Nevada 2017 Regular Session Status: Enacted

AB 361 — Revises provisions governing business practices. (BDR 52-320)

Last action — Approved by the Governor. Chapter 289.

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  1. ✓
    Introduced
  2. ✓
    In Committee
  3. ✓
    Passed Assembly
  4. ✓
    Passed Senate
  5. ✓
    To Executive
  6. 6
    Enacted

This bill has been enacted into law. Introduced March 20, 2017. Enacted.

Prognosis

Advancing 50% · moderate confidence

Where this bill stands today.

Odds of enactment

High

How often bills like it became law.

  • Enacted

    Current position in the legislative process.

  • 1 sponsor

    1 primary, 0 co-sponsors signed on.

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Bill Text

What changed in the latest version

387 added · 414 removed

Plain-language change summary

The recent amendments to Assembly Bill No. 361 add new protections for consumers against deceptive business practices. Specifically, it establishes that issuing a gift certificate or card that can only be redeemed by mail is deceptive unless the expiration date is clearly shown in writing. Additionally, it is now considered a deceptive practice for businesses to charge fees for updating billing or credit information when customers prefer to speak with a person instead of using an automated system. These changes are important because they aim to enhance consumer rights and make it easier for individuals to understand the terms of promotions and services.

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(Reprinted with amendments adopted on May 22, 2017) SECOND REPRINT A.B.
Assembly Bill No.
361 A SSEMBLY B ILLN O.
361–Assemblyman Carrillo CHAPTER..........
361–ASSEMBLYMAN C ARRILLO M ARCH 20, 2017 ____________ Referred to Committee on Commerce and Labor SUMMARY—Revises provisions governing business practices.
(BDR 52-320) FISCAL NOTE:
Effect on Local Government:
Increases or Newly Provides for Term of Imprisonment in County or City Jail or Detention Facility.
Effect on the State:
Yes.
~ EXPLANATION – Matter in bolded italics is new;
matter between brackets [omitted material] is material to be omitted.
Legislative Counsel’s Digest:
LegiExisting law defines various activities involving businesses and occupations that constitute deceptive trade practices.
Existing law defines various activities involving businesses and occupations engages in a deceptive trade practice, the person may be subject to restraint by injunction and the imposition of civil and criminal penalties.
(NRS 598.0915-598.0925) If a person engages in a deceptive trade practice, the person may be subject to restraint by injunction and the imposition of civil and criminal penalties.
(NRS 598.0979, 598.0985, 598.0999) Section 1.7 of this bill makes it a deceptive trade practice for a person, in the course of his or her business or occupation, to charge a fee to update or change records relating to a person, including billing or credit information, including, in circumstances in which the person requesting the update or change chooses to telephone in lieu of using an automated or computerized telephone system.by Existing law makes it a deceptive trade practice for a person, in the course of his or her business or occupation, to issue a gift certificate that expires on a certain date unless the expiration date of the gift certificate or a telephone number for obtaining balance or expiration information is printed on the front or back of the gift certificate in at least 10-point font.
(NRS 598.0979, 598.0985, 598.0999) Section 1.7 of this bill makes it a deceptive trade practice for a person, in the records relating to a person, including billing or credit information, including, in circumstances in which the person requesting the update or change chooses to communicate about the update or change by speaking with a natural person by telephone in lieu of using an automated or computerized telephone system.
(NRS 598.0921) Section 1 of this bill makes promotion or incentive to potential customers if the promotion is redeemable onlyrt of a by mail, unless the expiration date of the offer is printed plainly and conspicuously on any written materials concerning the offer provided to the recipient of the offer.
Existing law makes it a deceptive trade practice for a person, in the course of his or her business or occupation, to issue a gift certificate that expires on a certain obtaining balance or expiration information is printed on the front or back of the gift certificate in at least 10-point font.
- *AB361_R2* – 2 – THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
(NRS 598.0921) Section 1 of this bill makes it a deceptive trade practice to offer a free gift certificate or gift card as part of a promotion or incentive to potential customers if the promotion is redeemable only by mail, unless the expiration date of the offer is printed plainly and conspicuously on any written materials concerning the offer provided to the recipient of the offer.
EXPLANATION – Matter in bolded italics is new;
matter between brackets [omitted material] is material to be omitted.
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
This subsection does not apply to an offer upon which the gift certificate or gift card will be provided directly to a potential customer.
This subsection does not apply to an offer - 79th Session (2017) – 2 – upon which the gift certificate or gift card will be provided directly to a potential customer.
598.0903.
NAs used in NRS 598.0903 to 598.0999, inclusive,s:
and section 1 of this act, unless the context otherwise requires, the words and terms defined in NRS 598.0905 to 598.0947, inclusive, and section 1 of this act have the meanings ascribed to them in those sections.
1.3.
NRS 598.0903 is hereby amended to read as follows:
598.0903 As used in NRS 598.0903 to 598.0999, inclusive, and section 1 of this act, unless the context otherwise requires, the words and terms defined in NRS 598.0905 to 598.0947, inclusive, and section 1 of this act have the meanings ascribed to them in those sections.
Sec.
(a) Represents that the investment is guaranteed, secured or protected in a manner which he or she knows or has reason to know is false or misleading;
(a) Represents that the investment is guaranteed, secured or protected in a manner which he or she knows or has reason to know is (b) Represents that the investment will earn a rate of return which he or she knows or has reason to know is false or misleading;
(b) Represents that the investment will earn a rate of return which he or she knows or has reason to know is false or misleading;
(c) Makes any untrue statement of a material fact or omits to state a material fact which is necessary to make another statement, considering the circumstances under which it is made, not misleading;
- *AB361_R2* – 3 – (c) Makes any untrue statement of a material fact or omits to state a material fact which is necessary to make another statement, considering the circumstances under which it is made, not misleading;
or (g) Represents that he or she is licensed by an agency of the State to sell or offer for sale investments or services for investments if he or she is not so licensed.
or - 79th Session (2017) – 3 – (g) Represents that he or she is licensed by an agency of the State to sell or offer for sale investments or services for investments if he or she is not so licensed.
Charges a fee for advice with respect to investment of money and fails to disclose:
Charges a fee for advice with respect to investment of mon(a) That he or she is selling or offering to lease goods or services and, if he or she is, their identity;
(a) That he or she is selling or offering to lease goods or services and, if he or she is, their identity;
10.
refunds or exchanges, that he or she does not allow refunds orw exchanges by:
Fails to inform customers, if he or she does not allow refunds or exchanges, that he or she does not allow refunds or exchanges by:
or (c) Posting in an open and conspicuous place a sign at least 8 by 10 inches in size with boldface letters, - *AB361_R2* – 4 – ¬ specifying that no refunds or exchanges are allowed.
or (c) Posting in an open and conspicuous place a sign at least 8 by inches in size with boldface letters, ¬ specifying that no refunds or exchanges are allowed.
Knowingly takes advantage of another person’s inability reasonably to protect his or her own rights or interests in a consumer transaction when such an inability is due to illiteracy, or to a mental or physical infirmity or another similar condition which manifests itself as an incapability to understand the language or terms of any agreement.
Knowingly takes advantage of another person’s inability reasonably to protect his or her own rights or interests in a consumer transaction when such an inability is due to illiteracy, or to a mental or physical infirmity or another similar condition which manifests - 79th Session (2017) – 4 – itself as an incapability to understand the language or terms of any agreement.
Charges a fee to a person to change or update any record, including, without limitation, billing or credit information, which relates to the person requesting the change or update, including, without limitation, in circumstances in which that person chooses to communicate regarding the change or update by speaking to a natural person by telephone in lieu of using an automated or computerized telephone system.
Charges a fee to a person to change or update any record, including, without limitation, billing or credit information, which without limitation, in circumstances in which that person chooses to communicate regarding the change or update by speaking to a natural person by telephone in lieu of using an automated or computerized telephone system.
(b) Publishers, including outdoor advertising media, advertising agencies, broadcasters or printers engaged in the dissemination of information or reproduction of printed or pictorial matter who publish, broadcast or reproduce material without knowledge of its deceptive character.
(b) Publishers, including outdoor advertising media, advertising agencies, broadcasters or printers engaged in the dissemination of information or reproduction of printed or pictorial matter who publish, broadcast or reproduce material without knowledge of its dec(c) Actions or appeals pending on July 1, 1973.
(c) Actions or appeals pending on July 1, 1973.
- *AB361_R2* – 5 – Sec.
Sec.
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Whenever the Attorney General is requested in writing by the Commissioner or the Director to represent him or her in instituting a legal proceeding against a person who has engaged or is engaging in a deceptive trade practice, the Attorney General may bring an action in the name of the State of Nevada against that person on behalf of the Commissioner or Director.
Whenever the Attorney General is requested in writing by the Commissioner or the Director to represent him or her in instituting a legal proceeding against a person who has engaged or is engaging in a deceptive trade practice, the Attorney General - 79th Session (2017) – 5 – may bring an action in the name of the State of Nevada against that person on behalf of the Commissioner or Director.
The Attorney General may institute criminal proceedings to enforce the provisions of NRS 598.0903 to 598.0999, inclusive [.] , and section 1 of this act.
The Attorney General may institute criminal proceedings to enforce the provisions of NRS 598.0903 to 598.0999, inclusive [.] , obtain leave of the court before instituting criminal proceedingso pursuant to this subsection.
The Attorney General is not required to obtain leave of the court before instituting criminal proceedings pursuant to this subsection.
The Commissioner and the Director, in addition to other powers conferred upon them by NRS 598.0903 to 598.0999, inclusive, and section 1 of this act, may issue subpoenas to require the attendance of witnesses or the production of documents, conduct hearings in aid of any investigation or inquiry and prescribe such forms and adopt such regulations as may be necessary to administer the provisions of NRS 598.0903 to 598.0999, inclusive [.] , and section 1 of this act.
The Commissioner and the Director, in addition to other powers conferred upon them by NRS 598.0903 to 598.0999, inclusive, and section 1 of this act, may issue subpoenas to require the attendance of witnesses or the production of documents, conduct hearings in aid of any investigation or inquiry and prescribe such forms and adopt such regulations as may be 598.0999, inclusive [.] , and section 1 of this act.
- *AB361_R2* – 6 – Sec.
Sec.
If, after an investigation, the Commissioner has reasonable cause to believe that any person has been engaged or is engaging in any deceptive trade practice in violation of NRS 598.0903 to 598.0999, inclusive, and section 1 of this act, the Commissioner may issue an order directed to the person to show cause why the Director should not order the person to cease and desist from engaging in the practice and to pay an administrative fine.
If, after an investigation, the Commissioner has reasonable cause to believe that any person has been engaged or is - 79th Session (2017) – 6 – engaging in any deceptive trade practice in violation of NRS 598.0903 to 598.0999, inclusive, and section 1 of this act, the Commissioner may issue an order directed to the person to show cause why the Director should not order the person to cease and fine.
(b) Pay the costs of conducting the investigation, costs of conducting the hearing, costs of reporting services, fees for experts and other witnesses, charges for the rental of a hearing room if such a room is not available to the Director or his or her designee free of charge, charges for providing an independent hearing officer, if any, and charges incurred for any service of process, if the violator is adjudicated to have committed a violation of NRS 598.0903 to 598.0999, inclusive [;] , and section 1 of this act;
(b) Pay the costs of conducting the investigation, costs of conducting the hearing, costs of reporting services, fees for experts and other witnesses, charges for the rental of a hearing room if such charge, charges for providing an independent hearing officer, if any,f and charges incurred for any service of process, if the violator is adjudicated to have committed a violation of NRS 598.0903 to 598.0999, inclusive [;] , and section 1 of this act;
Any person whose pecuniary interests are directly and immediately affected by an order issued pursuant to subsection 3 or - *AB361_R2* – 7 – who is aggrieved by the order may petition for judicial review in the manner provided in chapter 233B of NRS.
Any person whose pecuniary interests are directly and immediately affected by an order issued pursuant to subsection 3 or who is aggrieved by the order may petition for judicial review in the - 79th Session (2017) – 7 – manner provided in chapter 233B of NRS.
If a person fails to comply with any provision of an order issued pursuant to subsection 3, the Commissioner or the Director may, through the Attorney 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 the person resides or has his or her principal place of business requesting the court to enforce the provisions of the order or to provide any other appropriate injunctive relief.
If a person fails to comply with any provision of an order may, through the Attorney 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 the person resides or has his or her principal place of business requesting the court to enforce the provisions of the order or to provide any other appropriate injunctive relief.
and (c) Such injunctive or other equitable or extraordinary relief as is determined appropriate by the court.
and (c) Such injunctive or other equitable or extraordinary relief as is 8.terAny aggrieved party may appeal from the final judgment, order or decree of the court in a like manner as provided for appeals in civil cases.
8.
Any aggrieved party may appeal from the final judgment, order or decree of the court in a like manner as provided for appeals in civil cases.
598.0985 Notwithstanding the requirement of knowledge as an element of a deceptive trade practice, and notwithstanding the enforcement powers granted to the Commissioner or Director pursuant to NRS 598.0903 to 598.0999, inclusive, and section 1 of this act, whenever the district attorney of any county has reason to believe that any person is using, has used or is about to use any deceptive trade practice, knowingly or otherwise, he or she may - *AB361_R2* – 8 – bring an action in the name of the State of Nevada against that person to obtain a temporary or permanent injunction against the deceptive trade practice.
598.0985 Notwithstanding the requirement of knowledge as an element of a deceptive trade practice, and notwithstanding the enforcement powers granted to the Commissioner or Director pursuant to NRS 598.0903 to 598.0999, inclusive, and section 1 of this act, whenever the district attorney of any county has reason to believe that any person is using, has used or is about to use any - 79th Session (2017) – 8 – deceptive trade practice, knowingly or otherwise, he or she may bring an action in the name of the State of Nevada against that person to obtain a temporary or permanent injunction against the deceptive trade practice.
598.0993.
The court in which an action is brought pursuant to NRS 598.0979 and 598.0985 to 598.099, inclusive, may make such additional orders or judgments as may be necessary to restore to any person in interest any money or property, real or personal, which may have been acquired by means of any deceptive trade practice which violates any of the provisions of NRS 598.0903 to 598.0999, inclusive, and section 1 of this act, but such additional orders or judgments may be entered only after a final determination has been made that a deceptive trade practice has occurred.
2.7.
NRS 598.0993 is hereby amended to read as follows:
598.0993 The court in which an action is brought pursuant to NRS 598.0979 and 598.0985 to 598.099, inclusive, may make such additional orders or judgments as may be necessary to restore to any person in interest any money or property, real or personal, which may have been acquired by means of any deceptive trade practice which violates any of the provisions of NRS 598.0903 to 598.0999, inclusive, and section 1 of this act, but such additional orders or judgments may be entered only after a final determination has been made that a deceptive trade practice has occurred.
Sec.
Except as otherwise provided in NRS 598.0974, a person who violates a court order or injunction issued pursuant to the provisions of NRS 598.0903 to 598.0999, inclusive, and section 1 of this act, upon a complaint brought by the Commissioner, the Director, the district attorney of any county of this State or the Attorney General shall forfeit and pay to the State General Fund a civil penalty of not more than $10,000 for each violation.
Except as otherwise provided in NRS 598.0974, a person who violates a court order or injunction issued pursuant to the provisions of NRS 598.0903 to 598.0999, inclusive, and section of this act, upon a complaint brought by the Commissioner, the Director, the district attorney of any county of this State or the Attorney General shall forfeit and pay to the State General Fund a civil penalty of not more than $10,000 for each violation.
Except as otherwise provided in NRS 598.0974, in any action brought pursuant to the provisions of NRS 598.0903 to 598.0999, inclusive, and section 1 of this act, if the court finds that a person has willfully engaged in a deceptive trade practice, the Commissioner, the Director, the district attorney of any county in this State or the Attorney General bringing the action may recover a civil penalty not to exceed $5,000 for each violation.
Except as otherwise provided in NRS 598.0974, in any 598.0999, inclusive, and section 1 of this act, if the court finds that a person has willfully engaged in a deceptive trade practice, the Commissioner, the Director, the district attorney of any county in this State or the Attorney General bringing the action may recover a civil penalty not to exceed $5,000 for each violation.
(c) For the third and all subsequent offenses, is guilty of a category D felony and shall be punished as provided in NRS 193.130.
- 79th Session (2017) – 9 – (c) For the third and all subsequent offenses, is guilty of a category D felony and shall be punished as provided in NRS 193.130.
¬ The court may require the natural person, firm, or officer or managing agent of the corporation or association to pay to the - *AB361_R2* – 9 – aggrieved party damages on all profits derived from the knowing and willful engagement in a deceptive trade practice and treble damages on all damages suffered by reason of the deceptive trade practice.
¬ The court may require the natural person, firm, or officer or aggrieved party damages on all profits derived from the knowing and willful engagement in a deceptive trade practice and treble damages on all damages suffered by reason of the deceptive trade practice.
¬ The court may grant or deny the relief sought or may order other appropriate relief.
appropriate relief.nt or deny the relief sought or may order other 6.
6.
Sec.
- 79th Session (2017) – 10 – Sec.
- *AB361_R2* – 10 – (c) An act prohibited by NRS 482.36655 to 482.36667, inc(d) An act prohibited by NRS 482.351;
(c) An act prohibited by NRS 482.36655 to 482.36667, inclusive;
or (e) A deceptive trade practice as defined in NRS 598.0915 to 598.0925, inclusive [.] , and section 1 of this act.
(d) An act prohibited by NRS 482.351;
3.
or (e) A deceptive trade practice as defined in NRS 598.0915 to 5983.925If the claimant is the prevailing party, the court shall award the claimant:
If the claimant is the prevailing party, the court shall award the claimant:
H - *AB361_R2*
~~~~~ 17 - 79th Session (2017)
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Action History

  1. Approved by the Governor. Chapter 289.

  2. Enrolled and delivered to Governor.

  3. Senate Amendment No. 782 concurred in. To enrollment.

  4. In Assembly.

  5. Read third time. Passed, as amended. Title approved. (Yeas: 20, Nays: None, Absent: 1.) To Assembly.

  6. From printer. To re-engrossment. Re-engrossed. Second reprint .

  7. Read second time. Amended. (Amend. No. 782.) To printer.

  8. Placed on Second Reading File.

  9. From committee: Amend, and do pass as amended.

  10. Read first time. Referred to Committee on Commerce, Labor and Energy. To committee.

  11. In Senate.

  12. Read third time. Passed, as amended. Title approved, as amended. (Yeas: 42, Nays: None.) To Senate.

  13. From printer. To engrossment. Engrossed. First reprint .

  14. Read second time. Amended. (Amend. No. 543.) To printer.

  15. Placed on Second Reading File.

  16. From committee: Amend, and do pass as amended.

  17. From printer. To committee.

  18. Read first time. Referred to Committee on Commerce and Labor. To printer.

Sponsors

Sponsorship breakdown

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1 sponsors · 0 co-sponsors · 66 not signed on

Sponsors (1)

Co-sponsors (0)

None.

Not signed on (66)

66 members have not signed on to this bill.

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"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

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Frequently asked questions

Who sponsors AB 361?
AB 361 is sponsored by Richard Carrillo.
What is the current status of AB 361?
This bill has been enacted into law. Introduced March 20, 2017. Enacted.
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