2005 Nevada Revised Statutes - Chapter 598 — Deceptive Trade Practices

CHAPTER 598 - DECEPTIVE TRADE PRACTICES

GENERAL PROVISIONS

NRS 598.0903 Definitions.

NRS 598.0905 Advertisementdefined.

NRS 598.0907 Certificationmark defined.

NRS 598.091 Collectivemark defined.

NRS 598.0913 Commissionerdefined.

NRS 598.0915 Deceptivetrade practice defined.

NRS 598.0916 Deceptivetrade practice defined.

NRS 598.0917 Deceptivetrade practice defined.

NRS 598.0918 Deceptivetrade practice defined.

NRS 598.092 Deceptivetrade practice defined.

NRS 598.0921 Deceptivetrade practice defined.

NRS 598.0923 Deceptivetrade practice defined.

NRS 598.0925 Deceptivetrade practice defined.

NRS 598.0927 Directordefined.

NRS 598.093 Disabledperson defined.

NRS 598.0933 Elderlyperson defined.

NRS 598.0934 Goodsdefined.

NRS 598.0935 Markdefined.

NRS 598.0937 Propertydefined.

NRS 598.094 Saledefined.

NRS 598.0943 Servicemark defined.

NRS 598.0945 Trademarkdefined.

NRS 598.0947 Tradename defined.

NRS 598.0953 Engagingin deceptive trade practice prima facie evidence of intent to injurecompetitor; other rights of action not limited.

NRS 598.0955 Applicabilityof NRS 598.0903 to 598.0999, inclusive.

NRS 598.0957 Directormay delegate powers and duties.

NRS 598.0959 Advisorycommittees: Creation and appointment; membership; compensation.

NRS 598.096 Powersof Director, Commissioner and Attorney General.

NRS 598.0963 Additionalpowers of Attorney General.

NRS 598.0965 Commissioneror Director to provide investigative assistance to Attorney General; legaladvice and guidance by Attorney General.

NRS 598.0966 RevolvingAccount for Consumer Affairs Division: Creation; use; deposits; withdrawals;reimbursement; duties of Commissioner.

NRS 598.0967 Commissionerand Director: Subpoenas; hearings; regulations.

NRS 598.097 Commissioner,Director and Attorney General: Equitable relief.

NRS 598.0971 Ordersfor enforcement: Authority of Commissioner; judicial review and enforcement;civil penalty and equitable relief.

NRS 598.0973 Civilpenalty for engaging in deceptive trade practice directed toward an elderly ordisabled person.

NRS 598.0974 Civilpenalty prohibited under certain circumstances.

NRS 598.0975 Depositand use of money collected pursuant to NRS598.0903 to 598.0999, inclusive.

NRS 598.0977 Civilaction by elderly or disabled person against person who engaged in deceptivetrade practice; remedies.

NRS 598.0979 Restrainingorders; injunctions; assurances of discontinuance.

NRS 598.098 Disclosureof information by Commissioner or Director; regulations.

NRS 598.0983 Actionsby district attorney: Prerequisites.

NRS 598.0985 Actionsby district attorney: Injunctive relief.

NRS 598.0987 Actionsby district attorney: Preliminary notice required before filing; exception.

NRS 598.0989 Actionsby district attorney: Venue; powers of court.

NRS 598.099 Injunctionswithout prior notice.

NRS 598.0993 Relieffor injured persons.

NRS 598.0995 Assurancesof discontinuance.

NRS 598.0997 Serviceof notices.

NRS 598.0999 Civiland criminal penalties for violations.

PYRAMID PROMOTIONAL SCHEMES; ENDLESS CHAINS

NRS 598.100 Definitions.

NRS 598.110 Pyramidpromotional schemes or endless chains are deceptive trade practices.

NRS 598.120 Contractsand agreements voidable by participant.

NRS 598.130 Injunctiverelief; receivership.

SOLICITATIONS FOR OR ON BEHALF OF CHARITABLE ORGANIZATIONS

NRS 598.1305 Prohibitedacts; jurisdiction of Attorney General; violation constitutes deceptive tradepractice.

SALES PROMOTIONS

NRS 598.131 Definitions.

NRS 598.1315 Advertisementdefined.

NRS 598.132 Advertiserdefined.

NRS 598.1325 Advertisingpremium defined.

NRS 598.133 Merchandisedefined.

NRS 598.1335 Saledefined.

NRS 598.134 Salespromotion defined.

NRS 598.135 Scope.

NRS 598.136 Representationthat person has won prize or is winner of contest.

NRS 598.137 Representationthat person has chance to receive prize.

NRS 598.138 Representationthat person has been specially selected.

NRS 598.139 Violationconstitutes deceptive trade practice.

DOOR-TO-DOOR SALES

NRS 598.140 Definitions.

NRS 598.150 Businessday defined.

NRS 598.160 Buyerdefined.

NRS 598.170 Consumergoods or services defined.

NRS 598.180 Door-to-doorsale defined.

NRS 598.200 Placeof business defined.

NRS 598.210 Purchaseprice defined.

NRS 598.220 Sellerdefined.

NRS 598.230 Rightof buyer to rescind contract of sale; notice of rescission.

NRS 598.240 Sellerto furnish buyer copy of receipt or contract; required contents.

NRS 598.250 Sellerto furnish buyer form for notice of cancellation.

NRS 598.260 Penaltyfor cancellation permitted; limitations.

NRS 598.280 Unlawfulacts.

NRS 598.2801 Violationconstitutes deceptive trade practice.

SELLERS OF TRAVEL

General Provisions

NRS 598.305 Definitions.

NRS 598.307 Accountdefined.

NRS 598.315 Commissionerdefined.

NRS 598.317 Consumerdefined.

NRS 598.325 Divisiondefined.

NRS 598.335 Sellerof travel defined.

NRS 598.345 Travelservices defined.

NRS 598.356 Vacationcertificate defined.

NRS 598.361 Sellerto maintain trust account; exception.

NRS 598.365 Sellerto register, deposit security and pay fees before advertising services orconducting business in this State; certificate of registration; renewal ofcertificate.

NRS 598.366 Sellerto include registration number in advertising; form.

NRS 598.367 Sellerto display notice of Recovery Fund; penalty.

 

Recovery Fund

NRS 598.371 Administrationof Fund: Separate accounting; limitations on use.

NRS 598.372 Administrationof Fund: Report to Legislature; employment of persons; interest on money;limitations on balance; regulations.

NRS 598.373 Recoveryfrom Fund: Deadline for complaint; hearing; judgment of court; action byDivision.

NRS 598.374 Recoveryfrom Fund: Eligibility; limitations on payment; subrogation of claim.

 

Security Deposited by Seller

NRS 598.375 Securityrequired for registration: Form; term; amount; records; rejection fornonconformance; change in form; inadequate amount; exception.

NRS 598.385 Rightsand remedies of injured consumers; resolution by Division of claims againstsecurity; regulations.

NRS 598.395 Releaseof security if seller ceases to operate or registration expires.

SIGHTSEEING TOURS

NRS 598.405 Definitions.

NRS 598.416 Advertiseand advertisement defined.

NRS 598.425 Commissionerdefined.

NRS 598.435 Divisiondefined.

NRS 598.445 Sightseeingtour defined.

NRS 598.455 Tourbroker defined.

NRS 598.465 Touroperator defined.

NRS 598.471 Tourbroker and tour operator to register, pay fee and, if applicable, depositsecurity before advertising services or conducting business in this State;certificate of registration; renewal of certificate.

NRS 598.475 Tourbroker and tour operator required to disclose total price in advertisement andprohibited from charging higher amount; notice required on billing invoice;tour broker and tour operator required to honor valid coupon; violationconstitutes deceptive trade practice.

NRS 598.485 Applicabilityof provisions limited to tour brokers and tour operators operating in certaincounties.

NRS 598.495 Securityrequired to be deposited by tour broker and tour operator: Form; term; amount;records; rejection for nonconformance; change in form; inadequate amount.

NRS 598.506 Rightsand remedies of injured consumers; resolution by Division of claims againstsecurity; regulations.

NRS 598.515 Releaseof security if tour broker or tour operator ceases to operate.

NRS 598.525 Regulations.

CREDIT SERVICE ORGANIZATIONS, ORGANIZATIONS FOR BUYING GOODSOR SERVICES AT DISCOUNT, DANCE STUDIOS AND HEALTH CLUBS

General Provisions

NRS 598.701 Definitions.

NRS 598.706 Commissionerdefined.

NRS 598.711 Divisiondefined.

NRS 598.716 Registrantdefined.

NRS 598.721 Registration:Application; fee; deposit of security; certificate of registration; renewal ofcertificate.

NRS 598.726 Securityrequired for registration: Form; term; records; rejection for nonconformance;change in form; inadequate amount.

NRS 598.731 Rightsand remedies of injured consumers; resolution by Division of claims againstsecurity; regulations.

NRS 598.736 Releaseof security if registrant ceases to operate or registration expires.

 

Credit Service Organizations

NRS 598.741 Definitions.

NRS 598.746 Prohibitedacts: Receiving money before complete performance; receiving money for referralto provider of credit; misleading statements; other fraudulent or deceptiveacts.

NRS 598.752 Organizationto register and deposit security before advertising services or conductingbusiness in this State; separate security not required from salesperson, agentor representative of organization; regulations.

NRS 598.757 Organizationto provide buyer certain information in writing.

NRS 598.762 Requirementsof contract for purchase of services; copy of contract must be retained byorganization.

NRS 598.767 Organizationto maintain resident agent for service of legal process.

NRS 598.772 Waiverof statutory rights prohibited; burden of proof upon person claiming exemptionor exception from definition.

NRS 598.777 Buyersaction for recovery of damages or injunctive relief; attorneys fees; punitivedamages.

NRS 598.782 Criminalpenalty.

NRS 598.787 Provisionsand remedies not exclusive; violation constitutes deceptive trade practice.

 

Organizations for Buying Goods or Services at Discount

NRS 598.840 Definitions.

NRS 598.845 Scope.

NRS 598.851 Organizationto register and post security before advertising services or conductingbusiness in this State.

NRS 598.855 Trustaccount required for payments on contracts.

NRS 598.860 Trustaccount required for payments on goods and services.

NRS 598.865 Administrationof trust accounts; audits.

NRS 598.870 Disclosureof information to buyer required before he signs contract or application formembership.

NRS 598.875 Requirementsfor contracts for membership.

NRS 598.880 Limitson contracts for membership.

NRS 598.885 Cancellationof contract by buyer; notice required.

NRS 598.890 Membershipof buyer effective 7 days after contract signed.

NRS 598.895 Refundrequired, if requested, for goods not delivered within 6 weeks.

NRS 598.900 Untrueor misleading statements by organization prohibited; effect on contract.

NRS 598.905 Correctionof violations.

NRS 598.910 Effectof transfer by organization of its obligation to provide goods or services;circumstances under which buyer may rescind contract.

NRS 598.915 Waiverof statutory rights is void.

NRS 598.920 Actionsagainst organization; restitution, treble damages, attorneys fees and costsmay be awarded.

NRS 598.930 Remediesnot exclusive; violation constitutes deceptive trade practice.

 

Dance Studios and Health Clubs

NRS 598.940 Definitions.

NRS 598.9403 Businessday defined.

NRS 598.9405 Buyerdefined.

NRS 598.9407 Commissionerdefined.

NRS 598.941 Dancestudio defined.

NRS 598.9413 Divisiondefined.

NRS 598.9415 Healthclub defined.

NRS 598.9417 Pre-saledefined.

NRS 598.942 Scope.

NRS 598.944 Registrationof dance studio or health club required.

NRS 598.946 Ownerof dance studio or health club to register and deposit security beforeadvertising services or conducting business in this State: Amount of security;adjustment of security; exception from requirement to deposit security.

NRS 598.948 Requirementsfor contract between buyer and dance studio or health club.

NRS 598.950 Cancellationof contract by buyer; notice required.

NRS 598.952 Falseor misleading representations by dance studio or health club prohibited; effecton contract.

NRS 598.954 Rightsof buyer who becomes disabled during term of contract.

NRS 598.956 Rightsof buyer upon closure of dance studio or health club; election of remedies.

NRS 598.958 Rightsof buyer when dance studio or health club transfers its obligations or movesits place of business.

NRS 598.960 Correctionof violations.

NRS 598.962 Waiverof provisions is void.

NRS 598.966 Remedies,duties and prohibitions not exclusive; violation constitutes deceptive tradepractice.

PROVISION OF TELECOMMUNICATIONS SERVICES

NRS 598.968 Definitions.

NRS 598.9682 Providerdefined.

NRS 598.9684 Telecommunicationsservice defined.

NRS 598.969 Prohibitedacts: Changing a customers carrier without timely authorization; failure toprovide timely written notices and confirmations; engaging in other fraudulentor deceptive acts; proposing contract to waive or authorize violations of theprotections of this section.

NRS 598.9691 Regulationsgoverning disclosures made by provider to customer.

NRS 598.9692 Opportunityto freeze interexchange carrier.

NRS 598.9694 Remedies,duties and prohibitions not exclusive; violation constitutes deceptive tradepractice.

REPAIR OF MOTOR VEHICLES

NRS 598.971 Definitions.

NRS 598.975 Departmentdefined.

NRS 598.981 Divisiondefined.

NRS 598.985 Divisionand Department to cooperate to protect persons who authorize repair of motorvehicles.

NRS 598.990 Divisionto establish and maintain toll-free telephone number concerning allegedviolations and develop program to provide certain information to public.

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GENERAL PROVISIONS

NRS 598.0903 Definitions. As used in NRS598.0903 to 598.0999, inclusive,unless the context otherwise requires, the words and terms defined in NRS 598.0905 to 598.0947, inclusive, have the meaningsascribed to them in those sections.

(Added to NRS by 1973, 1482; A 1983, 881; 1985, 1480,2256; 1989, 649; 1993, 1979; 1995, 2174; 1997, 158; 1999, 3334; 2001, 660; 2003, 587; 2005, 1227, 1249)

NRS 598.0905 Advertisementdefined. Advertisement means the attempt bypublication, dissemination, solicitation or circulation to induce, directly orindirectly, any person to enter into any obligation to lease or to acquire anytitle or interest in any property.

(Added to NRS by 1973, 1482; A 1999, 3280)

NRS 598.0907 Certificationmark defined. Certification mark means amark used in connection with the goods or services of a person other than thecertifier to indicate geographic origin, material, mode of manufacture,quality, accuracy or other characteristics of the goods or services or toindicate that the work or labor on the goods or services was performed by membersof a union or other organization.

(Added to NRS by 1973, 1482)(Substituted in revisionfor NRS 598.380)

NRS 598.091 Collectivemark defined. Collective mark means a markused by members of a cooperative, association or other collective group ororganization to identify goods or services and distinguish them from those ofothers, or to indicate membership in the collective group or organization.

(Added to NRS by 1973, 1483)(Substituted in revisionfor NRS 598.390)

NRS 598.0913 Commissionerdefined. Commissioner means the Commissionerof Consumer Affairs.

(Added to NRS by 1973, 1483)(Substituted in revisionfor NRS 598.400)

NRS 598.0915 Deceptivetrade practice defined. A person engages in adeceptive trade practice if, in the course of his business or occupation, he:

1. Knowingly passes off goods or services for sale orlease as those of another person.

2. Knowingly makes a false representation as to thesource, sponsorship, approval or certification of goods or services for sale orlease.

3. Knowingly makes a false representation as toaffiliation, connection, association with or certification by another person.

4. Uses deceptive representations or designations ofgeographic origin in connection with goods or services for sale or lease.

5. Knowingly makes a false representation as to thecharacteristics, ingredients, uses, benefits, alterations or quantities ofgoods or services for sale or lease or a false representation as to thesponsorship, approval, status, affiliation or connection of a person therewith.

6. Represents that goods for sale or lease areoriginal or new if he knows or should know that they are deteriorated, altered,reconditioned, reclaimed, used or secondhand.

7. Represents that goods or services for sale or leaseare of a particular standard, quality or grade, or that such goods are of aparticular style or model, if he knows or should know that they are of anotherstandard, quality, grade, style or model.

8. Disparages the goods, services or business ofanother person by false or misleading representation of fact.

9. Advertises goods or services with intent not tosell or lease them as advertised.

10. Advertises goods or services for sale or leasewith intent not to supply reasonably expectable public demand, unless theadvertisement discloses a limitation of quantity.

11. Advertises goods or services as being availablefree of charge with intent to require payment of undisclosed costs as acondition of receiving the goods or services.

12. Advertises under the guise of obtaining salespersonnel when the purpose is to first sell or lease goods or services to thesales personnel applicant.

13. Makes false or misleading statements of factconcerning the price of goods or services for sale or lease, or the reasonsfor, existence of or amounts of price reductions.

14. Fraudulently alters any contract, written estimateof repair, written statement of charges or other document in connection withthe sale or lease of goods or services.

15. Knowingly makes any other false representation ina transaction.

16. Knowingly falsifies an application for credit relatingto a retail installment transaction, as defined in NRS 97.115.

(Added to NRS by 1973, 1483; A 1983, 881; 1985, 2256;1995, 1094; 1997, 1375; 1999, 3280; 2001, 489, 2149)

NRS 598.0916 Deceptivetrade practice defined. A person engages in adeceptive trade practice when, in the course of his business or occupation,he disseminates an unsolicited prerecorded message to solicit a person topurchase goods or services by telephone and he does not have a preexistingbusiness relationship with the person being called unless a recorded orunrecorded natural voice:

1. Informs the person who answers the telephone callof the nature of the call; and

2. Provides to the person who answers the telephonecall the name, address and telephone number of the business or organization, ifany, represented by the caller.

(Added to NRS by 1999, 3332)

NRS 598.0917 Deceptive trade practice defined. A person engages in a deceptive trade practice when inthe course of his business or occupation he employs bait and switchadvertising, which consists of an offer to sell or lease goods or serviceswhich the seller or lessor in truth may not intend or desire to sell or lease,accompanied by one or more of the following practices:

1. Refusal toshow the goods advertised.

2. Disparagementin any material respect of the advertised goods or services or the terms ofsale or lease.

3. Requiringother sales or other undisclosed conditions to be met before selling or leasingthe advertised goods or services.

4. Refusal totake orders for the sale or lease of goods or services advertised for deliverywithin a reasonable time.

5. Showing ordemonstrating defective goods for sale or lease which are unusable orimpractical for the purposes set forth in the advertisement.

6. Accepting adeposit for the goods or services for sale or lease and subsequently switchingthe purchase order or lease to higher priced goods or services.

7. Tendering a lease of goods advertised for sale or asale of goods advertised for lease or tendering terms of sale or lease lessfavorable than the terms advertised.

(Added to NRS by 1985, 2255; A 1993, 1959; 1999, 3281)

NRS 598.0918 Deceptivetrade practice defined. A person engages in adeceptive trade practice if, during a solicitation by telephone or salespresentation, he:

1. Uses threatening, intimidating, profane or obscenelanguage;

2. Repeatedly or continuously conducts thesolicitation or presentation in a manner that is considered by a reasonableperson to be annoying, abusive or harassing;

3. Solicits a person by telephone at his residencebetween 8 p.m. and 9 a.m.;

4. Blocks or otherwise intentionally circumvents anyservice used to identify the caller when placing an unsolicited telephone call;or

5. Places an unsolicited telephone call that does notallow a service to identify the caller by the telephone number or name of thebusiness, unless such identification is not technically feasible.

(Added to NRS by 2001, 659; A 2003, 2875)

NRS 598.092 Deceptive trade practice defined. A person engages in a deceptive trade practice when inthe course of his business or occupation he:

1. Knowinglyfails to identify goods for sale or lease as being damaged by water.

2. Solicits bytelephone or door to door as a lessor or seller, unless the lessor or selleridentifies himself, whom he represents and the purpose of his call within 30seconds after beginning the conversation.

3. Knowinglystates that services, replacement parts or repairs are needed when no suchservices, replacement parts or repairs are actually needed.

4. Fails tomake delivery of goods or services for sale or lease within a reasonable timeor to make a refund for the goods or services, if he allows refunds.

5. Advertisesor offers an opportunity for investment and:

(a) Representsthat the investment is guaranteed, secured or protected in a manner which heknows or has reason to know is false or misleading;

(b) Representsthat the investment will earn a rate of return which he knows or has reason toknow is false or misleading;

(c) Makes anyuntrue statement of a material fact or omits to state a material fact which isnecessary to make another statement, considering the circumstances under whichit is made, not misleading;

(d) Fails tomaintain adequate records so that an investor may determine how his money isinvested;

(e) Fails toprovide information to an investor after a reasonable request for informationconcerning his investment;

(f) Fails tocomply with any law or regulation for the marketing of securities or otherinvestments; or

(g) Representsthat he is licensed by an agency of the State to sell or offer for saleinvestments or services for investments if he is not so licensed.

6. Charges afee for advice with respect to investment of money and fails to disclose:

(a) That he isselling or offering to lease goods or services and, if he is, their identity;or

(b) That he islicensed by an agency of any state or of the United States to sell or to offer forsale investments or services for investments, or holds any other licenserelated to the service he is providing.

7. Notifiesany person, by any means, as a part of an advertising plan or scheme, that hehas won a prize and that as a condition of receiving the prize he must purchaseor lease goods or services.

8. Knowingly misrepresents the legal rights,obligations or remedies of a party to a transaction.

9. Fails, in a consumer transaction that is rescinded,cancelled or otherwise terminated in accordance with the terms of an agreement,advertisement, representation or provision of law, to promptly restore to aperson entitled to it a deposit, down payment or other payment or, in the caseof property traded in but not available, the agreed value of the property, orfails to cancel within a specified time or an otherwise reasonable time anacquired security interest. This subsection does not apply to a person who isholding a deposit, down payment or other payment on behalf of another if allparties to the transaction have not agreed to the release of the deposit, downpayment or other payment.

10. Fails toinform customers, if he does not allow refunds or exchanges, that he does notallow refunds or exchanges by:

(a) Printing astatement on the face of the lease or sales receipt;

(b) Printing astatement on the face of the price tag; or

(c) Posting inan open and conspicuous place a sign at least 8 by 10 inches in size withboldface letters,

specifyingthat no refunds or exchanges are allowed.

(Added to NRS by 1985, 2256; A 1987, 87; 1993, 1959; 1999, 3281; 2005, 1426)

NRS 598.0921 Deceptivetrade practice defined.

1. A person engages in a deceptive trade practiceif, in the course of his business or occupation:

(a) He issues a gift certificate that expires on acertain date, unless either of the following is printed plainly andconspicuously on the front or back of the gift certificate in at least 10-pointfont and in such a manner that the print is readily visible to the buyer of thegift certificate before the buyer purchases the gift certificate:

(1) The expiration date of the gift certificate;or

(2) A toll-free telephone number accompanied bya statement setting forth that the buyer or holder of the gift certificate maycall the telephone number to obtain the balance of the gift certificate and theexpiration date of the gift certificate;

(b) He imposes upon the buyer or holder of a giftcertificate a service fee, unless each of the following is printed plainly andconspicuously on the front or back of the gift certificate in at least 10-pointfont and in such a manner that the print is readily visible to the buyer of thegift certificate before the buyer purchases the gift certificate:

(1) The amount of the service fee;

(2) The event or events that will cause theservice fee to be imposed;

(3) The frequency with which the service feewill be imposed; and

(4) If the service fee will be imposed on thebasis of inactivity, the duration of inactivity that will cause the service feeto be imposed; or

(c) Regardless of the notice provided, he imposes uponthe buyer or holder of a gift certificate:

(1) A service fee or a combination of servicefees that exceed a total of $1 per month; or

(2) A service fee that commences or is imposedwithin the first 12 months after the issuance of the gift certificate.

2. The provisions of this section do not apply to:

(a) A gift certificate that is issued as part of anaward, loyalty, promotional, rebate, incentive or reward program and for whichissuance the issuer does not receive money or any other thing of value;

(b) A gift certificate that is sold at a reduced priceto an employer or nonprofit or charitable organization, if the expiration dateof the gift certificate is not more than 30 days after the date of sale; and

(c) A gift certificate that is issued by an establishmentlicensed pursuant to the provisions of chapter 463of NRS.

3. As used in this section:

(a) Gift certificate means an instrument or a recordevidencing a promise by the seller or issuer of the instrument or record toprovide goods or services to the holder of the gift certificate for the valueshown in, upon or ascribed to the instrument or record and for which the valueshown in, upon or ascribed to the instrument or record is decreased in anamount equal to the value of goods or services provided by the issuer or sellerto the holder. The term includes, without limitation, a gift card, certificateor similar instrument. The term does not include:

(1) An instrument or record for prepaidtelecommunications or technology services, including, without limitation, acard for prepaid telephone services, a card for prepaid technical supportservices and an instrument for prepaid Internet service purchased or otherwisedistributed to a consumer of such services, including, without limitation, as partof an award, loyalty, promotional or reward program; or

(2) An instrument or record, by whatever namecalled, that may be used to obtain goods or services from more than one personor business entity, if the expiration date is printed plainly and conspicuouslyon the front or back of the instrument or record.

(b) Issue means to sell or otherwise provide a giftcertificate to any person and includes, without limitation, adding value to anexisting gift certificate.

(c) Record means information which is inscribed on atangible medium or which is stored in an electronic or other medium, including,without limitation, information stored on a microprocessor chip or magneticstrip, and is retrievable in perceivable form.

(d) Service fee means any charge or fee other thanthe charge or fee imposed for the issuance of the gift certificate, including,without limitation, a service fee imposed on the basis of inactivity or anyother type of charge or fee imposed after the sale of the gift certificate.

(Added to NRS by 2005, 1226)

NRS 598.0923 Deceptivetrade practice defined. A person engages in adeceptive trade practice when in the course of his business or occupation heknowingly:

1. Conducts the business or occupation without allrequired state, county or city licenses.

2. Fails to disclose a material fact in connection withthe sale or lease of goods or services.

3. Violates a state or federal statute or regulationrelating to the sale or lease of goods or services.

4. Uses coercion, duress or intimidation in atransaction.

(Added to NRS by 1985, 2256; A 1999, 3282)

NRS 598.0925 Deceptivetrade practice defined.

1. Except as otherwise provided in this section, aperson engages in a deceptive trade practice when, in the course of hisbusiness or occupation, he:

(a) Makes an assertion of scientific, clinical orquantifiable fact in an advertisement which would cause a reasonable person tobelieve that the assertion is true, unless, at the time the assertion is made,the person making it has possession of factually objective scientific, clinicalor quantifiable evidence which substantiates the assertion; or

(b) Fails upon request of the Commissioner or AttorneyGeneral to produce within 6 working days the substantiating evidence in hispossession at the time the assertion of scientific, clinical or quantifiablefact was made.

2. This section does not apply to general assertionsof opinion as to quality, value or condition made without the intent to misleadanother person.

(Added to NRS by 1989, 649; A 1997, 3195)

NRS 598.0927 Directordefined. Director means the Director of theDepartment of Business and Industry.

(Added to NRS by 1983, 881; A 1993,1799)(Substituted in revision for NRS 598.415)

NRS 598.093 Disabledperson defined. Disabled person means a personwho:

1. Has a physical or mental impairment thatsubstantially limits one or more of the major life activities of the person;

2. Has a record of such an impairment; or

3. Is regarded as having such an impairment.

(Added to NRS by 1993, 1978)

NRS 598.0933 Elderlyperson defined. Elderly person means aperson who is 60 years of age or older.

(Added to NRS by 1993, 1978; A 2003, 2569)

NRS 598.0934 Goodsdefined. Goods includes, without limitation,a mobile or manufactured home which:

1. Is not affixed to land; or

2. Is affixed to land and sold, leased or offered forsale or lease separately from the land to which it is affixed.

(Added to NRS by 2003, 587)

NRS 598.0935 Markdefined. Mark means a word, name, symbol, deviceor any combination of the foregoing in any form or arrangement.

(Added to NRS by 1973, 1484)(Substituted in revisionfor NRS 598.420)

NRS 598.0937 Propertydefined. Property means any real or personalproperty, or both real and personal property, intangible property or services.

(Added to NRS by 1973, 1484)(Substituted in revisionfor NRS 598.440)

NRS 598.094 Saledefined. Sale includes any sale, offer forsale or attempt to sell any property for any consideration.

(Added to NRS by 1973, 1484)(Substituted in revisionfor NRS 598.450)

NRS 598.0943 Servicemark defined. Service mark means a markused by a person to identify services and to distinguish them from the servicesof others.

(Added to NRS by 1973, 1484)(Substituted in revisionfor NRS 598.460)

NRS 598.0945 Trademarkdefined. Trademark means a mark used by aperson to identify goods and to distinguish them from the goods of others.

(Added to NRS by 1973, 1484)(Substituted in revisionfor NRS 598.470)

NRS 598.0947 Tradename defined. Trade name means a word, name,symbol, device or any combination of the foregoing in any form or arrangementused by a person to identify his business or occupation, and to distinguish itfrom the business or occupation of others.

(Added to NRS by 1973, 1484)(Substituted in revisionfor NRS 598.480)

NRS 598.0953 Engagingin deceptive trade practice prima facie evidence of intent to injurecompetitor; other rights of action not limited.

1. Evidence that a person has engaged in a deceptivetrade practice is prima facie evidence of intent to injure competitors and todestroy or substantially lessen competition.

2. The deceptive trade practices listed in NRS 598.0915 to 598.0925, inclusive, are in addition toand do not limit the types of unfair trade practices actionable at common lawor defined as such in other statutes of this state.

(Added to NRS by 1973, 1484; A 1985, 2258; 1989,649)(Substituted in revision for NRS 598.490)

NRS 598.0955 Applicabilityof NRS598.0903 to 598.0999, inclusive.

1. The provisions of NRS 598.0903 to 598.0999, inclusive, do not apply to:

(a) Conduct in compliance with the orders or rules of,or a statute administered by, a federal, state or local governmental agency.

(b) Publishers, including outdoor advertising media,advertising agencies, broadcasters or printers engaged in the dissemination ofinformation or reproduction of printed or pictorial matter who publish,broadcast or reproduce material without knowledge of its deceptive character.

(c) Actions or appeals pending on July 1, 1973.

2. The provisions of NRS 598.0903 to 598.0999, inclusive, do not apply to theuse by a person of any service mark, trademark, certification mark, collectivemark, trade name or other trade identification which was used and not abandonedprior to July 1, 1973, if the use was in good faith and is otherwise lawfulexcept for the provisions of NRS 598.0903to 598.0999, inclusive.

(Added to NRS by 1973, 1484; A 2005, 1227)

NRS 598.0957 Directormay delegate powers and duties. The Directormay, in one or more particular cases, delegate his powers and duties under theprovisions of NRS 598.0903 to 598.0999, inclusive, to any person underhis direct supervision and direction.

(Added to NRS by 1983, 881)(Substituted in revisionfor NRS 598.505)

NRS 598.0959 Advisorycommittees: Creation and appointment; membership; compensation. The Commissioner and Director may, independently, createand appoint advisory committees whenever necessary to advise them in the performanceof their powers and duties pursuant to NRS598.0903 to 598.0999, inclusive.Any such committee must be created by a regulation adopted in accordance withthe provisions of chapter 233B of NRS. Theregulation must specify:

1. The membership of the committee;

2. The duties of the committee and the purpose forwhich it is created;

3. The period of existence of the committee; and

4. The rules for the governance of the committee.

Themembership of the committee must include a member who is a representative ofany business or industry which may be affected by any advice provided by thecommittee. The members of an advisory committee created pursuant to thissection serve without compensation unless an appropriation or other money forthat purpose is provided by the Legislature.

(Added to NRS by 1995, 2173)

NRS 598.096 Powersof Director, Commissioner and Attorney General. Whenthe Commissioner, Director or Attorney General has cause to believe that anyperson has engaged or is engaging in any deceptive trade practice, he may:

1. Request the person to file a statement or report inwriting under oath or otherwise, on such forms as may be prescribed by theCommissioner, Director or Attorney General, as to all facts and circumstancesconcerning the sale or advertisement of property by the person, and such other dataand information as the Commissioner, Director or Attorney General may deemnecessary.

2. Examine under oath any person in connection withthe sale or advertisement of any property.

3. Examine any property or sample thereof, record,book, document, account or paper as he may deem necessary.

4. Make true copies, at the expense of the ConsumerAffairs Division of the Department of Business and Industry, of any record,book, document, account or paper examined pursuant to subsection 3, whichcopies may be offered into evidence in lieu of the originals thereof in actionsbrought pursuant to NRS 598.097 and 598.0979.

5. Pursuant to an order of any district court, impoundany sample of property which is material to the deceptive trade practice andretain the property in his possession until completion of all proceedings asprovided in NRS 598.0903 to 598.0999, inclusive. An order may not beissued pursuant to this subsection unless:

(a) The Commissioner, Director or Attorney General, andthe court give the accused full opportunity to be heard; and

(b) The Commissioner, Director or Attorney Generalproves by clear and convincing evidence that the business activities of theaccused will not be impaired thereby.

(Added to NRS by 1973, 1485; A 1983, 883; 1993, 1799;1997, 3195)

NRS 598.0963 Additionalpowers of Attorney General.

1. Whenever the Attorney General is requested inwriting by the Commissioner or the Director to represent him in instituting alegal proceeding against a person who has engaged or is engaging in a deceptivetrade practice, the Attorney General may bring an action in the name of theState of Nevada against that person on behalf of the Commissioner or Director.

2. The Attorney General may institute criminalproceedings to enforce the provisions of NRS598.0903 to 598.0999, inclusive.The Attorney General is not required to obtain leave of the court beforeinstituting criminal proceedings pursuant to this subsection.

3. If the Attorney General has reason to believe thata person has engaged or is engaging in a deceptive trade practice, the AttorneyGeneral may bring an action in the name of the State of Nevada against thatperson to obtain a temporary restraining order, a preliminary or permanentinjunction, or other appropriate relief.

4. If the Attorney General has cause to believe that aperson has engaged or is engaging in a deceptive trade practice, the AttorneyGeneral may issue a subpoena to require the testimony of any person or theproduction of any documents, and may administer an oath or affirmation to anyperson providing such testimony. The subpoena must be served upon the person inthe manner required for service of process in this state or by certified mailwith return receipt requested. An employee of the Attorney General maypersonally serve the subpoena.

(Added to NRS by 1985, 1479; A 1993, 2095; 1997,3195)

NRS 598.0965 Commissioneror Director to provide investigative assistance to Attorney General; legaladvice and guidance by Attorney General.

1. Within the limits of legislative appropriation andthe availability of personnel, the Commissioner or Director shall provideinvestigative assistance, including the identification and use of relevantevidence in his possession, necessary for litigation referred to the AttorneyGeneral pursuant to NRS 598.0963 or 598.0979. The Attorney General shallprovide legal advice and guidance to the Commissioner or Director in carryingout his powers and duties pursuant to NRS598.0903 to 598.0999, inclusive,including the investigation of any alleged violation of those sections and thepreparation for litigation.

2. Upon written request by the Attorney General, theCommissioner or Director may provide any investigative assistance, includingevidence and information in his possession, for use in any action brought bythe Attorney General pursuant to subsection 3 of NRS 598.0963. No request for assistancemay be unreasonably denied.

(Added to NRS by 1985, 1480)(Substituted in revisionfor NRS 598.514)

NRS 598.0966 RevolvingAccount for Consumer Affairs Division: Creation; use; deposits; withdrawals;reimbursement; duties of Commissioner.

1. There is hereby created a Revolving Account for theConsumer Affairs Division of the Department of Business and Industry in the sumof $7,500, which must be used for the payment of expenses related to conductingan undercover investigation of a person who is allegedly engaging in adeceptive trade practice.

2. The Commissioner shall deposit the money in theRevolving Account in a bank or credit union qualified to receive deposits ofpublic money as provided by law, and the deposit must be secured by adepository bond satisfactory to the State Board of Examiners.

3. The Commissioner or his designee may:

(a) Sign all checks drawn upon the Revolving Account;and

(b) Make withdrawals of cash from the RevolvingAccount.

4. Payments made from the Revolving Account must bepromptly reimbursed from the legislative appropriation, if any, to the ConsumerAffairs Division for the expenses related to conducting an undercoverinvestigation of a person who is allegedly engaging in a deceptive tradepractice. The claim for reimbursement must be processed and paid as otherclaims against the State are paid.

5. The Commissioner shall:

(a) Approve any disbursement from the RevolvingAccount; and

(b) Maintain records of any such disbursement.

(Added to NRS by 1997, 157; A 1999, 1516)

NRS 598.0967 Commissionerand Director: Subpoenas; hearings; regulations.

1. The Commissioner and the Director, in addition toother powers conferred upon them by NRS598.0903 to 598.0999, inclusive,may issue subpoenas to require the attendance of witnesses or the production ofdocuments, conduct hearings in aid of any investigation or inquiry andprescribe such forms and adopt such regulations as may be necessary toadminister the provisions of NRS 598.0903to 598.0999, inclusive. Suchregulations may include, without limitation, provisions concerning theapplicability of the provisions of NRS598.0903 to 598.0999, inclusive, toparticular persons or circumstances.

2. Service of any notice or subpoena must be made asprovided in N.R.C.P. 45(c).

(Added to NRS by 1973, 1485; A 1981, 95; 1983, 883;1995, 2174; 2005,1227)

NRS 598.097 Commissioner,Director and Attorney General: Equitable relief. Ifany person fails to cooperate with any investigation, as provided in NRS 598.096, or if any person fails to obeya subpoena issued by the Commissioner, Director or Attorney General pursuant toNRS 598.0963 or 598.0967, the Commissioner, Director orAttorney General may apply to any district court for equitable relief. Theapplication must state reasonable grounds showing that the relief is necessaryto terminate or prevent a deceptive trade practice. If the court is satisfiedof the reasonable grounds, the court may:

1. Grant injunctive relief restraining the sale oradvertisement of any property by the person.

2. Require the attendance of or the production ofdocuments by the person, or both.

3. Grant other relief necessary to compel complianceby the person.

(Added to NRS by 1973, 1485; A 1983, 883; 1997, 3196)

NRS 598.0971 Ordersfor enforcement: Authority of Commissioner; judicial review and enforcement;civil penalty and equitable relief.

1. If, after an investigation, the Commissioner hasreasonable cause to believe that any person has been engaged or is engaging inany deceptive trade practice in violation of NRS598.0903 to 598.0999, inclusive,the Commissioner may issue an order directed to the person to show cause whythe Commissioner should not order the person to cease and desist from engagingin the practice. The order must contain a statement of the charges and a noticeof a hearing to be held thereon. The order must be served upon the persondirectly or by certified or registered mail, return receipt requested.

2. If, after conducting a hearing pursuant to theprovisions of subsection 1, the Commissioner determines that the person hasviolated any of the provisions of NRS598.0903 to 598.0999, inclusive, orif the person fails to appear for the hearing after being properly served withthe statement of charges and notice of hearing, the Commissioner may make awritten report of his findings of fact concerning the violation and cause to beserved a copy thereof upon the person and any intervener at the hearing. If theCommissioner determines in the report that such a violation has occurred, hemay order the violator to:

(a) Cease and desist from engaging in the practice orother activity constituting the violation;

(b) Pay the costs of conducting the investigation,costs of conducting the hearing, costs of reporting services, fees for expertsand other witnesses, charges for the rental of a hearing room if such a room isnot available to the Commissioner free of charge, charges for providing anindependent hearing officer, if any, and charges incurred for any service ofprocess, if the violator is adjudicated to have committed a violation of NRS 598.0903 to 598.0999, inclusive; and

(c) Provide restitution for any money or propertyimproperly received or obtained as a result of the violation.

The ordermust be served upon the person directly or by certified or registered mail,return receipt requested. The order becomes effective upon service in the mannerprovided in this subsection.

3. Any person whose pecuniary interests are directlyand immediately affected by an order issued pursuant to subsection 2 or who isaggrieved by the order may petition for judicial review in the manner providedin chapter 233B of NRS. Such a petition mustbe filed within 30 days after the service of the order. The order becomes finalupon the filing of the petition.

4. If a person fails to comply with any provision ofan order issued pursuant to subsection 2, the Commissioner may, through theAttorney General, at any time after 30 days after the service of the order,cause an action to be instituted in the district court of the county wherein theperson resides or has his principal place of business requesting the court toenforce the provisions of the order or to provide any other appropriateinjunctive relief.

5. If the court finds that:

(a) The violation complained of is a deceptive tradepractice;

(b) The proceedings by the Commissioner concerning thewritten report and any order issued pursuant to subsection 2 are in theinterest of the public; and

(c) The findings of the Commissioner are supported bythe weight of the evidence,

the courtshall issue an order enforcing the provisions of the order of the Commissioner.

6. Except as otherwise provided in NRS 598.0974, an order issued pursuant tosubsection 5 may include:

(a) A provision requiring the payment to theCommissioner of a penalty of not more than $5,000 for each act amounting to afailure to comply with the Commissioners order; or

(b) Such injunctive or other equitable or extraordinaryrelief as is determined appropriate by the court.

7. Any aggrieved party may appeal from the finaljudgment, order or decree of the court in a like manner as provided for appealsin civil cases.

8. Upon the violation of any judgment, order or decreeissued pursuant to subsection 5 or 6, the Commissioner, after a hearingthereon, may proceed in accordance with the provisions of NRS 598.0999.

(Added to NRS by 1995, 2173; A 2005, 1228, 1249, 1427)

NRS 598.0973 Civilpenalty for engaging in deceptive trade practice directed toward an elderly ordisabled person.

1. Except as otherwise provided in NRS 598.0974, in any action brought pursuantto NRS 598.0979 to 598.099, inclusive, if the court finds thata person has engaged in a deceptive trade practice directed toward an elderlyor disabled person, the court may, in addition to any other civil or criminalpenalty, impose a civil penalty of not more than $12,500 for each violation.

2. In determining whether to impose a civil penaltypursuant to subsection 1, the court shall consider whether:

(a) The conduct of the person was in disregard of therights of the elderly or disabled person;

(b) The person knew or should have known that hisconduct was directed toward an elderly or disabled person;

(c) The elderly or disabled person was more vulnerableto the conduct of the person because of the age, health, infirmity, impairedunderstanding, restricted mobility or disability of the elderly or disabledperson;

(d) The conduct of the person caused the elderly ordisabled person to suffer actual and substantial physical, emotional oreconomic damage;

(e) The conduct of the person caused the elderly ordisabled person to suffer:

(1) Mental or emotional anguish;

(2) The loss of the primary residence of theelderly or disabled person;

(3) The loss of the principal employment orsource of income of the elderly or disabled person;

(4) The loss of money received from a pension,retirement plan or governmental program;

(5) The loss of property that had been set asidefor retirement or for personal or family care and maintenance;

(6) The loss of assets which are essential tothe health and welfare of the elderly or disabled person; or

(7) Any other interference with the economicwell-being of the elderly or disabled person, including the encumbrance of hisprimary residence or principal source of income; or

(f) Any other factors that the court deems to beappropriate.

(Added to NRS by 1993, 1978; A 2005, 1251, 1428)

NRS 598.0974 Civilpenalty prohibited under certain circumstances. Acivil penalty must not be imposed against any person who engages in a deceptivetrade practice pursuant to NRS 598.0903to 598.0999, inclusive, in a civilproceeding brought by the Commissioner, Director or Attorney General if a finehas previously been imposed against that person by the Department of MotorVehicles pursuant to NRS 482.554, forthe same act.

(Added to NRS by 2005, 1249)

NRS 598.0975 Depositand use of money collected pursuant to NRS 598.0903 to 598.0999,inclusive.

1. Except as otherwise provided in subsection 1 of NRS 598.0999 and subsection 3, all fees,civil penalties and any other money collected pursuant to the provisions of NRS 598.0903 to 598.0999, inclusive:

(a) In an action brought by the Attorney General,Commissioner or Director, must be deposited in the State General Fund and mayonly be used to offset the costs of administering and enforcing the provisionsof NRS 598.0903 to 598.0999, inclusive.

(b) In an action brought by the district attorney of acounty, must be deposited with the county treasurer of that county and accountedfor separately in the county general fund.

2. Money in the account created pursuant to paragraph(b) of subsection 1 must be used by the district attorney of the county for:

(a) The investigation and prosecution of deceptivetrade practices against elderly or disabled persons; and

(b) Programs for the education of consumers which aredirected toward elderly or disabled persons, law enforcement officers, membersof the judicial system, persons who provide social services and the generalpublic.

3. The provisions of this section do not apply to:

(a) Criminal fines imposed pursuant to NRS 598.0903 to 598.0999, inclusive; or

(b) Restitution ordered pursuant to NRS 598.0903 to 598.0999, inclusive, in an action broughtby the Attorney General. Money collected for restitution ordered in such anaction must be deposited by the Attorney General and credited to the appropriateaccount of the Consumer Affairs Division of the Department of Business andIndustry or the Attorney General for distribution to the person for whom therestitution was ordered.

(Added to NRS by 1993, 1979; A 1995, 930; 2001, 2928)

NRS 598.0977 Civilaction by elderly or disabled person against person who engaged in deceptivetrade practice; remedies. If an elderly ordisabled person suffers damage or injury as a result of a deceptive tradepractice, he or his legal representative, if any, may commence a civil actionagainst any person who engaged in the practice to recover the actual damagessuffered by the elderly or disabled person, punitive damages, if appropriate,and reasonable attorneys fees. The collection of any restitution awardedpursuant to this section has a priority over the collection of any civilpenalty imposed pursuant to NRS 598.0973.

(Added to NRS by 1993, 1979)

NRS 598.0979 Restrainingorders; injunctions; assurances of discontinuance.

1. Notwithstanding the requirement of knowledge as anelement of a deceptive trade practice, when the Commissioner or Director hascause to believe that a person has engaged or is engaging in any deceptivetrade practice, knowingly or otherwise, he may request in writing that theAttorney General represent him in instituting an appropriate legal proceeding,including, without limitation, an application for an injunction or temporaryrestraining order prohibiting the person from continuing the practices. Thecourt may make orders or judgments necessary to prevent the use by the personof any such deceptive trade practice or to restore to any other person anymoney or property which may have been acquired by the deceptive trade practice.

2. Where the Commissioner or Director has theauthority to institute a civil action or other proceeding, in lieu thereof oras a part thereof, he may accept an assurance of discontinuance of any deceptivetrade practice. This assurance may include a stipulation for the payment by thealleged violator of:

(a) The costs of investigation and the costs ofinstituting the action or proceeding;

(b) Any amount of money which he may be required to paypursuant to the provisions of NRS 598.0971in lieu of any administrative fine; and

(c) The restitution of any money or property acquiredby any deceptive trade practice.

Except asotherwise provided in this subsection, any assurance of discontinuance acceptedby the Commissioner or Director and any stipulation filed with the court isconfidential to the parties to the action or proceeding and to the court andits employees. Upon final judgment by the court that an injunction or atemporary restraining order, issued as provided in subsection 1 of thissection, has been violated, an assurance of discontinuance has been violated ora person has engaged in the same deceptive trade practice as had previouslybeen enjoined, the assurance of discontinuance or stipulation becomes a publicrecord. Proof by a preponderance of the evidence of a violation of an assuranceconstitutes prima facie evidence of a deceptive trade practice for the purposeof any civil action or proceeding brought thereafter by the Commissioner orDirector, whether a new action or a subsequent motion or petition in anypending action or proceeding.

(Added to NRS by 1973, 1485; A 1983, 884; 1985, 1480,2258; 1995, 2175)

NRS 598.098 Disclosureof information by Commissioner or Director; regulations.

1. NRS 598.0903to 598.0999, inclusive, do not prohibitthe Commissioner or Director from disclosing to the Attorney General, anydistrict attorney or any law enforcement officer the fact that a crime has beencommitted by any person, if this fact has become known as a result of anyinvestigation conducted pursuant to the provisions of NRS 598.0903 to 598.0999, inclusive.

2. Subject to the provisions of subsection 2 of NRS 598.0979 and except as otherwiseprovided in this section, the Commissioner or Director may not make public thename of any person alleged to have committed a deceptive trade practice. Thissubsection does not:

(a) Prevent the Commissioner or Director from issuingpublic statements describing or warning of any course of conduct whichconstitutes a deceptive trade practice.

(b) Apply to a person who is subject to an order issuedpursuant to subsection 5 of NRS 598.0971.

3. Upon request, the Commissioner may:

(a) Disclose the number of written complaints receivedby the Commissioner during the current and immediately preceding 3 fiscalyears. A disclosure made pursuant to this paragraph must include thedisposition of the complaint disclosed.

(b) Make public any order to cease and desist issuedpursuant to subsection 5 of NRS 598.0971.

Thissubsection does not authorize the Commissioner to disclose or make public thecontents of any complaint described in paragraph (a) or the record of or anyother information concerning a hearing conducted in relation to the issuance ofan order to cease and desist described in paragraph (b).

4. The Commissioner may adopt regulations authorizingthe disclosure of information concerning any complaint or number of complaintsreceived by the Commissioner or Director relating to a person who has beenconvicted of violating a provision of NRS598.0903 to 598.0999, inclusive.

(Added to NRS by 1973, 1486; A 1983, 884; 1985, 1481;1995, 2175; 2005,1429)

NRS 598.0983 Actionsby district attorney: Prerequisites.

1. Before instituting any action pursuant to NRS 598.0985 to 598.0997, inclusive, the district attorneyshall ascertain whether or not the action in question is subject to theregulatory authority of any state agency, board, official or other authorityestablished by virtue of the Nevada Revised Statutes except the regulatory oradministrative authority provided to the Commissioner, Director or AttorneyGeneral by NRS 598.0903 to 598.0999, inclusive.

2. If the action is subject to such regulatoryauthority or any regulation adopted or any statutes administered by any stateregulatory agency, board, official or other authority as provided in subsection1, the district attorney shall not institute any proceeding under NRS 598.0985 to 598.0997, inclusive, until the stateagency, board, official or other state regulatory authority has had reasonabletime to investigate or take any appropriate action with respect to the allegedfacts.

3. For the purposes of this section, a reasonable timehas elapsed if no final action or other disposition is made of any matterotherwise falling within the provisions of NRS598.0903 to 598.0999, inclusive,within 30 days after the matter is referred to or brought to the attention ofany state agency, board, official or other regulatory authority except theCommissioner, Director or Attorney General.

4. This section does not prohibit the districtattorney of any county from filing an action pursuant to the provisions of NRS 598.0985 to 598.099, inclusive, if the referral of anymatters subject to the provisions of NRS598.0903 to 598.0999, inclusive, toany state agency, board, official or other regulatory authority would causeimmediate harm to the public of this state or endanger the public health,safety or welfare, and such facts are shown by affidavit or by verifiedcomplaint.

(Added to NRS by 1973, 1486; A 1983, 885; 1985,1481)(Substituted in revision for NRS 598.560)

NRS 598.0985 Actionsby district attorney: Injunctive relief. Notwithstandingthe requirement of knowledge as an element of a deceptive trade practice, andnotwithstanding the enforcement powers granted to the Commissioner or Directorpursuant to NRS 598.0903 to 598.0999, inclusive, whenever the districtattorney of any county has reason to believe that any person is using, has usedor is about to use any deceptive trade practice, knowingly or otherwise, he maybring an action in the name of the State of Nevada against that person to obtaina temporary or permanent injunction against the deceptive trade practice.

(Added to NRS by 1973, 1487; A 1983, 885; 1985,2259)(Substituted in revision for NRS 598.570)

NRS 598.0987 Actionsby district attorney: Preliminary notice required before filing; exception. Except as otherwise provided in NRS 598.099, appropriate notice must begiven by the district attorney to any person against whom an action is broughtpursuant to NRS 598.0985. Such noticemust state generally the relief sought and be served in accordance with NRS 598.0997 at least 10 days prior to thefiling of the action.

(Added to NRS by 1973, 1487)(Substituted in revisionfor NRS 598.580)

NRS 598.0989 Actionsby district attorney: Venue; powers of court. Anyaction brought pursuant to NRS 598.0963or 598.0977 to 598.099, inclusive, may be brought:

1. In a district court in the county in which thedefendant resides or has his principal place of business;

2. In the district court in Carson City if the partiesconsent thereto; or

3. In the district court in any county where adeceptive trade practice has occurred.

Any court inwhich an action is brought pursuant to those sections may issue any temporaryor permanent injunction in accordance with the Nevada Rules of Civil Procedureto restrain and prevent any violation of any provisions of NRS 598.0903 to 598.0999, inclusive, and such injunctionsmust be issued without bond.

(Added to NRS by 1973, 1487; A 1985,1482)(Substituted in revision for NRS 598.590)

NRS 598.099 Injunctionswithout prior notice. Whenever the district attorneyor the Attorney General has reason to believe that the delay caused by complyingwith the notice requirement of NRS 598.0987or the requirements of subsection 3 of NRS598.0963 would cause immediate harm to the public of this state or endangerthe public welfare, he may immediately institute an action for injunctiverelief, including a request for a temporary restraining order, upon proof ofspecific facts shown by affidavit or by verified complaint or otherwise thatsuch immediate harm will be or is likely to be caused by the delay. TheAttorney General shall give written notice of the filing by him of such anaction to the Commissioner or Director. The Nevada Rules of Civil Procedurepertaining to the issuance of temporary restraining orders govern all actionsinstituted pursuant to this section.

(Added to NRS by 1973, 1487; A 1985,1482)(Substituted in revision for NRS 598.600)

NRS 598.0993 Relieffor injured persons. The court in which anaction is brought pursuant to NRS 598.0979and 598.0985 to 598.099, inclusive, may make suchadditional orders or judgments as may be necessary to restore to any person ininterest any money or property, real or personal, which may have been acquiredby means of any deceptive trade practice which violates any of the provisionsof NRS 598.0903 to 598.0999, inclusive, but such additionalorders or judgments may be entered only after a final determination has beenmade that a deceptive trade practice has occurred.

(Added to NRS by 1973, 1487)(Substituted in revisionfor NRS 598.610)

NRS 598.0995 Assurancesof discontinuance.

1. In proceeding pursuant to subsection 3 of NRS 598.0963 or NRS 598.0987 to 598.0995, inclusive, the district attorneyor Attorney General may accept an assurance of discontinuance with respect toany method, act or practice deemed to be a deceptive trade practice from anyperson who is engaged or is about to engage in the method, act or practice byfollowing the procedures set forth in subsection 2 of NRS 598.0979.

2. Any assurance made pursuant to subsection 1 must bein writing and must be filed with and subject to the approval of the districtcourt in the county in which the alleged violator resides or has his principalplace of business, or the district court in any county where any deceptivetrade practice has occurred or is about to occur or the district court agreedto by the parties.

3. An assurance of discontinuance made pursuant tosubsections 1 and 2 is not an admission of violation for any purpose, but issubject to the terms, limitations and conditions of NRS 598.0979.

(Added to NRS by 1973, 1488; A 1985, 1482,2259)(Substituted in revision for NRS 598.620)

NRS 598.0997 Serviceof notices. Service of any notice under NRS 598.0985 to 598.0995, inclusive, shall be made bypersonal service within the State of Nevada, but if such service cannot beobtained, substituted service therefor may be made in any of the followingways:

1. Personal service thereof outside the State ofNevada;

2. The mailing thereof by registered or certified mailto the last known place of business, residence or both, whether inside oroutside the State of Nevada, of such person for whom the notice is intended, inwhich event such service shall be deemed complete upon the third day followingthe mailing of any notice required under this section;

3. As to any person other than a natural person,service shall be in the manner provided in the Nevada Rules of Civil Procedurefor completing service of process on such a person, corporation, association ororganization; or

4. Such service as any district court may direct inlieu of personal service within the State of Nevada.

(Added to NRS by 1973, 1488)(Substituted in revisionfor NRS 598.630)

NRS 598.0999 Civiland criminal penalties for violations.

1. Except as otherwise provided in NRS 598.0974, a person who violates acourt order or injunction issued pursuant to the provisions of NRS 598.0903 to 598.0999, inclusive, upon a complaintbrought by the Commissioner, the Director, the district attorney of any countyof this State or the Attorney General shall forfeit and pay to the StateGeneral Fund a civil penalty of not more than $10,000 for each violation. Forthe purpose of this section, the court issuing the order or injunction retainsjurisdiction over the action or proceeding. Such civil penalties are inaddition to any other penalty or remedy available for the enforcement of theprovisions of NRS 598.0903 to 598.0999, inclusive.

2. Except as otherwise provided in NRS 598.0974, in any action brought pursuantto the provisions of NRS 598.0903 to 598.0999, inclusive, if the court findsthat a person has willfully engaged in a deceptive trade practice, theCommissioner, the Director, the district attorney of any county in this Stateor the Attorney General bringing the action may recover a civil penalty not toexceed $5,000 for each violation. The court in any such action may, in additionto any other relief or reimbursement, award reasonable attorneys fees andcosts.

3. A natural person, firm, or any officer or managingagent of any corporation or association who knowingly and willfully engages ina deceptive trade practice:

(a) For the first offense, is guilty of a misdemeanor.

(b) For the second offense, is guilty of a grossmisdemeanor.

(c) For the third and all subsequent offenses, isguilty of a category D felony and shall be punished as provided in NRS 193.130.

The courtmay require the natural person, firm, or officer or managing agent of thecorporation or association to pay to the aggrieved party damages on all profitsderived from the knowing and willful engagement in a deceptive trade practiceand treble damages on all damages suffered by reason of the deceptive tradepractice.

4. Any offense which occurred within 10 yearsimmediately preceding the date of the principal offense or after the principaloffense constitutes a prior offense for the purposes of subsection 3 whenevidenced by a conviction, without regard to the sequence of the offenses andconvictions.

5. If a person violates any provision of NRS 598.0903 to 598.0999, inclusive, 598.100 to 598.2801, inclusive, 598.305 to 598.395, inclusive, 598.405 to 598.525, inclusive, 598.741 to 598.787, inclusive, or 598.840 to 598.966, inclusive, fails to comply with ajudgment or order of any court in this State concerning a violation of such aprovision, or fails to comply with an assurance of discontinuance or otheragreement concerning an alleged violation of such a provision, the Commissioneror the district attorney of any county may bring an action in the name of theState of Nevada seeking:

(a) The suspension of the persons privilege to conductbusiness within this State; or

(b) If the defendant is a corporation, dissolution ofthe corporation.

The courtmay grant or deny the relief sought or may order other appropriate relief.

6. If a person violates any provision of NRS 228.500 to 228.640, inclusive, fails to comply with ajudgment or order of any court in this State concerning a violation of such aprovision, or fails to comply with an assurance of discontinuance or otheragreement concerning an alleged violation of such a provision, the AttorneyGeneral may bring an action in the name of the State of Nevada seeking:

(a) The suspension of the persons privilege to conductbusiness within this State; or

(b) If the defendant is a corporation, dissolution ofthe corporation.

The courtmay grant or deny the relief sought or may order other appropriate relief.

(Added to NRS by 1973, 1488; A 1983, 885; 1985, 1483,2255, 2260; 1993, 1957; 1995, 1306, 2176; 1997, 603; 1999, 3334; 2001, 482, 660, 982, 2150; 2003, 1824, 2875, 2887; 2005, 1229, 1251, 1430)

PYRAMID PROMOTIONAL SCHEMES; ENDLESS CHAINS

NRS 598.100 Definitions. For the purposes of NRS598.100 to 598.130, inclusive:

1. Compensation does not mean payment based on salesof goods or services to persons who are not participants in a pyramidpromotional scheme or endless chain and who are not purchasing in order toparticipate in such a program.

2. Promotes means inducing one or more other personsto become a participant in a pyramid promotional scheme or endless chain.

3. A pyramid promotional scheme means any program orplan for the disposal or distribution of property and merchandise or propertyor merchandise by which a participant gives or pays a valuable considerationfor the opportunity or chance to receive any compensation or thing of value inreturn for procuring or obtaining one or more additional persons to participatein the program, or for the opportunity to receive compensation of any kind whena person introduced to the program or plan by the participant procures orobtains a new participant in such a program.

(Added to NRS by 1971, 666; A 1985, 530)

NRS 598.110 Pyramidpromotional schemes or endless chains are deceptive trade practices. Every person who contrives, prepares, sets up, proposes, operates,advertises or promotes any pyramid promotional scheme or endless chain commitsa deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.

(Added to NRS by 1971, 666; A 1993, 1957)

NRS 598.120 Contractsand agreements voidable by participant. All contractsand agreements, existing or made in the future, which have any part of the considerationgiven for the right to participate in a pyramid promotional scheme or endlesschain as defined in NRS 598.100 to 598.130, inclusive, are against publicpolicy and voidable by a participant.

(Added to NRS by 1971, 666)

NRS 598.130 Injunctiverelief; receivership. In addition to any otherrelief available under NRS 598.100 to 598.130, inclusive:

1. The Attorney General or any district attorney maycommence an action in the district court having jurisdiction of the area wherea pyramid promotional scheme or endless chain is being prepared, operated orpromoted to enjoin or obtain any other equitable relief to prevent the furtherpreparation, operation, promotion or prosecution of such scheme or chain. Inaddition to the relief authorized by this section, the court may awardreasonable attorneys fees and costs in any action brought under this section.

2. The Attorney General or any district attorney maypetition the district court having jurisdiction of the area where a pyramidpromotional scheme or endless chain is being prepared, operated or promoted toappoint receivers to secure and distribute in an equitable manner any assetsreceived by any participant as a result of such scheme or program. Any suchdistribution must effect, to the extent possible, reimbursement foruncompensated payments made to become a participant in the scheme. In any suchaction, the court may, in addition to any other relief or reimbursement, awardreasonable attorneys fees and costs.

(Added to NRS by 1971, 666; A 1993, 1957)

SOLICITATIONS FOR OR ON BEHALF OF CHARITABLE ORGANIZATIONS

NRS 598.1305 Prohibitedacts; jurisdiction of Attorney General; violation constitutes deceptive tradepractice.

1. A person, in planning, conducting or executing asolicitation for or on behalf of a charitable organization, shall not:

(a) Make any claim or representation concerning acontribution which directly, or by implication, has the capacity, tendency oreffect of deceiving or misleading a person acting reasonably under thecircumstances; or

(b) Omit any material fact deemed to be equivalent to afalse, misleading or deceptive claim or representation if the omission, whenconsidering what has been said or implied, has or would have the capacity,tendency or effect of deceiving or misleading a person acting reasonably underthe circumstances.

2. Notwithstanding any other provisions of thischapter, the Attorney General has primary jurisdiction to investigate andprosecute a violation of this section.

3. Except as otherwise provided in NRS 41.480 and 41.485, a violation of this sectionconstitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.

4. As used in this section:

(a) Charitable organization means any person who,directly or indirectly, solicits contributions and who:

(1) The Secretary of the Treasury has determinedto be tax exempt pursuant to the provisions of section 501(c)(3) of theInternal Revenue Code; or

(2) Is, or holds himself out to be, establishedfor a charitable purpose.

The termdoes not include an organization which is established for and serving bona fidereligious purposes.

(b) Solicitation means a request for a contributionto a charitable organization that is made by:

(1) Mail;

(2) Commercial carrier;

(3) Telephone, facsimile or other electronicdevice; or

(4) A face-to-face meeting.

The termincludes solicitations which are made from a location within this State andsolicitations which are made from a location outside of this State to persons locatedin this State.

(Added to NRS by 1997, 3194)

SALES PROMOTIONS

NRS 598.131 Definitions. As used in NRS 598.131to 598.139, inclusive, unless thecontext otherwise requires, the words and terms defined in NRS 598.1315 to 598.134, inclusive, have the meaningsascribed to them in those sections.

(Added to NRS by 1989, 2194)

NRS 598.1315 Advertisementdefined. Advertisement means the attempt bypublication, dissemination, solicitation or circulation to induce, directly orindirectly, any person to enter into any obligation or to acquire any title orinterest in any property, and any acts related to the inducement, promotion orencouragement of a sale.

(Added to NRS by 1989, 2194)

NRS 598.132 Advertiserdefined. Advertiser means any person who isengaged in the business of promotion, marketing or sale of merchandise atretail and who places, either directly or indirectly, an advertisement beforethe public.

(Added to NRS by 1989, 2194)

NRS 598.1325 Advertisingpremium defined. Advertising premium meansan offering, gift, prize, award, giveaway, discounted item, bonus, merchandise,service certificate or anything of value, or its equivalent in cash, offered inan advertisement.

(Added to NRS by 1989, 2194)

NRS 598.133 Merchandisedefined. Merchandise means personalproperty, capable of manual delivery, displayed, held or offered for sale by amerchant.

(Added to NRS by 1989, 2194)

NRS 598.1335 Saledefined. Sale includes a sale, offer forsale or attempt to sell property for consideration.

(Added to NRS by 1989, 2194)

NRS 598.134 Salespromotion defined. Sales promotion means apromotion, presentation, solicitation or notification which induces or attemptsto induce a sale of merchandise to a person.

(Added to NRS by 1989, 2194)

NRS 598.135 Scope. The provisions of NRS598.136, 598.137 and 598.138, do not apply to:

1. A contest of skill that does not involve the saleor lease of any goods, property or service.

2. A person who is licensed as a seller or a salesmanpursuant to chapter 599B of NRS, and isengaging in an activity within the scope of that license.

3. A sale or purchase, or solicitation orrepresentation made in connection with the sale or purchase, of goods from acatalog or of books, recordings, video cassettes, periodicals or other similargoods offered by a seller or membership group which is regulated by the FederalTrade Commission if the seller or membership group sends goods, pursuant to anagreement, to a customer or member for his inspection and, if unsatisfied afterinspecting the goods, the customer or member is entitled to receive a fullrefund of the purchase price of the goods if the goods are returned undamagedto the seller or membership group.

4. A solicitation, advertisement or promotion, oroffer to extend credit, made by a commercial bank, bank holding company,subsidiary or affiliate of a bank holding company, trust company, savings andloan association, credit union, industrial loan company, personal propertybroker, consumer finance lender, commercial finance lender or insurer, or anyother person engaged in the business of extending credit, who is regulated byan officer or agency of the State or of the Federal Government.

5. A person licensed pursuant to chapter 463 of NRS and his employees.

(Added to NRS by 1989, 2196)

NRS 598.136 Representationthat person has won prize or is winner of contest.

1. A person shall not, in connection with the sale orlease or solicitation for the sale or lease of any goods, property or service,represent that another person has won anything of value or is the winner of anycontest unless:

(a) The advertiser indicates, clearly and conspicuously,the name and address of the advertiser at the commencement of an oralsolicitation or advertisement. If the advertisement is written, the informationmust be in bold type at least 2 points larger than the type used in the majorportion of the advertisement, and must be placed at the top of the first pageof the advertisement.

(b) The method of selection of the recipient of theprize is one in which no more than 10 percent of the names considered areselected as recipients.

(c) The prize is given without obligation to therecipient.

(d) The prize is delivered to the recipient at noexpense to him within 30 days after the representation.

(e) The language of the advertisement represents thatit is a sales promotion.

(f) The language of the advertisement does notrepresent that the recipient has been contacted by telephone or any other meanswhen no such contact has occurred.

(g) The advertisement indicates to the recipient thebrand name of any advertising premium offered. If the advertising premiumconsists of a vacation or trip, the advertiser shall indicate, clearly andconspicuously, the name and location of the accommodations and whethertransportation to and from the vacation site or point of departure is included.The advertiser shall not offer a vacation or trip for which a deposit or otherfee is required of the recipient.

(h) The advertisement does not misrepresent the valueof an advertising premium by any means, including, but not limited to, thegrouping of advertising premiums of substantially different value.

(i) The advertisement indicates, clearly andconspicuously, to the recipient that an advertising premium is discounted, nolonger manufactured, damaged or less than first quality.

(j) The advertisement indicates that the advertiserwill disclose upon request and without charge which advertising premium will bereceived. The advertiser shall disclose such information upon request.

(k) The advertisement indicates, clearly andconspicuously, the probability that a person may receive each advertisingpremium mentioned in the advertisement. The probability must be indicatedadjacent to the first mention of each advertising premium and expressed inwhole numbers. If the advertisement is written, such information and any ruleor condition must appear in bold type the same size as the type used for themajor portion of the advertisement.

(l) The advertisement indicates, clearly andconspicuously, the date the prizes are to be awarded, and that a recordregarding the names and addresses of the winners will be provided upon requestwithout charge. The advertiser shall provide the record to any person uponrequest.

(m) The advertiser does not offer merchandise as asubstitute for a reimbursement for travel, allowance for a trip or similar planof compensation.

2. As used in this section, language of theadvertisement means the use of any language that has a tendency to lead areasonable person to believe he has won a contest or merchandise of value,including, but not limited to, congratulations, you have won, you are awinner, you have been chosen, you have been selected and you are entitledto receive.

(Added to NRS by 1989, 2194)

NRS 598.137 Representationthat person has chance to receive prize.

1. A person shall not, in connection with the sale orlease or solicitation for sale or lease of any goods, property or service,represent that another person has a chance to receive a prize or item of valuewithout clearly disclosing on whose behalf the contest or promotion isconducted and all conditions that a participant must meet.

2. A person who makes a representation described insubsection 1 must display, clearly and conspicuously, adjacent to thedescription of the item or prize to which it relates:

(a) The actual retail value of each item or prize;

(b) The number of each item or prize to be awarded; and

(c) The odds of receiving each item or prize, expressedin whole numbers.

3. It is unlawful to make a representation describedin subsection 1 if it has already been determined which items will be given tothe person to whom the representation is made.

4. The provisions of this section do not apply if:

(a) Participants are asked to complete and mail ordeposit, at a local retail commercial establishment, an entry blank obtainedlocally or by mail, or to call in their entry by telephone; and

(b) Participants are not asked to listen to a salespresentation.

5. Advertisements with representations made pursuantto subsection 1 that are broadcast by radio or television may be broadcastwithout the required disclosures, conditions and restrictions but must clearlybroadcast the availability of such disclosures, conditions and restrictions toan interested person, without any charge, upon request.

6. This section does not create liability for acts ofa publisher, owner, agent or employee of a newspaper, periodical, radiostation, television station, cable television system or other advertisingmedium for the publication or dissemination of an advertisement or promotionpursuant to this section if the publisher, owner, agent or employee did notknow that the advertisement or promotion violated the provisions of thissection.

7. For the purposes of this section, the actual retailvalue of an item or prize is the price at which substantial sales of the itemwere made in an area within the last 90 days, or if no substantial sales weremade, the cost of the item or prize to the person on whose behalf the contestor promotion is conducted.

(Added to NRS by 1989, 2195)

NRS 598.138 Representationthat person has been specially selected.

1. A person shall not represent that another personhas been specially selected in connection with the sale or lease orsolicitation for sale or lease of any goods, property or service unless:

(a) The selection process is designed to reach aparticular type of person;

(b) The selection process uses a source other than atelephone directory, city directory, tax listing, voter registration record,purchased or leased mailing list or similar source of names; and

(c) No more than 10 percent of those considered areselected.

2. As used in this section, specially selected meansthe use of language that has a tendency to lead a reasonable person to believehe has been specially selected, including, but not limited to, carefullyselected and you have been chosen.

(Added to NRS by 1989, 2196)

NRS 598.139 Violationconstitutes deceptive trade practice. Anyviolation of NRS 598.136, 598.137 or 598.138, constitutes a deceptive tradepractice for the purposes of NRS 598.0903to 598.0999, inclusive.

(Added to NRS by 1989, 2197)

DOOR-TO-DOOR SALES

NRS 598.140 Definitions. As used in NRS 598.140to 598.2801, inclusive, the words andterms defined in NRS 598.150 to 598.220, inclusive, have the meaningsascribed to them in NRS 598.150 to 598.220, inclusive, unless the context otherwiserequires.

(Added to NRS by 1973, 808)

NRS 598.150 Businessday defined. Business day means anycalendar day except Sunday, or the following business holidays: New Years Day,Martin Luther King, Jr.s Birthday, Washingtons Birthday, Memorial Day,Independence Day, Labor Day, Nevada Day, Veterans Day, Thanksgiving Day andChristmas Day.

(Added to NRS by 1973, 808; A 1993, 1958)

NRS 598.160 Buyerdefined. Buyer means any person who entersinto or signs a door-to-door sale contract in order to receive any consumergoods and services from any seller.

(Added to NRS by 1973, 808)

NRS 598.170 Consumergoods or services defined. Consumer goods orservices are goods or services purchased, leased or rented primarily forpersonal, family or household purposes, including courses of instruction ortraining regardless of the purpose for which they are taken.

(Added to NRS by 1973, 808)

NRS 598.180 Door-to-doorsale defined. Door-to-door sale means anysale, purchase, lease or rental of any consumer goods or services with apurchase price of $25 or more which is the result of any door-to-doorsolicitation or personal solicitation by the seller or his representative,whether at the specific invitation of the buyer or not, and which is made at aplace other than the place of business of the seller. The term door-to-doorsale does not include a transaction:

1. Made pursuant to a preexisting retail chargeagreement or pursuant to prior negotiations between the parties at or from aretail business establishment having a fixed permanent location where the goodsare exhibited or the services are offered for sale on a continuing basis.

2. In which the consumer is accorded the right ofrescission by the provisions of the Consumer Credit Protection Act (15 U.S.C. 1635) or regulations issued pursuant thereto.

3. In which the buyer has initiated the contact and thegoods or services are needed to meet a bona fide immediate personal emergencyof the buyer, and the buyer furnishes the seller with a separate dated andsigned personal statement in the buyers handwriting describing the situationrequiring immediate remedy and expressly acknowledging and waiving the right tocancel the sale within 3 business days.

4. Conducted and consummated entirely by mail ortelephone, and without any other contact between the buyer and the seller orits representative prior to delivery of the goods or performance of theservice.

5. In which the buyer has initiated the contact andspecifically requested the seller to visit his home for the purpose ofrepairing or performing maintenance upon the buyers personal property. If inthe course of the visit, the seller sells the buyer the right to receiveadditional services and goods other than replacement parts necessarily used inperforming the maintenance or in making the repairs, the sale of thoseadditional goods or services would not fall within this exclusion.

6. Pertaining to the sale or rental of real property,to the sale of insurance or to the sale of securities or commodities by abroker-dealer registered with the Securities Exchange Commission.

7. Pertaining to the sale or rental of vehicles asdefined in NRS 482.135.

8. Pertaining to the sale or rental of mobile homes.

9. Pertaining to the provision of facilities andservices furnished by utilities under the jurisdiction of the Public UtilitiesCommission of Nevada.

(Added to NRS by 1973, 808; A 1997, 2017)

NRS 598.200 Placeof business defined. Place of businessmeans the main or permanent branch office or local address of a seller.

(Added to NRS by 1973, 809)

NRS 598.210 Purchaseprice defined. Purchase price means thetotal price paid or to be paid for consumer goods or services, including allinterest and service charges.

(Added to NRS by 1973, 809)

NRS 598.220 Sellerdefined. Seller means any person engaged inthe door-to-door sale of any consumer goods or services.

(Added to NRS by 1973, 809)

NRS 598.230 Rightof buyer to rescind contract of sale; notice of rescission. Any buyer who enters into or signs a door-to-door salecontract in which the total purchase price of the goods or services is $25 ormore may rescind such contract by giving written notice to the seller either bydelivering, mailing or telegraphing of such notice no later than midnight ofthe third business day after the date such door-to-door sale contract wasentered into or signed. The notice shall be addressed to the seller at thesellers place of business and shall contain words indicating the buyersintent to rescind the transaction previously entered into.

(Added to NRS by 1973, 809)

NRS 598.240 Sellerto furnish buyer copy of receipt or contract; required contents. A seller must furnish every buyer with a fully completedreceipt or copy of any door-to-door sale contract at the time a sale isexecuted. Such writing shall be in the same language as that primarily used inthe oral sales presentation, show the date of the transaction and contain thename and address of the seller, and in immediate proximity to the spacereserved in the contract for the signature of the buyer or on the front page ofthe receipt if a contract is not used and in bold type, a statement insubstantially the following form:

 

You, the buyer, may cancel thistransaction at any time prior to midnight of the third business day after thedate of this transaction. See the attached notice of cancellation form forexplanation of this right.

 

(Added to NRS by 1973, 809)

NRS 598.250 Sellerto furnish buyer form for notice of cancellation. Aseller must furnish every buyer with a fully completed form in duplicate, captionedNOTICE OF CANCELLATION, which must be attached to the contract or receipt andeasily detachable, and which must contain in boldface type the following informationand statements in the same language as that used in the contract:

 

NOTICE OF CANCELLATION

(Enterdate of transaction)

Date

You may cancel thistransaction, without any penalty or obligation, except as provided by law,within 3 business days from the above date.

If you cancel, any propertytraded in, any payments made by you under the contract or sale, and anynegotiable instrument executed by you will be returned within 10 business daysfollowing receipt by the seller of your cancellation notice, and any securityinterest arising out of the transaction will be cancelled.

If you cancel, you must makeavailable to the seller at reasonable times at your residence, in substantiallyas good condition as when received, any goods delivered to you under thiscontract or sale; or you must in the alternative comply with the instructionsof the seller regarding the return shipment of the goods at the sellersexpense and risk.

If the seller does not eitherprovide instructions for the return of the goods to the seller or pick them upwithin 20 days of the date of your notice of cancellation, you may retain ordispose of the goods without any further obligation.

To cancel this transaction, mail ordeliver a signed and dated copy of this cancellation notice or any otherwritten notice, or send a telegram to ......................................................................................................................

(Nameof seller)

at......................................................(Address of sellers place of business) not later than midnight of

I hereby cancel thistransaction.

..........................................

(Date)

.....................................................................

(Buyerssignature)

 

(Added to NRS by 1973, 809; A 1981, 126)

NRS 598.260 Penaltyfor cancellation permitted; limitations. NRS 598.140 to 598.2801, inclusive, do not prevent anyseller from assessing a penalty for the cancellation of a door-to-door salecontract if the penalty does not exceed 5 percent of the total purchase price,$15, or any down payment paid by the buyer at the time any door-to-door salecontract is entered into or executed, whichever is the lesser amount.

(Added to NRS by 1973, 810)

NRS 598.280 Unlawfulacts. It is unlawful for any seller:

1. To fail to inform any buyer orally, at the time thebuyer signs any door-to-door sale contract or purchases any consumer goods orservices as a result of a door-to-door sale, of the buyers right to cancel thecontract or to misrepresent in any manner said buyers right to cancel;

2. To fail or refuse to honor any valid notice ofcancellation by a buyer;

3. To fail or refuse to return, within 10 businessdays after receiving notice of cancellation, any goods or property traded in,in substantially as good condition as when received;

4. To fail or refuse to refund all payments made underthe contract or sale within 10 business days after receiving notice ofcancellation;

5. To fail to notify a buyer within 10 business daysafter the receipt of a buyers notice of cancellation whether the sellerintends to repossess or to abandon any shipped or delivered goods; or

6. To negotiate, transfer, sell or assign any note orother evidence of indebtedness to a finance company or other third party priorto midnight of the 5th business day following the day the contract was signedor the goods or services were purchased.

(Added to NRS by 1973, 810)

NRS 598.2801 Violationconstitutes deceptive trade practice. Any violationof NRS 598.240, 598.250 or 598.280 constitutes a deceptive tradepractice for the purposes of NRS 598.0903to 598.0999, inclusive.

(Added to NRS by 1993, 1957)

SELLERS OF TRAVEL

General Provisions

NRS 598.305 Definitions. As used in NRS 598.305to 598.395, inclusive, unless thecontext otherwise requires, the words and terms defined in NRS 598.307 to 598.356, inclusive, have the meaningsascribed to them in those sections.

(Added to NRS by 2001, 2146; A 2003, 1825, 2888)

NRS 598.307 Accountdefined. Account means the accountestablished pursuant to NRS 598.371.

(Added to NRS by 2003, 1819)

NRS 598.315 Commissionerdefined. Commissioner means the Commissionerof the Division.

(Added to NRS by 2001, 2146; A 2003, 1826, 2889)

NRS 598.317 Consumerdefined. Consumer means a person who paysmoney to a seller of travel for the purchase of travel services or a vacationcertificate.

(Added to NRS by 2003, 1819)

NRS 598.325 Divisiondefined. Division means the Consumer AffairsDivision of the Department of Business and Industry.

(Added to NRS by 2001, 2147)

NRS 598.335 Sellerof travel defined. Seller of travel means aperson who offers for sale, directly or indirectly, transportation by air,land, rail or water, travel services, vacation certificates or any combinationthereof, to a person or group of persons for a fee, commission or othervaluable consideration. The term:

1. Includes any person who offers membership in atravel club or any services related to travel for an advance fee, payment ordeposit.

2. Does not include:

(a) A person who:

(1) Contracts with a seller of travel to selltravel services or vacation certificates on behalf of the seller of travel;

(2) Receives compensation for selling the travelservices or vacation certificates only from the seller of travel; and

(3) Requires the consumer who purchases thetravel services or vacation certificates to pay for the travel services orvacation certificates by transmitting payment directly to the provider of thetravel services or vacation certificates or the seller of travel;

(b) A hotel that provides or arranges travel servicesfor its patrons or guests;

(c) A person who, for compensation, transports personsor property by air, land, rail or water;

(d) A tour broker or tour operator who is subject tothe provisions of NRS 598.405 to 598.525, inclusive; or

(e) A motor club as defined in NRS 696A.050.

(Added to NRS by 2001, 2147; A 2003, 1825)

NRS 598.345 Travelservices defined. Travel services includes,without limitation:

1. Short-term leases of passenger cars;

2. Lodging;

3. Transfers;

4. Sightseeing tours other than sightseeing tours forwhich a tour broker or tour operator is regulated pursuant to NRS 598.405 to 598.525, inclusive; and

5. Any other services that are related to travel byair, land, rail or water or any other method of transportation.

(Added to NRS by 2001, 2147; A 2003, 1825)

NRS 598.356 Vacationcertificate defined. Vacation certificatemeans any document received by a person for consideration paid in advance whichevidences that the holder of the document is entitled to:

1. Transportation by air, land, rail or water; or

2. The use of lodging or other facilities for aspecified period,

during theperiod for which the certificate is valid.

(Added to NRS by 2001, 2147)

NRS 598.361 Sellerto maintain trust account; exception.

1. Except as otherwise provided in subsection 2:

(a) A seller of travel shall maintain a trust accountin a bank, credit union or savings and loan association in this state for thepurpose of depositing all money that a consumer pays to the seller of travelfor the purchase of travel services or a vacation certificate.

(b) If a consumer pays money to a seller of travel forthe purchase of travel services or a vacation certificate, the seller of travelshall deposit all such money in the trust account maintained by the seller oftravel not later than 2 business days after the date on which the consumer paysthe money to the seller of travel.

(c) The seller of travel shall pay out of the trustaccount the money paid to the seller of travel by the consumer as needed tocomplete the purchase of the travel services or vacation certificate purchasedby the consumer.

2. The provisions of this section do not apply to aseller of travel who deposits security with the Division pursuant to NRS 598.375.

(Added to NRS by 2003, 1820; A 2003, 2883)

NRS 598.365 Sellerto register, deposit security and pay fees before advertising services orconducting business in this State; certificate of registration; renewal ofcertificate.

1. Before advertising its services or conductingbusiness in this State, a seller of travel must register with the Division by:

(a) Submitting to the Division an application forregistration on a form prescribed by the Division;

(b) Paying to the Division a fee of $25;

(c) Depositing the security required pursuant to NRS 598.375, if any, with the Division; and

(d) Paying to the Division a fee of $100 for deposit tothe account established pursuant to NRS598.371.

2. The Division shall issue a certificate ofregistration to the seller of travel upon receipt of:

(a) The security in the proper form if the seller oftravel is required to deposit security pursuant to NRS 598.375; and

(b) The payment of any fees required by this section.

3. A certificate of registration:

(a) Is not transferable or assignable; and

(b) Expires 1 year after it is issued.

4. A seller of travel must renew a certificate ofregistration issued pursuant to this section before the certificate expires by:

(a) Submitting to the Division an application for therenewal of the certificate on a form prescribed by the Division;

(b) Paying to the Division a fee of $25; and

(c) Paying to the Division a fee of $100 for deposit tothe account established pursuant to NRS598.371.

5. The Division shall mail an application for therenewal of a certificate to the last known address of a seller of travel atleast 30 days before the expiration of the certificate.

6. The provisions of this section do not require aperson described in paragraph (a) of subsection 2 of NRS 598.335 to register with the Division.

(Added to NRS by 2001, 2147; A 2003, 1826, 2888)

NRS 598.366 Sellerto include registration number in advertising; form. Aseller of travel shall include the registration number from his certificate ofregistration in any advertising conducted by, or on the behalf of, the sellerof travel. The statement must be prominently displayed in the advertisement andbe in substantially the following form in at least 10-point bold type in a fontthat is easy to read:

 

Nevada Seller ofTravel

Registration No._____.

 

(Added to NRS by 2003, 1820)

NRS 598.367 Sellerto display notice of Recovery Fund; penalty.

1. A seller of travel shall display conspicuously, ateach place of business of the seller of travel and on any website maintained bythe seller of travel for business purposes, a legible and typewritten statementthat notifies consumers that they may be eligible to recover certain financialdamages from the Recovery Fund. The written statement must be in substantiallythe following form:

 

RECOVERY FUND FORCONSUMERS

DAMAGED BY SELLERS OFTRAVEL

 

You may be eligible for payment from the Recovery Fundif you have paid money to a seller of travel registered in this State for thepurchase of travel services or a vacation certificate and you have sufferedcertain financial damages as a result of the transaction. To obtain informationrelating to your rights under the Recovery Fund and the filing of a claim forrecovery from the Recovery Fund, you may contact the Consumer Affairs Divisionof the Department of Business and Industry at the following locations:

 

SOUTHERN NEVADA: 1850East Sahara Avenue

Suite 101

Las Vegas, Nevada89104

Phone: (702) 486-7355

Fax: (702) 486-7371

ncad@fyiconsumer.org

 

NORTHERN NEVADA: 4600Kietzke Lane

Building B, Suite 113

Reno, Nevada 89502

Phone: (775) 688-1800

Fax: (775) 688-1803

 

2. The Division may impose upon a seller of travel anadministrative fine of not more than:

(a) For the first violation of subsection 1, $100; and

(b) For a second or subsequent violation of subsection1, $250.

3. The Division shall deposit any money received pursuantto this section in the account established pursuant to NRS 598.371.

4. The provisions of NRS598.305 to 598.395, inclusive, donot limit the authority of the Division to take disciplinary action against aseller of travel.

(Added to NRS by 2003, 1822; A 2003, 2885)

Recovery Fund

NRS 598.371 Administrationof Fund: Separate accounting; limitations on use.

1. The Division shall administer and accountseparately for the money received from each seller of travel pursuant to theprovisions of paragraph (d) of subsection 1 and paragraph (c) of subsection 4of NRS 598.365. The Division may referto the money in the account as the Recovery Fund.

2. Except as otherwise provided in NRS 598.372, the money in the account mustbe used to pay claims made by consumers who are eligible for recovery from theaccount pursuant to NRS 598.373 and 598.374.

(Added to NRS by 2003, 1820)

NRS 598.372 Administrationof Fund: Report to Legislature; employment of persons; interest on money;limitations on balance; regulations.

1. The Division shall:

(a) On or before February 1 of each year, prepare andsubmit to the Director of the Legislative Counsel Bureau for transmittal to theappropriate legislative committee if the Legislature is in session, or to theInterim Finance Committee if the Legislature is not in session, a statement ofthe condition of the account that is prepared in accordance with generallyaccepted accounting principles.

(b) Employ accountants as necessary for the performanceof the duties set forth in this section and pay any related expenses from themoney in the account. Except as otherwise provided in subsection 3, theexpenditures made by the Division pursuant to this paragraph must not exceed$10,000 in any fiscal year.

(c) Employ or contract with persons and procurenecessary equipment, supplies and services to be paid from or purchased withthe money in the account as may be necessary to monitor or process claims filedby consumers that may result in a recovery from the account.

2. Any interest earned on the money in the accountmust be credited to the account. The Division may expend the interest earned onthe money in the account to increase public awareness of the account. Except asotherwise provided in subsection 3, the expenditures made by the Division forthis purpose must not exceed $50,000 in any fiscal year.

3. The total expenditures made by the Divisionpursuant to this section must not exceed 10 percent of the account in anyfiscal year.

4. Once an initial balance of $200,000 exists in theaccount, the Division shall maintain a minimum balance of $200,000 in theaccount.

5. The Division shall adopt such regulations as arenecessary to carry out the provisions of NRS598.305 to 598.395, inclusive,including, without limitation, regulations governing:

(a) The disbursement of money from the account; and

(b) The manner in which a complaint is filed with theDivision or its designee pursuant to the provisions of NRS 598.373.

(Added to NRS by 2003, 1823; A 2003, 2886)

NRS 598.373 Recoveryfrom Fund: Deadline for complaint; hearing; judgment of court; action byDivision.

1. Except as otherwise provided in subsection 5, aconsumer who is eligible for recovery from the account must file a complaintwith the Division or its designee not later than 1 year after the scheduleddate of completion of the travel purchased by the consumer. The consumer mustfile the complaint on a form established for this purpose by the Division.

2. If the Division receives a complaint pursuant tosubsection 1, the Division or its designee shall hold a hearing on thecomplaint. The Division shall:

(a) Affix the time and place for the hearing; and

(b) Notify the interested parties, in writing, at least10 days before the date affixed for the hearing, of the time and place of thehearing.

3. Any testimony taken at the hearing must beconsidered a part of the record of the hearing before the Division or itsdesignee.

4. The hearing must be public if a request is made fora public hearing.

5. If a consumer has obtained a judgment in any courtof competent jurisdiction for recovery of damages against a seller of travel,the consumer may file with the Division or its designee a complaint forrecovery of the judgment from the account. The consumer must file the complaintnot later than 2 years after the entry of the judgment. The consumer iseligible for recovery of the judgment from the account if:

(a) The judgment is for actual damages suffered by theconsumer as a result of:

(1) Any act of fraud or misrepresentation by theseller of travel acting in his capacity as a seller of travel;

(2) The bankruptcy of the seller of travel;

(3) The breach of any contract entered into bythe seller of travel in his capacity as a seller of travel; or

(4) The violation by the seller of travel of anyprovision of NRS 598.305 to 598.395, inclusive;

(b) The proceedings in connection with the judgment,including all appeals, have terminated;

(c) The consumer files the complaint on a formestablished for this purpose by the Division;

(d) The consumer submits proof satisfactory to theDivision of the judgment; and

(e) Upon obtaining payment from the account, theconsumer assigns his rights to enforce the judgment to the Division.

6. If a consumer files a complaint pursuant to this section,the Division or its designee shall act upon the complaint not later than 60days after the date on which the complaint is filed with the Division, unlessthe Division:

(a) Determines that the complaint involves complexissues that may not reasonably be resolved within 60 days; and

(b) Notifies the interested parties, in writing, thatthe time for acting on the complaint will be extended. If the Division providessuch notice to the interested parties, the Division shall act upon thecomplaint not later than 180 days after the date on which the complaint isfiled with the Division.

(Added to NRS by 2003, 1820; A 2003, 2883)

NRS 598.374 Recoveryfrom Fund: Eligibility; limitations on payment; subrogation of claim.

1. Except as otherwise provided in subsection 2, aconsumer is eligible for recovery from the account if:

(a) The Division or its designee, after conducting a hearingon a complaint filed pursuant to the provisions of subsection 1 of NRS 598.373, finds that the consumersuffered actual damages as a result of:

(1) Any act of fraud or misrepresentation by theseller of travel acting in his capacity as a seller of travel;

(2) The bankruptcy of the seller of travel;

(3) The breach of any contract entered into bythe seller of travel in his capacity as a seller of travel; or

(4) The violation by the seller of travel of anyprovision of NRS 598.305 to 598.395, inclusive; or

(b) The consumer complies with the provisions ofsubsection 5 of NRS 598.373 for therecovery of a judgment from the account.

2. A consumer is not eligible for recovery from theaccount if:

(a) The consumer is the spouse of the seller of travelor is a personal representative of the spouse of the seller of travel;

(b) The consumer was associated in a businessrelationship with the seller of travel other than with regard to the travelservices or vacation certificate at issue;

(c) At the time the consumer paid money to the sellerof travel for the purchase of the travel services or vacation certificate atissue, the seller of travel was not registered with the Division as required byNRS 598.365; or

(d) The consumer is seeking recovery of losses whichwere incurred by the consumer as the result of a cancellation penalty that:

(1) Was fully disclosed and agreed to by theconsumer at the time the consumer entered into the contract for the purchase ofthe travel services or vacation certificate at issue; and

(2) Was imposed against the consumer, inaccordance with the terms of the contract, after the cancellation of the travelservices or vacation certificate at issue.

3. If the Division or its designee finds that aconsumer is eligible for recovery from the account pursuant to this section,the Division or its designee may pay out of the account:

(a) If the complaint was filed pursuant to subsection 1of NRS 598.373, the amount of actualdamages suffered, but not to exceed $10,000; or

(b) If the complaint was filed pursuant to subsection 5of NRS 598.373, the amount of actualdamages included in the judgment and remaining unpaid, but not to exceed$10,000.

4. If a consumer has recovered a portion of his lossesfrom sources other than the account, the Division shall deduct the amount recoveredfrom the other sources from the amount payable upon the claim and direct thedifference to be paid from the account.

5. To the extent that payments are made from theaccount to a consumer, the Division is subrogated to the rights of the consumer.The Division and the Attorney General shall promptly enforce all subrogationclaims.

6. The amount of recovery from the account based uponclaims made against any single seller of travel:

(a) Must not exceed $200,000; and

(b) For any single action of the seller of travel, mustnot exceed 20 percent of the balance of the account.

(Added to NRS by 2003, 1821; A 2003, 2884)

Security Deposited by Seller

NRS 598.375 Securityrequired for registration: Form; term; amount; records; rejection fornonconformance; change in form; inadequate amount; exception.

1. Except as otherwise provided in subsection 8, eachseller of travel shall deposit with the Division:

(a) A bond executed by a corporate surety approved bythe Commissioner and licensed to do business in this state;

(b) An irrevocable letter of credit for which theseller of travel is the obligor, issued by a bank whose deposits are federallyinsured; or

(c) A certificate of deposit in a financial institutionwhich is doing business in this state and which is federally insured or insuredby a private insurer approved pursuant to NRS678.755. The certificate of deposit may be withdrawn only on the order ofthe Commissioner, except that the interest may accrue to the seller of travel.

2. The term of the bond, letter of credit orcertificate of deposit, or any renewal thereof, must be not less than 1 year.

3. The amount of the bond, letter of credit orcertificate of deposit, or any renewal thereof, must be $50,000.

4. If the seller of travel deposits a bond, the sellerof travel shall keep accurate records of the bond and the payments made on thepremium. The records must be open to inspection by the Division during businesshours. The seller of travel shall notify the Division not later than 30 daysbefore the date of expiration of the bond and provide written proof of therenewal of the bond to the Division.

5. The Commissioner may reject any bond, letter ofcredit or certificate of deposit that fails to comply with the requirements ofthis chapter.

6. A seller of travel may change the form of securitythat he has deposited with the Division. If the seller of travel changes theform of the security, the Commissioner may retain for not more than 1 year anyportion of the security previously deposited by the seller of travel assecurity for claims arising during the time the previous security was ineffect.

7. If the amount of the deposited security falls belowthe amount required by this chapter for that security, the seller of travelshall be deemed not to be registered as required by NRS 598.365 for the purposes of thischapter.

8. The provisions of this section do not apply to aseller of travel who:

(a) Is accredited by and appointed as an agent of theAirlines Reporting Corporation; or

(b) Maintains a trust account in accordance with theprovisions of NRS 598.361.

(Added to NRS by 2001, 2147; A 2003, 1826, 2876, 2889)

NRS 598.385 Rightsand remedies of injured consumers; resolution by Division of claims againstsecurity; regulations.

1. The security required to be deposited by a sellerof travel pursuant to NRS 598.375 mustbe held in trust for consumers injured as a result of:

(a) Any act of fraud or misrepresentation by the sellerof travel acting in his capacity as a seller of travel;

(b) The bankruptcy of the seller of travel; or

(c) The breach of any contract entered into by theseller of travel in his capacity as a seller of travel.

2. A consumer so injured may bring and maintain anaction in any court of competent jurisdiction to recover against the security.

3. The Division may bring an action for interpleaderagainst all claimants upon the security. If the Division brings such an action,the Division shall publish notice of the action at least once each week for 2weeks in a newspaper of general circulation in the county in which the seller oftravel has its principal place of business. The Division may deduct its costsof the action, including the costs of the publication of the notice, from theamount of the security. All claims against the security have equal priority. Ifthe security is insufficient to pay all the claims in full, the claims must bepaid pro rata. If the seller of travel has posted a bond with the Division, thesurety is then relieved of all liability under the bond.

4. The Division may, in lieu of bringing an action forinterpleader pursuant to subsection 3, conduct a hearing to determine thedistribution of the security to claimants. The Division shall adopt regulationsto provide for adequate notice and the conduct of the hearing. If the seller oftravel has posted a bond with the Division, distribution pursuant to thissubsection relieves the surety of all liability under the bond.

5. If the security is sufficient to pay all claimsagainst the security in full, the Division may deduct from the amount of thesecurity, the cost of any investigation or hearing it conducted to determinethe distribution of the security.

(Added to NRS by 2001, 2148; A 2003, 1826, 2889)

NRS 598.395 Releaseof security if seller ceases to operate or registration expires.

1. If no claims have been filed against the securitydeposited with the Division pursuant to NRS598.375 within 6 months after the seller of travel ceases to operate or hisregistration expires, whichever occurs later, the Commissioner shall releasethe security to the seller of travel and shall not audit any claims filedagainst the security thereafter by consumers.

2. If one or more claims have been filed against thesecurity within 6 months after the seller of travel ceases to operate or hisregistration expires, whichever occurs later, the proceeds must not be releasedto the seller of travel or distributed to any consumer earlier than 1 yearafter the seller of travel ceases to operate or his registration expires,whichever occurs later.

3. For the purposes of this section, the Commissionershall determine the date on which a seller of travel ceases to operate.

(Added to NRS by 2001, 2149; A 2003, 1826, 2889)

SIGHTSEEING TOURS

NRS 598.405 Definitions. As used in NRS 598.405to 598.525, inclusive, unless thecontext otherwise requires, the words and terms defined in NRS 598.416 to 598.465, inclusive, have the meaningsascribed to them in those sections.

(Added to NRS by 2001, 979; A 2003, 1826)

NRS 598.416 Advertiseand advertisement defined. Advertise andadvertisement mean the attempt by publication, dissemination, solicitation orcirculation to induce, directly or indirectly, any person to take a sightseeingtour.

(Added to NRS by 2001, 980)

NRS 598.425 Commissionerdefined. Commissioner means the Commissionerof the Division.

(Added to NRS by 2001, 980)

NRS 598.435 Divisiondefined. Division means the Consumer AffairsDivision of the Department of Business and Industry.

(Added to NRS by 2001, 980)

NRS 598.445 Sightseeingtour defined. Sightseeing tour means anexcursion that:

1. Has a duration of 24 hours or less;

2. Travels to one or more points of interest; and

3. Is conducted using one or more means of motorizedconveyance, including, without limitation, an airplane, bus, helicopter, tourboat or touring raft.

(Added to NRS by 2001, 980)

NRS 598.455 Tourbroker defined. Tour broker means a personwho, in this state, advertises a sightseeing tour for a tour operator andcollects money from customers for a sightseeing tour.

(Added to NRS by 2001, 980)

NRS 598.465 Touroperator defined. Tour operator means aperson who, in this state, engages in the business of providing a sightseeingtour to customers.

(Added to NRS by 2001, 980)

NRS 598.471 Tourbroker and tour operator to register, pay fee and, if applicable, depositsecurity before advertising services or conducting business in this State;certificate of registration; renewal of certificate.

1. Before advertising its services or conductingbusiness in this State, a tour broker or tour operator must register with theDivision by:

(a) Submitting to the Division an application forregistration on a form prescribed by the Division;

(b) Paying to the Division a fee of $25; and

(c) If the tour broker or tour operator is subject tothe provisions of NRS 598.495,depositing the security required by NRS598.495 with the Division.

2. The Division shall issue a certificate ofregistration to the tour broker or tour operator upon receipt of:

(a) The security in the proper form as required by NRS 598.495, if the tour broker or touroperator is subject to the provisions of NRS598.495; and

(b) The payment of the fee required by subsection 1.

3. A certificate of registration:

(a) Is not transferable or assignable; and

(b) Expires 1 year after it is issued.

4. A tour broker or tour operator must renew acertificate of registration issued pursuant to this section before thecertificate expires by:

(a) Submitting to the Division an application for therenewal of the certificate on a form prescribed by the Division; and

(b) Paying to the Division a fee of $25.

(Added to NRS by 2003, 1824)

NRS 598.475 Tourbroker and tour operator required to disclose total price in advertisement andprohibited from charging higher amount; notice required on billing invoice;tour broker and tour operator required to honor valid coupon; violationconstitutes deceptive trade practice.

1. In each advertisement for a sightseeing tour, atour broker and a tour operator shall disclose in a clear and conspicuousmanner the total price a customer is required to pay to take the sightseeingtour. Unless the inclusion of a fee or tax in the total price would violate aspecific statute of this state or a federal statute or regulation, the totalprice must include, without limitation, all fees, taxes and other charges thata customer for a sightseeing tour is required to pay to take the sightseeingtour. If a fee or tax cannot be included in the total price because itsinclusion would violate a specific statute of this state or a federal statuteor regulation, the tour broker or tour operator, as applicable, shall disclosein a clear and conspicuous manner that the fee or tax is not included in thetotal price and must be paid in addition to the total price.

2. A tour broker and a tour operator shall not chargea customer for a sightseeing tour an amount that exceeds the sum of:

(a) The total price for the sightseeing tour which isdisclosed in an advertisement for the sightseeing tour; and

(b) Any fee or tax that is not included in the totalprice for the sightseeing tour because its inclusion would violate a specificstatute of this state or a federal statute or regulation.

3. On a billing invoice or receipt given to a customerfor a sightseeing tour, a tour broker and a tour operator shall provide a clearand conspicuous notice which:

(a) Sets forth the provisions of subsection 2;

(b) States that complaints concerning the charges for asightseeing tour may be directed to the Division; and

(c) Provides a telephone number for the Division.

4. If a tour operator issues or causes to be issued acoupon or other indicia of discount or special promotion, the tour operatorshall honor the coupon or other indicia in good faith unless:

(a) The coupon or other indicia sets forth a date ofexpiration that is clearly legible; and

(b) The date of expiration has passed.

5. The failure of a tour broker or tour operator tocomply with a provision of this section constitutes a deceptive trade practicefor the purposes of NRS 598.0903 to 598.0999, inclusive.

(Added to NRS by 2001, 980)

NRS 598.485 Applicabilityof provisions limited to tour brokers and tour operators operating in certaincounties. The provisions of NRS 598.495, 598.506 and 598.515 do not apply to a tour broker whosebusiness is confined to advertising, or a tour operator whose business isconfined to advertising and conducting, sightseeing tours that originate in acounty other than a county whose population is 400,000 or more.

(Added to NRS by 2001, 981)

NRS 598.495 Securityrequired to be deposited by tour broker and tour operator: Form; term; amount;records; rejection for nonconformance; change in form; inadequate amount.

1. Each tour broker and tour operator shall depositwith the Division:

(a) A bond executed by a corporate surety approved bythe Commissioner and licensed to do business in this state;

(b) An irrevocable letter of credit for which the tourbroker or tour operator is the obligor, issued by a bank whose deposits arefederally insured; or

(c) A certificate of deposit in a financial institutionwhich is doing business in this state and which is federally insured or insuredby a private insurer approved pursuant to NRS678.755. The certificate of deposit may be withdrawn only on the order ofthe Commissioner, except that the interest may accrue to the tour broker ortour operator.

2. The term of the bond, letter of credit or certificateof deposit, or any renewal thereof, must be not less than 1 year.

3. The amount of the bond, letter of credit orcertificate of deposit, or any renewal thereof, must be $10,000.

4. If the tour broker or tour operator deposits abond, the tour broker or tour operator shall keep accurate records of the bondand the payments made on the premium. The records must be open to inspection bythe Division during business hours. The tour broker or tour operator shallnotify the Division not later than 30 days before the date of expiration of thebond and provide written proof of the renewal of the bond to the Division.

5. The Commissioner may reject any bond, letter ofcredit or certificate of deposit that fails to conform to the requirements ofthis chapter.

6. A tour broker or tour operator may change the formof security that he has deposited with the Division. If the tour broker or touroperator changes the form of the security, the Commissioner may retain for notmore than 1 year any portion of the security previously deposited by the tourbroker or tour operator as security for claims arising during the time theprevious security was in effect.

7. If the amount of the bond, letter of credit orcertificate of deposit falls below the amount required by this section, thetour broker or tour operator shall, within 30 days, increase the amount of thebond, letter of credit or certificate of deposit to the amount required by thissection.

(Added to NRS by 2001, 981)

NRS 598.506 Rightsand remedies of injured consumers; resolution by Division of claims againstsecurity; regulations.

1. The security required to be deposited by a tourbroker or tour operator pursuant to NRS598.495 must be held in trust for consumers injured by:

(a) The bankruptcy of the tour broker or tour operator;or

(b) The tour brokers or tour operators breach of anyagreement entered into in his capacity as a tour broker or tour operator.

2. A consumer so injured may bring and maintain anaction in any court of competent jurisdiction to recover against the security.

3. The Division may bring an action for interpleaderagainst all claimants upon the security. If the Division brings such an action,the Division shall publish notice of the action at least once each week for 2weeks in a newspaper of general circulation in the county in which the tourbroker or tour operator has its principal place of business. The Division maydeduct its costs of the action, including, without limitation, the costs of thepublication of the notice, from the amount of the security. All claims againstthe security have equal priority. If the security is insufficient to pay allthe claims in full, the claims must be paid pro rata. If the tour broker ortour operator has posted a bond with the Division, the surety is then relievedof all liability under the bond.

4. The Division may, in lieu of bringing an action forinterpleader pursuant to subsection 3, conduct a hearing to determine thedistribution of the security to claimants. The Division shall adopt regulationsto provide for adequate notice and the conduct of the hearing. If the tourbroker or tour operator has posted a bond with the Division, distributionpursuant to this subsection relieves the surety of all liability under thebond.

(Added to NRS by 2001, 981)

NRS 598.515 Releaseof security if tour broker or tour operator ceases to operate.

1. If no claims have been filed against the securitydeposited with the Division pursuant to NRS598.495 within 6 months after the tour broker or tour operator ceases tooperate, the Commissioner shall release the security to the tour broker or touroperator and shall not audit any claims filed against the security thereafterby consumers.

2. If one or more claims have been filed against thesecurity within 6 months after the tour broker or tour operator ceases tooperate, the proceeds must not be released to the tour broker or tour operatoror distributed to any consumer earlier than 1 year after the tour broker ortour operator ceases to operate.

3. For the purposes of this section, the Commissionershall determine the date on which a tour broker or tour operator ceases tooperate.

(Added to NRS by 2001, 982)

NRS 598.525 Regulations. The Commissioner may adopt such regulations as theCommissioner determines are necessary to carry out the intent of NRS 598.405 to 598.525, inclusive.

(Added to NRS by 2001, 982; A 2003, 1826)

CREDIT SERVICE ORGANIZATIONS, ORGANIZATIONS FOR BUYINGGOODS OR SERVICES AT DISCOUNT, DANCE STUDIOS AND HEALTH CLUBS

General Provisions

NRS 598.701 Definitions. As used in NRS 598.701to 598.736, inclusive, unless thecontext otherwise requires, the words and terms defined in NRS 598.706, 598.711 and 598.716 have the meanings ascribed to themin those sections.

(Added to NRS by 1997, 3192)(Substituted in revisionfor NRS 598.2802)

NRS 598.706 Commissionerdefined. Commissioner means the Commissionerof the Consumer Affairs Division of the Department of Business and Industry.

(Added to NRS by 1997, 3192)(Substituted in revisionfor NRS 598.2803)

NRS 598.711 Divisiondefined. Division means the Consumer AffairsDivision of the Department of Business and Industry.

(Added to NRS by 1997, 3192)(Substituted in revisionfor NRS 598.2804)

NRS 598.716 Registrantdefined. Registrant means a credit serviceorganization, an organization for buying goods or services at a discount, adance studio or a health club which is required to register and post securitywith the Division pursuant to the provisions of this chapter.

(Added to NRS by 1997, 3192)(Substituted in revisionfor NRS 598.2805)

NRS 598.721 Registration:Application; fee; deposit of security; certificate of registration; renewal ofcertificate.

1. Each credit service organization, organization forbuying goods or services at a discount, dance studio and health club regulatedby the provisions of this chapter shall apply for registration on the formprescribed by the Division.

2. At the time of application for registration, theapplicant must pay to the Division an administrative fee of $25 and deposit therequired security with the Division.

3. Upon receipt of the security in the proper form andthe payment of the administrative fee required by this section, the Divisionshall issue a certificate of registration to the applicant. A certificate ofregistration:

(a) Is not transferable or assignable; and

(b) Expires 1 year after it is issued.

4. A registrant must renew a certificate ofregistration issued pursuant to this section before the certificate expires bysubmitting to the Division an application for the renewal of the certificate ona form prescribed by the Division.

(Added to NRS by 1997, 3192; A 2001, 2151)(Substitutedin revision for NRS 598.2806)

NRS 598.726 Securityrequired for registration: Form; term; records; rejection for nonconformance;change in form; inadequate amount.

1. Each registrant shall deposit with the Division:

(a) A bond executed by a corporate surety approved bythe Commissioner and licensed to do business in this state;

(b) An irrevocable letter of credit for which theregistrant is the obligor, issued by a bank whose deposits are federallyinsured; or

(c) A certificate of deposit in a financial institutionwhich is doing business in this state and which is federally insured or insuredby a private insurer approved pursuant to NRS678.755. The certificate of deposit may be withdrawn only on the order ofthe Commissioner, except that the interest may accrue to the registrant.

2. The term of the bond, letter of credit orcertificate of deposit, or any renewal thereof, must be not less than 1 year.

3. If the registrant deposits a bond, the registrantshall keep accurate records of the bond and the payments made on the premium.The records must be open to inspection by the Division during business hours.The registrant shall notify the Division not later than 30 days before the dateof expiration of the bond and provide written proof of the renewal of the bondto the Division.

4. The Commissioner may reject any bond, letter ofcredit or certificate of deposit which fails to conform to the requirements ofthis chapter.

5. A registrant may change the form of security whichhe has deposited with the Division. If the registrant changes the form of thesecurity, the Commissioner may retain for not more than 1 year any portion ofthe security previously deposited by the registrant as security for claimsarising during the time the previous security was in effect.

6. If the amount of the deposited security falls belowthe amount required by this chapter for that security, the registrant shall bedeemed not to be registered as required by NRS598.721 for the purposes of this chapter.

(Added to NRS by 1997, 3192; A 1999, 1517)(Substitutedin revision for NRS 598.2807)

NRS 598.731 Rightsand remedies of injured consumers; resolution by Division of claims againstsecurity; regulations.

1. The security required to be deposited by aregistrant pursuant to NRS 598.726 mustbe held in trust for consumers injured by the bankruptcy of the registrant orthe registrants breach of any agreement entered into in his capacity as a registrant.

2. A consumer so injured may bring and maintain anaction in any court of competent jurisdiction to recover against the security.

3. The Division may bring an action for interpleaderagainst all claimants upon the security. If the Division brings such an action,the Division shall publish notice of the action at least once each week for 2weeks in a newspaper of general circulation in the county in which theorganization has its principal place of business. The Division may deduct itscosts of the action, including the costs of the publication of the notice, fromthe amount of the security. All claims against the security have equalpriority. If the security is insufficient to pay all the claims in full, theclaims must be paid pro rata. If the registrant has posted a bond with theDivision, the surety is then relieved of all liability under the bond.

4. The Division may, in lieu of bringing an action forinterpleader pursuant to subsection 3, conduct a hearing to determine thedistribution of the security to claimants. The Division shall adopt regulationsto provide for adequate notice and the conduct of the hearing. If theregistrant has posted a bond with the Division, distribution pursuant to thissubsection relieves the surety of all liability under the bond.

5. If the security is sufficient to pay all claimsagainst the security in full, the Division may deduct from the amount of thesecurity, the cost of any investigation or hearing it conducted to determinethe distribution of the security.

(Added to NRS by 1997, 3193; A 2001, 2151)(Substitutedin revision for NRS 598.2808)

NRS 598.736 Releaseof security if registrant ceases to operate or registration expires.

1. If no claims have been filed against the securitydeposited with the Division pursuant to NRS598.726 within 6 months after the registrant ceases to operate or hisregistration expires, whichever occurs later, the Commissioner shall releasethe security to the registrant and shall not audit any claims filed against thesecurity thereafter by consumers.

2. If one or more claims have been filed against thesecurity within 6 months after the registrant ceases to operate or his registrationexpires, whichever occurs later, the proceeds must not be released to theregistrant or distributed to any consumer earlier than 1 year after theregistrant ceases to operate or his registration expires, whichever occurslater.

3. For the purposes of this section, the Commissionershall determine the date on which a registrant ceases to operate.

(Added to NRS by 1997, 3193)(Substituted in revisionfor NRS 598.2809)

Credit Service Organizations

NRS 598.741 Definitions.As used in NRS 598.741 to 598.787, inclusive, unless the contextotherwise requires:

1. Buyermeans a natural person who is solicited to purchase or who purchases theservices of an organization which provides credit services.

2. Commissionermeans the Commissioner of Consumer Affairs.

3. Divisionmeans the Consumer Affairs Division of the Department of Business and Industry.

4. Extension ofcredit means the right to defer payment of debt or to incur debt and defer itspayment, offered or granted primarily for personal, family or householdpurposes.

5. Organization:

(a) Means aperson who, with respect to the extension of credit by others, sells, providesor performs, or represents that he can or will sell, provide or perform, any ofthe following services, in return for the payment of money or other valuable consideration:

(1) Improvinga buyers credit record, history or rating.

(2) Obtainingan extension of credit for a buyer.

(3) Providingcounseling or assistance to a person in establishing or effecting a plan forthe payment of his indebtedness, unless that counseling or assistance isprovided by and is within the scope of the authorized practice of a debtadjuster licensed pursuant to chapter 676 ofNRS.

(4) Providingadvice or assistance to a buyer with regard to subparagraph (1) or (2).

(b) Does notinclude:

(1) Aperson organized, chartered or holding a license or authorization certificateto make loans or extensions of credit pursuant to the laws of this state or theUnited States who is subject to regulation and supervision by an officer oragency of this state or the United States.

(2) Abank, credit union or savings and loan institution whose deposits or accountsare eligible for insurance by the Federal Deposit Insurance Corporation, theNational Credit Union Share Insurance Fund or a private insurer approvedpursuant to NRS 678.755.

(3) Aperson licensed as a real estate broker by this state where the person isacting within the course and scope of that license, unless the person is renderingthose services in the course and scope of employment by or other affiliationwith an organization.

(4) Aperson licensed to practice law in this state where the person renders serviceswithin the course and scope of his practice as an attorney at law, unless theperson is rendering those services in the course and scope of employment by orother affiliation with an organization.

(5) Abroker-dealer registered with the Securities and Exchange Commission or theCommodity Futures Trading Commission where the broker-dealer is acting withinthe course and scope of such regulation.

(6) Aperson licensed as a debt adjuster pursuant to chapter676 of NRS.

(7) Areporting agency.

6. Reportingagency means a person who, for fees, dues or on a cooperative nonprofit basis,regularly engages in whole or in part in the business of assembling orevaluating information regarding the credit of or other information regardingconsumers to furnish consumer reports to third parties, regardless of the meansor facility of commerce used to prepare or furnish the consumer reports. Theterm does not include:

(a) A personsolely for the reason that he conveys a decision regarding whether to guaranteea check in response to a request by a third party;

(b) A personwho obtains or creates a consumer report and provides the report or informationcontained in it to a subsidiary or affiliate; or

(c) A person licensed pursuant to chapter 463 of NRS.

(Added to NRS by 1987, 1517; A 1989, 935; 1993, 1798,2272, 2801; 1995, 692; 1999,1518, 2544)(Substitutedin revision for NRS 598.281)

NRS 598.746 Prohibitedacts: Receiving money before complete performance; receiving money for referralto provider of credit; misleading statements; other fraudulent or deceptiveacts. An organization and its agents,employees and representatives who sell or attempt to sell the services of theorganization, shall not:

1. Charge or receive any money or other valuableconsideration before full and complete performance of the services theorganization has agreed to perform for or on behalf of the buyer.

2. Charge or receive any money or other valuableconsideration solely for referral of the buyer to a retail seller who will ormay extend credit to the buyer, if the credit which is or will be extended tothe buyer is upon substantially the same terms as those available to thegeneral public.

3. Make, counsel or advise any buyer to make, anystatement which is untrue or misleading and which is known, or which by theexercise of reasonable care should be known, to be untrue or misleading, to aconsumer credit reporting agency or to any person who has extended credit to abuyer or to whom a buyer is applying for an extension of credit, with respectto a buyers creditworthiness, credit standing or credit capacity.

4. Make or use any untrue or misleadingrepresentations in the offer or sale of the services of an organization. Forthe purposes of this subsection, a misleading representation includes aguarantee that:

(a) The organization is able to remove information thatis adverse to the buyers ability to obtain credit from the buyers creditrecord, history or rating.

(b) The organization is able to obtain an extension ofcredit for the buyer regardless of the buyers existing credit record, historyor rating.

5. Engage, directly or indirectly, in any act,practice or course of business which operates or would operate as a fraud ordeception upon any person in connection with the offer or sale of the servicesof an organization.

6. Remove, or assist or advise the buyer to removefrom the buyers credit record, history or rating, information that is adverseto the buyers ability to obtain credit if the information is accurate and notobsolete.

7. Create, or assist or advise the buyer to create anew credit record, history or rating by using a different name, address, socialsecurity number, employee identification number or other misleadinginformation.

8. Attempt to transfer or assign the organizations certificateof registration.

9. Submit a buyers dispute to a consumer creditreporting agency without the buyers knowledge.

10. Call, or authorize any other person who is not thebuyer to call a consumer credit reporting agency and portray himself as thebuyer.

(Added to NRS by 1987, 1518; A 1993,2274)(Substituted in revision for NRS 598.282)

NRS 598.752 Organizationto register and deposit security before advertising services or conductingbusiness in this State; separate security not required from salesperson, agentor representative of organization; regulations.

1. Before advertising its services or conductingbusiness in this State, an organization must register pursuant to NRS 598.721 and deposit security in theamount of $100,000 with the Division pursuant to NRS 598.726. The security must be conditionedon compliance by the organization with the provisions of NRS 598.746 to 598.772, inclusive, and the terms of itscontracts with buyers.

2. If an organization has deposited the requiredsecurity, a salesperson, agent or representative of the organization who sellsits services is not required to deposit his own separate security. For thepurposes of this subsection, a person is a salesman, agent or representative ofan organization if:

(a) He does business under the same name as theorganization; or

(b) The organization and the issuer of the securitycertify in writing that the security covers the salesperson, agent orrepresentative.

3. The Division shall adopt such regulations as itdeems necessary to carry out the provisions of this section.

(Added to NRS by 1993, 2272; A 1997,3196)(Substituted in revision for NRS 598.2825)

NRS 598.757 Organizationto provide buyer certain information in writing.

1. Before the execution of a contract between thebuyer and an organization or before the receipt by the organization of anymoney or other valuable consideration, whichever occurs first, the organizationmust provide to the buyer, in writing:

(a) A statement:

(1) That the buyer has a right pursuant to 15U.S.C. 1681g and 1681h to receive disclosure of all information, exceptmedical information, in any file on him maintained by a consumer creditreporting agency;

(2) That 15 U.S.C. 1681j requires that thisdisclosure be made free to the buyer if he requests it within 30 days afterreceipt of notice of a denial of credit;

(3) Of the approximate cost to the buyer ofreceiving this disclosure when there has not been a denial of credit; and

(4) That the buyer has the right pursuant to 15U.S.C. 1681i to dispute the completeness or accuracy of any item contained inany file on him maintained by any consumer credit reporting agency.

(b) A detailed description of the services to beperformed by the organization for the buyer and the total amount the buyer willbecome obligated to pay for the services.

(c) A statement that the buyer has a right to proceedagainst the security deposited with the Division by the organization under thecircumstances and in the manner set forth in NRS598.731 and 598.736. The statementprovided pursuant to this paragraph must include the name and address of theissuer of the security.

(d) A statement that the buyer may cancel a contractfor the services of an organization within 5 days after its execution bywritten notice mailed or delivered to the organization.

(e) A statement identifying the availability of anynonprofit association which provides services similar to those offered by theorganization. The statement provided pursuant to this paragraph must includethe associations telephone number, including the associations nationaltoll-free telephone number, if any.

2. The written information provided pursuant tosubsection 1 must be printed in at least 10-point bold type and must includethe following statement or a similar statement approved by the Division:

 

RIGHTSOF CONSUMERS REGARDING CREDIT FILES

PURSUANTTO STATE AND FEDERAL LAW

 

You have the right to obtaina copy of your credit file from a consumer credit reporting agency. There is nofee if, within the past 30 days, you have been turned down for credit,employment or insurance because of information in your credit report. Theconsumer credit reporting agency is obligated to provide someone to help youinterpret the information in your credit file.

You have a right to disputeinaccurate information by contacting the consumer credit reporting agencydirectly. However, neither you nor any credit service organization has theright to have accurate, current and verifiable information removed from yourcredit report. Generally, under the Fair Credit Reporting Act, the consumercredit reporting agency is obligated to remove accurate, negative informationfrom your report only if it is more than 7 years old and bankruptcy informationcan be reported for 10 years. If you have notified a credit reporting agencythat you dispute the accuracy of information in your credit file, the consumercredit reporting agency is obligated to make an investigation and modify orremove inaccurate information. The consumer credit reporting agency may notcharge a fee for this service. Any relevant information and copies of alldocuments you have concerning the disputed information should be given to theconsumer credit reporting agency. If the investigation does not resolve thedispute to your satisfaction, you may send a brief statement to the consumercredit reporting agency to keep in your credit file, explaining why you thinkthe information in the credit file is inaccurate. The consumer credit reportingagency is obligated to include your statement or a summary of your statementabout disputed information in any report it issues about you.

 

RIGHTSOF CONSUMERS REGARDING

CANCELLATIONOF A CONTRACT

 

You have a right to givewritten notice of your intent to cancel a contract with a credit serviceorganization for any reason within 5 working days from the date you signed it.If for any reason you do cancel a contract during this time, you do not owe anymoney. You have a right to sue a credit service organization if it misleadsyou.

 

3. The organization shall retain a copy of the writteninformation it provides pursuant to the requirements of subsections 1 and 2 fornot less than 2 years.

(Added to NRS by 1987, 1518; A 1993, 2274; 1997,3197)(Substituted in revision for NRS 598.283)

NRS 598.762 Requirementsof contract for purchase of services; copy of contract must be retained byorganization.

1. A contract between a buyer and an organization forthe purchase of the services of the organization:

(a) Must be in writing;

(b) Must be signed by the buyer;

(c) Must be dated; and

(d) Must clearly indicate above the signature line thatthe buyer may cancel the contract within 5 days after its execution by givingwritten notice to the organization of his intent to cancel the contract. If thenotice is mailed, it must be postmarked not later than 5 days after theexecution of the contract.

2. A copy of each contract executed by a buyer and anorganization must be retained by the organization for not less than 2 years.

(Added to NRS by 1987, 1519; A 1993,2276)(Substituted in revision for NRS 598.284)

NRS 598.767 Organizationto maintain resident agent for service of legal process. An organization shall file with the Division a designationand acceptance of and continuously maintain a resident agent for service oflegal process.

(Added to NRS by 1993, 2272)(Substituted in revisionfor NRS 598.2855)

NRS 598.772 Waiverof statutory rights prohibited; burden of proof upon person claiming exemptionor exception from definition.

1. Any waiver by a buyer of the provisions of NRS 598.746 to 598.777, inclusive, is contrary to publicpolicy and is void and unenforceable. Any attempt by an organization to have abuyer waive rights given by NRS 598.746to 598.777, inclusive, is unlawful.

2. In any proceeding involving NRS 598.741 to 598.787, inclusive, the burden of provingan exemption or an exception from a definition is upon the person claiming it.

(Added to NRS by 1987, 1520; A 1993, 2277)(Substitutedin revision for NRS 598.286)

NRS 598.777 Buyersaction for recovery of damages or injunctive relief; attorneys fees; punitivedamages. A buyer injured by a violation of NRS 598.746 to 598.772, inclusive, or by a breach by anorganization of a contract subject to those sections, may bring an action forrecovery of damages, for injunctive relief or for both recovery of damages andinjunctive relief. Judgment for damages must be entered for actual damages, butin no case less than the amount paid by the buyer to the organization, plusreasonable attorneys fees and costs. If the court deems it proper, the courtmay award punitive damages.

(Added to NRS by 1987, 1520; A 1993,2277)(Substituted in revision for NRS 598.287)

NRS 598.782 Criminalpenalty.

1. Except as otherwise provided in subsection 2, aperson who violates any provision of NRS598.746 to 598.772, inclusive, isguilty of a misdemeanor.

2. A person who breaches a contract subject to NRS 598.746 to 598.772, inclusive, is not guilty of amisdemeanor solely because of the breach.

(Added to NRS by 1987, 1520; A 1993,2277)(Substituted in revision for NRS 598.288)

NRS 598.787 Provisionsand remedies not exclusive; violation constitutes deceptive trade practice.

1. The provisions of NRS598.746 to 598.777, inclusive, arenot exclusive and do not relieve the parties or the contracts subject theretofrom compliance with any other applicable provision of law.

2. The remedies provided in NRS 598.772 and 598.777 for violation of any provision of NRS 598.746 to 598.772, inclusive, are in addition to anyother procedures or remedies for any violation or conduct provided for in anyother law.

3. Any violation of NRS598.746 to 598.772, inclusive,constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.

(Added to NRS by 1987, 1520; A 1993, 1959, 2278;1995, 692; 1997, 3198)(Substituted in revision for NRS 598.289)

Organizations for Buying Goods or Services at Discount

NRS 598.840 Definitions. As used in NRS 598.840to 598.930, inclusive, unless thecontext otherwise requires:

1. Affiliate organization means an organization forbuying goods or services at a discount that:

(a) Is a subsidiary of a parent business entity; or

(b) Operates under a franchise granted by a parentbusiness entity.

2. Business day means any calendar day exceptSunday, or the following business holidays: New Years Day, Martin Luther King,Jr.s Birthday, Washingtons Birthday, Memorial Day, Independence Day, LaborDay, Nevada Day, Veterans Day, Thanksgiving Day and Christmas Day.

3. Buyer means a person who purchases by contract amembership in an organization for buying goods or services at a discount.

4. Commissioner means the Commissioner of theConsumer Affairs Division.

5. Consumer Affairs Division means the ConsumerAffairs Division of the Department of Business and Industry.

6. Franchise has the meaning ascribed to it in 16C.F.R. 436.2, as amended or substituted in revision by the Federal TradeCommission.

7. Organization for buying goods or services at adiscount or organization means a person who, for a consideration, providesor claims to provide a buyer with the ability to purchase goods or services ata price which is represented to be lower than the price generally charged inthe area. The term includes, without limitation, an affiliate organization.

8. Parent business entity or parent means anybusiness entity that, directly or indirectly, has owned, operated, controlledor granted franchises to, in any combination thereof, at least 15 organizationsor affiliate organizations for a consecutive period of 5 years or more.

9. Subsidiary means an organization for buying goodsor services at a discount that is owned, operated or controlled, eitherdirectly or indirectly or in whole or in part, by a parent business entity.

(Added to NRS by 1985, 960; A 1993, 1800, 1960; 1995,663; 1997, 3199; 2005,1373)

NRS 598.845 Scope. An organization in which:

1. The consideration for the contract for membershipis $50 or less or is an annual fee of $25 or less; or

2. Providing goods or services at a discount is notthe primary purpose of the organization but is incidental to membership in theorganization,

is notsubject to the provisions of NRS 598.840to 598.930, inclusive.

(Added to NRS by 1985, 960)

NRS 598.851 Organizationto register and post security before advertising services or conductingbusiness in this State. Before advertising itsservices or conducting business in this State, an organization for buying goodsor services at a discount must register pursuant to NRS 598.721 and post security in the amountof $50,000 with the Consumer Affairs Division pursuant to NRS 598.726. The security must beconditioned on compliance by the organization with the provisions of NRS 598.840 to 598.930, inclusive, the terms of thebuyers contract for membership in the organization and the terms of anycontract with the buyer for the purchase of goods or services.

(Added to NRS by 1997, 3194; A 2005, 1374)

NRS 598.855 Trustaccount required for payments on contracts.

1. Before the organization receives any money from anybuyer pursuant to a contract for membership in the organization, it shallestablish a trust account for payments on contracts at a financial institutionthat is federally insured or insured by a private insurer approved pursuant to NRS 678.755. Each payment from a buyer forhis contract for membership, except for $50 of the first payment, must bedeposited in the trust account.

2. Except as otherwise provided in subsection 3,during each quarter of the term of a buyers contract or each 6 months,whichever period is shorter, the trustee shall withdraw one-quarter of thebuyers payments under the contract from the trust account and pay the amountto the organization.

3. If an affiliate organization obtains the expressconsent of its parent and the parent posts the security required by subsection4, the affiliate organization may:

(a) Authorize the parent to serve as the trusteepursuant to NRS 598.865 for the trustaccounts required by this section and NRS598.860; and

(b) Authorize the trustee to make the followingwithdrawals from the trust account required by this section:

(1) During the first quarter of the term of abuyers contract or the first 6 months, whichever period is shorter, the trusteeshall withdraw not more than one-half of the buyers payments under thecontract from the trust account and pay the amount to the affiliateorganization; and

(2) During the second quarter of the term of thebuyers contract or the second 6 months, whichever period is shorter, thetrustee shall withdraw the remaining balance of the buyers payments under thecontract from the trust account and pay the amount to the affiliateorganization.

4. Before a trustee may withdraw money from a trustaccount pursuant to subsection 3, the parent must post security in the amountof $250,000 with the Consumer Affairs Division pursuant to NRS 598.726. The security posted by theparent:

(a) Provides coverage for all of the parents affiliateorganizations that are authorized to act pursuant to subsection 3;

(b) Must be conditioned on compliance by such anaffiliate organization with the provisions of NRS598.840 to 598.930, inclusive, theterms of the buyers contract for membership in the affiliate organization andthe terms of any contract with the buyer for the purchase of goods or services;and

(c) May be used to pay a claim against such anaffiliate organization only if the security posted by the affiliateorganization pursuant to NRS 598.851 hasbeen exhausted.

5. If the organization sells, transfers or assigns thecontract with the buyer to a third party, and the third party gives reasonableconsideration for the contract, the organization shall deposit theconsideration in the trust account. If the third party does not give reasonableconsideration for the contract, the organization shall deposit all payments onthe contract from the buyer in the organizations trust account for payments onthe contract.

(Added to NRS by 1985, 961; A 1999, 1519; 2005, 1374)

NRS 598.860 Trustaccount required for payments on goods and services.

1. Before the organization accepts money from anybuyer for an order of goods or services, it shall establish a trust account forthe deposit of payments on goods or services. The organization shall depositall money received from each buyer for goods or services, including charges forfreight, delivery, installation or taxes or other charges, unless the totalcost is $50 or less in the trust account. The trust account must be for thebenefit of buyers who order goods or services from the organization.

2. The trustee may withdraw money from the trustaccount for payments on goods or services to pay the source of the goods orservices ordered by the buyer, or to make a refund to the buyer. After suchwithdrawal, the trustee may withdraw that percentage of the remainder of thedeposit from the buyer which represents the organizations profit.

(Added to NRS by 1985, 962)

NRS 598.865 Administrationof trust accounts; audits.

1. Except as otherwise provided in subsection 3 of NRS 598.855, the trust accounts required byNRS 598.855 and 598.860 must be administered by an independenttrustee approved by the Commissioner. All fees charged by the trustee toadminister a trust account must be paid by the organization.

2. The trustee shall withdraw money from the trustaccount for payments on goods or services only upon written proof from thesource of the goods or services that the items have been shipped or deliveredto the buyer. The Commissioner may audit the trustee as necessary to ensurecompliance with NRS 598.840 to 598.930, inclusive.

(Added to NRS by 1985, 962; A 2005, 1375)

NRS 598.870 Disclosureof information to buyer required before he signs contract or application formembership. Each organization, before theprospective buyer signs a contract or application for membership in theorganization, shall give to the buyer in writing:

1. A description of the exact nature of the servicesit provides, specifying the general categories of goods which are available atthe organizations place of business or warehouse, those categories of goodswhich must be ordered or obtained through stores to which the organizationrefers the buyer and those categories of goods which must be ordered orobtained through the mail.

2. A list, current within 60 days immediatelypreceding the signing of the contract, of at least 100 items which are sold byor through the organization or available to a buyer, identified by the name ofthe brand, model and total price including a reasonable estimate of charges forfreight, delivery and installation, the organizations markup and a reasonableestimate of any other charges the organization imposes. The items must bereasonably representative of the type of goods available. In lieu of providingsuch a list, the organization shall give to the buyer, in writing, a list of atleast 100 items which were purchased by its members through the discount buyingorganization during the preceding 60 days. The list must identify the items bythe name of the brand, model and total selling price including charges forfreight, delivery and installation, the organizations markup, and any othercharges imposed by the discount buying organization, and must be representativeas to the type of goods sold and the prices charged for the goods listed assold during that period. If the number of different items available through anorganization is less than 100, it may furnish a list of the total itemsavailable, containing the same information as the previous lists, with astatement that those are the only goods available. Any list required by thissubsection must state the date on which it was prepared.

3. A statement of the organizations policy withrespect to warranties or guarantees on goods ordered, and the policy withrespect to the return of ordered goods, cancellation of orders by the buyer andrefunds for cancellation or return.

4. A description of any charges, such as charges forfreight, delivery and installation, the sellers markup and any other chargeswhich are incidental to the purchase of goods and which are to be paid by thebuyer. A disclosure of specific costs must also be made on each order placedthrough the organization.

5. A statement whether any stockholder, director,officer, general or limited partner of the discount buying organization:

(a) Has been convicted of a felony or misdemeanor orpleaded nolo contendere to a felony or misdemeanor charge, if it involvedfraud, embezzlement, misappropriation of property or a violation of NRS 598.840 to 598.930, inclusive;

(b) Has been held liable in a civil action by finaljudgment or consented to the entry of a stipulated judgment if the civil actionalleged fraud, embezzlement, misappropriation of property, a violation of NRS 598.840 to 598.930, inclusive, the use of untrue ormisleading representations in an attempt to sell or dispose of real or personalproperty, or the use of unfair, unlawful or deceptive business practices; or

(c) Is subject to a currently effective injunction orrestrictive order relating to any business activity as the result of an actionbrought by a governmental agency, and including the name of the court, the dateof the order or injunction and the name of the governmental agency that filedthe action.

(Added to NRS by 1985, 962)

NRS 598.875 Requirementsfor contracts for membership. Each contractfor membership in an organization must:

1. Be in writing, legible and have all spaces filledin before the buyer signs it;

2. Be in the language in which the sales presentationwas given;

3. Contain the addresses of the buyer and theorganization;

4. Be given to the buyer when he signs it;

5. Disclose that the security required by NRS 598.726, 598.851 and, if applicable, NRS 598.855 has been obtained and depositedwith the Consumer Affairs Division;

6. Specify the term of the membership of the buyer,which may not be measured by the buyers life;

7. Clearly specify the buyers right to cancel thecontract pursuant to NRS 598.885;

8. Clearly specify the buyers right to rescind thecontract and to be given a refund pro rata pursuant to NRS 598.910 and the conditions andlimitations on that right;

9. Clearly specify the buyers right to a refund onthe purchase of goods pursuant to NRS598.895 and the conditions and limitations on that right; and

10. Clearly specify whether or not the buyer is givenany other rights to a refund on the purchase of goods or services and, if so,any conditions and limitations on those rights.

(Added to NRS by 1985, 963; A 1997, 3199; 2005, 1375)

NRS 598.880 Limitson contracts for membership. A contract for membershipin an organization must not:

1. Require payments or financing by the buyer for morethan 2 years from the date the contract was executed; or

2. Deny a third party the right to assert a cause ofaction or defense which the buyer has against the organization.

(Added to NRS by 1985, 963)

NRS 598.885 Cancellationof contract by buyer; notice required. Thebuyer may cancel a contract for membership in an organization by giving theorganization written notice of the cancellation within 3 business days after hereceives a copy of the contract. The notice must be delivered in person or bymail postmarked by midnight of the third business day. The organization shallreturn all money paid by the buyer within 15 days after it receives the noticeof cancellation.

(Added to NRS by 1985, 964)

NRS 598.890 Membershipof buyer effective 7 days after contract signed. Themembership of the buyer in an organization becomes effective 7 days after thecontract for membership is signed.

(Added to NRS by 1985, 964)

NRS 598.895 Refundrequired, if requested, for goods not delivered within 6 weeks. If any goods ordered by the buyer are not delivered to thebuyer or available for pickup by the buyer at a location within his county ofresidence within 6 weeks after he places the order for the goods or by a dateagreed upon at the time of the order, any money paid by the buyer for the goodsmust, at his request, be refunded.

(Added to NRS by 1985, 964)

NRS 598.900 Untrueor misleading statements by organization prohibited; effect on contract. An organization shall not make any untrue or misleadingrepresentations to the buyer or in its advertising. A contract for membershipin an organization where any untrue or misleading representation was made tothe buyer or the buyer was made aware of the untrue or misleadingrepresentation is void and unenforceable by the organization.

(Added to NRS by 1985, 964)

NRS 598.905 Correctionof violations. If an organization does notcomply with the provisions of NRS 598.840to 598.895, inclusive, or 598.905 to 598.930, inclusive, the buyer may agree inwriting, after a full disclosure, to any correction of the defect if thecorrection is made within 30 days after he signs the contract for membership inthe organization. If the buyer does not consent, or if the correction is notmade within the 30-day period, the contract is rescinded, and the buyer must begiven a full refund.

(Added to NRS by 1985, 964)

NRS 598.910 Effectof transfer by organization of its obligation to provide goods or services;circumstances under which buyer may rescind contract.

1. If an organization transfers its obligation toprovide goods or services to a buyer to another organization which providessubstantially fewer goods or services, the buyer may consent to the transfer inwriting after a full disclosure to him of the goods and services to be providedby the new organization. If a buyer does not consent, his contract isrescinded, and he must be given a refund pro rata based on the amount of timehe was a member of the organization.

2. The buyer may rescind the contract and theorganization shall give him a refund pro rata based on the amount of time hewas a member of the organization if any of the following circumstances occur:

(a) Except as otherwise provided in this paragraph, theorganization moves its place of business which is geographically closest to thebuyers residence, as indicated in the contract, more than 20 miles fartherfrom the buyers residence than it was when the contract for membership wassigned. The provisions of this paragraph do not apply if:

(1) The organization offers the buyer asubstantially equivalent at-home ordering service through at least one othergenerally available channel of communication, including, without limitation,the Internet;

(2) The at-home ordering service offers the samecategories of goods and services provided by the organization at the time theorganization moves its place of business; and

(3) Any goods ordered by the buyer through theat-home ordering service are shipped, at the election of the buyer, to either thebuyers residence, as indicated in the contract, or a freight receiver within20 miles of that residence.

(b) Within 6 months after the contract for membershipwas signed, the organization stops providing any category of goods or servicesrepresented to the buyer to be available when he signed the contract.

(Added to NRS by 1985, 964; A 2005, 1375)

NRS 598.915 Waiverof statutory rights is void. Any waiver by thebuyer of the provisions of NRS 598.840to 598.930, inclusive, is contrary topublic policy and void.

(Added to NRS by 1985, 964)

NRS 598.920 Actionsagainst organization; restitution, treble damages, attorneys fees and costsmay be awarded.

1. A cause of action or a defense of a buyer againstthe organization is not extinguished by the transfer, assignment or sale of thecontract for membership in the organization to a third party.

2. In an action by a buyer against an organization forviolation of the provisions of NRS 598.840to 598.930, inclusive, the court mayaward restitution, treble damages, reasonable attorneys fees and costs. If thecourse of action was based on a violation of NRS598.900, the court may award the buyer $1,000, reasonable attorneys feesand costs, or restitution, treble damages, reasonable attorneys fees andcosts, whichever is greater.

(Added to NRS by 1985, 965)

NRS 598.930 Remediesnot exclusive; violation constitutes deceptive trade practice.

1. The remedies, duties and prohibitions of NRS 598.840 to 598.930, inclusive, are not exclusive andare in addition to any other remedies provided by law.

2. Any violation of NRS598.851 to 598.900, inclusive,constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.

(Added to NRS by 1985, 965; A 1993, 1961; 1997, 3199)

Dance Studios and Health Clubs

NRS 598.940 Definitions. As used in NRS 598.940to 598.966, inclusive, unless thecontext otherwise requires, the words and terms defined in NRS 598.9403 to 598.9417, inclusive, have the meaningsascribed to them in those sections.

(Added to NRS by 1989, 2037; A 1993, 1801, 1962;1995, 663)

NRS 598.9403 Businessday defined. Business day means anycalendar day except Sunday, or the following business holidays: New Years Day,Martin Luther King, Jr.s Birthday, Washingtons Birthday, Memorial Day,Independence Day, Labor Day, Nevada Day, Veterans Day, Thanksgiving Day andChristmas Day.

(Added to NRS by 1993, 1956)

NRS 598.9405 Buyerdefined. Buyer means any person whopurchases by contract dance lessons, the use of facilities or other servicesfrom a dance studio or health club.

(Added to NRS by 1993, 1956)

NRS 598.9407 Commissionerdefined. Commissioner means the Commissionerof the Division.

(Added to NRS by 1993, 1956)

NRS 598.941 Dancestudio defined. Dance studio means any enterprisethat offers instruction in ballroom or other types of dancing, includinglessons or other services, except:

1. A nonprofit public or private school, college oruniversity;

2. The State or any political subdivision; or

3. A nonprofit religious or ethnic organization or anonprofit organization for the benefit of the community or its members.

(Added to NRS by 1993, 1956)

NRS 598.9413 Divisiondefined. Division means the Consumer AffairsDivision of the Department of Business and Industry.

(Added to NRS by 1993, 1956; A 1995, 663)

NRS 598.9415 Healthclub defined. Health club means anyenterprise which offers the use of its facilities for the maintenance ordevelopment of physical fitness or the control of weight, except:

1. A nonprofit public or private school, college oruniversity;

2. The State or any political subdivision; or

3. A nonprofit religious or ethnic organization or anonprofit organization for the benefit of the community or its members.

(Added to NRS by 1993, 1956)

NRS 598.9417 Pre-saledefined. Pre-sale means the sale of dance lessons,the use of facilities or other services by a dance studio or health club beforeall amenities, facilities or benefits identified in the contract or salespresentation are available to the buyer.

(Added to NRS by 1993, 1957)

NRS 598.942 Scope. The provisions of NRS 598.940to 598.966, inclusive, apply tocontracts for dance lessons, the use of facilities or other services from adance studio or health club only if the membership is intended for use by thebuyer or for the buyer and the members of his family and:

1. The buyer purchases or becomes obligated topurchase the dance lessons, use of facilities or other services for more than 3months and the dance studio or health club requires the payment of any fee ordues more than 3 months in advance;

2. The dance studio or health club requires thepayment of a fee for initiation or membership in an amount greater than $75; or

3. The dance studio or health club accepts from abuyer more than $100 at any one time for dance lessons, the use of facilitiesor other services.

(Added to NRS by 1989, 2038; A 1993, 1962)

NRS 598.944 Registrationof dance studio or health club required.

1. Each owner of a dance studio or health club shallregister with the Division pursuant to NRS598.721, listing the full name and address of the studio or club and anyother description of its facilities or activities the Division requires.

2. At least one member of the governing body of thedance studio or health club must live in the county where the studio or club islocated. He is the agent of the studio or club and its owner for receipt ofprocess served.

(Added to NRS by 1989, 2038; A 1993, 1962; 1997,3199)

NRS 598.946 Ownerof dance studio or health club to register and deposit security beforeadvertising services or conducting business in this State: Amount of security;adjustment of security; exception from requirement to deposit security.

1. Except as otherwise provided in subsection 5,before advertising its services or conducting business in this State, the ownerof a dance studio or a health club must register pursuant to NRS 598.721 and 598.944 and deposit security with theDivision pursuant to NRS 598.726. Thesecurity must:

(a) Be conditioned on compliance by the owner with theprovisions of NRS 598.940 to 598.966, inclusive, and the terms of thecontract with a buyer; and

(b) Remain on deposit with the Division until therelease of the security is authorized or required pursuant to NRS 598.736, except that the dance studioor health club may change the form of the security as provided in NRS 598.726.

2. Except as otherwise provided in subsection 3, theamount of the security to be deposited must be:

(a) Ten thousand dollars, if the dance studio or healthclub has less than 400 members;

(b) Fifteen thousand dollars, if the dance studio orhealth club has 400 members or more but less than 800 members;

(c) Twenty thousand dollars, if the dance studio orhealth club has 800 members or more but less than 1,200 members;

(d) Twenty-five thousand dollars, if the dance studioor health club has 1,200 members or more but less than 1,500 members;

(e) Thirty-five thousand dollars, if the dance studioor health club has 1,500 members or more but less than 4,000 members;

(f) Fifty thousand dollars, if the dance studio orhealth club has 4,000 members or more but less than 25,000 members; and

(g) Two hundred and fifty thousand dollars, if thedance studio or health club has 25,000 or more members.

3. If a dance studio or health club conducts anypre-sale of dance lessons, the use of facilities or other services, the amountof the security required by this section is $100,000 unless a greater amount isrequired pursuant to paragraph (g) of subsection 2.

4. A dance studio or health club shall report to theDivision on a quarterly basis the size of its membership and shall, on thebasis of any change in the size of that membership, adjust accordingly theamount of the security deposited with the Division.

5. If, on October 1, 2001, a dance studio or healthclub has not deposited security with the Division pursuant to NRS 598.726 because it was not required todo so pursuant to this section, the dance studio or health club:

(a) Is not required to deposit security with theDivision pursuant to NRS 598.726; and

(b) Shall obtain a written acknowledgment from eachmember and prominently post a notice on its premises stating that no securityfor refunds or reimbursement has been deposited with the State of Nevada.

(Added to NRS by 1989, 2038; A 1993, 1963; 1997,3200; 2001, 2152)

NRS 598.948 Requirementsfor contract between buyer and dance studio or health club. Each contract between the buyer and the dance studio orhealth club must:

1. Be in writing, legible and have all spaces filledin before the buyer signs it;

2. Be in the language in which the sales presentationwas given;

3. Contain the addresses of the buyer and the studioor club;

4. Be given to the buyer when he signs it;

5. Disclose whether security has been obtained anddeposited with the Division pursuant to NRS598.726;

6. Specify the term of membership of the buyer, whichmust not be measured by the life of the buyer;

7. Clearly specify the right of the buyer to cancelthe contract pursuant to NRS 598.950;

8. Not contain a clause by which the contract isautomatically renewed; and

9. Specify the number of lessons and the cost of eachlesson, if the contract is for dance lessons.

(Added to NRS by 1989, 2039; A 1993, 1964; 1997,3201)

NRS 598.950 Cancellationof contract by buyer; notice required. A buyermay cancel a contract for dance lessons, the use of facilities or other servicesfrom a dance studio or health club within 3 business days after he receives acopy of the contract by notifying the studio or club in writing. The noticemust be delivered in person or by mail postmarked by midnight of the thirdbusiness day. The studio or club shall return all money paid by the buyerwithin 15 days after it receives the notice of cancellation.

(Added to NRS by 1989, 2040; A 1993, 1965)

NRS 598.952 Falseor misleading representations by dance studio or health club prohibited; effecton contract. A dance studio or health clubshall not make any false or misleading representation to the buyer or in itsadvertising. A contract for services from a dance studio or health club is voidand unenforceable if any false or misleading representation was made to thebuyer.

(Added to NRS by 1989, 2040; A 1993, 1965)

NRS 598.954 Rightsof buyer who becomes disabled during term of contract.If a buyer becomes disabled during the term of a contract, and aphysician confirms in writing to the dance studio or health club that:

1. The buyer is not physically able to use thefacilities of the studio or club; and

2. The disability will continue for more than 3months,

the buyer isentitled to suspend the contract for the duration of the disability. After herecovers, he is entitled to an extension of the contract for a period equal tothe time of the disability. If he is permanently disabled, he may cancel thecontract and receive a refund pro rata of the amount paid pursuant to it.

(Added to NRS by 1989, 2040; A 1993, 1965)

NRS 598.956 Rightsof buyer upon closure of dance studio or health club; election of remedies.

1. If a dance studio or health club is closed for morethan 1 month, through no fault of the buyer, he is entitled to:

(a) Extend the contract for a period equal to the timethe studio or club is closed; or

(b) Receive a refund pro rata of the amount paidpursuant to the contract.

2. If the dance studio or health club is closedwithout fault of its owner or management, the election of remedies undersubsection 1 must be made by the studio or club. If the studio or club isclosed because of the fault of its owner or management, the election must bemade by the buyer.

(Added to NRS by 1989, 2040; A 1993, 1965)

NRS 598.958 Rightsof buyer when dance studio or health club transfers its obligations or movesits place of business.

1. If a dance studio or health club transfers itsobligations to provide goods or services to a buyer to another studio or clubthat provides substantially fewer goods or services, the buyer may consent tothe transfer in writing after a full disclosure of the goods and servicesprovided by the new studio or club. If the buyer does not consent, his contractis rescinded and he must be given a refund pro rata upon the amount of time hewas a member of the dance studio or health club.

2. If a dance studio or health club moves its place ofbusiness that is geographically closest to the residence of the buyer as setforth in the contract, more than 20 miles farther away from the residence ofthe buyer than it was when the contract for services was signed, the buyer mayrescind the contract and the dance studio or health club shall provide a refundpro rata based upon the amount of time he was a member.

(Added to NRS by 1989, 2040; A 1993, 1965)

NRS 598.960 Correctionof violations. If a dance studio or healthclub does not comply with the provisions of NRS598.940 to 598.950, inclusive, or 598.954 to 598.966, inclusive, the buyer may agree in writing,after a full disclosure, to any correction of the defect if the correction ismade within 30 days after he signs a contract for dance lessons, the use offacilities or other services. If the buyer does not consent, or if thecorrection is not made within the 30-day period, the contract is rescinded andthe buyer must be given a full refund.

(Added to NRS by 1989, 2041; A 1993, 1966)

NRS 598.962 Waiverof provisions is void. Any waiver by the buyerof the provisions of NRS 598.940 to 598.966, inclusive, is contrary to publicpolicy and void.

(Added to NRS by 1989, 2041)

NRS 598.966 Remedies,duties and prohibitions not exclusive; violation constitutes deceptive tradepractice.

1. The remedies, duties and prohibitions of NRS 598.940 to 598.966, inclusive, are not exclusive andare in addition to any other remedies provided by law.

2. Any violation of NRS598.944 to 598.958, inclusive,constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.

(Added to NRS by 1989, 2041; A 1993, 1966)

PROVISION OF TELECOMMUNICATIONS SERVICES

NRS 598.968 Definitions. As used in NRS 598.968to 598.9694, inclusive, unless thecontext otherwise requires, the words and terms defined in NRS 598.9682 and 598.9684 have the meanings ascribed tothem in those sections.

(Added to NRS by 1999, 2715; A 2001, 2153)

NRS 598.9682 Providerdefined. Provider means:

1. A person who is in the business of providing atelecommunications service;

2. An agent, employee, independent contractor orrepresentative of a person who is in the business of providing atelecommunications service; or

3. A person who originates a charge for atelecommunications service and directly or indirectly bills a customer for thecharge.

(Added to NRS by 1999, 2715)

NRS 598.9684 Telecommunicationsservice defined. Telecommunications servicemeans a service that is designed or has the capability to generate, process,store, retrieve, convey, emit, transmit, receive, relay, record or reproduceany data, information, image, program, signal or sound over a communications systemor network, including, without limitation, a communications system or networkthat uses analog, digital, electronic, electromagnetic, magnetic or optical technology.

(Added to NRS by 1999, 2715)

NRS 598.969 Prohibitedacts: Changing a customers carrier without timely authorization; failure toprovide timely written notices and confirmations; engaging in other fraudulentor deceptive acts; proposing contract to waive or authorize violations of theprotections of this section. A provider shallnot:

1. Make a statement or representation regarding theprovision of a telecommunications service, including, without limitation, astatement regarding the rates, terms or conditions of a telecommunicationsservice, that:

(a) Is false, misleading or deceptive; or

(b) Fails to include material information which makesthe statement or representation false, misleading or deceptive.

2. Misrepresent his identity.

3. Falsely state to a person that the person hassubscribed or authorized a subscription to or has received a telecommunicationsservice.

4. Omit, when explaining the terms and conditions of asubscription to a telecommunications service, a material fact concerning thesubscription.

5. Fail to provide a customer with timely writtennotice containing:

(a) A clear and detailed description relating directlyto the services for which the customer is being billed and the amount thecustomer is being charged for each service;

(b) All terms and conditions relating directly to theservices provided; and

(c) The name, address and telephone number of theprovider.

6. Fail to honor, within a reasonable period, arequest of a customer to cancel a telecommunications service pursuant to theterms and conditions for the service.

7. Bill a customer for a telecommunications serviceafter the customer has cancelled the telecommunications service pursuant to theterms and conditions of the service.

8. Bill a customer for services that the providerknows the customer has not authorized, unless the service is required to beprovided by law. The failure of a customer to refuse a proposal from a providerdoes not constitute specific authorization.

9. Change a customers subscription to a localexchange carrier or an interexchange carrier unless:

(a) The customer has authorized the change within the30 days immediately preceding the date of the change; and

(b) The provider complies with the provisions of 47U.S.C. 258, as amended, and the verification procedures set forth in 47C.F.R. part 64, subpart K, as amended.

10. Fail to provide to a customer who has authorizedthe provider to change his subscription to a local exchange carrier or aninterexchange carrier a written confirmation of the change within 30 days afterthe date of the change.

11. Propose or enter into a contract with a personthat purports to:

(a) Waive the protection afforded to the person by anyprovision of this section; or

(b) Authorize the provider or an agent, employee,independent contractor or representative of the provider to violate anyprovision of this section.

(Added to NRS by 1999, 2715)

NRS 598.9691 Regulationsgoverning disclosures made by provider to customer. ThePublic Utilities Commission of Nevada may adopt regulations governing thedisclosures that must be made by a provider to a customer before the customermay be charged for a telecommunications service.

(Added to NRS by 2001, 2149)

NRS 598.9692 Opportunityto freeze interexchange carrier. A providerwho is a local exchange carrier shall, in a competitively neutral manner, offerto each customer the opportunity to freeze the interexchange carrier selectedby the customer.

(Added to NRS by 1999, 2716)

NRS 598.9694 Remedies,duties and prohibitions not exclusive; violation constitutes deceptive tradepractice.

1. The remedies, duties and prohibitions of NRS 598.968 to 598.9694, inclusive, are not exclusive andare in addition to any other remedies provided by law.

2. A violation of any provision of NRS 598.968 to 598.9694, inclusive, constitutes adeceptive trade practice for the purposes of NRS598.0903 to 598.0999, inclusive.

(Added to NRS by 1999, 2716)

REPAIR OF MOTOR VEHICLES

NRS 598.971 Definitions. As used in NRS 598.971to 598.990, inclusive, unless thecontext otherwise requires, the words and terms defined in NRS 598.975 and 598.981 have the meanings ascribed to themin those sections.

(Added to NRS by 1997, 1374)

NRS 598.975 Departmentdefined. Department means the Department ofMotor Vehicles.

(Added to NRS by 1997, 1374; A 2001, 2631)

NRS 598.981 Divisiondefined. Division means the Consumer AffairsDivision of the Department of Business and Industry.

(Added to NRS by 1997, 1374)

NRS 598.985 Divisionand Department to cooperate to protect persons who authorize repair of motorvehicles.

1. The Division and the Department shall cooperate toenhance the protection of persons who authorize the repair of motor vehicles bya garage that is registered with the Department pursuant to the provisions of NRS 487.530 to 487.570, inclusive.

2. The Commissioner of Consumer Affairs may provide tothe Department a copy of any complaint filed with the Division that alleges adeceptive trade practice pursuant to the provisions of NRS 598.0903 to 598.0999, inclusive, by a garage orgarageman registered pursuant to the provisions of NRS 487.530 to 487.570, inclusive. If the Commissionerprovides the Department with a copy of a complaint, the Department is subjectto the provisions of NRS 598.098 withrespect to the complaint.

3. The Department may provide assistance to theDivision in carrying out the provisions of NRS598.990.

(Added to NRS by 1997, 1374)

NRS 598.990 Divisionto establish and maintain toll-free telephone number concerning allegedviolations and develop program to provide certain information to public. The Division shall:

1. Establish and maintain a toll-free telephone numberfor persons to report to the Division information concerning alleged violationsof NRS 487.035, 487.530 to 487.570, inclusive, 597.480 to 597.590, inclusive, and 598.0903 to 598.0999, inclusive.

2. Develop a program to provide information to thepublic concerning:

(a) The duties imposed on a garageman by the provisionsof NRS 487.035, 487.530 to 487.570, inclusive, and 597.480 to 597.590, inclusive;

(b) The rights and protections established for a personwho uses the services of a garage;

(c) The repair of motor vehicles; and

(d) Deceptive trade practices relating to the repair ofmotor vehicles by a garage.

(Added to NRS by 1997, 1375)

 

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