2015 Nevada Revised Statutes
Chapter 598 - Deceptive Trade Practices
NRS 598.374 - Recovery from Fund: Eligibility; limitations on payment; subrogation of claim. [Effective July 1, 2015.]

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

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

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

(2) The bankruptcy of the seller of travel;

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

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

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

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

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

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

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

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

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

(2) Was imposed against the consumer, in accordance with the terms of the contract, after the cancellation of the travel services or vacation certificate at issue.

3. If the Division or its designee finds that a consumer 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 1 of NRS 598.373, the amount of actual damages suffered, but not to exceed $10,000; or

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

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

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

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

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

(b) For any single action of the seller of travel, must not exceed 20 percent of the balance of the account.

(Added to NRS by 2003, 1821; A 2003, 2884; R temp. 2009, 2732; R temp. 2011, 2652; R temp. 2013, 1054, expires by limitation on June 30, 2015)