2005 Nevada Revised Statutes - Chapter 107 — Deeds of Trust

CHAPTER 107 - DEEDS OF TRUST

GENERAL PROVISIONS

NRS 107.015 Definitions.

NRS 107.020 Transfersin trust of real property to secure obligations.

NRS 107.025 Estatefor years: Encumbrance by deed of trust; foreclosure by exercise of power ofsale.

NRS 107.026 Priorityof certain deeds of trust over other liens.

NRS 107.027 Leaseof dwelling unit of cooperative housing corporation: Shares in corporationappurtenant to lease; encumbrances.

ADOPTION OF COVENANTS

NRS 107.030 Adoptionof covenants by reference.

NRS 107.040 Adoptionof covenants by reference in instrument.

NRS 107.050 Partiesmay enter into different or additional covenants.

ASSUMPTION FEE

NRS 107.055 Amountmust be stated in instrument.

ASSIGNMENTS; SUBORDINATION AND WAIVERS AS TO PRIORITY

NRS 107.070 Recordingof assignments of beneficial interests and instruments subordinating or waivingpriority of deeds of trust.

DISCHARGE

NRS 107.073 Marginalentries; reconveyance must be recorded if deed of trust recorded byphotographic process; presentation of certificate executed by trustee or his personalrepresentative or assignee.

NRS 107.077 Deliveryof documents by beneficiary to trustee; recording by trustee; liability forfailure to deliver or record documents; requirements for release of deed oftrust when reconveyance not recorded; liability for improperly recording deedof trust; criminal penalty.

NRS 107.078 Partialdischarge: Delivery of documents by beneficiary to trustee; recording bytrustee; liability for failure to deliver or record documents; requirements forpartial release of deed of trust when reconveyance not recorded; criminalpenalty.

DEFAULT AND SALE

NRS 107.080 Trusteespower of sale: Power conferred; required notices; effect of sale; effect offailing to substantially comply with requirements of section.

NRS 107.081 Timeand place of sale; agent holding sale not to be purchaser.

NRS 107.082 Oralpostponement of sale.

NRS 107.083 Proceedingsafter purchaser refuses to pay amount bid.

NRS 107.084 Liabilityfor removing or defacing notice of sale.

NRS 107.085 Restrictionson trustees power of sale concerning certain trust agreements: Applicability;service of notice upon grantor; scheduling of date of sale; form of notice;judicial foreclosure not prohibited; unfair lending practice defined.

NRS 107.090 Requestfor notice of default and sale: Recording and contents; mailing of notice;effect of request.

NRS 107.095 Noticeof default: Mailing to guarantor or surety of debt; effect of failure to give.

NRS 107.100 Receiver:Appointment after filing notice of breach and election to sell.

STATEMENT FROM BENEFICIARY OF DEED OF TRUST

NRS 107.200 Contentsof statement regarding debt secured by deed of trust.

NRS 107.210 Contentsof statement of amount necessary to discharge debt secured by deed of trust.

NRS 107.220 Personsauthorized to request statement from beneficiary; proof of identity ofsuccessor in interest.

NRS 107.230 Proofof authorization to request statement.

NRS 107.240 Groundsfor refusal to deliver statement.

NRS 107.250 Relianceupon accuracy of statement and amended statement; notification of amendedstatement; recovery of money by beneficiary if statement is deficient.

NRS 107.260 Copyof note or deed of trust for authorized requester.

NRS 107.270 Addressto which request for statement must be mailed.

NRS 107.280 Debtto which information contained in statement is applicable.

NRS 107.290 Unclearrequest for statement deemed to be request for amount necessary to dischargedebt.

NRS 107.300 Penaltyfor failure to deliver statement; bar to recovery of certain damages.

NRS 107.310 Feefor furnishing statement.

NRS 107.311 Applicabilityof NRS 107.310.

_________

 

GENERAL PROVISIONS

NRS 107.015 Definitions. As used in this chapter:

1. Facsimile machine means a device which receivesand copies a reproduction or facsimile of a document or photograph which istransmitted electronically or telephonically by telecommunications lines.

2. Title insurer has the meaning ascribed to it in NRS 692A.070.

(Added to NRS by 1995, 1518)

NRS 107.020 Transfersin trust of real property to secure obligations. Transfersin trust of any estate in real property may be made after March 29, 1927, tosecure the performance of an obligation or the payment of any debt.

[Part 1:173:1927; A 1949, 70; 1943 NCL 7710]

NRS 107.025 Estatefor years: Encumbrance by deed of trust; foreclosure by exercise of power ofsale. A deed of trust may encumber an estatefor years however created, including a lease of a dwelling unit of acooperative housing corporation, unless prohibited by the instrument creatingthe estate, and foreclosure may be had by the exercise of a power of sale inaccordance with the provisions of this chapter.

(Added to NRS by 1967, 954; A 1979, 708; 1989, 506)

NRS 107.026 Priorityof certain deeds of trust over other liens. Exceptas otherwise provided in NRS 104.9335,a deed of trust given to secure a loan made to purchase the real property onwhich the deed of trust is given has priority over all other liens createdagainst the purchaser before he acquires title to the real property.

(Added to NRS by 1995, 1522; A 1999, 387)

NRS 107.027 Leaseof dwelling unit of cooperative housing corporation: Shares in corporationappurtenant to lease; encumbrances.

1. The shares which accompany a lease of a dwellingunit in a cooperative housing corporation are appurtenant to the lease. Anysecurity interest in or lien on the lease encumbers the shares whether or notthe instrument creating the interest or lien expressly includes the shares.

2. No security interest in or lien on shares of acooperative housing corporation is effective unless the instrument whichpurports to create the interest or lien encumbers the lease to which the sharespertain.

(Added to NRS by 1979, 708)

ADOPTION OF COVENANTS

NRS 107.030 Adoptionof covenants by reference. Every deed of trustmade after March 29, 1927, may adopt by reference all or any of the followingcovenants, agreements, obligations, rights and remedies:

1. Covenant No.1. That grantor agrees to pay and discharge at maturity all taxes andassessments and all other charges and encumbrances which now are or shallhereafter be, or appear to be, a lien upon the trust premises, or any partthereof; and that he will pay all interest or installments due on any priorencumbrance, and that in default thereof, beneficiary may, without demand ornotice, pay the same, and beneficiary shall be sole judge of the legality orvalidity of such taxes, assessments, charges or encumbrances, and the amountnecessary to be paid in satisfaction or discharge thereof.

2. Covenant No.2. That the grantor will at all times keep the buildings and improvements whichare now or shall hereafter be erected upon the premises insured against loss ordamage by fire, to the amount of at least $........, by some insurance companyor companies approved by beneficiary, the policies for which insurance shall bemade payable, in case of loss, to beneficiary, and shall be delivered to andheld by the beneficiary as further security; and that in default thereof,beneficiary may procure such insurance, not exceeding the amount aforesaid, tobe effected either upon the interest of trustee or upon the interest ofgrantor, or his assigns, and in their names, loss, if any, being made payableto beneficiary, and may pay and expend for premiums for such insurance suchsums of money as the beneficiary may deem necessary.

3. Covenant No.3. That if, during the existence of the trust, there be commenced or pendingany suit or action affecting the conveyed premises, or any part thereof, or thetitle thereto, or if any adverse claim for or against the premises, or any partthereof, be made or asserted, the trustee or beneficiary may appear orintervene in the suit or action and retain counsel therein and defend same, orotherwise take such action therein as they may be advised, and may settle orcompromise same or the adverse claim; and in that behalf and for any of thepurposes may pay and expend such sums of money as the trustee or beneficiarymay deem to be necessary.

4. Covenant No.4. That the grantor will pay to trustee and to beneficiary respectively, ondemand, the amounts of all sums of money which they shall respectively pay orexpend pursuant to the provisions of the implied covenants of this section, orany of them, together with interest upon each of the amounts, until paid, fromthe time of payment thereof, at the rate of ................ percent per annum.

5. Covenant No.5. That in case grantor shall well and truly perform the obligation or pay orcause to be paid at maturity the debt or promissory note, and all moneys agreedto be paid by him, and interest thereon for the security of which the transferis made, and also the reasonable expenses of the trust in this section specified,then the trustee, its successors or assigns, shall reconvey to the grantor allthe estate in the premises conveyed to the trustee by the grantor. Any part ofthe trust property may be reconveyed at the request of the beneficiary.

6. Covenant No.6. That if default be made in the performance of the obligation, or in thepayment of the debt, or interest thereon, or any part thereof, or in thepayment of any of the other moneys agreed to be paid, or of any interestthereon, or if any of the conditions or covenants in this section adopted byreference be violated, and if the notice of breach and election to sell,required by this chapter, be first recorded, then trustee, its successors orassigns, on demand by beneficiary, or assigns, shall sell the above-grantedpremises, or such part thereof as in its discretion it shall find necessary tosell, in order to accomplish the objects of these trusts, in the mannerfollowing, namely:

The trustees shall first give notice of the time andplace of such sale, in the manner provided in NRS107.080 and may postpone such sale not more than three times byproclamation made to the persons assembled at the time and place previouslyappointed and advertised for such sale, and on the day of sale so advertised,or to which such sale may have been postponed, the trustee may sell theproperty so advertised, or any portion thereof, at public auction, at the timeand place specified in the notice, at a public location in the county in whichthe property, or any part thereof, to be sold, is situated, to the highest cashbidder. The beneficiary, obligee, creditor, or the holder or holders of thepromissory note or notes secured thereby may bid and purchase at such sale. Thebeneficiary may, after recording the notice of breach and election, waive orwithdraw the same or any proceedings thereunder, and shall thereupon berestored to his former position and have and enjoy the same rights as though suchnotice had not been recorded.

7. Covenant No.7. That the trustee, upon such sale, shall make (without warranty), executeand, after due payment made, deliver to purchaser or purchasers, his or theirheirs or assigns, a deed or deeds of the premises so sold which shall convey tothe purchaser all the title of the grantor in the trust premises, and shallapply the proceeds of the sale thereof in payment, firstly, of the expenses ofsuch sale, together with the reasonable expenses of the trust, including counselfees, in an amount equal to ................ percent of the amount securedthereby and remaining unpaid, which shall become due upon any default made bygrantor in any of the payments aforesaid; and also such sums, if any, astrustee or beneficiary shall have paid, for procuring a search of the title tothe premises, or any part thereof, subsequent to the execution of the deed oftrust; and in payment, secondly, of the obligation or debts secured, andinterest thereon then remaining unpaid, and the amount of all other moneys withinterest thereon herein agreed or provided to be paid by grantor; and thebalance or surplus of such proceeds of sale it shall pay to grantor, his heirs,executors, administrators or assigns.

8. Covenant No.8. That in the event of a sale of the premises conveyed or transferred intrust, or any part thereof, and the execution of a deed or deeds therefor undersuch trust, the recital therein of default, and of recording notice of breachand election of sale, and of the elapsing of the 3-month period, and of thegiving of notice of sale, and of a demand by beneficiary, his heirs or assigns,that such sale should be made, shall be conclusive proof of such default,recording, election, elapsing of time, and of the due giving of such notice,and that the sale was regularly and validly made on due and proper demand bybeneficiary, his heirs and assigns; and any such deed or deeds with suchrecitals therein shall be effectual and conclusive against grantor, his heirsand assigns, and all other persons; and the receipt for the purchase moneyrecited or contained in any deed executed to the purchaser as aforesaid shallbe sufficient discharge to such purchaser from all obligation to see to theproper application of the purchase money, according to the trusts aforesaid.

9. Covenant No.9. That the beneficiary or his assigns may, from time to time, appoint anothertrustee, or trustees, to execute the trust created by the deed of trust orother conveyance in trust. A copy of a resolution of the board of directors ofbeneficiary (if beneficiary be a corporation), certified by the secretarythereof, under its corporate seal, or an instrument executed and acknowledgedby the beneficiary (if the beneficiary be a natural person), shall beconclusive proof of the proper appointment of such substituted trustee. Uponthe recording of such certified copy or executed and acknowledged instrument,the new trustee or trustees shall be vested with all the title, interest,powers, duties and trusts in the premises vested in or conferred upon theoriginal trustee. If there be more than one trustee, either may act alone andexecute the trusts upon the request of the beneficiary, and all his actsthereunder shall be deemed to be the acts of all trustees, and the recital inany conveyance executed by such sole trustee of such request shall beconclusive evidence thereof, and of the authority of such sole trustee to act.

[2:173:1927; NCL 7711](NRS A 1967, 143; 2005, 1621)

NRS 107.040 Adoptionof covenants by reference in instrument.

1. In order to adopt by reference any of thecovenants, agreements, obligations, rights and remedies in NRS 107.030, it shall only be necessary tostate in the deed of trust the following: The following covenants, Nos................., ................ and ................ (inserting therespective numbers) of NRS 107.030 arehereby adopted and made a part of this deed of trust.

2. A deed of trust or other conveyance in trust, inorder to fix the amount of insurance to be carried, need not reincorporate theprovisions of Covenant No. 2 of NRS 107.030,but may merely state the following: Covenant No. 2, and set out thereafterthe amount of insurance to be carried.

3. In order to fix the rate of interest under CovenantNo. 4 of NRS 107.030, it shall only benecessary to state in such trust deed or other conveyance in trust, CovenantNo. 4, and set out thereafter the rate of interest to be charged thereunder.

4. In order to fix the amount or percent of counselfees under Covenant No. 7 of NRS 107.030,it shall only be necessary to state in such deed of trust, or other conveyancein trust, the following: Covenant No. 7, and set out thereafter the percentageto be allowed.

[3:173:1927; NCL 7712] + [4:173:1927; NCL 7713]

NRS 107.050 Partiesmay enter into different or additional covenants. Nothingin NRS 107.030 and 107.040 shall prevent the parties to anytransfer in trust from entering into other, different or additional covenantsor agreements than those set out in NRS107.030.

[5:173:1927; NCL 7714]

ASSUMPTION FEE

NRS 107.055 Amountmust be stated in instrument. If a party to adeed of trust, executed after July 1, 1971, desires to charge an assumption feefor a change in parties, the amount of such charge must be clearly set forth inthe deed of trust at the time of execution.

(Added to NRS by 1971, 314)

ASSIGNMENTS; SUBORDINATION AND WAIVERS AS TO PRIORITY

NRS 107.070 Recordingof assignments of beneficial interests and instruments subordinating or waivingpriority of deeds of trust. The provisions of NRS 106.210 and 106.220 apply to deeds of trust as thereinspecified.

[Part 1:120:1935; 1931 NCL 2122.31](NRS A 1965,926)

DISCHARGE

NRS 107.073 Marginalentries; reconveyance must be recorded if deed of trust recorded byphotographic process; presentation of certificate executed by trustee or hispersonal representative or assignee.

1. Except as otherwise provided in subsection 2, a recordeddeed of trust may be discharged by an entry on the margin of the recordthereof, signed by the trustee or his personal representative or assignee inthe presence of the recorder or his deputy, acknowledging the satisfaction ofor value received for the deed of trust and the debt secured thereby. Therecorder or his deputy shall subscribe the entry as witness. The entry has thesame effect as a reconveyance of the deed of trust acknowledged and recorded asprovided by law. The recorder shall properly index each marginal discharge.

2. If the deed of trust has been recorded by amicrofilm or other photographic process, a marginal release may not be used andan acknowledged reconveyance of the deed of trust must be recorded.

3. If the recorder or his deputy is presented with acertificate executed by the trustee or his personal representative or assignee,specifying that the deed of trust has been paid or otherwise satisfied ordischarged, the recorder or his deputy shall discharge the deed of trust uponthe record.

(Added to NRS by 1991, 1103; A 1993, 2335)

NRS 107.077 Deliveryof documents by beneficiary to trustee; recording by trustee; liability forfailure to deliver or record documents; requirements for release of deed oftrust when reconveyance not recorded; liability for improperly recording deedof trust; criminal penalty.

1. Within 21 calendar days after receiving writtennotice that a debt secured by a deed of trust made on or after October 1, 1991,has been paid or otherwise satisfied or discharged, the beneficiary shalldeliver to the trustee or the trustor the original note and deed of trust, ifhe is in possession of those documents, and a properly executed request toreconvey the estate in real property conveyed to the trustee by the grantor. Ifthe beneficiary delivers the original note and deed of trust to the trustee orthe trustee has those documents in his possession, the trustee shall deliverthose documents to the grantor.

2. Within 45 calendar days after a debt secured by adeed of trust made on or after October 1, 1991, is paid or otherwise satisfiedor discharged, and a properly executed request to reconvey is received by thetrustee, the trustee shall cause to be recorded a reconveyance of the deed oftrust.

3. If the beneficiary fails to deliver to the trusteea properly executed request to reconvey pursuant to subsection 1, or if thetrustee fails to cause to be recorded a reconveyance of the deed of trustpursuant to subsection 2, the beneficiary or the trustee, as the case may be,is liable in a civil action to the grantor, his heirs or assigns in the sum of$500, plus a reasonable attorneys fee and the costs of bringing the action,and he is liable in a civil action to any party to the deed of trust for anyactual damages caused by his failure to comply with the provisions of thissection and for a reasonable attorneys fee and the costs of bringing theaction.

4. Except as otherwise provided in this subsection, ifa reconveyance is not recorded pursuant to subsection 2 within:

(a) Seventy-five calendar days after the payment,satisfaction or discharge of the debt, if the payment, satisfaction ordischarge was made on or after October 1, 1993; or

(b) Ninety calendar days after the payment,satisfaction or discharge of the debt, if the payment, satisfaction ordischarge was made before October 1, 1993,

a titleinsurer may prepare and cause to be recorded a release of the deed of trust. Atleast 30 calendar days before the recording of a release pursuant to this subsection,the title insurer shall mail, by first-class mail, postage prepaid, notice ofthe intention to record the release of the deed of trust to the trustee,trustor and beneficiary of record, or their successors in interest, at the lastknown address of each such person. A release prepared and recorded pursuant tothis subsection shall be deemed a reconveyance of a deed of trust. The titleinsurer shall not cause a release to be recorded pursuant to this subsection ifthe title insurer receives written instructions to the contrary from thetrustee, the trustor, the owner of the land, the holder of the escrow or theowner of the debt secured by the deed of trust or his agent.

5. The release prepared pursuant to subsection 4 mustset forth:

(a) The name of the beneficiary;

(b) The name of the trustor;

(c) The recording reference to the deed of trust;

(d) A statement that the debt secured by the deed oftrust has been paid in full or otherwise satisfied or discharged;

(e) The date and amount of payment or othersatisfaction or discharge; and

(f) The name and address of the title insurer issuingthe release.

6. A release prepared and recorded pursuant tosubsection 4 does not relieve a beneficiary or trustee of the requirementsimposed by subsections 1 and 2.

7. A trustee may charge a reasonable fee to thetrustor or the owner of the land for services relating to the preparation,execution or recordation of a reconveyance or release pursuant to this section.A trustee shall not require the fees to be paid before the opening of anescrow, or earlier than 60 calendar days before the payment, satisfaction ordischarge of the debt secured by the deed of trust. If a fee charged pursuantto this subsection does not exceed $100, the fee is conclusively presumed to bereasonable.

8. In addition to any other remedy provided by law, atitle insurer who improperly causes to be recorded a release of a deed of trustpursuant to this section is liable for actual damages and for a reasonableattorneys fee and the costs of bringing the action to any person who isinjured because of the improper recordation of the release.

9. Any person who willfully violates this section isguilty of a misdemeanor.

(Added to NRS by 1991, 1103; A 1993, 2336; 1995,1522; 1999, 57)

NRS 107.078 Partialdischarge: Delivery of documents by beneficiary to trustee; recording bytrustee; liability for failure to deliver or record documents; requirements forpartial release of deed of trust when reconveyance not recorded; criminalpenalty.

1. If a deed of trust made on or after October 1,1995, authorizes the grantor to discharge in part the debt secured by the deedof trust and the deed of trust authorizes a partial reconveyance of the estatein real property in consideration of a partial discharge, the beneficiaryshall, within 21 calendar days after receiving notice that the debt secured bythe deed of trust has been partially discharged, deliver to the trustee aproperly executed request for a partial reconveyance of the estate in realproperty conveyed to the trustee by the grantor.

2. Within 45 calendar days after a debt secured by adeed of trust made on or after October 1, 1995, is partially discharged and aproperly executed request for a partial reconveyance is received by thetrustee, the trustee shall cause to be recorded a partial reconveyance of thedeed of trust.

3. If the beneficiary fails to deliver to the trusteea properly executed request for a partial reconveyance pursuant to subsection1, or if the trustee fails to cause to be recorded a partial reconveyance ofthe deed of trust pursuant to subsection 2, the beneficiary or the trustee, asthe case may be, is liable in a civil action to the grantor, his heirs orassigns in the amount of $500, plus a reasonable attorneys fee and the costsof bringing the action, and he is liable in a civil action to any party to thedeed of trust for any actual damages caused by his failure to comply with theprovisions of this section and for a reasonable attorneys fee and the costs ofbringing the action.

4. Except as otherwise provided in this subsection, ifa partial reconveyance is not recorded pursuant to subsection 2 within 75calendar days after the partial satisfaction of the debt and if thesatisfaction was made on or after October 1, 1995, a title insurer may prepareand cause to be recorded a partial release of the deed of trust. At least 30calendar days before the recording of a partial release pursuant to thissubsection, the title insurer shall mail, by first-class mail, postage prepaid,notice of the intention to record the partial release of the deed of trust tothe trustee, trustor and beneficiary of record, or their successors ininterest, at the last known address of each such person. A partial releaseprepared and recorded pursuant to this subsection shall be deemed a partialreconveyance of a deed of trust. The title insurer shall not cause a partialrelease to be recorded pursuant to this subsection if the title insurerreceives written instructions to the contrary from the trustee, trustor, ownerof the land, holder of the escrow or owner of the debt secured by the deed oftrust or his agent.

5. The release prepared pursuant to subsection 4 mustset forth:

(a) The name of the beneficiary;

(b) The name of the trustor;

(c) The recording reference to the deed of trust;

(d) A statement that the debt secured by the deed oftrust has been partially discharged;

(e) The date and amount of partial payment or otherpartial satisfaction or discharge;

(f) The name and address of the title insurer issuingthe partial release; and

(g) The legal description of the estate in realproperty which is reconveyed.

6. A partial release prepared and recorded pursuant tosubsection 4 does not relieve a beneficiary or trustee of the requirementsimposed by subsections 1 and 2.

7. A trustee may charge a reasonable fee to thetrustor or the owner of the land for services relating to the preparation,execution or recordation of a partial reconveyance or partial release pursuantto this section. A trustee shall not require the fees to be paid before theopening of an escrow or earlier than 60 calendar days before the partialpayment or partial satisfaction or discharge of the debt secured by the deed oftrust. If a fee charged pursuant to this subsection does not exceed $100, thefee is conclusively presumed to be reasonable.

8. In addition to any other remedy provided by law, atitle insurer who improperly causes to be recorded a partial release of a deedof trust pursuant to this section is liable for actual damages and for areasonable attorneys fee and the costs of bringing the action to any personwho is injured because of the improper recordation of the partial release.

9. Any person who willfully violates this section isguilty of a misdemeanor.

(Added to NRS by 1995, 1521; A 1999, 58)

DEFAULT AND SALE

NRS 107.080 Trusteespower of sale: Power conferred; required notices; effect of sale; effect offailing to substantially comply with requirements of section.

1. Except as otherwise provided in NRS 107.085, if any transfer in trust ofany estate in real property is made after March 29, 1927, to secure theperformance of an obligation or the payment of any debt, a power of sale ishereby conferred upon the trustee to be exercised after a breach of theobligation for which the transfer is security.

2. The power of sale must not be exercised, however,until:

(a) In the case of any trust agreement coming intoforce:

(1) On or after July 1, 1949, and before July 1,1957, the grantor, or his successor in interest, a beneficiary under asubordinate deed of trust or any other person who has a subordinate lien orencumbrance of record on the property, has for a period of 15 days, computed asprescribed in subsection 3, failed to make good the deficiency in performanceor payment; or

(2) On or after July 1, 1957, the grantor, orhis successor in interest, a beneficiary under a subordinate deed of trust orany other person who has a subordinate lien or encumbrance of record on theproperty, has for a period of 35 days, computed as prescribed in subsection 3,failed to make good the deficiency in performance or payment;

(b) The beneficiary, the successor in interest of thebeneficiary or the trustee first executes and causes to be recorded in theoffice of the recorder of the county wherein the trust property, or some partthereof, is situated a notice of the breach and of his election to sell orcause to be sold the property to satisfy the obligation; and

(c) Not less than 3 months have elapsed after therecording of the notice.

3. The 15- or 35-day period provided in paragraph (a)of subsection 2 commences on the first day following the day upon which thenotice of default and election to sell is recorded in the office of the countyrecorder of the county in which the property is located and a copy of thenotice of default and election to sell is mailed by registered or certifiedmail, return receipt requested and with postage prepaid to the grantor, and tothe person who holds the title of record on the date the notice of default andelection to sell is recorded, at their respective addresses, if known, otherwiseto the address of the trust property. The notice of default and election tosell must describe the deficiency in performance or payment and may contain anotice of intent to declare the entire unpaid balance due if acceleration ispermitted by the obligation secured by the deed of trust, but acceleration mustnot occur if the deficiency in performance or payment is made good and anycosts, fees and expenses incident to the preparation or recordation of thenotice and incident to the making good of the deficiency in performance orpayment are paid within the time specified in subsection 2.

4. The trustee, or other person authorized to make thesale under the terms of the trust deed or transfer in trust, shall, afterexpiration of the 3-month period following the recording of the notice ofbreach and election to sell, and before the making of the sale, give notice ofthe time and place thereof by recording the notice of sale and by:

(a) Providing the notice to each trustor and any otherperson entitled to notice pursuant to this section by personal service or bymailing the notice by registered or certified mail to the last known address ofthe trustor and any other person entitled to such notice pursuant to thissection;

(b) Posting a similar notice particularly describingthe property, for 20 days successively, in three public places of the townshipor city where the property is situated and where the property is to be sold;and

(c) Publishing a copy of the notice three times, onceeach week for 3 consecutive weeks, in a newspaper of general circulation in thecounty where the property is situated.

5. Every sale made under the provisions of thissection and other sections of this chapter vests in the purchaser the title ofthe grantor and his successors in interest without equity or right ofredemption. A person who purchases property pursuant to this section is not abona fide purchaser, and the sale may be declared void if the trustee or otherperson authorized to make the sale does not substantially comply with theprovisions of this section. The sale of a lease of a dwelling unit of a cooperativehousing corporation vests in the purchaser title to the shares in the corporationwhich accompany the lease.

[Part 1:173:1927; A 1949, 70; 1943 NCL 7710](NRS A1957, 631; 1959, 10; 1961, 23; 1965, 611, 1242; 1967, 198; 1979, 708; 1987,1644; 1989, 1770; 2003,2893; 2005, 1623)

NRS 107.081 Timeand place of sale; agent holding sale not to be purchaser.

1. All sales of property pursuant to NRS 107.080 must be made at auction to thehighest bidder and must be made between the hours of 9 a.m. and 5 p.m. Theagent holding the sale must not become a purchaser at the sale or be interestedin any purchase at such a sale.

2. All sales of real property must be made:

(a) In a county with a population of less than 100,000,at the courthouse in the county in which the property or some part thereof issituated.

(b) In a county with a population of 100,000 or more,at the public location in the county designated by the governing body of thecounty for that purpose.

(Added to NRS by 2005, 1620)

NRS 107.082 Oralpostponement of sale.

1. If a sale of property pursuant to NRS 107.080 is postponed by oral proclamation,the sale must be postponed to a later date at the same time and location.

2. If such a sale has been postponed by oralproclamation three times, any new sale information must be provided by noticeas provided in NRS 107.080.

(Added to NRS by 2005, 1621)

NRS 107.083 Proceedingsafter purchaser refuses to pay amount bid.

1. If a purchaser refuses to pay the amount bid by himfor the property struck off to him at a sale pursuant to NRS 107.080, the agent may again sell theproperty to the highest bidder, after again giving the notice previouslyprovided.

2. If any loss is incurred from the purchaser refusingto pay his bid, the agent may recover the amount of the loss, with costs, forthe benefit of the party aggrieved, by motion upon previous notice of 5 days tothe purchaser, before any court of competent jurisdiction.

3. The court shall proceed in a summary manner in thehearing and disposition of such a motion, and give judgment and issue executiontherefor forthwith, but the refusing purchaser may request a jury. The sameproceedings may be had against any subsequent purchaser who refuses to pay, andthe agent may, in his discretion, thereafter reject the bid of any person sorefusing.

4. An agent is not liable for any amount other thanthe amount bid by the second or subsequent purchaser and the amount collectedfrom the purchaser who refused to pay.

(Added to NRS by 2005, 1621)

NRS 107.084 Liabilityfor removing or defacing notice of sale. Aperson who willfully removes or defaces a notice posted pursuant to subsection4 of NRS 107.080, if done before thesale or, if the default is satisfied before the sale, before the satisfactionof the default, is liable in the amount of $500 to any person aggrieved by theremoval or defacing of the notice.

(Added to NRS by 2005, 1620)

NRS 107.085 Restrictionson trustees power of sale concerning certain trust agreements: Applicability;service of notice upon grantor; scheduling of date of sale; form of notice;judicial foreclosure not prohibited; unfair lending practice defined.

1. With regard to a transfer in trust of an estate inreal property to secure the performance of an obligation or the payment of adebt, the provisions of this section apply to the exercise of a power of salepursuant to NRS 107.080 only if:

(a) The trust agreement becomes effective on or afterOctober 1, 2003; and

(b) On the date the trust agreement is made, the trustagreement is subject to the provisions of 152 of the Home Ownership andEquity Protection Act of 1994, 15 U.S.C. 1602(aa), and the regulationsadopted by the Board of Governors of the Federal Reserve System pursuantthereto, including, without limitation, 12 C.F.R. 226.32.

2. The trustee shall not exercise a power of salepursuant to NRS 107.080 unless:

(a) In the manner required by subsection 3, not laterthan 60 days before the date of the sale, the trustee causes to be served uponthe grantor a notice in the form described in subsection 3; and

(b) If an action is filed in a court of competentjurisdiction claiming an unfair lending practice in connection with the trustagreement, the date of the sale is not less than 30 days after the date the mostrecent such action is filed.

3. The notice described in subsection 2 must be:

(a) Served upon the grantor by personal service or, ifpersonal service cannot be timely effected, in such other manner as a courtdetermines is reasonably calculated to afford notice to the grantor; and

(b) In substantially the following form, with theapplicable telephone numbers and mailing addresses provided on the notice and acopy of the promissory note attached to the notice:

 

NOTICE

YOU ARE IN DANGER OFLOSING YOUR HOME!

 

Your home loan is being foreclosed. In 60 days your home willbe sold and you will be forced to move. For help, call:

 

Consumer Credit Counseling _______________

The Attorney General __________________

The Division of Financial Institutions ________________

Legal Services ______________________

Your Lender ___________________

Nevada Fair Housing Center ________________

 

4. This section does not prohibit a judicialforeclosure.

5. As used in this section, unfair lending practicemeans an unfair lending practice described in NRS 598D.010 to 598D.150, inclusive.

(Added to NRS by 2003, 2892)

NRS 107.090 Requestfor notice of default and sale: Recording and contents; mailing of notice;effect of request.

1. As used in this section, person with an interestmeans any person who has or claims any right, title or interest in, or lien orcharge upon, the real property described in the deed of trust, as evidenced byany document or instrument recorded in the office of the county recorder of thecounty in which any part of the real property is situated.

2. A person with an interest or any other person whois or may be held liable for any debt secured by a lien on the propertydesiring a copy of a notice of default or notice of sale under a deed of trustwith power of sale upon real property may at any time after recordation of thedeed of trust record in the office of the county recorder of the county inwhich any part of the real property is situated an acknowledged request for acopy of the notice of default or of sale. The request must state the name andaddress of the person requesting copies of the notices and identify the deed oftrust by stating the names of the parties thereto, the date of recordation, andthe book and page where it is recorded.

3. The trustee or person authorized to record thenotice of default shall, within 10 days after the notice of default is recordedand mailed pursuant to NRS 107.080,cause to be deposited in the United States mail an envelope, registered orcertified, return receipt requested and with postage prepaid, containing a copyof the notice, addressed to:

(a) Each person who has recorded a request for a copyof the notice; and

(b) Each other person with an interest whose interestor claimed interest is subordinate to the deed of trust.

4. The trustee or person authorized to make the saleshall, at least 20 days before the date of sale, cause to be deposited in theUnited States mail an envelope, registered or certified, return receiptrequested and with postage prepaid, containing a copy of the notice of time andplace of sale, addressed to each person described in subsection 3.

5. No request recorded pursuant to the provisions ofsubsection 2 affects the title to real property.

(Added to NRS by 1961, 74; A 1969, 42, 95; 1989, 644,1772; 2001, 1751)

NRS 107.095 Noticeof default: Mailing to guarantor or surety of debt; effect of failure to give.

1. The notice of default required by NRS 107.080 must also be sent by registeredor certified mail, return receipt requested and with postage prepaid, to eachguarantor or surety of the debt. If the address of the guarantor or surety isunknown, the notice must be sent to the address of the trust property. Failureto give the notice, except as otherwise provided in subsection 3, releases theguarantor or surety from his obligation to the beneficiary, but does not affectthe validity of a sale conducted pursuant to NRS107.080 nor the obligation of any guarantor or surety to whom the noticewas properly given.

2. Failure to give the notice of default required by NRS 107.090, except as otherwise providedin subsection 3, releases the obligation to the beneficiary of any person whohas complied with NRS 107.090 and who isor may otherwise be held liable for the debt or other obligation secured by thedeed of trust, but such a failure does not affect the validity of a saleconducted pursuant to NRS 107.080 northe obligation of any person to whom the notice was properly given pursuant tothis section or to NRS 107.080 or 107.090.

3. A guarantor, surety or other obligor is notreleased pursuant to this section if:

(a) The required notice is given at least 15 daysbefore the later of:

(1) The expiration of the 15- or 35-day perioddescribed in NRS 107.080; or

(2) Any extension of that period by thebeneficiary; or

(b) The notice is rescinded before the sale isadvertised.

(Added to NRS by 1989, 1770)

NRS 107.100 Receiver:Appointment after filing notice of breach and election to sell.

1. At any time after the filing of a notice of breachand election to sell real property under a power of sale contained in a deed oftrust, the trustee or beneficiary of the deed of trust may apply to thedistrict court for the county in which the property or any part of the propertyis located for the appointment of a receiver of such property.

2. A receiver shall be appointed where it appears thatpersonal property subject to the deed of trust is in danger of being lost,removed, materially injured or destroyed, that real property subject to thedeed of trust is in danger of substantial waste or that the income therefrom isin danger of being lost, or that the property is or may become insufficient todischarge the debt which it secures.

(Added to NRS by 1965, 252)

STATEMENT FROM BENEFICIARY OF DEED OF TRUST

NRS 107.200 Contentsof statement regarding debt secured by deed of trust. Exceptas otherwise provided in NRS 107.230,the beneficiary of a deed of trust secured on or after October 1, 1995, shall,within 21 days after receiving a request from a person authorized to make sucha request pursuant to NRS 107.220, causeto be mailed, postage prepaid, or sent by facsimile machine to that person astatement regarding the debt secured by the deed of trust. The statement must include:

1. The amount of the unpaid balance of the debtsecured by the deed of trust, the rate of interest on the unpaid balance andthe total amount of principal and interest which is due and has not been paid.

2. The amount of the periodic payments, if any,required under the note.

3. The date the payment of the debt is due.

4. The period for which real estate taxes and specialassessments have been paid, if that information is known to the beneficiary.

5. The amount of property insurance covering the realproperty and the term and premium of that insurance, if that information isknown to the beneficiary.

6. The amount in an account, if any, maintained forthe accumulation of money for the payment of taxes and insurance premiums.

7. The amount of any additional charges, costs orexpenses paid or incurred by the beneficiary which is a lien on the realproperty described in the deed of trust.

8. Whether the debt secured by the deed of trust maybe transferred to a person other than the grantor.

(Added to NRS by 1995, 1519)

NRS 107.210 Contentsof statement of amount necessary to discharge debt secured by deed of trust. Except as otherwise provided in NRS 107.230 and 107.240, the beneficiary of a deed of trustsecured on or after October 1, 1995, shall, within 21 days after receiving arequest from a person authorized to make such a request pursuant to NRS 107.220, cause to be mailed, postageprepaid, or sent by facsimile machine to that person a statement of the amountnecessary to discharge the debt secured by the deed of trust. The statementmust set forth:

1. The amount of money necessary to discharge the debtsecured by the deed of trust on the date the statement is prepared by thebeneficiary; and

2. The information necessary to determine the amountof money required to discharge the debt on a per diem basis for a period, notto exceed 30 days, after the statement is prepared by the beneficiary.

(Added to NRS by 1995, 1519)

NRS 107.220 Personsauthorized to request statement from beneficiary; proof of identity ofsuccessor in interest.

1. A statement described in NRS 107.200 or 107.210 may be requested by:

(a) The grantor of, or his successor in interest in,the property which is the subject of the deed of trust;

(b) A person who has a subordinate lien or encumbranceof record on the property which is secured by the deed of trust;

(c) A title insurer; or

(d) An authorized agent of any person described inparagraph (a), (b) or (c).

A writtenstatement signed by any person described in paragraph (a), (b) or (c) whichappoints a person to serve as his agent if delivered personally to the beneficiaryor delivered by mail, return receipt requested, is proof of the identity of anagent.

2. For the purposes of paragraph (a) of subsection 1,a policy of title insurance, preliminary report issued by a title company,certified copy of letters testamentary or letters of guardianship, or anoriginal or photographic copy of a deed, if delivered personally to thebeneficiary or delivered by mail, return receipt requested, is proof of theidentity of a successor in interest of the grantor, if the person demanding thestatement is named as successor in interest in the document.

(Added to NRS by 1995, 1519)

NRS 107.230 Proofof authorization to request statement. Abeneficiary may, before mailing a statement described in NRS 107.200 or 107.210, require the person who requestedthe statement to prove that he is authorized to request that statement pursuantto NRS 107.220. If the beneficiaryrequires such proof, he must mail the statement within 21 days after hereceives that proof from the requester.

(Added to NRS by 1995, 1520)

NRS 107.240 Groundsfor refusal to deliver statement. If the debtsecured by a deed of trust for which a statement described in NRS 107.210 has been requested is subjectto a recorded notice of default or a filed complaint commencing a judicialforeclosure, the beneficiary may refuse to deliver the statement unless thewritten request for the statement is received before the publication of anotice of sale or the notice of the date of sale established by a court.

(Added to NRS by 1995, 1520)

NRS 107.250 Relianceupon accuracy of statement and amended statement; notification of amendedstatement; recovery of money by beneficiary if statement is deficient.

1. A person who receives a statement pursuant to NRS 107.200 or 107.210 may rely upon the accuracy of theinformation contained in the statement. If the beneficiary notifies the personwho requested the statement of any amendment to the statement, the amendedstatement may be relied upon by that person in the same manner as the originalstatement.

2. If notification of an amendment to a statement isnot given in writing, a written amendment to the statement must be delivered tothe person who requested the original statement not later than the nextbusiness day after notification.

3. If a statement prepared by the beneficiary pursuantto NRS 107.200 does not contain theentire amount necessary to discharge the debt secured by the deed of trust and:

(a) A transaction has occurred which has resulted inthe transfer of title or recordation of a lien; or

(b) A trustees sale or a sale supervised by a courthas taken place,

the beneficiarymay recover that money as an unsecured debt of the grantor pursuant to theterms of the note.

(Added to NRS by 1995, 1520)

NRS 107.260 Copyof note or deed of trust for authorized requester. Ifa person who is authorized pursuant to NRS107.220 to request a statement described in NRS 107.200 or 107.210 includes in his request for such astatement a request for a copy of the note or deed of trust, the beneficiaryshall mail a copy of the note or deed of trust with the statement at noadditional charge.

(Added to NRS by 1995, 1520)

NRS 107.270 Addressto which request for statement must be mailed. Ifthe beneficiary has more than one place of business, a request for a statementdescribed in NRS 107.200 or 107.210 must be made to the address towhich the periodic payments under the note are made. If no periodic paymentsare made under the note, the request must be mailed to the address of thebeneficiary listed on the note or deed of trust.

(Added to NRS by 1995, 1520)

NRS 107.280 Debtto which information contained in statement is applicable. Except as otherwise provided in a statement described in NRS 107.200 or 107.210, the information contained in thestatement applies only to the debt secured by the deed of trust which ispayable at the address to which the periodic payments are made. If periodicpayments are not made under the note, the statement applies only to the entiredebt secured by the deed of trust.

(Added to NRS by 1995, 1520)

NRS 107.290 Unclearrequest for statement deemed to be request for amount necessary to dischargedebt. If a person requests a statementdescribed in NRS 107.200 or 107.210 and it is not clear from therequest which statement is requested, the request shall be deemed a request fora statement of the amount necessary to discharge the debt secured by a deed oftrust.

(Added to NRS by 1995, 1521)

NRS 107.300 Penaltyfor failure to deliver statement; bar to recovery of certain damages.

1. A beneficiary who willfully fails to deliver astatement requested pursuant to NRS 107.200or 107.210 within 21 days after it isrequested is liable to the person who requested the statement in an amount of$300 and any actual damages suffered by the person who requested the statement.

2. A judgment awarded to a person who requested astatement pursuant to NRS 107.200 or 107.210 for failure to deliver a statementbars recovery of damages for any other failure to deliver that statementpursuant to a demand made within 6 months before or after the demand for whichthe judgment was awarded.

3. As used in this section, willfully means anintentional failure to comply with the requirements of NRS 107.200 or 107.210 without just cause.

(Added to NRS by 1995, 1521)

NRS 107.310 Feefor furnishing statement. The beneficiary maycharge a fee of not more than $60 for each statement furnished pursuant to NRS 107.200 or 107.210.

(Added to NRS by 1995, 1521)

NRS 107.311 Applicabilityof NRS107.310. The provisions of NRS 107.310 do not apply to deeds of trustinsured by the Federal Housing Administrator or guaranteed by the Secretary ofVeterans Affairs.

(Added to NRS by 1995, 1518)

 

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