539; 1981, 1606; 1983, 152; 1995, 2074; 1997, 958; 1999, 1538)

NRS 645.313 Otherfinancial accounts: Investigation and audit involving insolvency of broker orenforcement by Division; regulations governing scope of audit; grounds fordisciplinary action.

1. The Division may investigate and audit allfinancial accounts related to the business of a real estate broker, regardlessof whether it is a trust account, if the Division has reasonable cause tobelieve that the broker is using or has used the account to operate or carry onthe brokers business and the Division:

(a) Has reasonable cause to believe or has received acredible complaint that the real estate broker is insolvent or is in anyfinancial condition or has engaged in any financial practice which creates asubstantial risk of insolvency; or

(b) Determines that the investigation and audit arereasonably necessary to assist the Division in administering or enforcing anyother provision of this chapter or any other statute that the Division ischarged with administering or enforcing.

2. The Commission shall adopt regulations prescribingthe scope of an audit conducted pursuant to this section.

3. The Commission may take action pursuant to NRS 645.630 against:

(a) Any real estate broker or other licensee whoknowingly fails to cooperate or comply with or knowingly impedes or interfereswith any investigation or audit conducted by the Division pursuant to thissection; or

(b) Any real estate broker who is insolvent or who isin any financial condition or has engaged in any financial practice whichcreates a substantial risk of insolvency.

4. As used in this section, insolvent orinsolvency means a condition in which a real estate broker is unable to meetthe liabilities of the brokers business as those liabilities become due in theregular course of the brokers business and which creates a substantial risk ofharm to the public or a consumer.

(Added to NRS by 2003, 1288)

NRS 645.314 Administratormay charge broker for costs and fees of audit under certain circumstances;additional grounds for disciplinary action.

1. The Administrator may charge and collect from areal estate broker an amount equal to the amount of the actual costs and feesincurred by the Division to conduct an audit of the financial accounts of thereal estate broker pursuant to this chapter or any regulations adopted pursuantthereto if:

(a) The Division makes a request during the course ofthe audit for the real estate broker to produce, provide access to or grantauthorization to the Division to inspect or obtain any documentation related tothe business of a real estate broker which the broker is required to maintainpursuant to NRS 645.310 and anyregulations adopted pursuant to this chapter;

(b) The real estate broker fails to comply with therequest within a reasonable time established by the Division; and

(c) The Division has reasonable cause to believe thatthe requested documentation will assist it in investigating whether the realestate broker has committed any act or offense that would be grounds for takingdisciplinary action against the real estate broker.

2. If the Administrator charges a real estate brokerfor the costs and fees of an audit pursuant to subsection 1, the Administratorshall bill the real estate broker upon the completion of the audit. The costsand fees must be paid within 90 days after the date the real estate brokerreceives the bill. Except as otherwise provided in this subsection, any paymentreceived after the due date must include a penalty in the amount of 10 percentof the amount specified in the bill plus an additional penalty in the amount of1 percent of the amount for each month, or portion of a month, that the bill isnot paid. The Administrator may waive the penalty for good cause.

3. The failure of a real estate broker to pay anycosts and fees as required by this section constitutes grounds for disciplinaryaction against the real estate broker.

4. Money received by the Division pursuant to thissection must be:

(a) Deposited with the State Treasurer for credit tothe appropriate account of the Division.

(b) Used by the Division only to offset the fees andcosts incurred by the Division in carrying out the provisions of NRS 645.313.

(Added to NRS by 2005, 1285)

NRS 645.315 Conditionsand limitations on certain advertisements; required disclosures; prohibitedacts.

1. In any advertisement through which a licenseeoffers to perform services for which a license is required pursuant to thischapter, the licensee shall:

(a) If the licensee is a real estate broker, disclosethe name of any brokerage under which the licensee does business; or

(b) If the licensee is a real estate broker-salesman orreal estate salesman, disclose the name of the brokerage with whom the licenseeis associated.

2. If a licensee is a real estate broker-salesman orreal estate salesman, the licensee shall not advertise solely under thelicensees own name when acting in the capacity as a broker-salesman orsalesman. All such advertising must be done under the direct supervision of andin the name of the brokerage with whom the licensee is associated.

(Added to NRS by 1999, 92; A 2003, 932)

NRS 645.320 Requirementsfor exclusive agency representation. Everybrokerage agreement which includes a provision for an exclusive agencyrepresentation must:

1. Be in writing.

2. Have set forth in its terms a definite, specifiedand complete termination.

3. Contain no provision which requires the client whosigns the brokerage agreement to notify the real estate broker of his intentionto cancel the exclusive features of the brokerage agreement after thetermination of the brokerage agreement.

4. Be signed by both the client or his authorizedrepresentative and the broker or his authorized representative in order to beenforceable.

[28.5:150:1947; added 1955, 18](NRS A 1995, 2075; 2003, 932)

NRS 645.3205 Dealingwith party to real estate transaction in manner which is deceitful, fraudulentor dishonest prohibited. A licensee shall notdeal with any party to a real estate transaction in a manner which isdeceitful, fraudulent or dishonest.

(Added to NRS by 1995, 2074)

NRS 645.321 Discriminatorypractices unlawful; penalty.

1. It is unlawful, on account of race, religiouscreed, color, national origin, disability, ancestry, familial status or sex,to:

(a) Discriminate against any person:

(1) By denying the person access to ormembership or participation in any multiple-listing service, real estatebrokers organization or other service or facility relating to the sale orrental of dwellings; or

(2) In the terms or conditions of such access,membership or participation.

(b) Discriminate against any person:

(1) By denying the person access to anyopportunity to engage in a transaction regarding residential real estate; or

(2) In the terms or conditions of such atransaction.

2. Any person violating the provisions of subsection 1shall be punished by a fine of $500 for the first offense and for the secondoffense shall show cause why his license should not be revoked by theCommission.

3. As used in this section:

(a) Disability means, with respect to a person:

(1) A physical or mental impairment thatsubstantially limits one or more of the major life activities of the person;

(2) A record of such an impairment; or

(3) Being regarded as having such an impairment.

(b) Familial status means the fact that a person:

(1) Lives with a child under the age of 18 andhas:

(I) Lawful custody of the child; or

(II) Written permission to live with thechild from the person who has lawful custody of the child;

(2) Is pregnant; or

(3) Has begun a proceeding to adopt or otherwiseobtain lawful custody of a child.

(Added to NRS by 1971, 733; A 1991, 1983; 1995, 1994)

ADVANCE FEES

NRS 645.322 Accountingof use of advance fee charged or collected; Division may demand accounting. Any person or entity who charges or collects an advancefee shall, within 3 months after the charge or collection, furnish to hisclient an accounting of the use of that money. The Real Estate Division mayalso demand an accounting by such person or entity of advance fees socollected.

(Added to NRS by 1957, 211; A 1963, 667; 1995, 2075)

NRS 645.323 Licenserequired for acceptance of advance fee listing. Aperson shall not accept an advance fee listing unless he is licensed as a realestate broker, broker-salesman or salesman pursuant to this chapter.

(Added to NRS by 1985, 1260)

NRS 645.324 Formsof brokerage agreements; reports and forms of accounting; regulations;maintenance of agreements for review and audit; grounds for disciplinaryaction.

1. The Commission may require such forms of brokerageagreements which include provisions for the payment of advance fees to be used,and such reports and forms of accounting to be kept, made and submitted, andmay adopt such rules and regulations as the Commission may determine to benecessary to carry out the purposes and intent of NRS 645.322.

2. A licensee shall maintain, for review and audit bythe Division, each brokerage agreement that is entered into by the licensee.

3. Any violation of the rules, regulations, orders orrequirements of the Commission constitutes grounds for disciplinary actionagainst a licensee.

(Added to NRS by 1957, 211; A 1995, 2075; 1997, 959)

LICENSES

NRS 645.330 Generalqualifications of applicant; grounds for denial of application; eligibility forlicensing as broker.

1. Except as otherwise provided by a specific statute,the Division may approve an application for a license for a person who meetsall the following requirements:

(a) Has a good reputation for honesty, trustworthinessand integrity and who offers proof of those qualifications satisfactory to the Division.

(b) Has not made a false statement of material fact onhis application.

(c) Is competent to transact the business of a realestate broker, broker-salesman or salesman in a manner which will safeguard theinterests of the public.

(d) Has passed the examination.

(e) Has submitted all information required to completethe application.

2. The Division:

(a) May deny a license to any person who has beenconvicted of, or entered a plea of guilty or nolo contendere to, forgery,embezzlement, obtaining money under false pretenses, larceny, extortion,conspiracy to defraud, engaging in a real estate business without a license,possessing for the purpose of sale any controlled substance or any crimeinvolving moral turpitude, in any court of competent jurisdiction in the UnitedStates or elsewhere; and

(b) Shall not issue a license to such a person until atleast 3 years after:

(1) The person pays any fine or restitutionordered by the court; or

(2) The expiration of the period of the personsparole, probation or sentence,

whichever islater.

3. Suspension or revocation of a license pursuant tothis chapter or any prior revocation or current suspension in this or any otherstate, district or territory of the United States or any foreign country within10 years before the date of the application is grounds for refusal to grant alicense.

4. Except as otherwise provided in NRS 645.332, a person may not be licensedas a real estate broker unless he has been actively engaged as a full-timelicensed real estate broker-salesman or salesman in this State, or activelyengaged as a full-time licensed real estate broker, broker-salesman or salesmanin another state or the District of Columbia, for at least 2 of the 4 yearsimmediately preceding the issuance of a brokers license.

[Part 8:150:1947; A 1949, 433; 1955, 424](NRS A1973, 1101; 1975, 794; 1979, 1540; 1981, 1607; 1983, 163; 1985, 1263; 1993,2805; 1995, 993, 2477; 1997, 2165; 2003, 1499; 2005, 1287, 1288, 2773, 2807)

NRS 645.332 Applicantslicensed in another jurisdiction: Exemption from certain examinationrequirements; issuance of license as broker or broker-salesman by reciprocity.

1. An applicant for a license as a real estatesalesman is not required to pass the uniform portion of a national real estateexamination otherwise required by NRS645.330 and 645.460 if:

(a) He holds a license in good standing as a realestate broker, broker-salesman or salesman issued by another state or territoryof the United States, or the District of Columbia;

(b) The requirements for licensure as a real estatesalesman issued in that state or territory of the United States, or theDistrict of Columbia, are substantially equivalent to the requirements in thisState for licensure as a real estate salesman; and

(c) The applicant has passed the examination in thatstate or territory of the United States, or the District of Columbia.

2. The Division may issue a license as a real estatebroker or broker-salesman to a person who holds a license as a real estatebroker or broker-salesman, or an equivalent license, issued by a state orterritory of the United States, or the District of Columbia, if that state orterritory, or the District of Columbia, has entered into a reciprocal agreementwith the Commission for the issuance of licenses pursuant to this chapter andthe person submits proof to the Division that:

(a) He has been issued a license as a real estatebroker or broker-salesman, or an equivalent license, by that state or territoryof the United States, or the District of Columbia; and

(b) At the time he files his application with theDivision, the license is in good standing.

3. The Division may refuse to issue a license as areal estate broker or broker-salesman pursuant to subsection 2 to a person whohas committed any act or offense that would be grounds for denying a license toan applicant or taking disciplinary action against a licensee pursuant to thischapter.

4. The Commission shall not enter into a reciprocalagreement pursuant to subsection 2 unless the provisions relating to thepractice of real estate, including the requirements for the licensing of realestate brokers and real estate broker-salesmen in the other state or territoryof the United States, or the District of Columbia, are substantially similar tothe provisions relating to the practice of real estate in this State.

(Added to NRS by 2005, 1284)

NRS 645.335 Depositoryfinancial institution prohibited from being licensed.

1. For the purposes of this section, depositoryfinancial institution means any bank, savings and loan association, savingsbank, thrift company, credit union or other institution which:

(a) Holds or receives deposits, savings or shareaccounts;

(b) Issues certificates of deposit; or

(c) Provides to its customers other depository accountswhich are subject to withdrawal by checks, drafts or other instruments or byelectronic means to effect payment to a third party.

2. The purposes of this section are to help maintainthe separation between depository financial institutions and the business ofreal estate and to minimize the possibility of unfair competitive activities bydepository financial institutions against real estate brokers and salesmen.

3. No depository financial institution or its holdingcompany, parent, subsidiary or affiliate may directly or indirectly be licensedto sell real estate in this State.

(Added to NRS by 1985, 1507)

NRS 645.343 Educationalrequirements; regulations of Commission concerning standards of education.

1. In addition to the other requirements contained inthis chapter, an applicant for an original real estate salesmans license mustfurnish proof satisfactory to the Real Estate Division that he has successfullycompleted a course of instruction in the principles, practices, procedures, lawand ethics of real estate, which course may be an extension or correspondencecourse offered by the Nevada System of Higher Education, by any otheraccredited college or university or by any other college or school approved bythe Commission. The course of instruction must include the subject ofdisclosure of required information in real estate transactions, including instructionon methods a seller may use to obtain the required information.

2. An applicant for an original real estate brokersor broker-salesmans license must furnish proof satisfactory to the Real EstateDivision that he has successfully completed 45 semester units or the equivalentin quarter units of college level courses which include:

(a) Three semester units or an equivalent number ofquarter units in real estate law, including at least 18 classroom hours of thereal estate law of Nevada and another course of equal length in the principlesof real estate;

(b) Nine semester units or the equivalent in quarterunits of college level courses in real estate appraisal and business oreconomics;

(c) Nine semester units or the equivalent in quarterunits of college level courses in real estate, business or economics; and

(d) Three semester units or an equivalent number ofquarter units in broker management.

3. On and after January 1, 1986, in addition to otherrequirements contained in this chapter, an applicant for an original realestate brokers or broker-salesmans license must furnish proof satisfactory tothe Real Estate Division that he has completed 64 semester units or theequivalent in quarter units of college level courses. This educationalrequirement includes and is not in addition to the requirements listed insubsection 2.

4. For the purposes of this section, each person whoholds a license as a real estate broker, broker-salesman or salesman, or anequivalent license, issued by a state or territory of the United States, or theDistrict of Columbia, is entitled to receive credit for the equivalent of 16semester units of college level courses for each 2 years of active experiencethat, during the immediately preceding 10 years, he has obtained while he hasheld such a license, not to exceed 8 years of active experience. This creditmay not be applied against the requirement in subsection 2 for three semesterunits or an equivalent number of quarter units in broker management or 18classroom hours of the real estate law of Nevada.

5. An applicant for a brokers license pursuant to NRS 645.350 must meet the educationalprerequisites applicable on the date his application is received by the RealEstate Division.

6. As used in this section, college level coursesare courses offered by any accredited college or university or by any otherinstitution which meet the standards of education established by theCommission. The Commission may adopt regulations setting forth standards ofeducation which are equivalent to the college level courses outlined in thissubsection. The regulations may take into account the standard of instructors,the scope and content of the instruction, hours of instruction and such othercriteria as the Commission requires.

(Added to NRS by 1960, 155; A 1963, 667; 1969, 1448;1973, 987, 1591; 1975, 794, 1544, 1639; 1977, 610; 1981, 1032; 1983, 228; 1993,419; 1995, 505; 1999,180; 2005, 1288)

NRS 645.345 Regulationsof Division concerning schools and courses of instruction in principles andpractice of real estate; standard of instruction. TheDivision, with the approval of the Commission, shall:

1. Adopt reasonable regulations defining what constitutes:

(a) A course of instruction in real estate principles,practices, procedures, law and ethics, which course of instruction must includethe subjects upon which an applicant is examined in determining his fitness toreceive an original real estate salesmans license.

(b) A school offering such a course.

2. Adopt regulations providing for the establishmentand maintenance of a uniform and reasonable standard of instruction to beobserved in and by such schools.

(Added to NRS by 1960, 155; A 1969, 1448; 1975, 1545;1981, 1034)

NRS 645.350 Application:Form and contents.

1. An application for a license as a real estatebroker, broker-salesman or salesman must be submitted in writing to theDivision upon blanks prepared or furnished by the Division.

2. Every application for a real estate brokers,broker-salesmans or salesmans license must set forth the followinginformation:

(a) The name, age and address of the applicant. If theapplicant is a partnership or an association which is applying to do businessas a real estate broker, the application must contain the name and address ofeach member thereof. If the application is for a corporation which is applyingto do business as a real estate salesman, real estate broker-salesman or realestate broker, the application must contain the name and address of eachofficer and director thereof. If the applicant is a limited-liability companywhich is applying to do business as a real estate broker, the companysarticles of organization must designate a manager, and the name and address ofthe manager and each member must be listed in the application.

(b) In the case of a broker, the name under which thebusiness is to be conducted. The name is a fictitious name if it does notcontain the name of the applicant or the names of the members of theapplicants company, firm, partnership or association. Except as otherwiseprovided in NRS 645.387, a license mustnot be issued under a fictitious name which includes the name of a real estatesalesman or broker-salesman. A license must not be issued under the samefictitious name to more than one licensee within the State. All licensees doingbusiness under a fictitious name shall comply with other pertinent statutoryregulations regarding the use of fictitious names.

(c) In the case of a broker, the place or places,including the street number, city and county, where the business is to beconducted.

(d) The business or occupation engaged in by theapplicant for at least 2 years immediately preceding the date of theapplication, and the location thereof.

(e) The time and place of the applicants previousexperience in the real estate business as a broker or salesman.

(f) Whether the applicant has ever been convicted of oris under indictment for a felony or has entered a plea of guilty or nolocontendere to a charge of felony and, if so, the nature of the felony.

(g) Whether the applicant has been convicted of orentered a plea of nolo contendere to forgery, embezzlement, obtaining moneyunder false pretenses, larceny, extortion, conspiracy to defraud, engaging inthe business of selling real estate without a license or any crime involvingmoral turpitude.

(h) Whether the applicant has been refused a realestate brokers, broker-salesmans or salesmans license in any state, orwhether his license as a broker or salesman has been revoked or suspended byany other state, district or territory of the United States or any othercountry.

(i) If the applicant is a member of a limited-liabilitycompany, partnership or association, or an officer of a corporation, the nameand address of the office of the limited-liability company, partnership,association or corporation of which the applicant is a member or officer.

(j) All information required to complete theapplication.

3. An applicant for a license as a broker-salesman orsalesman shall provide a verified statement from the broker with whom he willbe associated, expressing the intent of that broker to associate the applicantwith him and to be responsible for the applicants activities as a licensee.

4. If a limited-liability company, partnership orassociation is to do business as a real estate broker, the application for abrokers license must be verified by at least two members thereof. If acorporation is to do business as a real estate broker, the application must beverified by the president and the secretary thereof.

[Part 9:150:1947; 1943 NCL 6396.09](NRS A 1963,668; 1967, 932; 1975, 1545; 1979, 1541; 1981, 514, 1608; 1983, 164; 1985, 1264;1995, 2478; 1997, 167, 2166; 2003, 1500; 2005, 2774, 2807, 2815)

NRS 645.355 Investigationof applicants background; fees; fingerprints.

1. Each applicant for a license as a real estatebroker, broker-salesman or salesman must pay a fee for the costs of aninvestigation of the applicants background.

2. Each applicant must, as part of his application andat his own expense:

(a) Arrange tohave a complete set of his fingerprints taken by a law enforcement agency orother authorized entity acceptable to the Division; and

(b) Submit tothe Division:

(1) Acompleted fingerprint card and written permission authorizing the Division tosubmit the applicants fingerprints to the Central Repository for NevadaRecords of Criminal History for submission to the Federal Bureau ofInvestigation for a report on the applicants background and to such other lawenforcement agencies as the Division deems necessary; or

(2) Writtenverification, on a form prescribed by the Division, stating that thefingerprints of the applicant were taken and directly forwarded electronicallyor by another means to the Central Repository and that the applicant has givenwritten permission to the law enforcement agency or other authorized entitytaking the fingerprints to submit the fingerprints to the Central Repositoryfor submission to the Federal Bureau of Investigation for a report on theapplicants background and to such other law enforcement agencies as theDivision deems necessary.

3. The Division may:

(a) Unless theapplicants fingerprints are directly forwarded pursuant to subparagraph (2) ofparagraph (b) of subsection 2, submit those fingerprints to the CentralRepository for submission to the Federal Bureau of Investigation and to suchother law enforcement agencies as the Division deems necessary; and

(b) Request from each such agency any informationregarding the applicants background as the Division deems necessary.

(Added to NRS by 1981, 1616; A 1983, 165; 2003, 1290, 2862; 2005, 1289)

NRS 645.358 Paymentof child support: Submission of certain information by applicant; grounds fordenial of license; duty of Division. [Effective until the date of the repeal ofthe federal law requiring each state to establish procedures for withholding,suspending and restricting the professional, occupational and recreationallicenses for child support arrearages and for noncompliance with certainprocesses relating to paternity or child support proceedings.]

1. Inaddition to any other requirements set forth in this chapter:

(a) Anatural person who applies for the issuance of a license as a real estatebroker, broker-salesman or salesman shall include the social security number ofthe applicant in the application submitted to the Division.

(b) A natural person who applies for the issuance orrenewal of a license as a real estate broker, broker-salesman or salesman shallsubmit to the Division the statement prescribed by the Division of Welfare andSupportive Services of the Department of Health and Human Services pursuant to NRS 425.520. The statement must be completedand signed by the applicant.

2. The Division shall include the statement requiredpursuant to subsection 1 in:

(a) The application or any other forms that must besubmitted for the issuance or renewal of the license; or

(b) A separate form prescribed by the Division.

3. A license as a real estate broker, broker-salesmanor salesman may not be issued or renewed by the Division if the applicant is anatural person who:

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

(b) Indicates on the statement submitted pursuant tosubsection 1 that he is subject to a court order for the support of a child andis not in compliance with the order or a plan approved by the district attorneyor other public agency enforcing the order for the repayment of the amount owedpursuant to the order.

4. If an applicant indicates on the statementsubmitted pursuant to subsection 1 that he is subject to a court order for thesupport of a child and is not in compliance with the order or a plan approvedby the district attorney or other public agency enforcing the order for therepayment of the amount owed pursuant to the order, the Division shall advisethe applicant to contact the district attorney or other public agency enforcingthe order to determine the actions that the applicant may take to satisfy thearrearage.

(Added to NRS by 1997, 2163; A 2005, 2775, 2807)

NRS 645.358 Payment of child support: Submissionof certain information by applicant; grounds for denial of license; duty ofDivision. [Effective on the date of the repeal of the federal law requiringeach state to establish procedures for withholding, suspending and restrictingthe professional, occupational and recreational licenses for child supportarrearages and for noncompliance with certain processes relating to paternityor child support proceedings and expires by limitation 2 years after that date.]

1. In addition to any other requirements set forth inthis chapter, a natural person who applies for the issuance or renewal of alicense as a real estate broker, broker-salesman or salesman shall submit tothe Division the statement prescribed by the Division of Welfare and SupportiveServices of the Department of Health and Human Services pursuant to NRS 425.520. The statement must becompleted and signed by the applicant.

2. The Division shall include the statement requiredpursuant to subsection 1 in:

(a) The application or any other forms that must besubmitted for the issuance or renewal of the license; or

(b) A separate form prescribed by the Division.

3. A license as a real estate broker, broker-salesmanor salesman may not be issued or renewed by the Division if the applicant is anatural person who:

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

(b) Indicates on the statement submitted pursuant tosubsection 1 that he is subject to a court order for the support of a child andis not in compliance with the order or a plan approved by the district attorneyor other public agency enforcing the order for the repayment of the amount owedpursuant to the order.

4. If an applicant indicates on the statementsubmitted pursuant to subsection 1 that he is subject to a court order for thesupport of a child and is not in compliance with the order or a plan approvedby the district attorney or other public agency enforcing the order for therepayment of the amount owed pursuant to the order, the Division shall advisethe applicant to contact the district attorney or other public agency enforcingthe order to determine the actions that the applicant may take to satisfy thearrearage.

(Added to NRS by 1997, 2163; A 2005, 2775, 2776, 2807, effective onthe date of the repeal of the federal law requiring each state to establishprocedures for withholding, suspending and restricting the professional,occupational and recreational licenses for child support arrearages and fornoncompliance with certain processes relating to paternity or child supportproceedings)

NRS 645.370 Issuanceof license to certain organizations doing business as broker; restrictions.

1. Each limited-liability company doing business as areal estate broker must designate its manager, each partnership doing businessas a real estate broker must designate one of its members, and each corporationdoing business as a real estate broker must designate one of its officers, tosubmit an application for a brokers license.

2. Upon such managers, members or officerssuccessfully passing the examination, and upon compliance with all otherrequirements of law by the limited-liability company, partnership orcorporation, as well as by the designated manager, member or officer, theDivision shall issue a brokers license to the manager, member or officer onbehalf of the limited-liability company, corporation or partnership, andthereupon the manager, member or officer so designated is entitled to performall the acts of a real estate broker contemplated by this chapter; except:

(a) That the license entitles the manager, member orofficer so designated to act as a real estate broker only as officer or agentof the limited-liability company, partnership or corporation, and not on hisown behalf, except as otherwise provided in NRS645.385; and

(b) That if in any case the person so designated isrefused a license by the Real Estate Division, or in case he ceases to beconnected with the limited-liability company, partnership or corporation, thelimited-liability company, partnership or corporation may designate anotherperson who must apply and qualify as in the first instance.

[Part 9:150:1947; 1943 NCL 6396.09](NRS A 1963,669; 1975, 1547; 1979, 1543; 1985, 1265; 1997, 168)

NRS 645.380 Issuanceof license as broker required for certain members and officers of certainorganizations. Each member or officer of alimited-liability company, partnership or corporation who will perform orengage in any of the acts specified in NRS645.030, other than the manager, member or officer designated for suchpurpose by the limited-liability company, partnership or corporation in themanner provided in NRS 645.370, mustapply for and take out a separate brokers license in his own nameindividually. The license issued to any such member or officer of alimited-liability company, partnership or corporation entitles the member orofficer to act as a real estate broker only as an officer or agent of thelimited-liability company, partnership or corporation and not on his own behalfexcept as otherwise provided in NRS 645.385.

[Part 9:150:1947; 1943 NCL 6396.09](NRS A 1983,165; 1985, 1266; 1997, 168)

NRS 645.385 Waiverof requirements of NRS 645.370 and 645.380. TheDivision may waive the requirements of NRS645.370 and 645.380 by adoptingregulations authorizing real estate brokers to act on their own behalf as wellas on the behalf of a limited-liability company, corporation or partnership.

(Added to NRS by 1973, 1105; A 1975, 1547; 1985,1266; 1997, 168)

NRS 645.387 Issuanceof license as broker-salesman or salesman to sole shareholder of corporation onbehalf of corporation or to manager of limited-liability company on behalf ofcompany; restrictions; duties; expiration.

1. Any natural person who meets the qualifications ofa real estate broker-salesman or salesman and:

(a) Except as otherwise provided in subsection 2, isthe sole shareholder of a corporation organized pursuant to the provisions of chapter 89 of NRS; or

(b) Is the manager of a limited-liability companyorganized pursuant to the provisions of chapter 86of NRS,

may belicensed on behalf of the corporation or limited-liability company for thepurpose of associating with a licensed real estate broker in the capacity of abroker-salesman or salesman.

2. The spouse of the owner of the corporation who hasa community interest in any shares of the corporation shall not be deemed asecond shareholder of the corporation for the purposes of paragraph (a) ofsubsection 1, if the spouse does not vote any of those shares.

3. A license issued pursuant to this section entitlesonly the sole shareholder of the corporation or the manager of thelimited-liability company to act as a broker-salesman or salesman, and only asan officer or agent of the corporation or limited-liability company and not onhis own behalf. The licensee shall not do or deal in any act, acts ortransactions included within the definition of a real estate broker in NRS 645.030, except as that activity ispermitted pursuant to this chapter to licensed broker-salesmen and salesmen.

4. The corporation or limited-liability company shall,within 30 days after a license is issued on its behalf pursuant to this sectionand within 30 days after any change in its ownership, file an affidavit withthe Division stating:

(a) For a corporation, the number of issued andoutstanding shares of the corporation and the names of all persons to whom theshares have been issued.

(b) For a limited-liability company, the names ofmembers who have an interest in the company.

5. A license issued pursuant to this sectionautomatically expires upon:

(a) The death of the licensed shareholder in thecorporation or the manager of the limited-liability company.

(b) The issuance of shares in the corporation to morethan one person other than the spouse.

6. Nothing in this section alters any of the rights,duties or liabilities which otherwise arise in the legal relationship between areal estate broker, broker-salesman or salesman and a person who deals withhim.

(Added to NRS by 1981, 513; A 1997, 169)

NRS 645.400 Additionalinformation concerning applicants may be required by Division; regulationsconcerning applications.

1. In addition to the information required by thischapter, applications for brokers or salesmens licenses must contain suchother information pertaining to the applicants as the Division may require.

2. The Division may require such other proof throughthe application or otherwise, with due regard to the paramount interests of thepublic as to the honesty, truthfulness, integrity and competency of theapplicant.

3. The Commission may adopt regulations connected withthe application for any examination and license.

[Part 13:150:1947; A 1949, 433; 1943 NCL 6396.13](NRS A 1979, 1543; 1981, 1609)

NRS 645.410 Regulationsconcerning fees for examination; time for payment of fees.

1. The Commission shall adopt regulations establishingthe fee for an examination for a license as a real estate broker,broker-salesman or salesman and all other fees necessary for the administrationof the examination.

2. Every application for examination for a license asa real estate broker, broker-salesman or salesman under the provisions of thischapter must be accompanied by the applicable fees established pursuant tosubsection 1. The applicant must pay the original license fee and the fee forthe Real Estate Education, Research and Recovery Fund at the time he files hisapplication for a license.

[11:150:1947; 1943 NCL 6396.11](NRS A 1963, 670;1973, 1102; 1975, 795; 1979, 1543; 1981, 1609; 1985, 1266; 1995, 162)

NRS 645.420 Actionon application by Division; additional investigation; invalidation of licensefor certain errors in issuance.

1. The Division shall notify each applicant in writingwhether he passed or failed the examination.

2. The Division shall act upon all applications forlicenses as real estate brokers, broker-salesmen or real estate salesmen within60 days from the date of receiving the completed application for a license.

3. If in the opinion of the Real Estate Divisionadditional investigation of the applicant appears necessary, the Real EstateDivision may extend the 60-day period and may make such additionalinvestigation as is necessary or desirable before acting on the applicantsapplication.

4. The burden of proof is on the applicant toestablish to the satisfaction of the Real Estate Division that he is qualifiedto receive a license.

5. Passing the examination creates no vested right inthe applicant to hold a license pending his appeal of a denial of his licensingby the Division.

6. The Division, upon the discovery of any error inthe issuance of a license which is related to the qualification or fitness ofthe licensee, may invalidate the license. The Division shall promptly notifythe licensee, in writing, of the invalidation and the licensee shall surrenderthe license to the Division within 20 days after notice is sent by theDivision. A licensee whose license is invalidated under this subsection and issurrendered within the time specified is entitled to a hearing as for a denialof application in accordance with the provisions of NRS 645.440.

[Part 13:150:1947; A 1949, 433; 1943 NCL 6396.13](NRS A 1963, 670; 1973, 1102; 1975, 796; 1977, 611; 1981, 1329, 1609)

NRS 645.430 Restrictionson reapplication after applicant denied license on ground other than failure ofexamination. If an applicant shall have beendenied a license except for failure to pass an examination, he shall not bepermitted to reapply until the Real Estate Division shall, in its discretion,upon petition of the applicant, grant leave to file such reapplication.

[Part 13:150:1947; A 1949, 433; 1943 NCL 6396.13](NRS A 1963, 670)

NRS 645.440 Denialof application: Notice; hearing; written decision; false statement ground fordenial.

1. If the Division, after an application for a licensein proper form has been filed with it, accompanied by the proper fee, denies anapplication, the Division shall give notice of the fact to the applicant within15 days after its ruling, order or decision.

2. Upon written request from the applicant, filedwithin 30 days after receipt of that notice by the applicant, the President ofthe Commission shall set the matter for a hearing to be conducted within 90days after receipt of the applicants request if the request containsallegations which, if true, qualify the applicant for a license.

3. The hearing must be held at such time and place asthe Commission prescribes. At least 15 days before the date set for thehearing, the Division shall notify the applicant and shall accompany thenotification with an exact copy of any protest filed, together with copies ofall communications, reports, affidavits or depositions in the possession of theDivision relevant to the matter in question. Written notice of the hearing maybe served by delivery personally to the applicant, or by mailing it bycertified mail to the last known address of the applicant.

4. The hearing may be held by the Commission or by amajority of its members, and a hearing must be held, if the applicant sodesires. A record of the proceedings, or any part thereof, must be madeavailable to each party upon the payment to the Division of the reasonable costof transcription.

5. The Commission shall render a written decision onany appeal within 60 days after the final hearing and shall notify the partiesto the proceedings, in writing, of its ruling, order or decision within 15 daysafter it is made.

6. If an applicant has made a false statement ofmaterial fact on his application, the false statement may in itself besufficient ground for refusal of a license.

[Part 15:150:1947; A 1955, 80](NRS A 1959, 395;1963, 670; 1969, 95; 1971, 452; 1975, 1548; 1977, 92; 1979, 1544; 1981, 1610;1985, 1267; 1999, 181)

NRS 645.450 Timefor examinations. Examination for licensesshall be held by the Real Estate Division at least bimonthly.

[Part 14:150:1947; A 1949, 433; 1943 NCL 6396.14](NRS A 1963, 1074; 1973, 1102; 1975, 1549)

NRS 645.460 Examination:Subjects covered; acceptance of national examination.

1. The Division shall ascertain by written examinationthat the applicant has an appropriate knowledge and understanding of thosesubjects which commonly and customarily apply to the real estate business.

2. The Division may hire a professional testingorganization to create, administer or score the written examination or performall of those functions.

3. The Division may accept successful completion ofthe uniform portion of a national real estate examination in partialsatisfaction of the requirements of the examination in Nevada.

[Part 14:150:1947; A 1949, 433; 1943 NCL 6396.14](NRS A 1963, 1074; 1973, 1103; 1979, 1545; 1981, 1611)

NRS 645.475 Examinationfor license as broker may be taken before meeting requirements for experience;issuance of license as broker-salesman upon passing examination; applicationand experience required for issuance of license as broker.

1. An applicant for a real estate brokers license maytake the written examination before he has complied with the experiencerequirements of subsection 4 of NRS 645.330,but the Division shall not approve the issuance of a brokers license until allthe requirements of this chapter are met.

2. An applicant, pursuant to subsection 1, who passesthe brokers examination must be issued a broker-salesmans license. Theapplicant may be issued a brokers license upon:

(a) Making proper application to the Division; and

(b) Satisfying the experience requirements ofsubsection 4 of NRS 645.330.

(Added to NRS by 1975, 793; A 1979, 1545; 1981, 1611;1995, 994)

NRS 645.490 Issuanceof license; duty of Real Estate Division; renewal of license.

1. Upon satisfactorily passing the written examinationand upon complying with all other provisions of law and conditions of thischapter, a license shall thereupon be granted by the Division to the successfulapplicant therefor as a real estate broker, broker-salesman or salesman, andthe applicant, upon receiving the license, may conduct the business of a realestate broker, broker-salesman or salesman in this State.

2. The Division shall issue licenses as a real estatebroker, broker-salesman or salesman to all applicants who qualify and complywith all provisions of law and all requirements of this chapter.

3. Except asotherwise provided in NRS 645.785:

(a) An originallicense as a real estate broker, broker-salesman or salesman must be renewedwith the Division before the expiration of the initial license period of 12consecutive months as prescribed in NRS645.780; and

(b) Thereafter, the license must be renewed with theDivision before the expiration of each subsequent license period of 24consecutive months as prescribed in NRS645.780.

[Part 14:150:1947; A 1949, 433; 1943 NCL 6396.14] +[Part 15:150:1947; A 1955, 80](NRS A 1963, 672; 1979, 1545; 2001, 2893; 2003, 1291)

NRS 645.495 Nonresidentlicensee to authorize service of process upon Administrator.

1. No license may be issued pursuant to NRS 645.490 to a resident of a state otherthan Nevada until the applicant has appointed in writing the Administrator tobe his agent, upon whom all process, in any action or proceeding against him,may be served. In this writing he must agree that any process against him whichis served on the Administrator is of the same legal validity as if it had beenserved on him and state that the appointment continues in force as long as anyliability remains outstanding against him in this State. It must contain astipulation agreeing to venue in any judicial or administrative district inthis State without regard to the location of the licensees principal place ofbusiness. The written appointment must be acknowledged before an officerauthorized to take acknowledgments of deeds and must be filed in the office ofthe Administrator. A copy of the appointment which is certified by theAdministrator is sufficient evidence of the appointment and agreement.

2. When any process is served upon the Administratorunder this section, the Administrator shall mail the process by certified mailto the last known address of the licensee. Service is complete upon suchmailing. The manner of serving process described in this subsection does notaffect the validity of any other service authorized by law.

(Added to NRS by 1987, 516)

NRS 645.510 Authorityof license limited to person or place of business licensed. No real estate license issued under the provisions of thischapter shall give authority to do or perform any act specified in this chapterto any person other than the person to whom the license is issued, or from anyplace of business other than that specified therein.

[16:150:1947; 1943 NCL 6396.16]

NRS 645.520 Formand contents; limitation on association with or employment of broker-salesmanor salesman.

1. The Division shall issue to each licensee a licensein such form and size as is prescribed by the Division.

2. Each license must:

(a) Show the name and address of the licensee, and incase of a real estate broker-salesmans or salesmans license show the name ofthe real estate broker with whom he will be associated.

(b) Have imprinted thereon the seal of the Division.

(c) Contain any additional matter prescribed by theDivision.

3. No real estate broker-salesman or salesman may beassociated with or employed by more than one broker or owner-developer at thesame time.

[Part 17:150:1947; A 1949, 433; 1955, 77](NRS A1963, 673; 1975, 1549; 1979, 1546)

NRS 645.530 Delivery;display.

1. The license of each real estate broker-salesman orsalesman must be delivered or mailed to the real estate broker with whom thelicensee is associated or to the owner-developer by whom he is employed andmust be kept in the custody and control of the broker or owner-developer.

2. Each real estate broker shall:

(a) Display his license conspicuously in his place ofbusiness. If a real estate broker maintains more than one place of businesswithin the State, an additional license must be issued to the broker for eachbranch office so maintained by him, and the additional license must bedisplayed conspicuously in each branch office.

(b) Prominently display in his place of business thelicenses of all real estate broker-salesmen and salesmen associated with himtherein or in connection therewith.

3. Each owner-developer shall prominently display inhis place of business the license of each real estate broker-salesman andsalesman employed by him.

[Part 17:150:1947; A 1949, 433; 1955, 77](NRS A1975, 1549, 1641; 1979, 1546; 1981, 1034)

NRS 645.550 Brokerto maintain place of business; business must be done from location designatedin license; licensing of broker or owner-developer by county, city or town.

1. Every real estate broker shall have and maintain adefinite place of business within the State, which must be a room or rooms usedfor the transaction of real estate business, or such business and any alliedbusinesses, and which must serve as the office for the transaction of businessunder the authority of the license, and where the license must be prominentlydisplayed.

2. The place of business must be specified in theapplication for license and designated in the license.

3. No license authorizes the licensee to transactbusiness from any office other than that designated in the license.

4. Each city, town or county may require a license forrevenue purposes for a licensed real estate broker or owner-developer whomaintains an office within the city or town, or within the county outside thecities and towns of the county, respectively.

[Part 17:150:1947; A 1949, 433; 1955, 77](NRS A1969, 893; 1973, 84; 1979, 1547)

NRS 645.560 Broker:Erection, maintenance, size and placement of signs.

1. Each licensed real estate broker shall erect andmaintain a sign in a conspicuous place upon the premises of his place ofbusiness. The name of the broker or the name under which he conducts hisbusiness set forth in his license must be clearly shown thereon.

2. The size and place of the sign must conform toregulations adopted by the Commission.

3. Similar signs must also be erected and maintainedin a conspicuous place at all branch offices.

[18:150:1947; 1943 NCL 6396.18](NRS A 1979, 1547;1989, 1610)

NRS 645.570 Noticeof change of name, location of business or association; requirements fortransfer of association; effect of failure to give notice.

1. Notice in writing must be given by the broker or acorporate officer to the Division within 10 days of any change of name orbusiness location of any licensee or of a change of association of anybroker-salesman or salesman licensee. Upon the surrender of the licensepreviously issued and the payment of the fee required by law the Division shallissue the license for the unexpired term.

2. Upon the transfer of association of anybroker-salesman or salesman licensee, application accompanied by the feerequired by law must be made to the division for the reissuance of the licenseto the broker-salesman or salesman for the unexpired term. Such a transfer mayonly be into an association with a licensed broker or registeredowner-developer who must certify to the honesty, truthfulness and goodreputation of the transferee.

3. Failure to give notice as required by this sectionconstitutes cause for the revocation of any outstanding license or involuntaryinactivation of the license.

[Part 17:150:1947; A 1949, 433; 1955, 77](NRS A1963, 673; 1975, 1550, 1641; 1979, 1547; 1983, 166)

NRS 645.575 Continuingeducation: Standards; renewal or reinstatement of license.

1. The Commission shall adopt regulations thatprescribe the standards for the continuing education of persons licensedpursuant to this chapter. Until the Commission adopts such regulations, thestandards for continuing education are as follows:

(a) For renewal of a license which is on active status,a requirement for the hours of attendance at any approved educational course,seminar or conference of:

(1) Thirty hours within the first yearimmediately after initial licensing; and

(2) Fifteen hours within each subsequent 2-yearperiod before renewal.

For eachperiod, at least 6 of the hours must be devoted to ethics, professional conductor the legal aspects of real estate.

(b) For reinstatement of a license which has been placedon inactive status, a requirement for total attendance at any approvededucational course, seminar or conference of:

(1) Thirty hours if the license was on inactivestatus for 2 years or less during the initial license period;

(2) Fifteen hours if the license was on inactivestatus for a period of 2 years or less, no part of which was during the initiallicense period;

(3) Forty-five hours if the license was oninactive status for a period of more than 2 years, part of which was during theinitial license period; or

(4) Thirty hours if the license was on inactivestatus for a period of more than 2 years, no part of which was during theinitial license period.

For eachperiod, at least 6 of the hours must be devoted to ethics, professional conductor the legal aspects of real estate.

(c) A basis and method of qualifying educationalprograms and certifying attendance which will satisfy the requirements of thissection.

(d) A procedure for the evaluation of petitions basedon a claim of equivalency with the requirements of paragraph (a) or (b).

(e) A system of controlling and reporting qualifyingattendance.

(f) A statement of the conditions for which anextension of time may be granted to comply with the continuing educationrequirements as well as a method of applying and qualifying for an extension.

2. The standards prescribed in subsection 1 mustpermit alternatives of subject material, taking cognizance of specialized areasof practice and alternatives in sources of programs considering availability inarea and time. The standards must include, where qualified, generallyaccredited educational institutions, private vocational schools, educationalprograms and seminars of professional societies and organizations, otherorganized educational programs on technical subjects, or equivalent offerings.The Commission shall qualify only those educational courses that it determinesaddress the appropriate subject matter and are given by an accrediteduniversity or community college. Subject to the provisions of this section, theCommission has exclusive authority to determine what is an appropriate subjectmatter for qualification as a continuing education course.

3. In additionto any other standards for continuing education that the Commission adopts byregulation pursuant to this section, the Commission may, without limitation,adopt by regulation standards for continuing education that:

(a) Establish apostlicensing curriculum of continuing education which must be completed by aperson within the first year immediately after initial licensing of the person.

(b) Require aperson whose license as a real estate broker or real estate broker-salesman hasbeen placed on inactive status for any reason for 1 year or more or has beensuspended or revoked to complete a course of instruction in broker managementthat is designed to fulfill the educational requirements for issuance of alicense which are described in paragraph (d) of subsection 2 of NRS 645.343, before the persons license isreissued or reinstated.

4. Except as otherwise provided in this subsection,the license of a real estate broker, broker-salesman or salesman must not berenewed or reinstated unless the Administrator finds that the applicant for therenewal license or for reinstatement to active status has completed thecontinuing education required by this chapter. Any amendment or repeal of aregulation does not operate to prevent an applicant from complying with thissection for the next licensing period following the amendment or repeal.

(Added to NRS by 1977, 1315; A 1979, 662; 1985, 1508;1989, 1610; 1995, 162; 1997, 219; 2001, 2894; 2003, 1291)

NRS 645.577 Placementof license on inactive status; reinstatement.

1. The Division may place a license on inactive statusfor any of the following reasons:

(a) At the request of the licensee.

(b) If a brokers license or a corporate officerslicense, for failure to immediately notify the Division in writing of anychange in the name of his firm or its business location.

(c) If a broker-salesmans license or a salesmanslicense, for failure to notify the Division of a change in the broker orowner-developer with whom he will be associated within 30 days after hisprevious association was terminated.

(d) For failure to apply and pay the fee for renewalbefore the license expired.

(e) If inactivated upon the placing of the broker underwhose supervision the licensee worked in an inactive status.

(f) As a result of a formal disciplinary proceeding.

2. Any licensee whose license has been placed oninactive status may not engage in the business of a real estate broker,broker-salesman or salesman until he has met all of the requirements forreinstatement of his license to active status.

(Added to NRS by 1979, 1532; A 1985, 1267)

NRS 645.580 Terminationof association or employment of broker-salesman or salesman; duties of brokeror owner-developer and broker-salesman or salesman; transfer of license or newlicense.

1. When any real estate broker-salesman or salesmanterminates, for any reason, his association with the real estate broker withwhom he was associated, or his employment with the owner-developer by whom hewas employed, the real estate broker or owner-developer shall:

(a) Deliver or mail by certified mail to the Divisionthe real estate broker-salesmans or salesmans license, together with awritten statement of the circumstances surrounding the termination of theassociation or the employment, within 10 days after the termination occurs.

(b) At the time of delivering or mailing the license tothe Division, address a communication to the last known residence address of thebroker-salesman or salesman, advising him that his license has been deliveredor mailed to the Division. A copy of the communication must accompany thelicense when delivered or mailed to the Division.

2. A broker-salesman or salesman must, within 30 daysafter termination of that association, become associated with or employed byanother broker or owner-developer or request that his license be placed oninactive status.

3. It is unlawful for any real estate salesman toperform any of the acts contemplated by this chapter, either directly orindirectly, under authority of the license on or after the date of receipt ofthe license from the broker or owner-developer by the Division and until thelicense is transferred or reissued or a new license is issued.

[Part 17:150:1947; A 1949, 433; 1955, 77](NRS A1963, 674; 1969, 95; 1975, 1550, 1641; 1979, 1548; 1981, 1034; 1989, 1611)

NRS 645.590 Terminationof association by broker with limited-liability company, partnership orcorporation; new license. If any real estatebroker licensed pursuant to the provisions of this chapter as a manager of alimited-liability company, member of a partnership, or as an officer of acorporation, discontinues his connections with the limited-liability company,partnership or corporation, and thereafter desires to act as an individual realestate broker, or become associated with any other limited-liability company,partnership or corporation, the broker must file an application and pay atransfer fee of $20 for a new license as an individual broker, as the managerof the new limited-liability company, or as a member of the new partnership orassociation, or as an officer of the new corporation. The payment of such a feedoes not extend or otherwise alter the original license period.

[Part 17:150:1947; A 1949, 433; 1955, 77](NRS A1973, 1103; 1985, 1268; 1997, 169)

NRS 645.600 Inactivestatus for period of military service; reinstatement.

1. Any licensee under the provisions of this chapterwho shall be called into the military service of the United States shall, athis request, be relieved from compliance with the provisions of this chapterand placed on inactive status for the period of such military service and for aperiod of 6 months after discharge therefrom.

2. At any time within 6 months after termination ofsuch service, providing the provisions of subsection 1 are complied with, thelicensee may be reinstated, without examination, to active status in theappropriate classification which the licensee left upon entry into the militaryservice, without having to meet any qualification or requirement other than thepayment of the reinstatement fee, as provided in NRS 645.830, and the licensee shall not berequired to make payment of the license fee for the current year.

3. Any licensee seeking to qualify for reinstatement,as provided in subsections 1 and 2, shall present a certified copy of hishonorable discharge or certificate of satisfactory service to the Real EstateDivision.

[33.5:150:1947; added 1955, 18](NRS A 1963, 674)

NRS 645.605 Certificateauthorizing out-of-state licensed broker to cooperate with broker in Nevada:Issuance; fee; regulations. The Administratorshall have authority to issue certificates authorizing out-of-state licensedbrokers to cooperate with Nevada brokers, and the Commission shall haveauthority to promulgate rules and regulations establishing the conditions underwhich such certificates shall be issued and cancelled, all subject to theprovisions and penalties of this chapter. The Real Estate Division shall chargea fee for the issuance of such certificate as provided in NRS 645.830.

(Added to NRS by 1965, 1407)

PROPERTY MANAGERS

NRS 645.6052 Permitto engage in property management: Persons eligible; requirements; instruction;expiration; renewal; regulations.

1. A person who is licensed pursuant to this chapteras a real estate broker, real estate broker-salesman or real estate salesmanmay apply to the Real Estate Division for a permit to engage in propertymanagement.

2. An applicant for a permit must:

(a) Furnish proof satisfactory to the Division that hehas successfully completed at least 24 classroom hours of instruction inproperty management; and

(b) Comply with all other requirements established bythe Commission for the issuance of a permit.

3. A permit expires, and may be renewed, at the sametime as the license of the holder of the permit.

4. An applicant for the renewal of a permit must:

(a) Furnish proof satisfactory to the Division that hehas successfully completed at least 3 of the hours of the continuing educationrequired for the renewal of his license pursuant to NRS 645.575 in an approved educationalcourse, seminar or conference concerning property management; and

(b) Comply with all other requirements established bythe Commission for the renewal of a permit.

5. The Commission may adopt such regulations as itdetermines are necessary to carry out the provisions of this section. Theregulations may, without limitation:

(a) Establish additional requirements for the issuanceor renewal of a permit.

(b) Establishfees for the issuance and renewal of a permit and fees to pay the costs of:

(1) Anyexamination for a permit, including any costs which are necessary for theadministration of such an examination.

(2) Any investigation of an applicantsbackground.

(c) Set forth standards of education for the approvalof a course of instruction to qualify an applicant for a permit.

(Added to NRS by 1997, 954; A 2003, 1292)

NRS 645.6054 Permitto engage in property management: Requirements for certain organizations.

1. To engage in the business of property management inthis State:

(a) A partnership shall designate one of its members;

(b) A corporation shall designate one of its officersor employees;

(c) A limited-liability company shall designate itsmanager; and

(d) A broker who conducts business as a sole proprietorshall designate a person who is licensed under the broker,

to submit anapplication for a permit to engage in property management. The partnership,corporation, limited-liability company or sole proprietor shall not engage inthe business of property management unless the person so designated has beenissued a permit to engage in property management by the Real Estate Division.

2. If the person designated to apply for a permitpursuant to subsection 1 meets the qualifications for a permit set forth in NRS 645.6052, the Division shall issue tothat person a permit to engage in property management on behalf of thepartnership, corporation, limited-liability company or sole proprietor, andthereupon he may perform all the acts of a property manager contemplated bythis chapter.

3. A person to whom a permit has been issued pursuantto this section may act as a property manager pursuant to the permit only onbehalf of the partnership, corporation, limited-liability company or soleproprietor, and not on his own behalf. If that person ceases to be connected orassociated with the partnership, corporation, limited-liability company or soleproprietor, the partnership, corporation, limited-liability company or soleproprietor shall designate another person who meets the qualifications for apermit set forth in NRS 645.6052 tohold the permit on behalf of the partnership, corporation, limited-liabilitycompany or sole proprietor.

4. Any member, officer or employee of a partnership,corporation or limited-liability company, other than the person designated asthe property manager pursuant to subsection 1, who wishes to engage in thebusiness of property management must apply in his own name individually for aseparate permit to engage in property management. Pursuant to such a permit,the member, officer or employee of a partnership, corporation orlimited-liability company may act as a property manager only as an officer oragent of the partnership, corporation or limited-liability company, and not onhis own behalf.

(Added to NRS by 1997, 955)

NRS 645.6055 Designatedproperty managers: Requirements; qualifications; duties.

1. If a real estate broker does not hold a permit toengage in property management but intends to have property managementactivities conducted at an office, the real estate broker must:

(a) Appoint a person, who has the qualificationsrequired by this section, as the designated property manager for the office tosupervise the property management activities conducted at the office; and

(b) Submit notice of the appointment to the Division.

2. The designated property manager for an office mustbe a natural person who:

(a) Holds a license as a real estate broker or realestate broker-salesman;

(b) Holds a permit to engage in property management;and

(c) Has 2 years active experience, within the 4 yearsimmediately preceding the date of the appointment, in conducting propertymanagement activities in the United States as a licensed real estate broker,real estate broker-salesman or real estate salesman.

3. While acting as the designated property manager foran office, the person:

(a) Must comply with the provisions of NRS 645.6052 to 645.6058, inclusive, and all otherapplicable provisions of this chapter; and

(b) Is subject to all the remedies and penaltiesprovided for in this chapter.

(Added to NRS by 2003, 1287)

NRS 645.6056 Propertymanagement agreements: Requirements; contents.

1. A real estate broker who holds a permit to engagein property management shall not act as a property manager unless the brokerhas first obtained a property management agreement signed by the broker and theclient for whom the broker will manage the property.

2. A property management agreement must include,without limitation:

(a) The term of the agreement and, if the agreement issubject to renewal, provisions clearly setting forth the circumstances underwhich the agreement may be renewed and the term of each such renewal;

(b) A provision for the retention and disposition ofdeposits of the tenants of the property during the term of the agreement and,if the agreement is subject to renewal, during the term of each such renewal;

(c) The fee or compensation to be paid to the broker;

(d) The extent to which the broker may act as the agentof the client; and

(e) If the agreement is subject to cancellation,provisions clearly setting forth the circumstances under which the agreementmay be cancelled. The agreement may authorize the broker or the client, orboth, to cancel the agreement with cause or without cause, or both, under thecircumstances set forth in the agreement.

(Added to NRS by 1997, 955; A 2003, 932)

NRS 645.6058 Dispositionof fees, penalties and fines received by Division; delegation of authority ofDivision to hearing officer or panel.

1. Except as otherwise provided in subsection 3, allfees, penalties and fines received by the Division pursuant to the provisionsof NRS 645.6052 to 645.6058, inclusive, must be depositedwith the State Treasurer for credit to the Division. The money must be used bythe Division for the administration of the provisions of NRS 645.6052 to 645.6058, inclusive.

2. The Division may delegate to a hearing officer orpanel its authority to take any disciplinary action against property managers,impose and collect fines pursuant to the disciplinary action and deposit themoney with the State Treasurer for credit to the Division.

3. If a hearing officer or panel is not authorized totake disciplinary action pursuant to subsection 2, the Division shall depositthe money collected from the imposition of penalties and fines collected fromproperty managers with the State Treasurer for credit to the State GeneralFund. The Division may present a claim to the State Board of Examiners for recommendationto the Interim Finance Committee if money is needed to pay an attorneys fee orthe costs of an investigation, or both.

(Added to NRS by 1997, 956; A 2003, 1293)

QUALIFIED INTERMEDIARIES FOR TAX-DEFERRED EXCHANGES OFPROPERTY

NRS 645.606 Qualifiedintermediary defined.

1. As used in NRS645.606 to 645.6085, inclusive,qualified intermediary has the meaning ascribed to it in 26 C.F.R. 1.1031(k)-1(g).

2. The term includes any person who advertises orholds himself out as prepared to facilitate a tax-deferred exchange of propertyin this State by acting as the custodian of money or other property.

3. The term does not include a bank, credit union orother depository institution, an escrow company, a title insurer, an agentlicensed pursuant to chapter 692A of NRS orits subsidiaries or employees.

(Added to NRS by 1993, 2019; A 1995, 994; 1997, 2167;1999, 1539; 2005, 2807)

NRS 645.6065 Registration;regulations; renewal of registration.

1. Except as otherwise provided in NRS 645.607, a person shall not act as aqualified intermediary unless he is registered as such with the Division. TheDivision may adopt such regulations as it deems necessary to carry out theprovisions of NRS 645.606 to 645.6085, inclusive.

2. To applyfor registration, a person must pay the Division a fee of $100 and a fee to paythe costs of an investigation of the persons background.

3. In addition to the requirements set forth insubsection 2, the person must submit to the Division:

(a) The following information on a form provided by theDivision:

(1) The applicants name, address and telephonenumber;

(2) The name under which the applicant will holdthe money or other property of a client;

(3) The names, residence and business addressesof all persons having an interest in the business as principals, partners,officers, trustees or directors, specifying the capacity and title of each; and

(4) The length of time the applicant has beenengaged in the business of acting as such an intermediary; and

(b) All information required to complete theapplication.

4. Eachapplicant must, as part of his application and at his own expense:

(a) Arrange tohave a complete set of his fingerprints taken by a law enforcement agency orother authorized entity acceptable to the Division; and

(b) Submit tothe Division:

(1) Acompleted fingerprint card and written permission authorizing the Division tosubmit the applicants fingerprints to the Central Repository for NevadaRecords of Criminal History for submission to the Federal Bureau ofInvestigation for a report on the applicants background and to such other lawenforcement agencies as the Division deems necessary; or

(2) Writtenverification, on a form prescribed by the Division, stating that thefingerprints of the applicant were taken and directly forwarded electronicallyor by another means to the Central Repository and that the applicant has givenwritten permission to the law enforcement agency or other authorized entitytaking the fingerprints to submit the fingerprints to the Central Repositoryfor submission to the Federal Bureau of Investigation for a report on theapplicants background and to such other law enforcement agencies as theDivision deems necessary.

5. The Division may:

(a) Unless the applicants fingerprints are directlyforwarded pursuant to subparagraph (2) of paragraph (b) of subsection 4, submitthose fingerprints to the Central Repository for submission to the FederalBureau of Investigation and to such other law enforcement agencies as theDivision deems necessary; and

(b) Request from each such agency any informationregarding the applicants background as the Division deems necessary.

6. Registration pursuant to this section must berenewed each year on or before the date of the original registration byproviding the information required by the Division for that purpose and payinga renewal fee of $75.

(Added to NRS by 1993, 2019; A 1997, 2167; 2003, 1293, 2862; 2005, 1290, 1291, 2777, 2807, 2814)

NRS 645.6068 Paymentof child support: Submission of certain information by applicant; grounds fordenial of registration; duty of Division. [Effective until the date of therepeal of the federal law requiring each state to establish procedures forwithholding, suspending and restricting the professional, occupational andrecreational licenses for child support arrearages and for noncompliance withcertain processes relating to paternity or child support proceedings.]

1. Inaddition to any other requirements set forth in this chapter:

(a) Anatural person who applies for the issuance of his registration as a qualifiedintermediary shall include the social security number of the applicant in theapplication submitted to the Division.

(b) A natural person who applies for the issuance orrenewal of his registration as a qualified intermediary shall submit to theDivision the statement prescribed by the Division of Welfare and SupportiveServices of the Department of Health and Human Services pursuant to NRS 425.520. The statement must becompleted and signed by the applicant.

2. The Division shall include the statement requiredpursuant to subsection 1 in:

(a) The application or any other forms that must besubmitted for the issuance or renewal of the registration; or

(b) A separate form prescribed by the Division.

3. An applicant may not be registered as a qualifiedintermediary by the Division if the applicant is a natural person who:

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

(b) Indicates on the statement submitted pursuant tosubsection 1 that he is subject to a court order for the support of a child andis not in compliance with the order or a plan approved by the district attorneyor other public agency enforcing the order for the repayment of the amount owedpursuant to the order.

4. If an applicant indicates on the statementsubmitted pursuant to subsection 1 that he is subject to a court order for thesupport of a child and is not in compliance with the order or a plan approvedby the district attorney or other public agency enforcing the order for therepayment of the amount owed pursuant to the order, the Division shall advisethe applicant to contact the district attorney or other public agency enforcingthe order to determine the actions that the applicant may take to satisfy thearrearage.

(Added to NRS by 1997, 2164; A 2005, 2777, 2807)

NRS 645.6068 Payment of child support: Submissionof certain information by applicant; grounds for denial of registration; dutyof Division. [Effective on the date of the repeal of the federal law requiringeach state to establish procedures for withholding, suspending and restrictingthe professional, occupational and recreational licenses for child supportarrearages and for noncompliance with certain processes relating to paternityor child support proceedings and expires by limitation 2 years after thatdate.]

1. In addition to any other requirements set forth inthis chapter, a natural person who applies for the issuance or renewal of hisregistration as a qualified intermediary shall submit to the Division thestatement prescribed by the Division of Welfare and Supportive Services of theDepartment of Health and Human Services pursuant to NRS 425.520. The statement must becompleted and signed by the applicant.

2. The Division shall include the statement requiredpursuant to subsection 1 in:

(a) The application or any other forms that must besubmitted for the issuance or renewal of the registration; or

(b) A separate form prescribed by the Division.

3. An applicant may not be registered as a qualifiedintermediary by the Division if the applicant is a natural person who:

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

(b) Indicates on the statement submitted pursuant tosubsection 1 that he is subject to a court order for the support of a child andis not in compliance with the order or a plan approved by the district attorneyor other public agency enforcing the order for the repayment of the amount owedpursuant to the order.

4. If an applicant indicates on the statementsubmitted pursuant to subsection 1 that he is subject to a court order for thesupport of a child and is not in compliance with the order or a plan approvedby the district attorney or other public agency enforcing the order for therepayment of the amount owed pursuant to the order, the Division shall advisethe applicant to contact the district attorney or other public agency enforcingthe order to determine the actions that the applicant may take to satisfy thearrearage.

(Added to NRS by 1997, 2164; A 2005, 2777, 2778, 2807, effective onthe date of the repeal of the federal law requiring each state to establishprocedures for withholding, suspending and restricting the professional,occupational and recreational licenses for child support arrearages and fornoncompliance with certain processes relating to paternity or child supportproceedings)

NRS 645.6069 Suspensionof registration for failure to pay child support or comply with certainsubpoenas or warrants; reinstatement of registration. [Expires by limitation 2years after the date of the repeal of the federal law requiring each state toestablish procedures for withholding, suspending and restricting theprofessional, occupational and recreational licenses for child supportarrearages and for noncompliance with certain processes relating to paternityor child support proceedings.]

1. If the Division receives a copy of a court orderissued pursuant to NRS 425.540 thatprovides for the suspension of all professional, occupational and recreationallicenses, certificates and permits issued to a person who is registered withthe Division as a qualified intermediary, the Division shall deem theregistration issued to that person to be suspended at the end of the 30th dayafter the date on which the court order was issued unless the Division receivesa letter issued by the district attorney or other public agency pursuant to NRS 425.550 to the person who is registeredas a qualified intermediary stating that the person has complied with thesubpoena or warrant or has satisfied the arrearage pursuant to NRS 425.560.

2. The Division shall reinstate the registration of aqualified intermediary that has been suspended by a district court pursuant to NRS 425.540 if the Division receives aletter issued by the district attorney or other public agency pursuant to NRS 425.550 to the person whoseregistration was suspended stating that the person whose registration wassuspended has complied with the subpoena or warrant or has satisfied thearrearage pursuant to NRS 425.560.

(Added to NRS by 1997, 2165; A 2005, 2807)(Substitutedin revision for NRS 645.609)

NRS 645.607 Officersand directors of corporation required to register. If the intermediaryis a corporation qualified to do business in this State, every officer anddirector of the corporation who does business in this State must be registered.No other employee is required to register.

(Added to NRS by 1993, 2020)

NRS 645.6075 Noticeof change of address or telephone number. Aqualified intermediary shall inform the Division in writing of any change inhis address or telephone number.

(Added to NRS by 1993, 2020)

NRS 645.608 Bondor deposit.

1. Except as otherwise provided in subsection 2, aqualified intermediary shall post with the Division a bond executed by theintermediary as principal, and by a corporation qualified pursuant to the lawsof this State as a surety. The bond must be payable to the State of Nevada andconditioned upon the payment of all money due to the State and the clients ofthe intermediary. The Division shall, by regulation, establish the minimumamount required for the bond.

2. In lieu of such a bond an intermediary may depositwith the Division under such terms and conditions as the Division mayprescribe, a like amount of lawful money of the United States or any other formof security authorized by NRS 100.065.If security is provided in the form of a savings certificate, certificate of depositor investment certificate, the certificate must state that the amount is unavailablefor withdrawal except upon order of the Division.

3. Any person claiming against a bond may bring anaction in a court of competent jurisdiction on the bond for damages to theextent covered by the bond. A person who brings an action on a bond shallnotify the Division in writing upon filing the action.

4. Upon receiving a request from a person for whosebenefit a bond is required, the Division shall notify him:

(a) That a bond is in effect and the amount of thebond; and

(b) If there is an action against the bond, of thetitle, court and case number of the action and the amount sought by theplaintiff.

5. If a surety wishes to make payment without awaitingaction by a court, the amount of the bond must be reduced to the extent of anypayment made by the surety in good faith under the bond. Any payment must bebased on written claims received by the surety before any action is taken by acourt.

6. Claims against a bond have equal priority, and ifthe bond is insufficient to pay all claims in full, they must be paid on a prorata basis. Partial payment of claims is not full payment, and any claimant maybring an action against the intermediary for the unpaid balance.

(Added to NRS by 1993, 2020)

NRS 645.6085 Depositand use of money received from civil penalty. TheDivision shall deposit any money it receives from a civil penalty imposedpursuant to NRS 205.960 with the StateTreasurer for credit to a separate account in the State General Fund. TheDivision shall expend at least 75 percent of the money so received to payadministrative costs related to:

1. The registration of intermediaries; and

2. Any program it develops to supply informationregarding intermediaries to the public.

Anyremaining money may be used by the Division to reimburse residents of Nevadafor financial losses caused by the illegal conduct of an intermediary.

(Added to NRS by 1993, 2020)

NRS 645.609 Suspensionof registration for failure to pay child support or comply with certainsubpoenas or warrants; reinstatement of registration. [Replaced inrevision by NRS 645.6069.]

DISCIPLINARY ACTION

NRS 645.610 Investigationof actions of licensees and other persons. TheAdministrator may investigate the actions of any real estate broker,broker-salesman, salesman, owner-developer or any person who acts in any suchcapacity within this State.

[Part 20:150:1947; 1943 NCL 6396.20](NRS A 1963,675; 1975, 1551; 1979, 1548)

NRS 645.620 Maintenanceby Division of record of complaints, investigations and denials ofapplications. The Division shall maintain ineach district office a public docket or other record in which it shall recordfrom time to time as made:

1. The rulings or decisions upon all complaints filedwith that district office.

2. All investigations instituted by that districtoffice in the first instance, upon or in connection with which any hearing hasbeen held, or in which the licensee charged has made no defense.

3. Denials of applications made to that districtoffice for examination or licensing.

[Part 23:150:1947; 1943 NCL 6396.23](NRS A 1963,675; 1979, 1548; 1995, 163)

NRS 645.625 Certainrecords relating to investigation deemed confidential; certain records relatingto disciplinary action deemed public records.

1. Except as otherwise provided in this section, acomplaint filed with the Division alleging a violation of this chapter, alldocuments and other information filed with the complaint and all documents andother information compiled as a result of an investigation conducted todetermine whether to initiate disciplinary action are confidential.

2. A complaint or other document filed with theCommission to initiate disciplinary action and all documents and informationconsidered by the Commission when determining whether to impose discipline arepublic records.

(Added to NRS by 2003, 3464; A 2005, 1292)

NRS 645.630 Authorizeddisciplinary action; grounds for disciplinary action; orders imposingdiscipline deemed public records.

1. The Commission may require a licensee, propertymanager or owner-developer to pay an administrative fine of not more than$5,000 for each violation he commits or suspend, revoke, deny the renewal of orplace conditions upon his license, permit or registration, or impose anycombination of those actions, at any time if the licensee, property manager orowner-developer has, by false or fraudulent representation, obtained a license,permit or registration, or the licensee, property manager or owner-developer,whether or not acting as such, is found guilty of:

(a) Making any material misrepresentation.

(b) Making any false promises of a character likely toinfluence, persuade or induce.

(c) Accepting a commission or valuable consideration asa real estate broker-salesman or salesman for the performance of any of theacts specified in this chapter or chapter 119or 119A of NRS from any person except thelicensed real estate broker with whom he is associated or the owner-developerby whom he is employed.

(d) Representing or attempting to represent a realestate broker other than the broker with whom he is associated, without theexpress knowledge and consent of the broker with whom he is associated.

(e) Failing to maintain, for review and audit by theDivision, each brokerage agreement and property management agreement governedby the provisions of this chapter and entered into by the licensee.

(f) Failing, within a reasonable time, to account foror to remit any money which comes into his possession and which belongs toothers.

(g) If he is required to maintain a trust account:

(1) Failing to balance the trust account atleast monthly; and

(2) Failing to submit to the Division an annualaccounting of the trust account as required in NRS 645.310.

(h) Commingling the money or other property of hisclients with his own or converting the money of others to his own use.

(i) In the case of a broker-salesman or salesman,failing to place in the custody of his licensed broker or owner-developer, assoon as possible, any deposit or other money or consideration entrusted to himby any person dealing with him as the representative of his licensed broker.

(j) Accepting other than cash as earnest money unlessthat fact is communicated to the owner before his acceptance of the offer topurchase and that fact is shown in the receipt for the earnest money.

(k) Upon acceptance of an agreement, in the case of abroker, failing to deposit any check or cash received as earnest money beforethe end of the next banking day unless otherwise provided in the purchaseagreement.

(l) Inducing any party to a brokerage agreement,property management agreement, agreement of sale or lease to break it in orderto substitute a new brokerage agreement, property management agreement,agreement of sale or lease with the same or another party if the inducement tomake the substitution is offered to secure personal gain to the licensee orowner-developer.

2. An order that imposes discipline and the findingsof fact and conclusions of law supporting that order are public records.

[Part 20:150:1947; 1943 NCL 6396.20](NRS A 1957,338; 1963, 332; 1965, 1407; 1971, 248; 1975, 1551; 1979, 1549; 1981, 1612;1983, 222; 1985, 1268; 1993, 890; 1995, 2076; 1997, 959; 2001, 522; 2003, 933, 3464, 3482)

NRS 645.633 Additional grounds for disciplinaryaction: Improper trade practices; violations of certain orders, agreements,laws and regulations; criminal offenses; other unprofessional and improperconduct; reciprocal discipline; violations relating to property management; logof complaints; reports.

1. The Commission may take action pursuant to NRS 645.630 against any person subject tothat section who is guilty of any of the following acts:

(a) Willfully using any trade name, service mark orinsigne of membership in any real estate organization of which the licensee isnot a member, without the legal right to do so.

(b) Violating any order of the Commission, anyagreement with the Division, any of the provisions of this chapter, chapter 116, 119,119A, 119B,645A or 645Cof NRS or any regulation adopted pursuant thereto.

(c) Paying a commission, compensation or a finders feeto any person for performing the services of a broker, broker-salesman orsalesman who has not secured his license pursuant to this chapter. Thissubsection does not apply to payments to a broker who is licensed in his stateof residence.

(d) A conviction of, or the entry of a plea of guiltyor nolo contendere to:

(1) A felony relating to the practice of thelicensee, property manager or owner-developer; or

(2) Any crime involving fraud, deceit,misrepresentation or moral turpitude.

(e) Guaranteeing, or having authorized or permitted anyperson to guarantee, future profits which may result from the resale of realproperty.

(f) Failure to include a fixed date of expiration inany written brokerage agreement or failure to leave a copy of such a brokerageagreement or any property management agreement with the client.

(g) Accepting, giving or charging any undisclosedcommission, rebate or direct profit on expenditures made for a client.

(h) Gross negligence or incompetence in performing anyact for which he is required to hold a license pursuant to this chapter, chapter 119, 119Aor 119B of NRS.

(i) Any other conduct which constitutes deceitful,fraudulent or dishonest dealing.

(j) Any conduct which took place before he becamelicensed which was in fact unknown to the Division and which would have beengrounds for denial of a license had the Division been aware of the conduct.

(k) Knowingly permitting any person whose license hasbeen revoked or suspended to act as a real estate broker, broker-salesman orsalesman, with or on behalf of the licensee.

(l) Recording or causing to be recorded a claimpursuant to the provisions of NRS 645.8701to 645.8811, inclusive, that isdetermined by a district court to be frivolous and made without reasonablecause pursuant to NRS 645.8791.

2. The Commission may take action pursuant to NRS 645.630 against a person who is subjectto that section for the suspension or revocation of a real estate brokers,broker-salesmans or salesmans license issued to him by any other jurisdiction.

3. The Commission may take action pursuant to NRS 645.630 against any person who:

(a) Holds a permit to engage in property managementissued pursuant to NRS 645.6052; and

(b) In connection with any property for which theperson has obtained a property management agreement pursuant to NRS 645.6056:

(1) Is convicted of violating any of theprovisions of NRS 202.470;

(2) Has been notified in writing by theappropriate governmental agency of a potential violation of NRS 244.360, 244.3603 or 268.4124, and has failed to inform theowner of the property of such notification; or

(3) Has been directed in writing by the owner ofthe property to correct a potential violation of NRS 244.360, 244.3603 or 268.4124, and has failed to correct thepotential violation, if such corrective action is within the scope of thepersons duties pursuant to the property management agreement.

4. The Division shall maintain a log of any complaintsthat it receives relating to activities for which the Commission may takeaction against a person holding a permit to engage in property managementpursuant to subsection 3.

5. On or before February 1 of each odd-numbered year,the Division shall submit to the Director of the Legislative Counsel Bureau awritten report setting forth, for the previous biennium:

(a) Any complaints included in the log maintained bythe Division pursuant to subsection 4; and

(b) Any disciplinary actions taken by the Commissionpursuant to subsection 3.

(Added to NRS by 1979, 1533; A 1985, 1269, 1672;1989, 1612; 1995, 2077, 2479; 1997, 591, 960; 1999, 1180; 2001, 1354; 2001 Special Session,156; 2003, 934,1502, 2718)

NRS 645.635 Additionalgrounds for disciplinary action: Unprofessional and improper conduct relatingto real estate transactions. The Commissionmay take action pursuant to NRS 645.630against any person subject to that section who is guilty of:

1. Offering real estate for sale or lease without theknowledge and consent of the owner or his authorized agent or on terms otherthan those authorized by the owner or his authorized agent.

2. Negotiating a sale, exchange or lease of realestate directly with a client if he knows that the client has a brokerageagreement in force in connection with the property granting an exclusive agencyor an exclusive right to sell to another broker, unless permission in writinghas been obtained from the other broker.

3. Failure to deliver within a reasonable time acompleted copy of any purchase agreement or offer to buy or sell real estate tothe purchaser or to the seller.

4. Failure to deliver to the seller in each realestate transaction, within 10 business days after the transaction is closed, acomplete, detailed closing statement showing all of the receipts anddisbursements handled by him for the seller, failure to deliver to the buyer acomplete statement showing all money received in the transaction from the buyerand how and for what it was disbursed, or failure to retain true copies ofthose statements in his files. The furnishing of those statements by an escrowholder relieves the brokers, broker-salesmans or salesmans responsibilityand must be deemed to be compliance with this provision.

5. Representing to any lender, guaranteeing agency orany other interested party, verbally or through the preparation of falsedocuments, an amount in excess of the actual sale price of the real estate orterms differing from those actually agreed upon.

6. Failure to produce any document, book or record inhis possession or under his control, concerning any real estate transactionunder investigation by the Division.

7. Failure to reduce a bona fide offer to writingwhere a proposed purchaser requests that it be submitted in writing.

8. Failure to submit all written bona fide offers to aseller when the offers are received before the seller accepts an offer inwriting and until the broker has knowledge of that acceptance.

9. Refusing because of race, color, national origin,sex or ethnic group to show, sell or rent any real estate for sale or rent toqualified purchasers or renters.

10. Knowingly submitting any false or fraudulentappraisal to any financial institution or other interested person.

(Added to NRS by 1979, 1533; A 1985, 1270; 1995,2077; 2001, 2895)

NRS 645.645 Additionalgrounds for disciplinary action: Unprofessional and improper conduct relatingto sale of insurance for home protection. TheCommission may take action pursuant to NRS645.630 against any person selling insurance for home protection, asdefined in NRS 690B.100, under theauthority of a license issued pursuant to this chapter who:

1. Makes a misrepresentation in the sale of insurancefor home protection.

2. Misrepresents the provisions of the contract ofinsurance for home protection.

3. Misappropriates any fees or premiums collected forthe insurance for home protection.

(Added to NRS by 1981, 1323)

NRS 645.647 Additionalgrounds for disciplinary action: Failure to pay money to Commission orDivision. In addition to any other remedy orpenalty, the Commission or the Division, as appropriate, may:

1. Refuse to issue a license, permit, certificate orregistration to a person who has failed to pay money which the person owes tothe Commission or the Division.

2. Refuse to renew, or suspend or revoke, the license,permit, certificate or registration of a person who has failed to pay moneywhich the person owes to the Commission or the Division.

(Added to NRS by 2003, 1289)

NRS 645.648 Suspensionof license for failure to pay child support or comply with certain subpoenas orwarrants; reinstatement of license. [Expires by limitation 2 years after thedate of the repeal of the federal law requiring each state to establishprocedures for withholding, suspending and restricting the professional,occupational and recreational licenses for child support arrearages and fornoncompliance with certain processes relating to paternity or child supportproceedings.]

1. If the Division receives a copy of a court orderissued pursuant to NRS 425.540 thatprovides for the suspension of all professional, occupational and recreationallicenses, certificates and permits issued to a person who is the holder of a licenseas a real estate broker, broker-salesman or salesman, the Division shall deemthe license issued to that person to be suspended at the end of the 30th dayafter the date on which the court order was issued unless the Division receivesa letter issued to the holder of the license by the district attorney or otherpublic agency pursuant to NRS 425.550stating that the holder of the license has complied with the subpoena orwarrant or has satisfied the arrearage pursuant to NRS 425.560.

2. The Division shall reinstate a license as a realestate broker, broker-salesman or salesman that has been suspended by adistrict court pursuant to NRS 425.540if the Division receives a letter issued by the district attorney or otherpublic agency pursuant to NRS 425.550 tothe person whose license was suspended stating that the person whose licensewas suspended has complied with the subpoena or warrant or has satisfied thearrearage pursuant to NRS 425.560.

(Added to NRS by 1997, 2164; A 2005, 2807)

NRS 645.660 Knowledgeof associate or employer of violation by licensee or employee; penalties.

1. Any unlawful act or violation of any of theprovisions of this chapter by any licensee is not cause to suspend, revoke ordeny the renewal of the license of any person associated with the licensee,unless it appears to the satisfaction of the Commission that the associate knewor should have known thereof. A course of dealing shown to have beenpersistently and consistently followed by any licensee constitutes prima facieevidence of such knowledge upon the part of the associate.

2. If it appears that a registered owner-developerknew or should have known of any unlawful act or violation on the part of areal estate broker, broker-salesman or salesman employed by him, in the courseof his employment, the Commission may suspend, revoke or deny the renewal ofhis registration and may assess a civil penalty of not more than $5,000.

3. The Commission may suspend, revoke or deny therenewal of the license of a real estate broker and may assess a civil penaltyof not more than $5,000 against him if it appears he has failed to maintainadequate supervision of a salesman or broker-salesman associated with him andthat person commits any unlawful act or violates any of the provisions of thischapter.

[Part 20:150:1947; 1943 NCL 6396.20](NRS A 1975,1552, 1642; 1979, 1551; 1981, 1612; 1985, 1271; 1993, 891; 2001, 523)

NRS 645.670 Effecton limited-liability company, partnership or corporation of revocation orsuspension of license of manager, partner or officer; termination of suspensionor reinstatement of license. In the event of the revocation orsuspension of the license issued to a manager of a limited-liability company, amember of a partnership or to any officer of a corporation, thelimited-liability company, partnership or corporation shall not conductbusiness unless the manager or member whose license has been revoked is severedand his interest in the limited-liability company or partnership and his sharein its activities brought to an end, or if a corporation, the offending officeris discharged and has no further participation in its activities. Thedischarged or withdrawing manager, member or officer of such alimited-liability company, partnership or corporation may reassume hisconnection with, or be reengaged by the limited-liability company, partnershipor corporation, upon termination of the suspension or upon reinstatement of hislicense.

[Part 20:150:1947; 1943 NCL 6396.20](NRS A 1975,1553; 1979, 1551; 1985, 1271; 1997, 170)

NRS 645.675 Disciplinaryproceedings, fines and penalties not affected by expiration, revocation orvoluntary surrender of license, permit or registration. The expiration or revocation of a license, permit orregistration by operation of law or by order or decision of the Commission or acourt of competent jurisdiction, or the voluntary surrender of a license,permit or registration by a real estate broker, real estate broker-salesman,real estate salesman, property manager or owner-developer does not:

1. Prohibit the Administrator, Commission or Divisionfrom initiating or continuing an investigation of, or action or disciplinaryproceeding against, the real estate broker, real estate broker-salesman, realestate salesman, property manager or owner-developer as authorized pursuant tothe provisions of this chapter or the regulations adopted pursuant thereto; or

2. Prevent the imposition or collection of any fine orpenalty authorized pursuant to the provisions of this chapter or theregulations adopted pursuant thereto against the real estate broker, realestate broker-salesman, real estate salesman, property manager orowner-developer.

(Added to NRS by 2001, 521)

NRS 645.680 Revocation,suspension or denial of renewal of license, permit or registration: Complaint;notice of hearing.

1. The procedure set forth in this section and NRS 645.690 must be followed before theCommission revokes, suspends or denies the renewal of any license, permit orregistration of an owner-developer issued pursuant to this chapter.

2. Upon the initiation of a complaint by theAdministrator, the matter must be set for a hearing by the Administrator, whoshall schedule a hearing before the Commission, and the licensee, permittee orowner-developer is entitled to be heard thereon in person or by counsel.

3. The Commission shall hold the hearing within 90days after the filing of a complaint by the Administrator. The time of thehearing may be continued upon the motion of the Commission or at the discretionof the Commission, upon the written request of the licensee, permittee orowner-developer or of the Division for good cause shown.

4. The licensee, permittee or owner-developer must begiven at least 30 days notice in writing by the Division of the date, time andplace of the hearing together with a copy of the complaint and copies of allcommunications, reports, affidavits or depositions in possession of theDivision relevant to the complaint. The Division may present evidence obtainedafter the notice only if the Division shows that the evidence was not availableafter diligent investigation before the time notice was given to the licensee,permittee or owner-developer and that the evidence was given or communicated tothe licensee, permittee or owner-developer immediately after it was obtained.

5. Notice is complete upon delivery personally to thelicensee, permittee or owner-developer or by mailing by certified mail to thelast known address of the licensee, permittee or owner-developer. If thelicensee is a broker-salesman or salesman, the Division shall also notify thebroker with whom he is associated, or the owner-developer by whom he isemployed, by mailing an exact statement of the charges and the date, time andplace of the hearing by certified mail to the owner-developer or brokers lastknown address.

[Part 21:150:1947; A 1955, 19](NRS A 1957, 339;1963, 675; 1969, 95; 1971, 453; 1975, 1553; 1979, 1551; 1981, 1329; 1983, 166;1985, 1271; 2001, 523)

NRS 645.685 Revocation,suspension or denial of renewal of license, permit or registration: Answer;limitations on time of commencing proceeding.

1. The licensee, permittee or owner-developer shallfile an answer to the charges with the Commission no later than 30 days afterservice of the notice and other documents described in subsection 4 of NRS 645.680. The answer must contain anadmission or denial of the allegations contained in the complaint and anydefenses upon which the licensee, permittee or owner-developer will rely. If noanswer is filed within the time limit described in this subsection, theDivision may, after notice to the licensee, permittee or owner-developer servedin the manner authorized in subsection 5 of NRS645.680, move the Commission for the entry of a default against thelicensee, permittee or owner-developer.

2. The answer may be served by delivery to theCommission, or by mailing the answer by certified mail to the principal officeof the Division.

3. No proceeding to suspend, revoke or deny therenewal of any license or registration of an owner-developer may be maintainedunless it is commenced by the giving of notice to the licensee, permittee or owner-developerwithin 3 years of the time of the act charged, whether of commission oromission, except:

(a) If the charges are based upon a misrepresentation,or failure to disclose, the period does not commence until the discovery offacts which do or should lead to the discovery of the misrepresentation orfailure to disclose; and

(b) Whenever any action or proceeding is instituted towhich the Division, licensee, permittee or owner-developer is a party and whichinvolves the conduct of the licensee, permittee or owner-developer in thetransaction with which the charges are related, the running of the 3-yearperiod with respect to the institution of a proceeding pursuant to this chapterto suspend, revoke or deny the renewal of the license, permit or registrationis suspended during the pendency of the action or proceeding.

(Added to NRS by 1979, 1534; A 1985, 1272; 1987, 517;1989, 1613; 2001, 524)

NRS 645.690 Revocation,suspension or denial of renewal of license, permit or registration: Hearing;transcript.

1. The hearing on the charges must be held at suchtime and place as the Commission prescribes. The hearing may be held by theCommission or a majority thereof, and the hearing must be held, if thelicensee, permittee or owner-developer so requests in writing, within thenorthern or southern district, as set forth in NRS 645.100, within which the principalplace of business of the licensee, permittee or owner-developer is situated.

2. At the hearing, a stenographic transcript of theproceedings must be made if requested or required for judicial review. Anyparty to the proceedings desiring a transcript must be furnished with a copyupon payment to the Division of the reasonable cost of transcription.

[Part 21:150:1947; A 1955, 19](NRS A 1963, 1075;1979, 1552; 1981, 1613; 1985, 1273; 2001, 524)

NRS 645.700 Powerof Commission to administer oaths, certify acts and issue subpoenas; service ofprocess.

1. The Commission, or any member thereof, shall havepower to administer oaths, certify to all official acts, and to issue subpoenasfor attendance of witnesses and the production of books and papers.

2. In any hearing or investigation in any part of theState the process issued by the Commission shall extend to all parts of theState and may be served by any person authorized to serve process of courts ofrecord. The person serving any such process shall receive such compensation asmay be allowed by the Commission, not to exceed the fees prescribed by law forsimilar service, and such fees shall be paid in the same manner as provided in NRS 645.710 for the payment of the fees ofwitnesses.

[Part 22:150:1947; 1943 NCL 6396.22](NRS A 1973,1103)

NRS 645.710 Feesand mileage for witness.

1. Each witness who appears by order of the Commissionis entitled to receive for his attendance the same fees and mileage allowed bylaw to a witness in civil cases, which amount must be paid by the party atwhose request the witness is subpoenaed.

2. When any witness not otherwise required to attend,is subpoenaed by the Commission, his fees and mileage must be paid by theDivision.

[Part 22:150:1947; 1943 NCL 6396.22](NRS A 1979,1553)

NRS 645.720 Enforcementof subpoenas.

1. The district court in and for the county in whichany hearing may be held shall have the power to compel the attendance ofwitnesses, the giving of testimony and the production of books and papers asrequired by any subpoena issued by the Commission.

2. In case of the refusal of any witness to attend ortestify or produce any papers required by such subpoena the Commission mayreport to the district court in and for the county in which the hearing ispending by petition, setting forth:

(a) That due notice has been given of the time andplace of attendance of the witness or the production of the books and papers;

(b) That the witness has been subpoenaed in the mannerprescribed in this chapter; and

(c) That the witness has failed and refused to attendor produce the papers required by subpoena before the Commission in the causeor proceeding named in the subpoena, or has refused to answer questionspropounded to him in the course of such hearing,

and askingan order of the court compelling the witness to attend and testify or producethe books or papers before the Commission.

3. The court, upon petition of the Commission, shallenter an order directing the witness to appear before the court at a time andplace to be fixed by the court in such order, the time to be not more than 10 daysfrom the date of the order, and then and there show cause why he has notattended or testified or produced the books or papers before the Commission. Acertified copy of the order shall be served upon the witness. If it shallappear to the court that the subpoena was regularly issued by the Commission,the court shall thereupon enter an order that the witness appear before theCommission at the time and place fixed in the order and testify or produce therequired books or papers, and upon failure to obey the order the witness shallbe dealt with as for contempt of court.

[Part 22:150:1947; 1943 NCL 6396.22]

NRS 645.730 Depositions;taking of evidence in another state; rights of party to hearing.

1. The Commission may, in any hearing before it, causethe depositions of witnesses residing within or without the State to be takenin the manner prescribed by the Nevada Rules of Civil Procedure for likedepositions in civil actions in the district courts of this State, and to thatend may compel the attendance of witnesses and the production of books andpapers.

2. The clerk of the district court in and for thecounty in which any hearing may be held by the Commission shall, upon theapplication of the Commission, issue commissions or letters rogatory to otherstates for the taking of evidence therein for use in any proceedings before theCommission.

3. Any party to any hearing before the Commissionshall have the right to the attendance of witnesses in his behalf at suchhearing or upon deposition as set forth in this section upon making requesttherefor to the Commission and designating the name and address of the personor persons sought to be subpoenaed.

[Part 22:150:1947; 1943 NCL 6396.22]

NRS 645.740 Decisionof Commission: Rendition; notice; effective date; stay of decision.

1. The Commission shall render an informal decision onany complaint within 15 days after the final hearing thereon and shall givenotice in writing of the ruling or decision to the applicant or licenseeaffected thereby within 60 days after the final hearing thereon by certifiedmail to the last known address of the person to whom the notice is sent.

2. If the ruling is adverse to the licensee, theCommission shall also state in the notice the date upon which the ruling ordecision becomes effective, which date must not be less than 30 days after thedate of the notice.

3. The decision of the Commission may not be stayed byany appeal in accordance with the provisions of NRS 645.760, unless the district court soorders upon motion of the licensee, notice to the Division of the motion andopportunity for the Division to be heard.

4. An appeal from a decision of the district courtaffirming the revocation or suspension of a license does not stay the order ofthe Commission unless the district or appellate court, in its discretion andupon petition of the licensee, after notice and hearing orders such stay, andupon the filing of a bond for costs in the amount of $1,000.

[Part 23:150:1947; 1943 NCL 6396.23](NRS A 1965,1409; 1969, 95; 1971, 454; 1973, 1103; 1979, 1553; 1985, 1273)

NRS 645.760 Decisionfinal when in favor of licensee; judicial review of decision against licensee.

1. A ruling or decision of the Commission in anydisciplinary action is final when in favor of the licensee.

2. If a ruling or decision is against the licensee,the licensee is entitled to judicial review of the ruling or decision in themanner provided by chapter 233B of NRS.

[Part 23:150:1947; 1943 NCL 6396.23](NRS A 1963,676; 1979, 1553; 1981, 1613; 1985, 1273; 1989, 1659)

NRS 645.770 Restrictionson issuance of new license, permit or registration after revocation. After the revocation of any license, permit orregistration by the Commission as provided in this chapter, no new license,permit or registration may be issued to the same licensee, permittee orregistrant, as appropriate, within 1 year after the date of the revocation, norat any time thereafter except in the sole discretion of the Real EstateDivision, and then only provided that the licensee, permittee or registrantsatisfies all the requirements for an original license, permit or registration.

[Part 14:150:1947; A 1949, 433; 1943 NCL 6396.14] +[24:150:1947; 1943 NCL 6396.24](NRS A 1963, 677; 2005, 1292)

EXPIRATION AND RENEWAL OF LICENSES

NRS 645.780 Expirationof licenses; length of license periods.

1. Each license issued under the provisions of thischapter expires at midnight on the last day of the last month of the applicablelicense period for the license.

2. The initiallicense period for an original license as a real estate broker, broker-salesmanor salesman is a period of 12 consecutive months beginning on the first day ofthe first calendar month after the original license is issued by the Division.Thereafter, each subsequent license period is a period of 24 consecutive monthsbeginning on the first day of the first calendar month after a renewal of thelicense is issued by the Division for the subsequent license period.

3. For allother licenses, the license period is a period of 24 consecutive monthsbeginning on the first day of the first calendar month after the license or anyrenewal of the license is issued by the Division, unless a specific statute:

(a) Providesfor a different license period; or

(b) Expressly authorizes a different license period tobe provided for by regulation.

[Part 19:150:1947; A 1949, 433; 1955, 77](NRS A1963, 334; 1969, 565; 1973, 1104; 1975, 1554; 1977, 1316; 2003, 1294)

NRS 645.785 Effectof failure to renew license; increased fee for late renewal. If a licensee fails to apply for a renewal of his licenseprior to the date of the expiration thereof, no license may be issued to himexcept upon another application for an original license, except that within 1year of such expiration a renewal may be issued upon payment of a fee one andone-half times the amount otherwise required for renewal.

[Part 19:150:1947; A 1949, 433; 1955, 77](NRS A1975, 1555)(Substituted in revision for NRS 645.840)

FEES

NRS 645.830 Amountof fees.

1. The following fees must be charged by and paid tothe Division:

 

For each originalreal estate brokers, broker-salesmans or corporate brokers license $105

For each originalreal estate salesmans license.................................................... 85

For each originalbranch office license................................................................. 120

For real estateeducation, research and recovery to be paid at the time an application for anoriginal license is filed 40

For real estateeducation, research and recovery to be paid at the time an application forrenewal of a license is filed 40

For each renewal of areal estate brokers, broker-salesmans or corporate brokers license 180

For each renewal of areal estate salesmans license.......................................... 140

For each renewal of areal estate branch office license...................................... 110

For each penalty forlate filing of a renewal for a brokers, broker-salesmans or corporatebrokers license 95

For each penalty forlate filing of a renewal for a salesmans license................ 75

For each change ofname or address...................................................................... 20

For each transfer ofa real estate salesmans or broker-salesmans license and change of associationor employment 20

For each duplicatelicense where the original license is lost or destroyed, and an affidavit ismade thereof 20

For each change ofbroker status from broker to broker-salesman.................... 20

For each change ofbroker status from broker-salesman to broker.................... 40

For eachreinstatement to active status of an inactive real estate brokers,broker-salesmans or salesmans license 20

For eachreinstatement of a real estate brokers license when the licensee fails to giveimmediate written notice to the Division of a change of name or businesslocation....................................................... 30

For eachreinstatement of a real estate salesmans or broker-salesmans license when hefails to notify the Division of a change of broker within 30 days oftermination by previous broker......................... 30

For each originalregistration of an owner-developer........................................ 125

For each annualrenewal of a registration of an owner-developer................... 125

For each enlargementof the area of an owner-developers registration........... 50

For each cooperativecertificate issued to an out-of-state broker licensee for 1 year or fractionthereof 150

For each originalaccreditation of a course of continuing education.............. 100

For each renewal ofaccreditation of a course of continuing education........... 50

For each annualapproval of a course of instruction offered in preparation for an originallicense or permit 100

 

2. The fees prescribed by this section for courses ofinstruction offered in preparation for an original license or permit or forcourses of continuing education do not apply to:

(a) Any university, state college or community collegeof the Nevada System of Higher Education.

(b) Any agencyof the State.

(c) Anyregulatory agency of the Federal Government.

3. The Commission shall adopt regulations whichestablish the fees to be charged and collected by the Division to pay the costsof any investigation of a persons background.

[Part 19:150:1947; A 1949, 433; 1955, 77](NRS A1957, 340; 1959, 396; 1963, 1075; 1965, 1409; 1967, 1046; 1975, 1554, 1642;1977, 1316; 1979, 1080, 1554; 1981, 1035, 1614; 1985, 1274; 1989, 1613; 1993,420, 941, 2292; 1995, 163; 2001, 2895; 2003, 1295; 2005, 372)

REAL ESTATE EDUCATION, RESEARCH AND RECOVERY FUND

NRS 645.841 Funddefined. As used in NRS 645.841 to 645.8494, inclusive, Fund means the RealEstate Education, Research and Recovery Fund.

(Added to NRS by 1967, 1043)

NRS 645.842 Creation;use; balances; interest and income.

1. The Real Estate Education, Research and RecoveryFund is hereby created as a special revenue fund.

2. A balance of not less than $300,000 must bemaintained in the Fund, to be used for satisfying claims against personslicensed under this chapter, as provided in NRS645.841 to 645.8494, inclusive. Anybalance over $300,000 remaining in the Fund at the end of any fiscal year mustbe set aside and used by the Administrator, after approval of the Commission,for real estate education and research.

3. The interest and income earned on the money in theFund, after deducting any applicable charges, must be credited to the Fund.

(Added to NRS by 1967, 1043; A 1973, 1763; 1979, 119;1981, 1615; 2003,1296; 2005, 665)

NRS 645.843 Paymentof additional fee by licensee for augmentation of Fund.

1. Upon application for or renewal of every realestate brokers, broker-salesmans and salesmans license, every licensed broker,broker-salesman and salesman shall pay in addition to the original or renewalfee, a fee for real estate education, research and recovery. The additional feemust be deposited in the State Treasury for credit to the Real EstateEducation, Research and Recovery Fund, and must be used solely for the purposesprovided in NRS 645.841 to 645.8494, inclusive.

2. Owner-developers need not contribute to the Fund.

(Added to NRS by 1967, 1044; A 1969, 566; 1973, 1105,1764; 1975, 1643; 1977, 1318; 1979, 119, 1555; 1981, 1615; 1985, 1275)

NRS 645.844 Recoveryfrom Fund: Procedure; grounds; amount; hearing.

1. Except as otherwise provided in subsection 2, whenany person obtains a final judgment in any court of competent jurisdictionagainst any licensee or licensees pursuant to this chapter, upon grounds offraud, misrepresentation or deceit with reference to any transaction for whicha license is required pursuant to this chapter, that person, upon terminationof all proceedings, including appeals in connection with any judgment, may filea verified petition in the court in which the judgment was entered for an orderdirecting payment out of the Fund in the amount of the unpaid actual damagesincluded in the judgment, but not more than $25,000 per judgment. The liabilityof the Fund does not exceed $100,000 for any person licensed pursuant to thischapter, whether he is licensed as a limited-liability company, partnership,association or corporation or as a natural person, or both. The petition muststate the grounds which entitle the person to recover from the Fund.

2. A person who is licensed pursuant to this chaptermay not recover from the Fund for damages which are related to a transaction inwhich he acted in his capacity as a licensee.

3. A copy of the:

(a) Petition;

(b) Judgment;

(c) Complaint upon which the judgment was entered; and

(d) Writ of execution which was returned unsatisfied,

must beserved upon the Administrator and the judgment debtor and affidavits of servicemust be filed with the court.

4. Upon the hearing on the petition, the petitionermust show that:

(a) He is not the spouse of the debtor, or the personalrepresentative of that spouse.

(b) He has complied with all the requirements of NRS 645.841 to 645.8494, inclusive.

(c) He has obtained a judgment of the kind described insubsection 1, stating the amount thereof, the amount owing thereon at the dateof the petition, and that the action in which the judgment was obtained wasbased on fraud, misrepresentation or deceit of the licensee in a transactionfor which a license is required pursuant to this chapter.

(d) A writ of execution has been issued upon thejudgment and that no assets of the judgment debtor liable to be levied upon insatisfaction of the judgment could be found, or that the amount realized on thesale of assets was insufficient to satisfy the judgment, stating the amount sorealized and the balance remaining due.

(e) He has made reasonable searches and inquiries toascertain whether the judgment debtor possesses real or personal property orother assets, liable to be sold or applied in satisfaction of the judgment, andafter reasonable efforts that no property or assets could be found or leviedupon in satisfaction of the judgment.

(f) He has made reasonable efforts to recover damagesfrom each and every judgment debtor.

(g) The petition has been filed no more than 1 yearafter the termination of all proceedings, including reviews and appeals, inconnection with the judgment.

5. The provisions of this section do not apply toowner-developers.

(Added to NRS by 1967, 1044; A 1973, 1764; 1975,1555; 1979, 1555; 1981, 1615; 1985, 1276; 1987, 1048; 1997, 170; 2005, 666)

NRS 645.845 Administratormay answer petition for recovery; effect of judgment; compromise of claim.

1. Whenever the court proceeds upon a petition asprovided in NRS 645.844, the Administratormay answer and defend any such action against the Fund on behalf of the Fundand may use any appropriate method of review on behalf of the Fund. Thejudgment debtor may answer and defend any such action on his own behalf.

2. Unless the judgment was entered by default, consentor stipulation or the case was uncontested, the judgment set forth in thepetition is prima facie evidence but the findings of fact therein are notconclusive for the purposes of NRS 645.841to 645.8494, inclusive.

3. The Administrator may, subject to court approval,compromise a claim based upon the application of a petitioner. He shall not bebound by any prior compromise of the judgment debtor.

(Added to NRS by 1967, 1044; A 1985, 1277)

NRS 645.846 Courtorder requiring payment from Fund. If thecourt finds after the hearing that the claim should be levied against theportion of the Fund allocated for the purpose of carrying out the provisions ofNRS 645.841 to 645.8494, inclusive, the court shall enteran order directed to the Administrator requiring payment from the Fund ofwhatever sum it finds to be payable upon the claim pursuant to the provisionsof and in accordance with the limitations contained in NRS 645.841 to 645.8494, inclusive.

(Added to NRS by 1967, 1045)

NRS 645.847 Automaticsuspension of license upon payment from Fund; conditions for reinstatement oflicense. If the Administrator pays from theFund any amount in settlement of a claim or towards satisfaction of a judgmentagainst a licensee, his license issued pursuant to chapter119 of NRS and this chapter must be automatically suspended upon theeffective date of an order by the court authorizing payment from the Fund. Thelicense of the broker, broker-salesman or salesman may not be reinstated and noother license may be granted to him pursuant to this chapter until he hasrepaid in full, plus interest at a rate equal to the prime rate at the largestbank in Nevada, as ascertained by the Commissioner of Financial Institutions,on January 1 or July 1, as the case may be, immediately preceding the date ofjudgment, plus 2 percent, the amount paid from the Fund on his account.Interest is computed from the date payment from the Fund was made by theAdministrator and the rate must be adjusted accordingly on each January 1 andJuly 1 thereafter until the judgment is satisfied.

(Added to NRS by 1967, 1045; A 1973, 1765; 1979,1556; 1981, 1616; 1985, 1277; 1987, 942)

NRS 645.848 Distributionof payment from Fund if claims exceed maximum liability of Fund; order ofpayment of claims if balance of Fund insufficient; interest; use of certainmoney deposited in Fund.

1. Whenever claims are filed against the Fund whichtotal more than the maximum liability for the acts of one licensee, the maximumliability of the Fund for each licensee must be distributed among the claimantsin a ratio that their respective claims bear to the total of all claims, or inany other manner that the court may find equitable.

2. The distribution must be made without regard to theorder of priority in which claims were filed or judgments entered.

3. Upon petition of the Administrator, the court mayrequire all claimants and prospective claimants to be joined in one action sothat the respective rights of all claimants may be equitably determined.

4. If, at any time, the money deposited in the Fundand allotted for satisfying claims against licensees is insufficient to satisfyany authorized claim or portion thereof, the Administrator shall, whensufficient money has been deposited in the Fund, satisfy the unpaid claims orportions thereof, in the order that the claims or portions thereof wereoriginally filed, plus accumulated interest at the rate of 6 percent per annum.Any sums received by the Division pursuant to NRS645.847 and 645.8491 must bedeposited in the State Treasury for credit to the account for education andresearch in the Fund.

(Added to NRS by 1967, 1045; A 1973, 1765; 1975,1556; 1979, 1556; 1985, 1277)

NRS 645.8491 Administratorsubrogated to rights of judgment creditor; deposit of money recovered. When the Administrator has paid from the Fund any money tothe judgment creditor, the Administrator is subrogated to all other rights ofthe judgment creditor to the extent of the amount paid and any amount andinterest so recovered by the Administrator on the judgment must be deposited inthe State Treasury for credit to the Fund.

(Added to NRS by 1967, 1045; A 1985, 1278)

NRS 645.8492 Waiverof rights. The failure of a person to complywith any of the provisions of NRS 645.841to 645.8494, inclusive, shallconstitute a waiver of any rights hereunder.

(Added to NRS by 1967, 1045; A 1973, 1765)

NRS 645.8494 Disciplinaryaction against licensee not restricted. Nothingcontained in NRS 645.841 to 645.8494, inclusive, limits the authorityof the Commission to take disciplinary action against a licensee for aviolation for any of the provisions of this chapter, or of the rules andregulations of the Commission, nor shall the repayment in full of allobligations to the Fund by any licensee nullify or modify the effect of anyother disciplinary proceeding brought pursuant to the provisions of thischapter or the rules and regulations promulgated thereunder.

(Added to NRS by 1967, 1046)

BUSINESS BROKERS

NRS 645.863 Permitto engage in business as business broker: Persons eligible; requirements;continuing education; expiration; renewal; regulations.

1. A person who is licensed as a real estate broker,real estate broker-salesman or real estate salesman pursuant to this chaptermay apply to the Real Estate Division for a permit to engage in business as abusiness broker.

2. An applicant for a permit must:

(a) Provide proof satisfactory to the Real EstateDivision that he has successfully completed at least 24 hours of classroominstruction relating to business brokerage; and

(b) Comply with any other requirements for the issuanceof a permit established by the Commission.

3. A permit expires on the same date as the license ofthe holder of the permit expires. A permit may be renewed at the time that aperson licensed pursuant to this chapter applies for renewal of his license.

4. An applicant for the renewal of a permit must:

(a) Provide proof satisfactory to the Real EstateDivision that he has successfully completed at least 3 hours of continuingeducation required for the renewal of his license pursuant to NRS 645.575 in an approved educationalcourse, seminar or conference relating to business brokerage.

(b) Comply with any other requirements for renewal of apermit established by the Commission.

5. The Commission shall adopt such regulations as are necessaryto carry out the provisions of this section. The regulations must include,without limitation, provisions that establish:

(a) Requirements for the issuance or renewal of apermit.

(b) Fees for:

(1) The issuance or renewal of a permit;

(2) The cost of any examination required of anapplicant for a permit, including, without limitation, any costs which arenecessary for the administration of an examination; and

(3) The cost of any investigation of anapplicant for a permit.

(c) Standards of education for the approval of a courseof instruction to qualify an applicant for the issuance or renewal of a permit.

(Added to NRS by 2005, 646)

NRS 645.865 Permitto engage in business as business broker: Requirements for certainorganizations.

1. To engage in business as a business broker in thisState:

(a) A partnership shall designate one of its members;

(b) A corporation shall designate one of its officersor employees;

(c) A limited-liability company shall designate itsmanager; and

(d) A real estate broker who conducts business as asole proprietor shall designate himself or a person who is licensed under thereal estate broker,

to submit anapplication for a permit pursuant to NRS645.863. The partnership, corporation, limited-liability company or soleproprietor shall not engage in business as a business broker unless the personso designated has been issued such a permit.

2. If the person designated to apply for a permitmeets the qualifications for a permit set forth in NRS 645.863, the Real Estate Division shallissue to that person a permit to engage in business as a business broker onbehalf of the partnership, corporation, limited-liability company or soleproprietor.

3. A person to whom such a permit has been issued mayact as a business broker pursuant to the permit only on behalf of thepartnership, corporation, limited-liability company or sole proprietor, and noton his own behalf. If that person ceases to be connected or associated with thepartnership, corporation, limited-liability company or sole proprietor, thepartnership, corporation, limited-liability company or sole proprietor shalldesignate another person who meets the qualifications for a permit set forth inNRS 645.863 to hold the permit on behalfof the partnership, corporation, limited-liability company or sole proprietor.

4. Any member, officer or employee of a partnership,corporation, limited-liability company or sole proprietor, other than theperson designated as the business broker pursuant to subsection 1, who wishesto engage in business as a business broker must apply in his own name for apermit. Pursuant to such a permit, the member, officer or employee of apartnership, corporation, limited-liability company or sole proprietor may actas a business broker only as an officer, agent or employee of the partnership,corporation, limited-liability company or sole proprietor, and not on his ownbehalf.

(Added to NRS by 2005, 647)

NRS 645.867 Designatedbusiness brokers: Requirements; qualifications; duties.

1. If a real estate broker does not hold a permit toengage in business as a business broker but intends to have the activities of abusiness broker conducted at an office, the real estate broker must:

(a) Appoint a person, who has the qualificationsrequired by this section, as the designated business broker for the office tosupervise the activities of a business broker conducted at the office; and

(b) Submit notice of the appointment to the Division.

2. The designated business broker for an office mustbe a natural person who:

(a) Holds a license as a real estate broker or realestate broker-salesman;

(b) Holds a permit to engage in business as a businessbroker; and

(c) Has 2 years active experience, within the 4 yearsimmediately preceding the date of the appointment, in conducting the activitiesof a business broker in the United States as a licensed real estate broker,real estate broker-salesman or real estate salesman.

3. While acting as the designated business broker foran office, the person:

(a) Must comply with all applicable provisions of thischapter; and

(b) Is subject to all the remedies and penaltiesprovided for in this chapter.

(Added to NRS by 2005, 647)

BROKERAGE AGREEMENTS INVOLVING COMMERCIAL REAL ESTATE

General Provisions

NRS 645.8701 Definitions. As used in NRS645.8701 to 645.8811, inclusive,unless the context otherwise requires, the words and terms defined in NRS 645.8705 to 645.8741, inclusive, have the meaningsascribed to them in those sections.

(Added to NRS by 1999, 1174)

NRS 645.8705 Brokerageagreement defined. Brokerage agreementmeans a written contract between an owner and a real estate broker in which theowner agrees to pay a commission to the real estate broker for servicesprovided by the broker relating to the disposition of commercial real estate asspecified in the agreement.

(Added to NRS by 1999, 1174)

NRS 645.8711 Commercialreal estate defined. Commercial real estatemeans any real estate located in this State. The term does not include:

1. Improved real estate that consists of not more thanfour residential units;

2. Unimproved real estate for which not more than fourresidential units may be developed or constructed pursuant to any zoningregulations or any development plan applicable to the real estate; or

3. A single-family residential unit, including acondominium, townhouse or home within a subdivision, if the unit is sold,leased or otherwise conveyed unit by unit, regardless of whether the unit ispart of a larger building or parcel that consists of more than four units.

(Added to NRS by 1999, 1174)

NRS 645.8715 Commissiondefined. Commission means any fee or othercompensation agreed upon by a real estate broker and an owner specified in abrokerage agreement.

(Added to NRS by 1999, 1175)

NRS 645.8721 Dispositiondefined. Disposition means a voluntaryconveyance or other transfer of title or any interest of an owner in anycommercial real estate specified in a brokerage agreement.

(Added to NRS by 1999, 1175)

NRS 645.8725 Escrowdefined. Escrow has the meaning ascribed toit in subsection 3 of NRS 645A.010.

(Added to NRS by 1999, 1175)

NRS 645.8731 Escrowagent defined. Escrow agent has the meaningascribed to it in subsection 5 of NRS645A.010.

(Added to NRS by 1999, 1175)

NRS 645.8735 Ownerdefined. Owner means a person who holdslegal title to or any interest in any commercial real estate that is describedin a brokerage agreement, including, without limitation, any assignee ininterest and any agent of a person. The term does not include a mortgagee,trustee under or beneficiary of a deed of trust or an owner or holder of aclaim that encumbers any real estate or any improvement on that real estate.

(Added to NRS by 1999, 1175)

NRS 645.8741 Ownersnet proceeds defined. Owners net proceedsmeans the gross receipts to which an owner is entitled upon the disposition ofany commercial real estate specified in a brokerage agreement. The term doesnot include:

1. Any money that is required to pay an encumbrance,claim or lien that has priority over a claim recorded pursuant to theprovisions of NRS 645.8775 other thanan encumbrance, claim or lien that the person to whom the commercial realestate is conveyed or otherwise transferred authorizes to remain after thedisposition of the real estate; or

2. Any costs incurred by the owner to close escrow forthat commercial real estate.

(Added to NRS by 1999, 1175)

Rights, Duties and Liabilities Relating to Commissions

NRS 645.8761 Brokerhas claim upon owners net proceeds for earned commissions; conditions andlimitations on enforcement of claim; waiver; inapplicability to third-partyclaims; obligation to close escrow unaffected by claim.

1. A real estate broker has a claim upon the ownersnet proceeds from the disposition of commercial real estate for any commissionearned by the real estate broker pursuant to a brokerage agreement. For thepurposes of this subsection, a commission shall be deemed to be earned when thereal estate broker has performed his duties pursuant to the brokerageagreement.

2. The claim belongs to the real estate broker namedin the brokerage agreement and not to an employee or independent contractor ofthe real estate broker.

3. A claim that is recorded pursuant to the provisionsof NRS 645.8775:

(a) Is a claim upon personal property and does notattach to the title of any real property.

(b) May be waived if, on or before the date thebrokerage agreement is executed, the real estate broker signs a written waiverof his right to enforce the claim. The waiver must be printed in uppercaseletters and must be limited to one transaction. A person other than the realestate broker may not waive the rights of the real estate broker pursuant tothis section, regardless of whether that person may execute and bind the realestate broker to a brokerage agreement.

(c) May not be enforced by a person other than the realestate broker and the owner.

4. A claim of a third party may not be brought orotherwise adjudicated pursuant to the provisions of NRS 645.8701 to 645.8811, inclusive.

5. The recording or enforcement of a claim by a realestate broker pursuant to the provisions of NRS645.8701 to 645.8811, inclusive,does not relieve the owner of his obligation to close escrow for any commercialreal estate.

(Added to NRS by 1999, 1175)

NRS 645.8765 Requirementsfor broker to enforce claim: Written notice to owner and escrow agent; effectof failure to provide notice; exceptions.

1. Except as otherwise provided in subsection 3, if areal estate broker wishes to enforce a claim pursuant to the provisions of NRS 645.8701 to 645.8811, inclusive, he shall, within 7days after a commission is earned by the real estate broker pursuant to abrokerage agreement, provide a written notice of the claim to:

(a) The owner of the commercial real estate specifiedin the brokerage agreement; and

(b) The escrow agent closing the transaction for thecommercial real estate.

2. A real estate broker who fails to provide a noticeof a claim within the period specified in subsection 1 may not enforce theclaim pursuant to the provisions of NRS645.8701 to 645.8811, inclusive.

3. A real estate broker is not required to provide awritten notice of a claim to an escrow agent pursuant to this section if theidentity of the escrow agent is unknown to the real estate agent at the timethe notice is provided by the real estate broker to the owner pursuant toparagraph (a) of subsection 1.

(Added to NRS by 1999, 1176)

NRS 645.8771 Requirementsfor broker to enforce claim: Information required in notice; verification byoath; acknowledgment.

1. A notice of claim specified in NRS 645.8765 must include:

(a) The name of the owner of the commercial realestate;

(b) The name of the person who executed the brokerageagreement, if other than the owner;

(c) The name, business name, if any, and the licensenumber of the real estate broker;

(d) The amount claimed by the real estate broker;

(e) A detailed description of the commercial realestate; and

(f) A copy of the brokerage agreement pursuant to whichthe real estate broker claims a commission.

2. The notice must:

(a) Be verified by the oath of the real estate brokerwho provides the notice; and

(b) Include an acknowledgment by the real estatebroker.

(Added to NRS by 1999, 1176)

NRS 645.8775 Dutyof owner to confirm or deny claim; effect of confirming claim; effect ofdenying claim or failing to respond; recording of claim by broker.

1. If an owner is served with a notice of a claimpursuant to NRS 645.8765, the ownershall, within 5 days after service of the notice but not later than 7 daysbefore the disposition of the commercial real estate:

(a) Confirm or deny the claim set forth in the notice;and

(b) Notify, in writing, the real estate broker whoprovided the notice to the owner.

2. If the owner confirms the claim and notifies thereal estate broker of that fact pursuant to subsection 1, the owner mayinstruct the escrow agent for the commercial real estate to pay to the realestate broker the amount claimed by the real estate broker in the notice of theclaim.

3. If the owner fails to notify the real estate brokerwithin the period specified in subsection 1 or notifies the real estate brokerthat he denies the claim, the real estate broker may record the notice of theclaim in the office of the county recorder where the commercial real estate orany portion of the commercial real estate is located.

(Added to NRS by 1999, 1176)

NRS 645.8781 Dutiesof escrow agent upon notice of claim.

1. Except as otherwise provided in this subsection,if:

(a) An escrow agent receives a notice of a claimpursuant to NRS 645.8765;

(b) A notice of claim is recorded pursuant to NRS 645.8775; or

(c) An escrow agent has actual notice of a claimspecified in paragraph (b),

the escrowagent shall reserve from the owners net proceeds an amount that is equal tothe amount claimed by the real estate broker in his recorded claim. If theamount of the owners net proceeds is insufficient to satisfy the amount of theclaim, the escrow agent shall reserve the entire amount of the owners netproceeds. In determining whether the amount of the owners net proceeds isinsufficient to satisfy the amount of the claim, the escrow agent may considerany encumbrance, claim or lien that has priority over the claim of the realestate broker pursuant to NRS 645.8795.

2. If the escrow agent determines that the amount ofthe owners net proceeds is insufficient to satisfy the amount of the claim,the escrow agent:

(a) Shall, within 3 days after making thatdetermination but not later than the close of escrow, notify the real estatebroker of that fact in writing; and

(b) Shall not release to the owner any portion of theowners net proceeds unless the escrow agent receives a copy of the writtenagreement executed by the owner and the real estate broker authorizing theescrow agent to release those proceeds to the owner.

3. Except as otherwise provided in paragraph (b) ofsubsection 2 and NRS 645.8791, if anowners net proceeds or any portion of an owners net proceeds are reservedpursuant to this section, the escrow agent who reserves those proceeds shallnot release the proceeds to any person until the rights of the owner and thereal estate broker are determined pursuant to NRS 645.8791.

4. A reservation of an owners net proceeds or anyportion of an owners net proceeds pursuant to this section does not relievethe owner of his obligation to close escrow for the commercial real estate.

(Added to NRS by 1999, 1177)

NRS 645.8785 Depositof proceeds with district court; discharge of escrow agent from furtherliability concerning proceeds.

1. If:

(a) A notice of a claim is recorded pursuant to NRS 645.8775;

(b) An escrow agent has reserved an owners netproceeds or any portion of an owners net proceeds pursuant to NRS 645.8781; and

(c) Escrow for the disposition of the commercial realestate has closed,

the escrowagent may, in accordance with the provisions of NRS 645A.177, deposit with the districtcourt of the county where the claim is recorded the amount of the owners netproceeds reserved by him pursuant to NRS645.8781.

2. If an escrow agent deposits an owners net proceedswith a district court pursuant to subsection 1, the escrow agent is dischargedfrom any further liability concerning those proceeds.

(Added to NRS by 1999, 1177)

NRS 645.8791 Civilaction concerning claim: Issuance of order to broker to appear and show cause;effect of failure to appear; hearings; release of proceeds; frivolous claims;compensatory damages; award of costs and attorneys fees to prevailing party.

1. If a claim is recorded pursuant to NRS 645.8775, the owner against whom theclaim is recorded may:

(a) File a civil action concerning the claim in thedistrict court of the county where the commercial real estate or a portion ofthe commercial real estate is located; and

(b) At the time the summons is issued or at any timebefore the complaint is answered by the real estate broker, apply to thedistrict court for an order directing the real estate broker to appear beforethe court to show cause why the claim should not be dismissed.

2. If the court issues an order directing the realestate broker to appear before the court, the order must:

(a) State that, if the real estate broker fails toappear at the time and place specified in the order, the claim will bedismissed with prejudice pursuant to subsection 3;

(b) Specify a time and date on which the court willconduct a hearing on the matter; and

(c) Establish a period within which the owner mustserve a notice of the order on the real estate broker and the escrow agent.

3. If the real estate broker fails to appear at thetime and place specified in the order issued pursuant to subsection 2, thecourt shall issue an order:

(a) Dismissing the claim with prejudice;

(b) Cancelling the notice of the claim recordedpursuant to NRS 645.8775; and

(c) Requiring the real estate broker to record in theoffice of the county recorder of the county where the notice of the claim isrecorded a copy of the order of cancellation issued pursuant to paragraph (b).

An orderissued pursuant to this subsection must state that the cancellation of thenotice of the claim has the same effect as an expungement of that notice.

4. If a hearing is conducted pursuant to this section,the court shall consider the showing made by the parties at the hearing andshall make a preliminary determination of which party, with reasonableprobability, is entitled to the amount of the owners net proceeds claimed bythe broker pending final adjudication of the claims of the parties.

5. If, after the hearing, the district courtdetermines there is a reasonable probability that:

(a) The real estate broker is entitled to the amount ofthe owners net proceeds claimed by him, the court shall, if those proceeds:

(1) Have been deposited with the court by theescrow agent pursuant to NRS 645.8785,release the proceeds to the real estate broker; or

(2) Have not been deposited with the court bythe escrow agent pursuant to that section, order the escrow agent to releasethe proceeds to the real estate broker; or

(b) The owner is entitled to the amount of the ownersnet proceeds claimed by the real estate broker, the court shall, if thoseproceeds:

(1) Have been deposited with the court by theescrow agent pursuant to NRS 645.8785,release the proceeds to the owner; or

(2) Have not been deposited with the court bythe escrow agent, order the escrow agent to release the proceeds to the owner.

6. If the owner believes the claim is frivolous and ismade without reasonable cause, the owner may include in the applicationsubmitted pursuant to subsection 1 a request for an order directing the realestate broker to appear and show cause why the claim should not be dismissed onthose grounds. If the court issues such an order, any hearing conductedpursuant to that order must be conducted in the manner provided in NRS 108.2275. In addition to any remedyset forth in that section, the court may award compensatory damages to theowner.

7. The prevailing party in any civil action filed orhearing conducted pursuant to this section is entitled to receive:

(a) Any costs incurred by that party for the civilaction or hearing; and

(b) A reasonable attorneys fee.

8. Proceedings conducted pursuant to this section donot affect any rights or remedies otherwise available to the owner or the realestate broker.

(Added to NRS by 1999, 1178)

NRS 645.8795 Priorityof recorded claim.

1. Except as otherwise provided in subsection 2, aclaim that is recorded pursuant to the provisions of NRS 645.8775 has priority over any otherencumbrance, claim or lien, if the claim of the real estate broker is recordedbefore the encumbrance, claim or lien.

2. The provisions of subsection 1 do not apply to alien recorded pursuant to the provisions of NRS108.221 to 108.246, inclusive.

(Added to NRS by 1999, 1179)

NRS 645.8801 Releaseof recorded claim. If a real estate brokerrecords a claim pursuant to the provisions of NRS 645.8775 and that claim is paid orotherwise satisfied pursuant to that section, the real estate broker shall,within 3 days after the claim is paid or otherwise satisfied, record a writtenrelease of that claim. The release must be recorded in the office of the countyrecorder where the claim was recorded.

(Added to NRS by 1999, 1179)

NRS 645.8805 Serviceof notice. Any notice that is required to beserved pursuant to the provisions of NRS645.8701 to 645.8811, inclusive,must be served in the manner provided in NRS108.227.

(Added to NRS by 1999, 1179)

NRS 645.8811 Escrowagents: Immunity; collection of fees for services. Anescrow agent:

1. Is not liable in any civil action for any actiontaken to comply with the provisions of NRS645.8701 to 645.8811, inclusive.

2. May charge and collect a fee from an owner or realestate broker for any services provided by the escrow agent to the owner orreal estate broker pursuant to NRS 645.8701to 645.8811, inclusive.

(Added to NRS by 1999, 1179)

UNLAWFUL ACTS; PENALTIES

NRS 645.990 Unlawfulacts; penalties.

1. A person who:

(a) Obtains or attempts to obtain a license pursuant tothis chapter by means of intentional misrepresentation, deceit or fraud; or

(b) Sells or attempts to sell in this State anyinterest in real property by means of intentional misrepresentation, deceit orfraud,

is guilty ofa category D felony and shall be punished as provided in NRS 193.130. In addition to any otherpenalty, the court shall order the person to pay restitution.

2. Any licensee, permittee or owner-developer who commitsan act described in NRS 645.630, 645.633 or 645.635 shall be punished by a fine of notmore than $5,000 for each offense.

3. A person who violates any other provision of thischapter, if a natural person, is guilty of a gross misdemeanor, and if alimited-liability company, partnership, association or corporation, shall bepunished by a fine of not more than $2,500.

4. Any officer or agent of a corporation, or member oragent of a limited-liability company, partnership or association, whopersonally participates in or is an accessory to any violation of this chapterby the limited-liability company, partnership, association or corporation, issubject to the penalties prescribed in this section for natural persons.

5. The provisions of this section do not release aperson from civil liability or criminal prosecution pursuant to the generallaws of this State.

6. The Administrator may prefer a complaint forviolation of NRS 645.230 before anycourt of competent jurisdiction and may take the necessary legal steps throughthe proper legal officers of this State to enforce the provisions thereof.

7. Any court of competent jurisdiction may try anyviolation of this chapter, and upon conviction, the court may revoke or suspendthe license of the person so convicted, in addition to imposing the otherpenalties provided in this section.

[29:150:1947; 1943 NCL 6396.29](NRS A 1963, 678;1967, 644; 1979, 1557; 1981, 1330; 1983, 223; 1985, 1278; 1993, 891; 1995,1312; 1997, 171; 2001,524; 2003, 3465)

NRS 645.993 Unlawfulto file documents that are false or contain willful, material misstatement offact; penalty.

1. It is unlawful for any person to file with theAdministrator, the Division or the Commission any notice, statement, complaintor other document required under the provisions of this chapter which is falseor which contains any willful, material misstatement of fact.

2. A person who violates any provision of this sectionis guilty of a gross misdemeanor.

(Added to NRS by 2003, 1289)

 

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