Nevada 2021 Regular Session Status: Enacted

SB 447 — Revises provisions relating to deceptive trade practices. (BDR 18-1094)

Last action — Approved by the Governor. Chapter 423.

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

This bill has been enacted into law. Introduced May 13, 2021. 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

482 added · 524 removed

482 line(s) added, 524 removed.

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EXEMPT S.B.
Senate Bill No.
447 SENATE BILLN O .
447–Committee on Finance CHAPTER..........
447–COMMITTEE ON F INANCE (O NB EHALF OF THE OFFICE OF FINANCE IN THE OFFICE OF THE G OVERNOR ) M AY 13, 2021 ____________ Referred to Committee on Government Affairs SUMMARY—Revises provisions relating to deceptive trade practices.
(BDR 18-1094) FISCAL NOTE:
Effect on Local Government:
No.
Effect on the State:
Executive Budget.
~ EXPLANATION – Matter in bolded italics is new;
matter between brackets [omitted material] is material to be omitted.
During the 2009 Legislative Session, the Consumer Affairs Division of the Department of Business and Industry and the position of the Commissioner of Consumer Affairs were temporarily eliminated and their powers and duties were permanently transferred to other agencies or temporarily eliminated or transferred to other agencies.
During the 2009 Legislative Session, the Consumer Affairs Division of the Consumer Affairs were temporarily eliminated and their powers and duties were permanently transferred to other agencies or temporarily eliminated or transferred to other agencies.
The powers and duties of the Consumer Affairs Division and the Department of Motor Vehicles relating to the regulation of garages, garagemen and body shops;
The powers and duties of the Consumer Affairs Division and the Commissioner of Consumer Affairs were permanently transferred to:
(1) the Department of Motor Vehicles relating to the regulation of garages, garagemen and body shops;
The powers and duties of the Consumer Affairs Division and the Commissioner of Consumer Affairs relating to the administration of provisions relating to certain deceptive trade practices, sightseeing clubs, consumer reporting and solicitation by telephone were temporarily transferredth to the Attorney General until June 30, 2011.
The powers and duties of the Consumer Affairs Division and the Commissioner of Consumer Affairs relating to the tours, organizations for buying goods or services at a discount, dance studios, healthg clubs, consumer reporting and solicitation by telephone were temporarily transferred to the Attorney General until June 30, 2011.
(Chapter 475, Statutes of Nevada 2009, at page 2733) During the 2011 and 2013 Legislative Sessions, the temporary transfer or Commissioner of Consumer Affairs was continued until 2013 and 2015, respectively.
(Chapter 475, Statutes of Nevada 2009, at page 2733) During the 2011 and 2013 Legislative Sessions, the temporary transfer or elimination of the powers and duties of the Consumer Affairs Division and the (Chapter 440, Statutes of Nevada 2011, at page 2652;
(Chapter 440, Statutes of Nevada 2011, at page 2652;
chapter 250, Statutes of Nevada 2013, at page 1054) During the 2015 Legislative Session, the Consumer Affairs Unit was temporarily created in the Department of Business and Industry to perform the duties of the Consumer Affairs Division relating to certain deceptive trade practices until June 30, 2017.
chapter 250, Statutes of Nevada - *SB447* – 2 – 2013, at page 1054) During the 2015 Legislative Session, the Consumer Affairs Unit was temporarily created in the Department of Business and Industry to perform the duties of the Consumer Affairs Division relating to certain deceptive trade practices until June 30, 2017.
The Director of the Department of Business and Industry was required to designate a Deputy Director of the Department of Business and Industry to serve as the Commissioner of Consumer Affairs and Chief of the Consumer Affairs Unit.
The Director of the Department of Business and Industry was required to designate a Deputy Director of the Department of Business and Industry to Unit.
(Section 14 of chapter 528, Statutes of Nevada 2015, at page 3652) During the Legislative Session:
(Section 14 of chapter 528, Statutes of Nevada 2015, at page 3652) During the 2017 Legislative Session:
(1) the Consumer Affairs Unit was extended for an registration of sellers of travel were permanently eliminated.
(1) the Consumer Affairs Unit was extended for an additional period ending on June 30, 2019;
and (2) the provisions governing the registration of sellers of travel were permanently eliminated.
section 2 of chapter 249, Statutes of Affairs Unit was again extended for an additional period ending on June 30, 2021.
section 2 of chapter 249, Statutes of Nevada 2017, at page 1313) During the 2019 Legislative Session, the Consumer Affairs Unit was again extended for an additional period ending on June 30, 2021.
The Consumer Affairs Unit and the Commissioner of Consumer Affairs will continue to carry out the powers and duties relating to Unit on July 1, 2015, as well as the powers and duties relating to sightseeing tours,the organizations for buying goods or services at a discount, dance studios, health clubs, consumer reporting and solicitation by telephone that had been temporarily transferred from the Consumer Affairs Division to the Attorney General until June 30, 2021.
The Consumer Affairs Unit and the Commissioner of deceptive trade practices that they have carried out since the temporary creation of the Unit on July 1, 2015, as well as the powers and duties relating to sightseeing tours, organizations for buying goods or services at a discount, dance studios, health clubs, consumer reporting and solicitation by telephone that had been temporarily - 81st Session (2021) – 2 – 2021.
chapters 598C and 599B of NRS) Sections 2-12 of this bill make conforming changes as a result of Consumer Affairs Unit.
chapters 598CJune 30, and 599B of NRS) Sections 2-12 of this bill make conforming changes as a result of the elimination of the Consumer Affairs Division and permanent creation of the Consumer Affairs Unit.
Consumer Affairs Division and permanent creation of the THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
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:
(l) Any other office, commission, board, agency or entity created or placed within the Department pursuant to a specific statute, the budget approved by the Legislature or an executive - *SB447* – 3 – order, or an entity whose budget or activities have been placed within the control of the Department by a specific statute.
created or placed within the Department pursuant to a specific statute, the budget approved by the Legislature or an executive order, or an entity whose budget or activities have been placed within the control of the Department by a specific statute.
The chief of the Consumer Affairs [Division] Unit is the Commissioner of Consumer Affairs, the chief of the Division of Financial Institutions is the Commissioner of Financial Institutions, the chief of the Housing Division is the Administrator of the Housing Division, the chief of the Real Estate Division is the Real Estate Administrator, the chief of the Division of Insurance is the Commissioner of Insurance, the chief of the Division of Industrial Relations is the Administrator of the Division of Industrial Relations, the chief of the Office of Labor Commissioner is the Labor Commissioner, the chief of the Taxicab Authority is the Taxicab Administrator, the chief of the Nevada Transportation Authority is the Chair of the Authority, the chief of the Division of Mortgage Lending is the Commissioner of Mortgage Lending and the chief of any other entity of the Department has the title specified by the Director, unless a different title is specified by a specific statute.
The chief of the Consumer Affairs [Division] Unit is the Commissioner of Consumer Affairs, the chief of the Division of Financial Institutions - 81st Session (2021) – 3 – Housing Division is the Administrator of the Housing Division, the chief of the Real Estate Division is the Real Estate Administrator, the chief of the Division of Insurance is the Commissioner of Insurance, the chief of the Division of Industrial Relations is the Administrator of the Division of Industrial Relations, the chief of the Office of Labor Commissioner is the Labor Commissioner, the chief of the Taxicab Authority is the Taxicab Administrator, the chief of the Nevada Transportation Authority is the Chair of the Authority, the chief of the Division of Mortgage Lending is the Commissioner of Mortgage Lending and the chief of any other entity of the Department has the title specified by the Director, unless a different title is specified by a specific statute.
The Director may, if he or she deems it necessary to carry out his or her administrative responsibilities, be considered as a member of the staff of any division or other entity of the Department for the purpose of budget administration or for carrying out any duty or exercising any power necessary to fulfill the responsibilities of the Director pursuant to this subsection.
The Director may, if he or she deems it necessary to carry out his or her administrative division or other entity of the Department for the purpose of budget administration or for carrying out any duty or exercising any power necessary to fulfill the responsibilities of the Director pursuant to this subsection.
(a) Establish uniform policies for the Department, consistent with the policies and statutory responsibilities and duties of the divisions and other entities within the Department, relating to matters concerning budgeting, accounting, planning, program development, personnel, information services, dispute resolution, - *SB447* – 4 – travel, workplace safety, the acceptance of gifts or donations, the management of records and any other subject for which a uniform departmental policy is necessary to ensure the efficient operation of the Department.
(a) Establish uniform policies for the Department, consistent with the policies and statutory responsibilities and duties of the divisions and other entities within the Department, relating to matters concerning budgeting, accounting, planning, program development, personnel, information services, dispute resolution, travel, workplace safety, the acceptance of gifts or donations, the management of records and any other subject for which a uniform the Department.licy is necessary to ensure the efficient operation of (b) Provide coordination among the divisions and other entities within the Department, in a manner which does not encroach upon their statutory powers and duties, as they adopt and enforce regulations, execute agreements, purchase goods, services or equipment, prepare legislative requests and lease or use office space.
(b) Provide coordination among the divisions and other entities within the Department, in a manner which does not encroach upon their statutory powers and duties, as they adopt and enforce regulations, execute agreements, purchase goods, services or equipment, prepare legislative requests and lease or use office space.
4.
- 81st Session (2021) – 4 – 4.
May, within the limits of the financial resources made available to the Director, promote, participate in the operation of, and create or cause to be created, any nonprofit corporation, pursuant to chapter 82 of NRS, which he or she determines is necessary or convenient for the exercise of the powers and duties of the Department.
May, within the limits of the financial resources made available to the Director, promote, participate in the operation of, and create or cause to be created, any nonprofit corporation, pursuant to chapter 82 of NRS, which he or she determines is the Department.
The purposes, powers and operation of the corporation must be consistent with the purposes, powers and duties of the Department.
The purposes, powers and operation of thed duties of corporation must be consistent with the purposes, powers and duties of the Department.
May establish a trust account in the State Treasury for depositing and accounting for money that is held in escrow or is on deposit with the Department for the payment of any direct expenses incurred by the Director in connection with any bond programs administered by the Director.
May establish a trust account in the State Treasury for depositing and accounting for money that is held in escrow or is on deposit with the Department for the payment of any direct expenses administered by the Director.
- *SB447* – 5 – (a) Carried forward to the next fiscal year for use in covering the expense for which it was originally received;
(a) Carried forward to the next fiscal year for use in covering the expense for which it was originally received;
Sec.
- 81st Session (2021) – 5 – Sec.
The account must be administered by the Director or his or her designee.
The account must be administered by the Dir2.
2.
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New Year’s Day, Martin Luther King, Jr.’s Birthday, Washington’s Birthday, Memorial Day, Independence Day, Labor Day, Nevada Day, Veterans Day, Thanksgiving Day and Christmas Day.
New Year’s Day, Martin Luther King, Jr.’s Birthday, Washington’s Birthday, Memorial Day, Independence Day, Labor Day, Nevada Day, Veterans Day, Tha3.sgi“Buyer” means a person who purchases by contract a membership in an organization for buying goods or services at a discount.
3.
“Buyer” means a person who purchases by contract a membership in an organization for buying goods or services at a discount.
- *SB447* – 6 – 6.] “Franchise” has the meaning ascribed to it in 16 C.F.R.
6.] “Franchise” has the meaning ascribed to it in 16 C.F.R.
“Organization for buying goods or services at a discount” or “organization” means a person who, for a consideration, provides or claims to provide a buyer with the ability to purchase goods or services at a price which is represented to be lower than the price generally charged in the area.
“Organization for buying goods or services at a discount” or “organization” means a person who, for a consideration, provides or claims to provide a buyer with the ability to purchase goods or services at a price which is represented to be - 81st Session (2021) – 6 – lower than the price generally charged in the area.
“Parent business entity” or “parent” means any business entity that, directly or indirectly, has owned, operated, controlled or granted franchises to, in any combination thereof, at least 15 organizations or affiliate organizations for a consecutive period of 5 years or more.
“Parent business entity” or “parent” means any business entity that, directly or indirectly, has owned, operated, controlled or organizations or affiliate organizations for a consecutive period of 5 years or more.
The Attorney General shall represent the [Division] Consumer Affairs Unit of the Department of Business and Industry in any action or proceeding brought by or against the Commissioner pursuant to any of the provisions of this chapter.
The Attorney General shall represent the [Division] Consumer Affairs Unit of the Department of Business and Industry in any action or proceeding brought by or against the ComSec.
Sec.
9.er NRS 599B.010 is hereby amended to read as follows:
9.
NRS 599B.010 is hereby amended to read as follows:
- *SB447* – 7 – 4.
4.
5.] “Donation” means a promise, grant or pledge of money, credit, property, financial assistance or other thing of value given in response to a solicitation by telephone, including, but not limited to, a payment or promise to pay in consideration for a performance, event or sale of goods or services.
5.] “Donation” means a promise, grant or pledge of money, credit, property, financial assistance or other thing of value given in response to a solicitation by telephone, including, but not limited to, a payment or promise to pay in consideration for a performance, - 81st Session (2021) – 7 – event or sale of goods or services.
The term does not include volunteer services, government grants or contracts or a payment by members of any organization of membership fees, dues, fines or assessments or for services rendered by the organization to those persons, if:
The term does not include volunteer services, government grants or contracts or a payment by members of any organization of membership fees, dues, fines or assessments or for services rendered by the organization to those per(a) The fees, dues, fines, assessments or services confer a bona fide right, privilege, professional standing, honor or other direct benefit upon the member;
(a) The fees, dues, fines, assessments or services confer a bona fide right, privilege, professional standing, honor or other direct benefit upon the member;
or (2) For the purpose of verifying, changing or confirming an order, except that a person is not a salesperson if his or her only function is to identify a consumer by name only and he or she immediately refers the consumer to a salesperson.
or order, (2) For the purpose of verifying, changing or confirming an except that a person is not a salesperson if his or her only function is to identify a consumer by name only and he or she immediately refers the consumer to a salesperson.
- *SB447* – 8 – (1) That a consumer who buys one or more goods or services will receive additional goods or services, whether or not of the same type as purchased, without further cost, except for actual postage or common carrier charges;
(1) That a consumer who buys one or more goods or services will receive additional goods or services, whether or not of the same type as purchased, without further cost, except for actual postage or common carrier charges;
(2) That a consumer will or has a chance or opportunity to receive a premium;
- 81st Session (2021) – 8 – receive a premium;consumer will or has a chance or opportunity to (3) That the items for sale are gold, silver or other precious metals, diamonds, rubies, sapphires or other precious stones, or any interest in oil, gas or mineral fields, wells or exploration sites or any other investment opportunity;
(3) That the items for sale are gold, silver or other precious metals, diamonds, rubies, sapphires or other precious stones, or any interest in oil, gas or mineral fields, wells or exploration sites or any other investment opportunity;
(1) That the consumer has been in any manner specially selected to receive the notification or communication or the offer contained in the notification or communication;
(1) That the consumer has been in any manner specially contained in the notification or communication;cation or the offer (2) That the consumer will receive a premium if the recipient calls the person;
(2) That the consumer will receive a premium if the recipient calls the person;
(1) Gold, silver or other metals, including coins, diamonds, rubies, sapphires or other stones, coal or other minerals or any interest in oil, gas or other mineral fields, wells or exploration sites, or any other investment opportunity;
rubies, sapphires or other stones, coal or other minerals or anyds, interest in oil, gas or other mineral fields, wells or exploration sites, or any other investment opportunity;
- *SB447* – 9 – (a) A person licensed pursuant to chapter 90 of NRS when soliciting offers, sales or purchases within the scope of his or her license.
(a) A person licensed pursuant to chapter 90 of NRS when soliciting offers, sales or purchases within the scope of his or her license.
(b) A person licensed pursuant to chapter 119A, 119B, 624, 645 or 696A of NRS when soliciting sales within the scope of his or her license.
- 81st Session (2021) – 9 – or 696A of NRS when soliciting sales within the scope of his or her license.
or (2) The consumer provides a donation of $50 or less in response to the solicitation.
or (2) The consumer provides a donation of $50 or less in res(g) A charitable organization which is registered or approved to conduct a lottery pursuant to chapter 462 of NRS.
(g) A charitable organization which is registered or approved to conduct a lottery pursuant to chapter 462 of NRS.
(2) The use of continuity plans, subscription arrangements, arrangements for standing orders, supplements, and series arrangements pursuant to which the person periodically ships merchandise to a consumer who has consented in advance to receive the merchandise on a periodic basis and has the opportunity to review the merchandise for at least 10 days and return it for a full refund within 30 days after it is received;
arrangements for standing orders, supplements, and seriesngements, arrangements pursuant to which the person periodically ships merchandise to a consumer who has consented in advance to receive the merchandise on a periodic basis and has the opportunity to review the merchandise for at least 10 days and return it for a full refund within 30 days after it is received;
or (3) An arrangement pursuant to which the person ships merchandise to a consumer who has consented in advance to receive - *SB447* – 10 – the merchandise and has the opportunity to review the merchandise for at least 10 days and return it for a full refund within 30 days after it is received.
or (3) An arrangement pursuant to which the person ships merchandise to a consumer who has consented in advance to receive the merchandise and has the opportunity to review the merchandise - 81st Session (2021) – 10 – it is received.
(k) A person who solicits sales by periodically publishing and delivering a catalog to consumers if the catalog:
days and return it for a full refund within 30 days after (k) A person who solicits sales by periodically publishing and delivering a catalog to consumers if the catalog:
(l) A person soliciting without the intent to complete and who does not complete, the sales transaction by telephone but completes the sales transaction at a later face-to-face meeting between the solicitor and the consumer, if the person, after soliciting a sale by telephone, does not cause another person to collect the payment from or deliver any goods or services purchased to the consumer.
(l) A person soliciting without the intent to complete and who does not complete, the sales transaction by telephone but completes the sales transaction at a later face-to-face meeting between the solicitor and the consumer, if the person, after soliciting a sale by telephone, does not cause another person to collect the payment fro(m) Any commercial bank, bank holding company, subsidiary or.
(m) Any commercial bank, bank holding company, subsidiary or affiliate of a bank holding company, trust company, savings and loan association, savings bank, credit union, industrial loan company, personal property broker, consumer finance lender, commercial finance lender, or insurer subject to regulation by an official or agency of this State or of the United States, if the solicitation is within the scope of the certificate or license held by the entity.
affiliate of a bank holding company, trust company, savings and loan association, savings bank, credit union, industrial loan company, personal property broker, consumer finance lender, commercial finance lender, or insurer subject to regulation by an official or agency of this State or of the United States, if the solicitation is within the scope of the certificate or license held by the entity.
(p) A person soliciting the sale of services provided by a video service provider subject to regulation pursuant to chapter 711 of NRS.
(p) A person soliciting the sale of services provided by a video service provider subject to regulation pursuant to chapter 711 of NRS(q) A person soliciting the sale of agricultural products, if the solicitation is not intended to and does not result in a sale of more than $100 that is to be delivered to one address.
(q) A person soliciting the sale of agricultural products, if the solicitation is not intended to and does not result in a sale of more than $100 that is to be delivered to one address.
- *SB447* – 11 – (1) Goods are displayed and offered for sale or services are offered for sale and provided at the person’s business establishment;
- 81st Session (2021) – 11 – offered for sale and provided at the person’s business establishment;
(1) Making the solicitation;
(2) On whose behalf the solicitation is made.
or (2) On whose behalf the solicitation is made.
(y) An issuer which has a class of securities that is listed on the New York Stock Exchange, the American Stock Exchange or the National Market System of the National Association of Securities Dealers Automated Quotation System.
(y) An issuer which has a class of securities that is listed on the National Market System of the National Association of Securities Dealers Automated Quotation System.
Any administrative regulations adopted by an officer or an agency whose name has been changed or whose responsibilities have been transferred pursuant to the provisions of this act to another officer or agency remain in force until amended - *SB447* – 12 – by the officer or agency to which the responsibility for the adoption of the regulations has been transferred.
Any administrative regulations adopted by an officer or an agency whose name has been changed or whose - 81st Session (2021) – 12 – responsibilities have been transferred pursuant to the provisions of this act to another officer or agency remain in force until amended by the officer or agency to which the responsibility for the adoption of the regulations has been transferred.
Such contracts and other agreements may be enforced by the officer or agency to which the responsibility for the enforcement of the provisions of the contract or other agreement has been transferred.
Such contracts and other agreements may be enforced by the officer or agency to contract or other agreement has been transferred.he provisions of the 3.
3.
TEXT OF REPEALED SECTIONS 598.435 “Division” defined.
~~~~~ 21 - 81st Session (2021)
“Division” means the Consumer Affairs Division of the Department of Business and Industry.
598.9413 “Division” defined.
“Division” means the Consumer Affairs Division of the Department of Business and Industry.
H - *SB447*
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Action History

  1. Approved by the Governor. Chapter 423.

  2. Enrolled and delivered to Governor.

  3. In Senate. To enrollment.

  4. From committee: Do pass. Declared an emergency measure under the Constitution. Read third time. Passed. Title approved. (Yeas: 39, Nays: 3.) To Senate.

  5. In Assembly. Read first time. Referred to Committee on Ways and Means. To committee.

  6. Read third time. Passed. Title approved. (Yeas: 21, Nays: None.) To Assembly.

  7. From committee: Do pass. Placed on Second Reading File. Read second time.

  8. From printer. To committee.

  9. Read first time. Referred to Committee on Government Affairs. To printer.

Sponsors

  • Senate Committee on Finance · Primary

Sponsorship breakdown

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

Sponsors (1)

  • Senate Committee on Finance

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.

Whip count is in markup. Polling the chamber and every recorded vote this session. Only the first open is slow. It’s instant for you after this. Calling the roll · Tallying · Engrossing

Subjects

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Frequently asked questions

Who sponsors SB 447?
SB 447 is sponsored by Senate Committee on Finance.
What is the current status of SB 447?
This bill has been enacted into law. Introduced May 13, 2021. Enacted.
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