Advanced Search

Nrs: Chapter 624 - Contractors


Published: 2015

Subscribe to a Global-Regulation Premium Membership Today!

Key Benefits:

Subscribe Now for only USD$40 per month.
[Rev. 2/11/2015 11:40:50

AM--2014R2]

CHAPTER 624 - CONTRACTORS

GENERAL PROVISIONS

NRS 624.005           Legislative

declaration.

NRS 624.006           Definitions.

NRS 624.010           “Board”

defined.

NRS 624.015           “Construction

control” defined.

NRS 624.020           “Contractor”

synonymous with “builder”; “contractor” defined.

NRS 624.024           “Knowingly”

defined.

NRS 624.027           “Planned

unit development” defined.

NRS 624.029           “Work

of improvement” defined.

NRS 624.031           Applicability

of chapter: Exemptions.

NRS 624.033           Applicability

of chapter: Contract pertaining to federal aid.

NRS 624.035           County

or municipality may impose additional requirements for contractor’s license.

STATE CONTRACTORS’ BOARD

NRS 624.040           Creation;

number and appointment of members.

NRS 624.050           Qualifications

of members.

NRS 624.070           Certificate

of appointment; oath of office.

NRS 624.080           Regular

and special meetings; notice.

NRS 624.090           Quorum.

NRS 624.100           Appointment

of committees; adoption of bylaws, rules of procedure and regulations; advisory

committees.

NRS 624.105           Designation

of Ombudsman for Residential Pools and Spas; duties.

NRS 624.110           Offices;

maintenance, inspection and confidentiality of records and reports.

NRS 624.112           Investigations

Office: Establishment; qualifications of investigators.

NRS 624.115           Employment

of necessary personnel; authority of Board concerning criminal investigators

and compliance investigators employed by Board.

NRS 624.120           Seal.

NRS 624.135           Fiscal

year.

NRS 624.140           Use

of money received by Board; delegation of authority concerning disciplinary

action; deposit of certain money into Construction Education Account.

NRS 624.150           Election

and duties of Treasurer; disposition of money.

NRS 624.160           Administration

of chapter; provision of information to public concerning contractors and

contracting; advisory opinions; investigation of persons acting as contractors.

NRS 624.165           Investigation

of constructional fraud.

NRS 624.170           Administration

of oaths; taking of testimony and proofs; issuance of subpoenas.

NRS 624.180           Service

of process.

NRS 624.190           Action

by district court to compel attendance of witness or production of records,

books or papers.

NRS 624.200           Deposition

of witness.

NRS 624.210           Right

of party to compel attendance of witness or taking of deposition.

NRS 624.212           Violation

of chapter: Cease and desist order; injunction; fine.

CLASSIFICATIONS

NRS 624.215           Contracting

business.

NRS 624.218           Classification

for persons who construct or improve video service networks.

NRS 624.220           Contractors.

LICENSES

NRS 624.240           Issuance

of licenses; use of examinations to investigate, classify and qualify

applicants; additional qualifications for master’s license; transitory

provision.

NRS 624.241           Program

for issuance of license in expedited manner.

NRS 624.245           Prohibition

of certain violators from examination.

NRS 624.250           Application

for license: Contents; fees; contributions to Construction Education Account.

NRS 624.253           Application

for one or more classifications; additional application and fee for license may

be required.

NRS 624.254           Issuance

or renewal of license under name likely to result in confusion or mistake

prohibited.

NRS 624.2545         Denial

of application for issuance or renewal of license: Notice; request for hearing;

hearing.

NRS 624.256           Proof

of industrial insurance; notification of Fraud Control Unit for Industrial

Insurance of failure to obtain industrial insurance; disciplinary action;

penalty for failure to pay contributions to Unemployment Compensation Fund.

NRS 624.260           Applicant

or licensee to demonstrate experience, knowledge and financial responsibility;

qualifications concerning experience and knowledge; limitations on

qualifications of natural person.

NRS 624.262           Financial

responsibility of applicant or licensee: Demonstration required.

NRS 624.263           Financial

responsibility of applicant or licensee: Standards and criteria for determination.

NRS 624.264           Financial

responsibility of applicant or licensee: Additional requirements for certain

applicants and licensees engaged in residential construction.

NRS 624.265           Good

character of applicant or licensed contractor and certain associates; grounds

for establishment of lack of good character; background investigation;

confidentiality of results of background investigation; fee for processing

fingerprints; Board may obtain criminal history.

NRS 624.266           Duty

of applicant or licensee to disclose certain information to Board.

NRS 624.268           Payment

of child support: Submission of certain information by applicant; grounds for

denial of license; duty of Board. [Effective until the date of the repeal of 42

U.S.C. § 666, the federal law requiring each state to establish procedures for

withholding, suspending and restricting the professional, occupational and

recreational licenses for child support arrearages and for noncompliance with

certain processes relating to paternity or child support proceedings.]

NRS 624.268           Payment

of child support: Submission of certain information by applicant; grounds for

denial of license; duty of Board. [Effective on the date of the repeal of 42

U.S.C. § 666, the federal law requiring each state to establish procedures for

withholding, suspending and restricting the professional, occupational and

recreational licenses for child support arrearages and for noncompliance with

certain processes relating to paternity or child support proceedings and

expires by limitation 2 years after that date.]

NRS 624.270           Bond

and deposit: Requirements; amount; conditions.

NRS 624.273           Bond

and deposit: Person benefited; actions; payment by surety without action by

court; interpleader by surety or Board; preferred claims; prohibited claims.

NRS 624.275           Bond

and deposit: Notice of claim paid against contractor’s bond by surety;

cancellation of contractor’s bond by surety; notification to contractor of

claim against or cancellation of bond; duties of Board and contractor;

revocation or suspension of license.

NRS 624.276           Bond

and deposit: Additional requirements for contractors performing work concerning

residential pools or spas.

NRS 624.280           Regulations

concerning fees; limitation on amount.

NRS 624.281           Fee

for license issued in expedited manner; reimbursement to Board for costs and

expenses; regulations concerning application for license issued in expedited

manner.

NRS 624.282           Inactive

status of license: Application; effect; duration; regulations.

NRS 624.283           License:

Expiration; renewal; financial statement; reinstatement; cancellation.

NRS 624.284           License:

Limitation of scope.

NRS 624.285           Termination

of association of natural person qualifying by examination on behalf of another

natural person or firm: Notice; replacement with qualified natural person.

NRS 624.288           Display

of name and license on motor vehicle.

HEARINGS

NRS 624.291           Hearing

required if Board suspends or revokes license, has probable cause to believe

that person has engaged in unlawful advertising or imposes administrative fine

for unlicensed actions; exception.

DISCIPLINARY ACTION

General Provisions

NRS 624.295           Member

of Board authorized to inform Executive Officer of allegation of ground for

disciplinary action; action by Executive Officer.

NRS 624.300           Disciplinary

actions against licensee; private reprimands prohibited; orders imposing

discipline deemed public records; deposit of fines in Construction Education

Account.

 

Grounds for Disciplinary Action

NRS 624.301           Abandonment

or failure to complete or prosecute diligently project for construction;

willful failure to comply with terms of contract or written warranty.

NRS 624.3011         Disregard

of plans, specifications, laws or regulations.

NRS 624.3012         Diversion

of money or property; failure to pay for materials or services; false denial of

amount due, or validity of claim of amount due, for materials or services;

failure to release lien against property to be improved.

NRS 624.3013         Failure

to keep records or maintain bond; misrepresentation; failure to establish

financial responsibility or comply with law or regulations of Board.

NRS 624.3014         Misuse

of license; evasion of law.

NRS 624.3015         Acting

beyond scope of license; bidding on work in excess of limit or beyond scope of

license; contracting with unlicensed contractor; constructing or repairing

mobile home, manufactured home, manufactured building or commercial coach or

factory-built housing; engaging in work that requires license while license is

inactive.

NRS 624.3016         Fraudulent

or deceitful acts; criminal conviction; improper acts involving liens; improper

acts involving residential pools and spas; failure to make required disclosure;

failure to pay assessment; improper acts involving contract for public work;

failure to notify Board of certain information.

NRS 624.30165       Unfair

business practices: Misrepresentations involving need for service, replacement

parts, equipment or repairs; false or misleading statements.

NRS 624.3017         Substandard

workmanship; incomplete advertising; advertising projects beyond scope of

license.

NRS 624.30175       Suspension

of license for failure to pay child support or comply with certain subpoenas or

warrants; reinstatement of license. [Effective until 2 years after the date of

the repeal of 42 U.S.C. § 666, the federal law requiring each state to

establish procedures for withholding, suspending and restricting the

professional, occupational and recreational licenses for child support

arrearages and for noncompliance with certain processes relating to paternity

or child support proceedings.]

NRS 624.3018         Certain

persons prohibited from serving as officer, director, associate or partner of

licensee.

NRS 624.302           Contracting,

offering to contract or submitting bid if license is suspended, revoked or

inactive; failure to comply with written citation or pay administrative fine;

suspension or revocation of license in other state or disciplinary action in

other state; failure or refusal to respond to or comply with written requests

of Board; failure or refusal to comply with order of Board.

NRS 624.305           Unlawful

use, assignment or transfer of license; revocation of license.

 

Proceedings

NRS 624.320           Allegation

and proof of license in action on contract.

NRS 624.323           Licensee

subject to disciplinary proceeding must submit financial statement and other

information to Board; authority of Board to take certain actions to protect

public.

NRS 624.327           Certain

records relating to investigation deemed confidential; certain records relating

to disciplinary action deemed public records.

NRS 624.331           Complaint

against licensee must be written and filed within certain period; Board must

act on complaint within certain period.

NRS 624.335           Investigation

of complaint by Investigations Office; notification of actions taken;

resolution of complaint by Investigations Office; forwarding of complaint to

appropriate agency for resolution.

NRS 624.341           Administrative

citation; order to take corrective action; penalty.

NRS 624.345           Contest

of administrative citation: Time limit; effect of failure to contest citation

within time limit; extension of time to contest citation; service of citation.

NRS 624.351           Contest

of administrative citation or order to correct violation: Hearing.

NRS 624.355           Annual

review of complaints by Board; report to Governor and Legislature; duty to

inform public.

NRS 624.361           Regulations.

RECOVERY FUND

NRS 624.400           Definitions.

NRS 624.410           “Account”

defined.

NRS 624.420           “Injured

person” defined.

NRS 624.430           “Owner”

defined.

NRS 624.440           “Qualified

services” defined.

NRS 624.450           “Residential

contractor” defined.

NRS 624.460           “Subsequent

owner” defined.

NRS 624.470           Establishment

of account; reference to account as “Recovery Fund”; collection of biennial

assessment; reduction in amount of assessment under certain circumstances; use

of money in account.

NRS 624.480           Limitation

on time to file complaint seeking recovery.

NRS 624.490           Application

to Board for satisfaction of judgment from account.

NRS 624.500           Hearing

on complaint; limitation on time for acting on complaint.

NRS 624.510           Eligibility

for recovery from account; maximum amount of individual recovery from account;

Board subrogated to rights of injured person; maximum amount of recovery from

account for claims against individual contractor.

NRS 624.520           Contractor

to notify owner of rights related to account; written statement; administrative

fine for noncompliance.

NRS 624.530           Board

retains authority to take disciplinary action against residential contractor;

additional actions by Board against residential contractor.

NRS 624.540           Annual

statement of condition of account to Legislature; employment of necessary

persons; procurement of necessary equipment, supplies and services; interest

credited to account; limit on expenditures.

NRS 624.550           Minimum

balance in account.

NRS 624.560           Regulations.

COMMISSION ON CONSTRUCTION EDUCATION

NRS 624.570           Creation;

members; expenses; duties; powers; regulations.

NRS 624.580           Construction

Education Account; administration.

DISCLOSURES

NRS 624.600           Required

disclosures by general building contractor.

NRS 624.605           Availability

to contractor of names and addresses of subcontractors delinquent in payment of

contributions for unemployment or industrial insurance.

RIGHTS, DUTIES AND LIABILITIES UNDER CERTAIN AGREEMENTS FOR

WORKS OF IMPROVEMENT

General Provisions

NRS 624.606           Definitions.

NRS 624.607           “Higher-tiered

contractor” defined.

NRS 624.608           “Lower-tiered

subcontractor” defined.

NRS 624.6084         “Owner”

defined.

NRS 624.6086         “Prime

contractor” defined.

 

Agreements Between Owner and Prime Contractor

NRS 624.609           Payment

of prime contractor during performance of agreement; grounds and procedure for

withholding amounts from payment; rights and duties after notice of

withholding, notice of objection or notice of correction.

NRS 624.610           Grounds

and procedure for stopping work or terminating agreement; change orders;

damages and other remedies; rights of lower-tiered subcontractors; limitations

on liability.

NRS 624.620           Payment

of prime contractor after work of improvement is available for use or

occupancy; grounds and procedure for withholding amounts from payment; rights

and duties after notice of withholding or notice of correction; partial

payments.

NRS 624.622           Requirements

concerning notices; prohibited provisions; exemptions; requests for

information.

 

Agreements Between Higher-Tiered Contractor and Lower-Tiered

Subcontractor

NRS 624.624           Payment

of lower-tiered subcontractor; grounds and procedure for withholding amounts

from payment; rights and duties after notice of withholding, notice of

objection or notice of correction.

NRS 624.626           Grounds

and procedure for stopping work or terminating agreement; change orders;

damages and other remedies; rights of lower-tiered subcontractors after work

stoppage or termination of agreement; limitations on liability.

NRS 624.628           Requirements

concerning notices; prohibited provisions; requests for information.

 

Payment of Interest

NRS 624.630           Accrual

of interest on money due; rate of interest.

UNLAWFUL ACTS; PENALTIES

NRS 624.700           Engaging

in business or submitting bid without license unlawful; prosecution; damages;

bid submitted in violation of section void.

NRS 624.710           Administrative

fine for engaging in business or submitting bid without license; fine

cumulative; action for fine; deposit of fine in Construction Education Account.

NRS 624.720           Unlawful

advertising; disconnection of telephone number or beeper listed in unlawful

advertisement.

NRS 624.730           Unlawful

to sit for examination on behalf of another; unlawful to provide any portion of

examination to another.

NRS 624.740           Unlawful

to act in joint venture or combination without additional license.

NRS 624.750           Other

unlawful acts or omissions; penalties for unlawful acts and omissions.

PROSECUTION OF VIOLATIONS

NRS 624.800           Statute

of limitations for certain violations.

RESIDENTIAL SWIMMING POOLS AND SPAS

NRS 624.900           Definitions.

NRS 624.905           “Contract”

defined.

NRS 624.910           “Contractor”

defined.

NRS 624.915           “Work

concerning a residential pool or spa” defined.

NRS 624.920           License

or other authorization required to perform work concerning residential pool or

spa.

NRS 624.925           Classifications

of licensing.

NRS 624.930           Contractor

and subcontractor required to obtain permits and meet certain requirements;

certain owner-builders required to submit information regarding bonds and

insurance; supervision and control of work; license or other authorization

required to perform certain acts for owner-builder.

NRS 624.935           Duties

of contractor regarding commencement, performance and completion of work;

contract to explain rights of customer; conditions for final payment.

NRS 624.940           Mandatory

elements and required information in contracts; contractor to furnish copy of

signed documents and receipt for money paid; certain contracts void; contractor

to apply for and obtain necessary permits.

NRS 624.945           Standards

for advertisements; prohibited advertising practices.

NRS 624.950           Limitations

on contractor’s involvement with entities engaged in certain lending and

financial services.

NRS 624.955           Limitations

on certain lending and financial practices.

NRS 624.960           Contractor

who commits certain violations may be required to obtain services of

construction control.

NRS 624.965           Grounds

for disciplinary action; unlawful acts; penalties.

_________

 

GENERAL PROVISIONS

      NRS 624.005  Legislative declaration.  The

Legislature declares that the provisions of this chapter relating to the

discipline of licensees are intended to promote public confidence and trust in

the competence and integrity of licensees and to protect the health, safety and

welfare of the public.

      (Added to NRS by 1989, 526)

      NRS 624.006  Definitions.  As

used in this chapter, unless the context otherwise requires, the words and

terms defined in NRS 624.010 to 624.029, inclusive, have the meanings ascribed to them

in those sections.

      (Added to NRS by 2003, 1896, 2139; A 2005, 1223)

      NRS 624.010  “Board” defined.  “Board”

means the State Contractors’ Board.

      (Added to NRS by 2003, 1899, 2140)

      NRS 624.015  “Construction control” defined.  “Construction

control” has the meaning ascribed to it in NRS

627.050.

      (Added to NRS by 2003, 1897)

      NRS 624.020  “Contractor” synonymous with “builder”; “contractor” defined.

      1.  “Contractor” is synonymous with

“builder.”

      2.  A contractor is any person, except a

registered architect or a licensed professional engineer, acting solely in a

professional capacity, who in any capacity other than as the employee of

another with wages as the sole compensation, undertakes to, offers to undertake

to, purports to have the capacity to undertake to, or submits a bid to, or does

himself or herself or by or through others, construct, alter, repair, add to,

subtract from, improve, move, wreck or demolish any building, highway, road,

railroad, excavation or other structure, project, development or improvement,

or to do any part thereof, including the erection of scaffolding or other

structures or works in connection therewith. Evidence of the securing of any

permit from a governmental agency or the employment of any person on a

construction project must be accepted by the Board or any court of this State

as prima facie evidence that the person securing that permit or employing any

person on a construction project is acting in the capacity of a contractor

pursuant to the provisions of this chapter.

      3.  A contractor includes a subcontractor

or specialty contractor, but does not include anyone who merely furnishes

materials or supplies without fabricating them into, or consuming them in the

performance of, the work of a contractor.

      4.  A contractor includes a construction

manager who performs management and counseling services on a construction

project for a professional fee.

      5.  A contractor does not include an owner

of a planned unit development who enters into one or more oral or written

agreements with one or more general building contractors or general engineering

contractors to construct a work of improvement in the planned unit development

if the general building contractors or general engineering contractors are

licensed pursuant to this chapter and contract with the owner of the planned

unit development to construct the entire work of improvement.

      [2:Art. II:186:1941; A 1955, 378] + [3:Art.

II:186:1941; 1931 NCL § 1474.11]—(NRS A 1975, 831; 1977, 319; 1997, 1037; 2001, 1621; 2003, 1899, 2140; 2005, 1223)

      NRS 624.024  “Knowingly” defined.  “Knowingly”

imports a knowledge that the facts exist which constitute the act or omission,

and does not require knowledge of the prohibition against the act or omission.

Knowledge of any particular fact may be inferred from the knowledge of such

other facts as should put an ordinarily prudent person upon inquiry.

      (Added to NRS by 2003, 2139)

      NRS 624.027  “Planned unit development” defined.  “Planned

unit development” has the meaning ascribed to it in NRS 278A.065.

      (Added to NRS by 2005, 1223)

      NRS 624.029  “Work of improvement” defined.  “Work

of improvement” has the meaning ascribed to it in NRS 108.22188.

      (Added to NRS by 2005, 1223, 1721)

      NRS 624.031  Applicability of chapter: Exemptions.  The

provisions of this chapter do not apply to:

      1.  Work performed exclusively by an

authorized representative of the United States Government, the State of Nevada,

or an incorporated city, county, irrigation district, reclamation district, or

other municipal or political corporation or subdivision of this State.

      2.  An officer of a court when acting

within the scope of his or her office.

      3.  Work performed exclusively by a public

utility operating pursuant to the regulations of the Public Utilities

Commission of Nevada on construction, maintenance and development work

incidental to its business.

      4.  An owner of property who is building or

improving a residential structure on the property for his or her own occupancy

and not intended for sale or lease. The sale or lease, or the offering for sale

or lease, of the newly built structure within 1 year after its completion

creates a rebuttable presumption for the purposes of this section that the

building of the structure was performed with the intent to sell or lease that

structure. An owner of property who requests an exemption pursuant to this

subsection must apply to the Board for the exemption. The Board shall adopt

regulations setting forth the requirements for granting the exemption.

      5.  Any work to repair or maintain property

the value of which is less than $1,000, including labor and materials, unless:

      (a) A building permit is required to perform the

work;

      (b) The work is of a type performed by a plumbing,

electrical, refrigeration, heating or air-conditioning contractor;

      (c) The work is of a type performed by a

contractor licensed in a classification prescribed by the Board that

significantly affects the health, safety and welfare of members of the general

public;

      (d) The work is performed as a part of a larger

project:

             (1) The value of which is $500 or more; or

             (2) For which contracts of less than $500

have been awarded to evade the provisions of this chapter; or

      (e) The work is performed by a person who is

licensed pursuant to this chapter or by an employee of that person.

      6.  The sale or installation of any

finished product, material or article of merchandise which is not fabricated

into and does not become a permanent fixed part of the structure.

      7.  The construction, alteration,

improvement or repair of personal property.

      8.  The construction, alteration,

improvement or repair financed in whole or in part by the Federal Government

and conducted within the limits and boundaries of a site or reservation, the

title of which rests in the Federal Government.

      9.  An owner of property, the primary use

of which is as an agricultural or farming enterprise, building or improving a

structure on the property for his or her use or occupancy and not intended for

sale or lease.

      10.  Construction oversight services

provided to a long-term recovery group by a qualified person within a

particular geographic area that is described in a proclamation of a state of

emergency or declaration of disaster by the State or Federal Government,

including, without limitation, pursuant to NRS

414.070. A long-term recovery group may reimburse such reasonable expenses

as the qualified person incurs in providing construction oversight services to

that group. Except as otherwise provided in this subsection, nothing in this

subsection authorizes a person who is not a licensed contractor to perform the

acts described in paragraphs (a) and (b) of subsection 1 of NRS 624.700. As used in this subsection:

      (a) “Construction oversight services” means the

coordination and oversight of labor by volunteers.

      (b) “Long-term recovery group” means a formal

group of volunteers coordinating response and recovery efforts related to a

state of emergency or disaster that is proclaimed or declared by the State or

Federal Government.

      (c) “Qualified person” means a person who

possesses the abilities, education, experience, knowledge, skills and training

that a long-term recovery group has identified as being necessary to provide

construction oversight services for a project to be performed by that group.

      11.  A person licensed as a real estate

broker, real estate broker-salesperson or real estate salesperson pursuant to chapter 645 of NRS who, acting within the scope

of the license or a permit to engage in property management issued pursuant to NRS 645.6052, assists a client in

scheduling work to repair or maintain residential property pursuant to a

written brokerage agreement or a property management agreement. Such assistance

includes, without limitation, assisting a client in the hiring of any number of

licensed contractors to perform the work. Nothing in this subsection authorizes

the performance of any work for which a license is required pursuant to this

chapter by a person who is not licensed pursuant to this chapter or the payment

of any additional compensation to a person licensed as a real estate broker,

real estate broker-salesperson or real estate salesperson for assisting a

client in scheduling the work. The provisions of this subsection apply only if

a building permit is not required to perform the work and if the value of the

work does not exceed $10,000 per residential property during the fixed term of

the written brokerage agreement, if the assistance is provided pursuant to such

an agreement, or during a period not to exceed 6 months if the assistance is

provided pursuant to a property management agreement. As used in this

subsection:

      (a) “Brokerage agreement” has the meaning

ascribed to it in NRS 645.005.

      (b) “Property management agreement” has the

meaning ascribed to it in NRS 645.0192.

      (c) “Real estate broker” has the meaning ascribed

to it in NRS 645.030.

      (d) “Real estate broker-salesperson” has the

meaning ascribed to it in NRS 645.035.

      (e) “Real estate salesperson” has the meaning

ascribed to it in NRS 645.040.

      (f) “Residential property” means:

             (1) Improved real estate that consists of

not more than four residential units; or

             (2) A single-family residential unit,

including a condominium, townhouse or home within a subdivision, if the unit is

sold, leased or otherwise conveyed unit by unit, regardless of whether the unit

is part of a larger building or parcel that consists of more than four units.

      [1:Art. III:186:1941; A 1951, 47] + [2:Art.

III:186:1941; 1943 NCL § 1474.14] + [3:Art. III:186:1941; A 1951, 47] + [4:Art.

III:186:1941; A 1947, 307; 1951, 47] + [5:Art. III:186:1941; 1931 NCL §

1474.17] + [6:Art. III:186:1941; 1931 NCL § 1474.18] + [7:Art. III:186:1941; A

1951, 47] + [9:Art. III:186:1941; A 1947, 307; 1943 NCL § 1474.21]—(NRS A 1975,

1167; 1987,

1730; 1989,

1629; 1997,

2019, 3162;

2001, 2409;

2007, 855; 2009, 763; 2013, 578)

      NRS 624.033  Applicability of chapter: Contract pertaining to federal aid.  If any provision or condition contained in

this chapter conflicts with any provision of federal law, or a rule or

regulation made under federal law pertaining to federal aid contracts, such

provision in conflict with the federal law, rule or regulation does not apply

on federal aid contracts to the extent such conflict exists, but all provisions

of this chapter with which there is no such conflict do apply to federal aid

contracts.

      [1:Art. VIII:186:1941; 1931 NCL § 1474.33]—(NRS A

1969, 940)

      NRS 624.035  County or municipality may impose additional requirements for

contractor’s license.  The

provisions of this chapter shall not be construed to prevent the governing body

of any county or incorporated city requiring an additional contractor’s license

within such political subdivision issued subject to the applicant meeting such

additional standards as are reasonable and necessary for the protection of the

public in the political subdivision.

      [5:Art. VIII:186:1941; added 1955, 378]

STATE CONTRACTORS’ BOARD

      NRS 624.040  Creation; number and appointment of members.  There is hereby created the State Contractors’

Board to consist of seven members to be appointed by the Governor.

      [Part 1:Art. I:186:1941; 1931 NCL § 1474.01]

      NRS 624.050  Qualifications of members.

      1.  Six members of the Board must each:

      (a) At the time of appointment, hold an unexpired

license to operate as a contractor.

      (b) Be a contractor actively engaged in the

contracting business and must have been so engaged for not less than 5 years

preceding the date of his or her appointment.

      (c) Have been a citizen and resident of the State

of Nevada for at least 5 years next preceding his or her appointment.

      2.  One member of the Board must be a

representative of the general public. This member must not be:

      (a) A licensed contractor; or

      (b) The spouse or the parent or child, by blood,

marriage or adoption, of a licensed contractor.

      [2:Art. I:186:1941; 1931 NCL § 1474.02]—(NRS A 1985, 47; 2003, 1188)

      NRS 624.070  Certificate of appointment; oath of office.  Each member of the Board shall:

      1.  Receive a certificate of appointment

from the Governor.

      2.  Before entering upon the discharge of

the duties of his or her office, take the constitutional oath of office.

      [4:Art. I:186:1941; 1931 NCL § 1474.04]

      NRS 624.080  Regular and special meetings; notice.

      1.  The Board shall hold such meetings as

may be necessary for the purpose of transacting its business.

      2.  Four members of the Board may call a

special meeting at any time.

      3.  Due notice of each meeting and of the

time and place thereof shall be given each member in the manner provided by the

bylaws.

      [Part 5:Art. I:186:1941; 1931 NCL § 1474.05]

      NRS 624.090  Quorum.  Four

members of the Board shall constitute a quorum.

      [Part 5:Art. I:186:1941; 1931 NCL § 1474.05]

      NRS 624.100  Appointment of committees; adoption of bylaws, rules of

procedure and regulations; advisory committees.

      1.  The Board may appoint such committees

and make such reasonable bylaws, rules of procedure and regulations as are

necessary to carry out the provisions of this chapter.

      2.  Except as otherwise provided in

subsection 3, the Board may establish advisory committees composed of its

members or employees, homeowners, contractors or other qualified persons to provide

assistance with respect to fraud in construction, or in any other area that the

Board considers necessary.

      3.  The Board shall establish an advisory

committee to make recommendations to the Board concerning the classification of

licensure of persons who install or maintain building shell insulation or

thermal system insulation, including, without limitation, recommendations

relating to training and continuing education.

      4.  If an advisory committee is

established, the Board shall:

      (a) Select five members for the committee from a

list of volunteers approved by the Board; and

      (b) Adopt rules of procedure for informal

conferences of the committee.

      5.  If an advisory committee is

established, the members:

      (a) Serve at the pleasure of the Board.

      (b) Serve without compensation, but must be

reimbursed for travel expenses necessarily incurred in the performance of their

duties. The rate must not exceed the rate provided for state officers and

employees generally.

      (c) Shall provide a written summary report to the

Board, within 15 days after the final informal conference of the committee,

that includes recommendations with respect to actions that are necessary to

reduce and prevent the occurrence of fraud in construction, or on such other

issues as requested by the Board.

      6.  The Board is not bound by any

recommendation made by an advisory committee.

      7.  As used in this section:

      (a) “Building shell insulation” means a product

that is used as part of the building which insulates a boundary between indoor

and outdoor space or conditioned and unconditioned space, including, without

limitation, walls, ceilings or floors.

      (b) “Thermal system insulation” means a product

that is used in a heating, ventilating, cooling, plumbing or refrigeration

system to insulate any hot or cold surface, including, without limitation, a

pipe, duct, valve, boiler, flue or tank, or equipment on or in a building.

      [Part 5:Art. I:186:1941; 1931 NCL § 1474.05]—(NRS A 1997, 2687; 2011, 322)

      NRS 624.105  Designation of Ombudsman for Residential Pools and Spas; duties.

      1.  The Board shall designate an employee

as Ombudsman for Residential Pools and Spas.

      2.  The Ombudsman for Residential Pools and

Spas shall:

      (a) Assist owners of single-family residences and

contractors to understand their rights and responsibilities as set forth in NRS 624.900 to 624.965,

inclusive, and any regulations adopted pursuant thereto.

      (b) Notify the Board if it appears that any

person has engaged in any act or practice that constitutes a violation of any

of the provisions of this chapter or any regulations adopted pursuant thereto.

      (Added to NRS by 2001, 2980)

      NRS 624.110  Offices; maintenance, inspection and confidentiality of records

and reports.

      1.  The Board may maintain offices in as

many localities in the State as it finds necessary to carry out the provisions

of this chapter, but it shall maintain one office in which there must be at all

times open to public inspection a complete record of applications, licenses

issued, licenses renewed and all revocations, cancellations and suspensions of

licenses.

      2.  Except as otherwise required in NRS 239.0115 and 624.327,

credit reports, references, financial information and data pertaining to a

licensee’s net worth are confidential and not open to public inspection.

      [1:Art. V:186:1941; 1931 NCL § 1474.27]—(NRS A 1963,

145; 1967, 1592; 1987,

1138; 2003,

1899, 3422;

2007, 2131)

      NRS 624.112  Investigations Office: Establishment; qualifications of

investigators.

      1.  The Board shall:

      (a) Establish an Investigations Office to enforce

the provisions of this chapter. The Investigations Office must consist of

criminal investigators and compliance investigators.

      (b) Adopt regulations setting forth the

qualifications required for investigators employed to carry out this section.

      2.  As used in this section, “criminal

investigator” means a person authorized to perform the duties set forth in

subsection 2 of NRS 624.115.

      (Added to NRS by 1999, 2950; A 2007, 856)

      NRS 624.115  Employment of necessary personnel; authority of Board concerning

criminal investigators and compliance investigators employed by Board.

      1.  The Board may employ attorneys,

investigators and other professional consultants and clerical personnel necessary

to the discharge of its duties.

      2.  The Board may require criminal

investigators who are employed by the Board pursuant to NRS

624.112 to:

      (a) Conduct a background investigation of:

             (1) A licensee or an applicant for a

contractor’s license; or

             (2) An applicant for employment with the

Board;

      (b) Locate and identify persons who:

             (1) Engage in the business or act in the

capacity of a contractor within this State in violation of the provisions of

this chapter;

             (2) Submit bids on jobs situated within

this State in violation of the provisions of this chapter; or

             (3) Otherwise violate the provisions of

this chapter or the regulations adopted pursuant to this chapter;

      (c) Investigate any alleged occurrence of

constructional fraud; and

      (d) Issue a misdemeanor citation prepared

manually or electronically pursuant to NRS

171.1773 to a person who violates a provision of this chapter that is

punishable as a misdemeanor. A criminal investigator may request any constable,

sheriff or other peace officer to assist in the issuance of such a citation.

      3.  The Board may require compliance

investigators who are employed by the Board pursuant to NRS

624.112 to locate and identify persons who:

      (a) Engage in the business or act in the capacity

of a contractor within this State in violation of the provisions of this

chapter;

      (b) Submit bids on jobs situated within this

State in violation of the provisions of this chapter; or

      (c) Otherwise violate the provisions of this

chapter or the regulations adopted pursuant thereto.

      (Added to NRS by 1963, 145; A 1995, 926; 1999, 2954; 2001, 213; 2003, 1899; 2007, 856)

      NRS 624.120  Seal.  The Board

shall adopt a seal for its own use. The seal must have imprinted thereon the

words “State Contractors’ Board, State of Nevada.” The Executive Officer has

the care and custody of the seal. A person shall not use, copy or reproduce the

seal in any way not authorized by this chapter or the regulations of the Board.

      [7:Art. I:186:1941; 1931 NCL § 1474.07]—(NRS A 1985, 1052; 1999, 2178)

      NRS 624.135  Fiscal year.  The

Board shall operate on the basis of a fiscal year commencing on July 1 and

terminating on June 30.

      (Added to NRS by 1963, 145)

      NRS 624.140  Use of money received by Board; delegation of authority

concerning disciplinary action; deposit of certain money into Construction

Education Account.

      1.  Except as otherwise provided in

subsection 3, if money becomes available from the operations of this chapter

and payments made for licenses, the Board may pay from that money:

      (a) The expenses of the operations of this

chapter, including the maintenance of offices.

      (b) The salary of the Executive Officer who must

be named by the Board.

      (c) A salary to each member of the Board of not

more than $150 per day, as fixed by the Board, while engaged in the business of

the Board.

      (d) A per diem allowance and travel expenses for

each member and employee of the Board, at a rate fixed by the Board, while

engaged in the business of the Board. The rate must not exceed the rate

provided for state officers and employees generally.

      2.  The Board may delegate to a hearing

officer or panel its authority to take any disciplinary action pursuant to this

chapter, impose and collect fines therefor and deposit the money therefrom in

banks, credit unions or savings and loan associations in this State.

      3.  Except as otherwise provided in NRS 624.520, if a hearing officer or panel is not

authorized to take disciplinary action pursuant to subsection 2, the Board

shall deposit any money collected from the imposition of fines with the State

Treasurer for credit to the Construction Education Account created pursuant to NRS 624.580.

      [2:Art. V:186:1941; 1931 NCL § 1474.28]—(NRS A 1963,

146; 1975, 302; 1981,

1991; 1985,

1052; 1989,

1694; 1993,

883; 1999,

1528; 2001,

2411; 2007,

2941)

      NRS 624.150  Election and duties of Treasurer; disposition of money.

      1.  The Board shall elect one of its

members as Treasurer.

      2.  All money received by the Board shall

be turned over to the Treasurer who shall keep books of account and who is

authorized to deposit the money in banks, credit unions or savings and loan

associations in the State of Nevada, and to expend money necessary for the

operation of the Board under the terms of this chapter when the expenses have

been approved by the Board.

      3.  All balances at any time in the

possession of the Treasurer shall be subject to legislative disposition.

      [3:Art. V:186:1941; 1931 NCL § 1474.29]—(NRS A 1963,

146; 1999, 1529)

      NRS 624.160  Administration of chapter; provision of information to public

concerning contractors and contracting; advisory opinions; investigation of

persons acting as contractors.

      1.  The Board is vested with all of the

functions and duties relating to the administration of this chapter.

      2.  The Board shall:

      (a) Carry out a program of education for

customers of contractors.

      (b) Maintain and make known a telephone number

for the public to obtain information about self-protection from fraud in

construction and other information concerning contractors and contracting.

      (c) Collect and maintain records, reports and

compilations of statistical data concerning investigations and complaints.

      3.  The Board may provide advisory opinions

and take other actions that are necessary for the effective administration of

this chapter and the regulations of the Board.

      4.  The Board may, on its own motion, and

shall, upon receipt of a written complaint or upon receipt of information from

a governmental agency, investigate the actions of any person acting in the

capacity of a contractor, with or without a license.

      [Part 5:Art. I:186:1941; 1931 NCL § 1474.05]—(NRS A 1997, 2687; 2007, 857)

      NRS 624.165  Investigation of constructional fraud.

      1.  The Board shall:

      (a) Designate one or more of its employees for

the investigation of constructional fraud;

      (b) Cooperate with other local, state or federal

investigative and law enforcement agencies, and the Attorney General;

      (c) Assist the Attorney General or any official

of an investigative or a law enforcement agency of this State, any other state

or the Federal Government who requests assistance in investigating any act of

constructional fraud; and

      (d) Furnish to those officials any information

concerning its investigation or report on any act of constructional fraud.

      2.  The Board may obtain records of a law

enforcement agency or any other agency that maintains records of criminal

history, including, without limitation, records of:

      (a) Arrests;

      (b) Guilty and guilty but mentally ill pleas;

      (c) Sentencing;

      (d) Probation;

      (e) Parole;

      (f) Bail;

      (g) Complaints; and

      (h) Final dispositions,

Ê for the

investigation of constructional fraud.

      3.  For the purposes of this section,

constructional fraud occurs if a person engaged in construction knowingly:

      (a) Misapplies money under the circumstances

described in NRS 205.310;

      (b) Obtains money, property or labor by false

pretense as described in NRS 205.380;

      (c) Receives payments and fails to state his or

her own true name, or states a false name, contractor’s license number, address

or telephone number of the person offering a service;

      (d) Diverts money or commits any act of theft,

forgery, fraud or embezzlement, in connection with a construction project, that

violates a criminal statute of this State;

      (e) Acts as a contractor without:

             (1) Possessing a contractor’s license

issued pursuant to this chapter; or

             (2) Possessing any other license required

by this State or a political subdivision of this State;

      (f) In any report relating to a contract for a

public work, submits false information concerning a payroll to a public officer

or agency; or

      (g) Otherwise fails to disclose a material fact.

      (Added to NRS by 1997, 2686; A 1999, 2954; 2003, 1900, 2140; 2007, 1469)

      NRS 624.170  Administration of oaths; taking of testimony and proofs;

issuance of subpoenas.

      1.  Any member of the Board or the Executive

Officer may take testimony and proofs concerning all matters within the

jurisdiction of the Board.

      2.  The Board or any member thereof, or the

Executive Officer, may:

      (a) Administer oaths.

      (b) Certify to all official acts.

      (c) Issue subpoenas for the attendance of

witnesses and the production of records, books and papers in connection with

any hearing, investigation or other proceeding of the Board.

      [Part 6:Art. I:186:1941; A 1943, 83; 1955, 378]—(NRS

A 1985, 1052;

1987, 1046;

1999, 2955)

      NRS 624.180  Service of process.

      1.  Any process issued by the Board or the

Executive Officer may extend to all parts of the State and may be served by an

investigator for the Board or any person authorized to serve process of courts

of record.

      2.  The Board may compensate any person

serving the process who is not an investigator for the Board, but not more than

the fees prescribed by law for similar service. The fees must be paid in the

same manner as other expenses of the Board are paid.

      [Part 6:Art. I:186:1941; A 1943, 83; 1955, 378]—(NRS

A 1985, 1055;

1987, 1046)

      NRS 624.190  Action by district court to compel attendance of witness or

production of records, books or papers.

      1.  The district court in and for the

county in which any hearing, investigation or other proceeding is held by the

Board may compel the attendance of witnesses, the giving of testimony and the

production of records, books and papers as required by any subpoena issued by

the Board or the Executive Officer.

      2.  In case of the refusal of any witness

to attend or testify or produce any items required by the subpoena, the Board

may report to the district court in and for the county in which the hearing,

investigation or other proceeding will be held by petition, setting forth that:

      (a) Due notice has been given of the time and

place of attendance of the witness or the production of the records, books or

papers;

      (b) The witness has been subpoenaed in the manner

prescribed in this chapter; and

      (c) The witness has failed and refused to attend

or produce the items required by subpoena before the Board in the cause or

proceeding named in the subpoena, or has refused to answer questions propounded

to him or her in the course of the hearing, investigation or other proceeding,

Ê and ask an

order of the court compelling the witness to attend and testify or produce the

records, books or papers before the Board.

      3.  The court, upon petition of the Board,

shall enter an order directing the witness to appear before the court at a time

and place to be fixed by the court in the order, the time to be not more than

10 days after the date of the order, and then and there show cause why the

witness has not attended or testified or produced the records, books or papers

before the Board. A certified copy of the order must be served upon the

witness.

      4.  If it appears to the court that the

subpoena was regularly issued by the Board or the Executive Officer, the court

shall thereupon enter an order that the witness appear before the Board at the

time and place fixed in the order and testify or produce the required records,

books or papers. Upon failure to obey the order, the witness must be dealt with

as for contempt of court.

      [Part 6:Art. I:186:1941; A 1943, 83; 1955, 378]—(NRS

A 1987, 1046;

1999, 2955)

      NRS 624.200  Deposition of witness.  The

Board may in any hearing, investigation or other proceeding before it cause the

depositions of witnesses residing within or without the State to be taken in

the manner prescribed by the Nevada Rules of Civil Procedure for like

depositions in civil actions in the district courts of this State, and to that

end may compel the attendance of witnesses and the production of records, books

and papers.

      [Part 6:Art. I:186:1941; A 1943, 83; 1955, 378]—(NRS

A 1987, 1047;

1999, 2956)

      NRS 624.210  Right of party to compel attendance of witness or taking of

deposition.  Any party to any

hearing, investigation or other proceeding before the Board has the right to

the attendance of witnesses in his or her behalf at the hearing, investigation

or other proceeding or upon deposition as set forth in this chapter upon making

a request therefor to the Board and designating the person sought to be

subpoenaed.

      [Part 6:Art. I:186:1941; A 1943, 83; 1955, 378]—(NRS

A 1987, 1047;

1999, 2956)

      NRS 624.212  Violation of chapter: Cease and desist order; injunction; fine.

      1.  The Executive Officer, on behalf of the

Board, shall issue an order to cease and desist to any person:

      (a) Acting as a contractor, including, without

limitation, commencing work as a contractor; or

      (b) Submitting a bid on a job situated in this

State,

Ê without an

active license of the proper classification issued pursuant to this chapter.

The order must be served personally or by certified mail and is effective upon

receipt.

      2.  If it appears that any person has

engaged in acts or practices which constitute a violation of this chapter or

the violation of an order issued pursuant to subsection 1, the Board may

request the Attorney General, the district attorney of the county in which the

alleged violation occurred or the district attorney of any other county in

which that person maintains a place of business or resides to apply on behalf

of the Board to the district court for an injunction restraining the person

from acting in violation of this chapter. Upon a proper showing, a temporary

restraining order, a preliminary injunction or a permanent injunction may be

granted. The Board as plaintiff in the action is not required to prove any

irreparable injury.

      3.  In seeking injunctive relief against

any person for an alleged violation of NRS 624.700,

it is sufficient to allege that the person did, upon a certain day and in a

certain county of this State:

      (a) Act as a contractor, including, without

limitation, commence work as a contractor; or

      (b) Submit a bid on a job situated in this State,

Ê without

having an active license of the proper classification issued pursuant to this

chapter, without alleging any further or more particular facts concerning the

matter.

      4.  The issuance of a restraining order or

an injunction does not relieve the person against whom the restraining order or

injunction is issued from criminal prosecution for practicing without a

license.

      5.  If the court finds that a person

willfully violated an order issued pursuant to subsection 1, it shall impose a

fine of not less than $250 nor more than $1,000 for each violation of the

order.

      (Added to NRS by 1975, 1160; A 1983, 311, 509; 1987, 1047, 1138; 1995, 926; 2003, 2141)

CLASSIFICATIONS

      NRS 624.215  Contracting business.

      1.  For the purpose of classification, the

contracting business includes the following branches:

      (a) General engineering contracting.

      (b) General building contracting.

      (c) Specialty contracting.

Ê General

engineering contracting and general building contracting are mutually exclusive

branches.

      2.  A general engineering contractor is a

contractor whose principal contracting business is in connection with fixed

works, including irrigation, drainage, water supply, water power, flood

control, harbors, railroads, highways, tunnels, airports and airways, sewers

and sewage disposal systems, bridges, inland waterways, pipelines for

transmission of petroleum and other liquid or gaseous substances, refineries,

chemical plants and industrial plants requiring a specialized engineering

knowledge and skill, power plants, piers and foundations and structures or work

incidental thereto.

      3.  A general building contractor is a

contractor whose principal contracting business is in connection with the

construction or remodeling of buildings or structures for the support, shelter

and enclosure of persons, animals, chattels or movable property of any kind,

requiring in their construction the use of more than two unrelated building

trades or crafts, upon which he or she is a prime contractor and where the

construction or remodeling of a building is the primary purpose. Unless he or

she holds the appropriate specialty license, a general building contractor may

only contract to perform specialty contracting if he or she is a prime

contractor on a project. A general building contractor shall not perform

specialty contracting in plumbing, electrical, refrigeration and

air-conditioning or fire protection without a license for the specialty. A

person who exclusively constructs or repairs mobile homes, manufactured homes

or commercial coaches is not a general building contractor.

      4.  A specialty contractor is a contractor

whose operations as such are the performance of construction work requiring

special skill and whose principal contracting business involves the use of

specialized building trades or crafts.

      5.  This section does not prevent the Board

from establishing, broadening, limiting or otherwise effectuating

classifications in a manner consistent with established custom, usage and

procedure found in the building trades. The Board is specifically prohibited

from establishing classifications in such a manner as to determine or limit

craft jurisdictions.

      (Added to NRS by 1967, 1594; A 1971, 600; 1983, 311; 1997, 212, 2687)

      NRS 624.218  Classification for persons who construct or improve video

service networks.

      1.  The Board shall adopt by regulation a

classification of licensing for persons who construct or improve video service

networks. Except as otherwise provided in subsection 2, a person who engages in

such construction, alteration or improvement must be licensed in this

classification and may not be required to be licensed in any other

classification.

      2.  The licensing requirements adopted

pursuant to subsection 1 do not apply to a person who is engaged solely in the

alteration or repair of antennae used by a community antenna television system.

      3.  As used in this section, “video service

network” has the meaning ascribed to it in NRS

711.145.

      (Added to NRS by 1989, 1997; A 2007, 1401)

      NRS 624.220  Contractors.

      1.  The Board shall adopt regulations

necessary to effect the classification and subclassification of contractors in

a manner consistent with established usage and procedure as found in the

construction business, and may limit the field and scope of the operations of a

licensed contractor to those in which the contractor is classified and

qualified to engage as defined by NRS 624.215 and

the regulations of the Board.

      2.  The Board shall limit the field and

scope of the operations of a licensed contractor by establishing a monetary

limit on a contractor’s license, and the limit must be the maximum contract a

licensed contractor may undertake on one or more construction contracts on a

single construction site or subdivision site for a single client. The Board may

take any other action designed to limit the field and scope of the operations

of a contractor as may be necessary to protect the health, safety and general

welfare of the public. The limit must be determined after consideration of the

factors set forth in NRS 624.260 to 624.265, inclusive.

      3.  A licensed contractor may request that

the Board increase the monetary limit on his or her license, either on a

permanent basis or for a single construction project. A request submitted to

the Board pursuant to this subsection must be in writing on a form prescribed

by the Board and accompanied by such supporting documentation as the Board may

require. A request submitted pursuant to this section for a single construction

project must be submitted to the Board at least 5 working days before the date

on which the licensed contractor intends to submit a bid for the project and

must be approved by the Board before the submission of a bid by the contractor

for the project.

      4.  Subject to the provisions of

regulations adopted pursuant to subsection 5, nothing contained in this section

prohibits a specialty contractor from taking and executing a contract involving

the use of two or more crafts or trades, if the performance of the work in the

crafts or trades, other than in which the specialty contractor is licensed, is

incidental and supplemental to the performance of work in the craft for which

the specialty contractor is licensed.

      5.  The Board shall adopt regulations

establishing a specific limit on the amount of asbestos that a licensed

contractor with a license that is not classified for the abatement or removal

of asbestos may abate or remove pursuant to subsection 4.

      [1:Art. III—A:186:1941; added 1945, 296; 1943 NCL §

1474.21a]—(NRS A 1960, 353; 1963, 694; 1967, 1592; 1971, 180; 1979, 321; 1999, 2178, 2956; 2007, 1550; 2011, 199)

LICENSES

      NRS 624.240  Issuance of licenses; use of examinations to investigate,

classify and qualify applicants; additional qualifications for master’s

license; transitory provision.

      1.  Under reasonable regulations adopted by

the Board, the Board may investigate, classify and qualify applicants for

contractors’ licenses by written or oral examinations, or both, and may issue

contractors’ licenses to qualified applicants. The examinations may, in the

discretion of the Board, be given in specific classifications only.

      2.  If a natural person passes the

technical examination given by the Board on or after July 1, 1985, to qualify

for a classification established pursuant to this chapter, demonstrates to the

Board the degree of experience and knowledge required in the regulations of the

Board, and is granted a license, the person is qualified for a master’s

license, if issued by any political subdivision, in the classification for

which the examination was given, if the examination required the person to

demonstrate his or her knowledge and ability to:

      (a) Utilize and understand;

      (b) Direct and supervise work in compliance with;

and

      (c) Perform and apply any calculations required

to ensure that work performed is in compliance with,

Ê the

applicable codes, standards and regulations.

      3.  If a natural person qualified for a

license before July 1, 1985, in accordance with NRS

624.260 in a trade for which a master’s license is required by any

political subdivision, and if the license is active on or after July 1, 1985,

and if the person so qualified wishes to obtain a master’s license, the person

must pass either the appropriate examination given by the Board on or after

July 1, 1985, in accordance with NRS 624.260 and

the regulations of the Board, or the examination given by the political

subdivision in the trade for which a master’s license is required.

      [1:Art. IV:186:1941; A 1945, 296; 1953, 521; 1955,

378]—(NRS A 1985,

1056)

      NRS 624.241  Program for issuance of license in expedited manner.  The Board may establish a program for the

issuance of a license in an expedited manner. The Board shall not allow the

operation of the program for the issuance of a license in an expedited manner

to affect adversely the amount of time the Board requires to issue any other

contractor’s license.

      (Added to NRS by 1999, 2177)

      NRS 624.245  Prohibition of certain violators from examination.  The Board may prohibit a person who has been

convicted of violating NRS 624.700 or 624.740 from taking a written or oral examination for

a contractor’s license for a period of not more than 6 months from the date of

conviction.

      (Added to NRS by 1975, 1159; A 1995, 927)

      NRS 624.250  Application for license: Contents; fees; contributions to

Construction Education Account.

      1.  To obtain or renew a license, an

applicant must submit to the Board an application in writing containing:

      (a) The statement that the applicant desires the

issuance of a license under the terms of this chapter.

      (b) The street address or other physical location

of the applicant’s place of business.

      (c) The name of a person physically located in

this State for service of process on the applicant.

      (d) The street address or other physical location

in this State and, if different, the mailing address, for service of process on

the applicant.

      (e) Except as otherwise provided in paragraph (f)

or (g), the names and physical and mailing addresses of any owners, partners,

officers, directors, members and managerial personnel of the applicant.

      (f) If the applicant is a corporation, the names

and physical and mailing addresses of the president, secretary, treasurer, any

officers responsible for contracting activities in this State, any officers

responsible for renewing the license of the applicant, any persons used by the

applicant to qualify pursuant to NRS 624.260 and

any other persons required by the Board.

      (g) If the applicant is a limited-liability

company, the names and physical and mailing addresses of any managers or

members with managing authority, any managers or members responsible for

contracting activities in this State, any managers or members responsible for

renewing the license of the applicant, any persons used by the applicant to

qualify pursuant to NRS 624.260 and any other

persons required by the Board.

      (h) Any information requested by the Board to

ascertain the background, financial responsibility, experience, knowledge and

qualifications of the applicant.

      (i) All information required to complete the

application.

      2.  The application must be:

      (a) Made on a form prescribed by the Board in

accordance with the rules and regulations adopted by the Board.

      (b) Accompanied by the application fee fixed by

this chapter.

      3.  The Board shall include on an

application form for the issuance or renewal of a license, a method for allowing

an applicant to make a monetary contribution to the Construction Education

Account created pursuant to NRS 624.580. The

application form must state in a clear and conspicuous manner that a

contribution to the Construction Education Account is voluntary and is in

addition to any fees required for licensure. If the Board receives a

contribution from an applicant, the Board shall deposit the contribution with

the State Treasurer for credit to the Construction Education Account.

      4.  Before issuing a license to any

applicant, the Board shall require the applicant to pay the license fee fixed

by this chapter and, if applicable, any assessment required pursuant to NRS 624.470.

      [2:Art. IV:186:1941; 1931 NCL § 1474.23]—(NRS A 1997, 2113; 1999, 2957; 2001, 2411; 2005, 2705, 2807; 2007, 857)

      NRS 624.253  Application for one or more classifications; additional

application and fee for license may be required.

      1.  A licensee may make application for

classification and be classified in one or more classifications if the licensee

meets the qualifications prescribed by the Board for such additional

classification or classifications.

      2.  An additional application and license

fee may be charged for qualifying or classifying a licensee in additional

classifications.

      (Added to NRS by 1967, 1594)

      NRS 624.254  Issuance or renewal of license under name likely to result in

confusion or mistake prohibited.  No

license may be issued or renewed by the Board under a name which:

      1.  Is the same as the name of another

licensee;

      2.  So resembles the name of another

licensee that the Board determines that it is likely to result in confusion or

mistake; or

      3.  The Board determines is likely to

mislead the general public.

      (Added to NRS by 1987, 1138; A 1993, 926)

      NRS 624.2545  Denial of application for issuance or renewal of license:

Notice; request for hearing; hearing.

      1.  If the Board denies an application for

issuance or renewal of a license pursuant to this chapter, the Board shall send

by certified mail, return receipt requested, written notice of the denial to

the most current address of the applicant set forth in the records of the

Board.

      2.  A notice of denial must include,

without limitation, a statement which explains that the applicant has a right

to a hearing before the Board if the applicant submits a written request for

such a hearing to the Board within 60 days after the notice of denial is sent

to the address of the applicant pursuant to this section.

      3.  If an applicant who receives a notice

of denial pursuant to this section desires to have the denial reviewed at a

hearing before the Board, the applicant must submit a written request for a

hearing before the Board concerning the denial within 60 days after the notice

of denial is sent to the applicant’s address. If an applicant does not submit

notice in accordance with this subsection, the applicant’s right to a hearing

shall be deemed to be waived.

      4.  Except as otherwise provided in this

subsection, if the Board receives notice from an applicant pursuant to

subsection 3, the Board shall hold a hearing on the decision to deny the

application of the applicant within 90 days after the date the Board receives

notice pursuant to subsection 3. If an applicant requests a continuance and the

Board grants the continuance, the hearing required pursuant to this subsection

may be held more than 90 days after the date the Board receives notice pursuant

to subsection 3.

      (Added to NRS by 2001, 2409)

      NRS 624.256  Proof of industrial insurance; notification of Fraud Control

Unit for Industrial Insurance of failure to obtain industrial insurance;

disciplinary action; penalty for failure to pay contributions to Unemployment

Compensation Fund.

      1.  Before granting an original or renewal

of a contractor’s license to any applicant, the Board shall require that the

applicant submit to the Board:

      (a) Proof of industrial insurance and insurance

for occupational diseases which covers the applicant’s employees;

      (b) A copy of the applicant’s certificate of

qualification as a self-insured employer which was issued by the Commissioner

of Insurance;

      (c) If the applicant is a member of an

association of self-insured public or private employers, a copy of the

certificate issued to the association by the Commissioner of Insurance; or

      (d) An affidavit signed by the applicant

affirming that he or she is not subject to the provisions of chapters 616A to 616D, inclusive, or chapter 617 of NRS because the applicant:

             (1) Has no employees;

             (2) Is not or does not intend to be a

subcontractor for a principal contractor; and

             (3) Has not or does not intend to submit a

bid on a job for a principal contractor or subcontractor.

      2.  The Board shall notify the Fraud

Control Unit for Industrial Insurance established pursuant to NRS 228.420 whenever the Board learns that

an applicant or holder of a contractor’s license has engaged in business as or

acted in the capacity of a contractor within this State without having obtained

or maintained industrial insurance or insurance for occupational diseases in

violation of the provisions of chapters 616A

to 617, inclusive, of NRS.

      3.  Failure by an applicant or holder of a

contractor’s license to file or maintain in full force the required industrial

insurance and insurance for occupational diseases constitutes cause for the

Board to deny, revoke, suspend, refuse to renew or otherwise discipline the

person, unless the person has complied with the provisions set forth in

paragraph (d) of subsection 1.

      4.  As soon as practicable, but not more

than 3 business days after receiving notice from the Department of Employment,

Training and Rehabilitation pursuant to NRS

612.642 that a judgment has been obtained against a contractor for failure

to pay contributions to the Unemployment Compensation Fund or from the Division

of Industrial Relations of the Department of Business and Industry pursuant to NRS 616B.630 that a contractor is not in

full compliance with the requirements of chapters

616A to 617, inclusive, of NRS, the Board

shall notify the contractor by mail at the last known address of the

contractor, as it appears in the records of the Board, that the Board will

suspend the license of the contractor if the contractor does not furnish proof,

within 30 days after the date of the notice sent by the Board, that the

contractor has satisfied the judgment reported to the Board pursuant to NRS 612.642 or is in full compliance with

the requirements of chapters 616A to 617, inclusive, of NRS.

      5.  If the contractor fails to furnish

proof, within 30 days after the date of the notice sent by the Board pursuant

to subsection 4, that the contractor has satisfied the judgment reported to the

Board pursuant to NRS 612.642 or is in

full compliance with the requirements of chapters

616A to 617, inclusive, of NRS, the Board

shall, as soon as practicable, but not more than 3 business days after the

expiration of the 30-day period, for a first offense:

      (a) Summarily suspend the license of the

contractor without further notice pursuant to subsection 4 of NRS 624.291; and

      (b) Require the contractor to submit to the Board

a list of all projects for which the contractor has unfulfilled contractual

obligations where the contract was entered into on or before the date of the

notice sent by the Board pursuant to subsection 4.

      6.  If a contractor’s license is suspended

pursuant to paragraph (a) of subsection 5:

      (a) The suspension must continue until the

contractor furnishes proof that the contractor has satisfied the judgment

reported to the Board pursuant to NRS

612.642 or is in full compliance with the requirements of chapters 616A to 617,

inclusive, of NRS;

      (b) During the term of the suspension, the

contractor shall not submit any bids for any new work or begin work on any

project not described in the list submitted to the Board pursuant to paragraph

(b) of subsection 5; and

      (c) The Board shall notify:

             (1) The Office of the Labor Commissioner,

which shall, as soon as practicable, but not more than 3 business days after

receipt of the notice, add the name of the contractor to the list of

contractors who are disqualified to bid on public works; and

             (2) The State Public Works Board, which

shall, as soon as practicable, but not more than 3 business days after receipt

of the notice, add the name of the contractor to the list of contractors who

are not prequalified to bid on public works.

      7.  If the name of a contractor is added to

a list pursuant to paragraph (c) of subsection 6, the Office of the Labor

Commissioner or the State Public Works Board, as applicable, shall remove the

name from the list when notified by the Board that the suspension has been

lifted pursuant to paragraph (a) of subsection 6.

      8.  If the Board finds that a contractor

has failed to provide a complete list of projects in accordance with paragraph

(b) of subsection 5 or has violated paragraph (b) of subsection 6, the Board

shall:

      (a) For a first offense, suspend the contractor’s

license for an additional 12 months after the contractor furnishes the proof

described in paragraph (a) of subsection 6; and

      (b) For a second or subsequent offense, conduct a

hearing pursuant to NRS 624.291, and, if it is

determined at the hearing that a second or subsequent offense has been

committed, revoke the contractor’s license.

      9.  If a contractor for whom the suspension

of a contractor’s license has been lifted after providing the proof required

pursuant to paragraph (a) of subsection 6 receives notice from the Board

pursuant to subsection 4 within 5 years after the date of reinstatement and the

contractor fails to furnish proof, within 30 days after the date of the notice

sent by the Board, that the contractor has satisfied the judgment reported to

the Board pursuant to NRS 612.642 or is

in full compliance with the requirements of chapters

616A to 617, inclusive, of NRS, the Board

shall conduct a hearing pursuant to NRS 624.291

and, if it is determined at the hearing that a second or subsequent offense has

been committed within a 5-year period, revoke the contractor’s license.

      (Added to NRS by 1983, 541; A 1987, 1138; 1993, 781; 1995, 1879; 1999, 237; 2007, 858; 2013, 2208)

      NRS 624.260  Applicant or licensee to demonstrate experience, knowledge and

financial responsibility; qualifications concerning experience and knowledge;

limitations on qualifications of natural person.

      1.  The Board shall require an applicant or

licensee to show such a degree of experience, financial responsibility and such

general knowledge of the building, safety, health and lien laws of the State of

Nevada and the administrative principles of the contracting business as the

Board deems necessary for the safety and protection of the public.

      2.  An applicant or licensee may qualify in

regard to his or her experience and knowledge in the following ways:

      (a) If a natural person, the applicant or

licensee may qualify by personal appearance or by the appearance of his or her

responsible managing employee.

      (b) If a copartnership, a corporation or any

other combination or organization, it may qualify by the appearance of the

responsible managing officer or member of the personnel of the applicant firm.

Ê If an

applicant or licensee intends to qualify pursuant to this subsection by the

appearance of another person, the applicant or licensee shall submit to the

Board such information as the Board determines is necessary to demonstrate the

duties and responsibilities of the other person so appearing with respect to

the supervision and control of the operations of the applicant or licensee

relating to construction.

      3.  The natural person qualifying on behalf

of another natural person or firm under paragraphs (a) and (b) of subsection 2

must prove that he or she is a bona fide member or employee of that person or

firm and when his or her principal or employer is actively engaged as a

contractor shall exercise authority in connection with the principal or

employer’s contracting business in the following manner:

      (a) To make technical and administrative

decisions;

      (b) To hire, superintend, promote, transfer, lay

off, discipline or discharge other employees and to direct them, either by

himself or herself or through others, or effectively to recommend such action

on behalf of the principal or employer; and

      (c) To devote himself or herself solely to the

principal or employer’s business and not to take any other employment which

would conflict with his or her duties under this subsection.

      4.  A natural person may not qualify on

behalf of another for more than one active license unless:

      (a) One person owns at least 25 percent of each

licensee for which the person qualifies; or

      (b) One licensee owns at least 25 percent of the

other licensee.

      5.  Except as otherwise provided in

subsection 6, in addition to the other requirements set forth in this section,

each applicant for licensure as a contractor must have had, within the 10 years

immediately preceding the filing of the application for licensure, at least 4

years of experience as a journeyman, foreman, supervising employee or

contractor in the specific classification in which the applicant is applying

for licensure. Training received in a program offered at an accredited college

or university or an equivalent program accepted by the Board may be used to

satisfy not more than 3 years of experience required pursuant to this subsection.

      6.  If the applicant who is applying for

licensure has previously qualified for a contractor’s license in the same

classification in which the applicant is applying for licensure, the experience

required pursuant to subsection 5 need not be accrued within the 10 years

immediately preceding the application.

      7.  As used in this section, “journeyman”

means a person who:

      (a) Is fully qualified to perform, without

supervision, work in the classification in which the person is applying for

licensure; or

      (b) Has successfully completed:

             (1) A program of apprenticeship for the

classification in which the person is applying for licensure that has been

approved by the State Apprenticeship Council; or

             (2) An equivalent program accepted by the

Board.

      [3:Art. IV:186:1941; A 1951, 47]—(NRS A 1967, 1593; 1985, 1056; 1999, 2179)

      NRS 624.262  Financial responsibility of applicant or licensee: Demonstration

required.  A licensee or an

applicant for a contractor’s license must prove financial responsibility by

demonstrating that his or her past and current financial solvency and expectations

for financial solvency in the future are such as to provide the Board with a

reasonable expectation that the licensee or applicant can successfully do

business as a contractor without jeopardy to the public health, safety and

welfare.

      (Added to NRS by 1999, 2953)

      NRS 624.263  Financial responsibility of applicant or licensee: Standards and

criteria for determination.

      1.  The financial responsibility of a

licensee or an applicant for a contractor’s license must be established

independently of and without reliance on any assets or guarantees of any owners

or managing officers of the licensee or applicant, but the financial

responsibility of any owners or managing officers of the licensee or applicant

may be inquired into and considered as a criterion in determining the financial

responsibility of the licensee or applicant.

      2.  The financial responsibility of an

applicant for a contractor’s license or of a licensed contractor may be

determined by using the following standards and criteria in connection with

each applicant or contractor and each associate or partner thereof:

      (a) Amount of net worth.

      (b) Amount of liquid assets.

      (c) Amount of current assets.

      (d) Amount of current liabilities.

      (e) Amount of working capital.

      (f) Ratio of current assets to current

liabilities.

      (g) Fulfillment of bonding requirements pursuant

to NRS 624.270.

      (h) Prior payment and credit records.

      (i) Previous business experience.

      (j) Prior and pending lawsuits.

      (k) Prior and pending liens.

      (l) Adverse judgments.

      (m) Conviction of a felony or crime involving

moral turpitude.

      (n) Prior suspension or revocation of a

contractor’s license in Nevada or elsewhere.

      (o) An adjudication of bankruptcy or any other

proceeding under the federal bankruptcy laws, including:

             (1) A composition, arrangement or

reorganization proceeding;

             (2) The appointment of a receiver of the

property of the applicant or contractor or any officer, director, associate or

partner thereof under the laws of this State or the United States; or

             (3) The making of an assignment for the

benefit of creditors.

      (p) Form of business organization, corporate or

otherwise.

      (q) Information obtained from confidential

financial references and credit reports.

      (r) Reputation for honesty and integrity of the

applicant or contractor or any officer, director, associate or partner thereof.

      3.  A licensed contractor shall, as soon as

it is reasonably practicable, notify the Board in writing upon the filing of a

petition or application relating to the contractor that initiates any

proceeding, appointment or assignment set forth in paragraph (o) of subsection

2. The written notice must be accompanied by:

      (a) A copy of the petition or application filed

with the court; and

      (b) A copy of any order of the court which is

relevant to the financial responsibility of the contractor, including any order

appointing a trustee, receiver or assignee.

      4.  Before issuing a license to an

applicant who will engage in residential construction or renewing the license

of a contractor who engages in residential construction, the Board may require

the applicant or licensee to establish financial responsibility by submitting

to the Board:

      (a) A financial statement that is:

             (1) Prepared by a certified public

accountant; or

             (2) Submitted on a form or in a format

prescribed by the Board together with an affidavit which verifies the accuracy

of the financial statement; and

      (b) A statement setting forth the number of

building permits issued to and construction projects completed by the licensee

during the immediately preceding year and any other information required by the

Board. The statement submitted pursuant to this paragraph must be provided on a

form approved by the Board.

      5.  In addition to the requirements set

forth in subsection 4, the Board may require a licensee to establish financial

responsibility at any time.

      6.  An applicant for an initial

contractor’s license or a licensee applying for the renewal of a contractor’s

license has the burden of demonstrating financial responsibility to the Board,

if the Board requests the applicant or licensee to do so.

      (Added to NRS by 1967, 1594; A 1969, 939; 1993, 926; 1999, 2958; 2001, 2412; 2005, 1200; 2007, 859)

      NRS 624.264  Financial responsibility of applicant or licensee: Additional

requirements for certain applicants and licensees engaged in residential

construction.

      1.  In addition to any other requirements

set forth in this chapter, if an applicant will engage in residential

construction and the applicant or the natural person qualifying on behalf of

the applicant pursuant to NRS 624.260 has not held

a contractor’s license issued pursuant to this chapter within the 2 years

immediately preceding the date that the application is submitted to the Board,

the Board shall require the applicant to establish financial responsibility by

submitting to the Board:

      (a) A financial statement that is:

             (1) Prepared by an independent certified

public accountant; or

             (2) Submitted on a form or in a format

prescribed by the Board together with an affidavit which verifies the accuracy

of the financial statement; and

      (b) Any other information required by the Board.

      2.  Before the Board may issue a

contractor’s license to the applicant, the Board must determine whether, based

on the financial information concerning the applicant, it would be in the

public interest to do any or all of the following:

      (a) Require the applicant to obtain the services

of a construction control with respect to any money that the applicant requires

a purchaser of a new residence to pay in advance to make upgrades to the new

residence. If the Board imposes such a requirement, the applicant may not:

             (1) Be related to the construction control

or to an employee or agent of the construction control; or

             (2) Hold, directly or indirectly, a

financial interest in the business of the construction control.

      (b) Establish an aggregate monetary limit on the

contractor’s license, which must be the maximum combined monetary limit on all

contracts that the applicant may undertake or perform as a licensed contractor

at any one time, regardless of the number of contracts, construction sites,

subdivision sites or clients. If the Board establishes such a limit, the Board:

             (1) Shall determine the period that the

limit is in effect; and

             (2) During that period, may increase or

decrease the limit as the Board deems appropriate.

      3.  If the Board issues a contractor’s

license to an applicant described in subsection 1, for the first 2 years after

the issuance of the license, the licensee must submit to the Board, with each

application for renewal of the license:

      (a) A financial statement that is:

             (1) Prepared by an independent certified

public accountant; or

             (2) Submitted on a form or in a format

prescribed by the Board together with an affidavit which verifies the accuracy

of the financial statement; and

      (b) A statement setting forth the number of

building permits issued to and construction projects completed by the licensee

during the immediately preceding year and any other information required by the

Board. The statement submitted pursuant to this paragraph must be provided on a

form approved by the Board.

      4.  Before the Board may renew the

contractor’s license of the licensee, the Board must determine whether, based

on the financial information concerning the licensee, it would be in the public

interest to do any or all of the following:

      (a) Require the licensee to obtain the services

of a construction control with respect to any money that the licensee requires

a purchaser of a new residence to pay in advance to make upgrades to the new

residence. If the Board imposes such a requirement, the licensee may not:

             (1) Be related to the construction control

or to an employee or agent of the construction control; or

             (2) Hold, directly or indirectly, a

financial interest in the business of the construction control.

      (b) Establish an aggregate monetary limit on the contractor’s

license, which must be the maximum combined monetary limit on all contracts

that the licensee may undertake or perform as a licensed contractor at any one

time, regardless of the number of contracts, construction sites, subdivision

sites or clients. If the Board establishes such a limit, the Board:

             (1) Shall determine the period that the

limit is in effect; and

             (2) During that period, may increase or

decrease the limit as the Board deems appropriate.

      (Added to NRS by 2003, 1897; A 2005, 1202)

      NRS 624.265  Good character of applicant or licensed contractor and certain

associates; grounds for establishment of lack of good character; background

investigation; confidentiality of results of background investigation; fee for

processing fingerprints; Board may obtain criminal history.

      1.  An applicant for a contractor’s license

or a licensed contractor and each officer, director, partner and associate

thereof must possess good character. Lack of character may be established by

showing that the applicant or licensed contractor, or any officer, director,

partner or associate thereof, has:

      (a) Committed any act which would be grounds for

the denial, suspension or revocation of a contractor’s license;

      (b) A bad reputation for honesty and integrity;

      (c) Entered a plea of guilty, guilty but mentally

ill or nolo contendere to, been found guilty or guilty but mentally ill of, or

been convicted, in this State or any other jurisdiction, of a crime arising out

of, in connection with or related to the activities of such person in such a

manner as to demonstrate his or her unfitness to act as a contractor, and the

time for appeal has elapsed or the judgment of conviction has been affirmed on

appeal; or

      (d) Had a license revoked or suspended for

reasons that would preclude the granting or renewal of a license for which the

application has been made.

      2.  Upon the request of the Board, an

applicant for a contractor’s license, and any officer, director, partner or

associate of the applicant, must submit to the Board completed fingerprint

cards and a form authorizing an investigation of the applicant’s background and

the submission of the fingerprints to the Central Repository for Nevada Records

of Criminal History and the Federal Bureau of Investigation. The fingerprint

cards and authorization form submitted must be those that are provided to the

applicant by the Board. The applicant’s fingerprints may be taken by an agent

of the Board or an agency of law enforcement.

      3.  Except as otherwise provided in NRS 239.0115, the Board shall keep the

results of the investigation confidential and not subject to inspection by the

general public.

      4.  The Board shall establish by regulation

the fee for processing the fingerprints to be paid by the applicant. The fee

must not exceed the sum of the amounts charged by the Central Repository for

Nevada Records of Criminal History and the Federal Bureau of Investigation for

processing the fingerprints.

      5.  The Board may obtain records of a law

enforcement agency or any other agency that maintains records of criminal

history, including, without limitation, records of:

      (a) Arrests;

      (b) Guilty and guilty but mentally ill pleas;

      (c) Sentencing;

      (d) Probation;

      (e) Parole;

      (f) Bail;

      (g) Complaints; and

      (h) Final dispositions,

Ê for the

investigation of a licensee or an applicant for a contractor’s license.

      (Added to NRS by 1967, 1595; A 1995, 2476; 1999, 2180, 2959; 2003, 1497; 2005, 1203; 2007, 1470, 2131)

      NRS 624.266  Duty of applicant or licensee to disclose certain information to

Board.

      1.  An applicant for a contractor’s license

or a licensee shall notify the Board in writing if he or she is convicted of,

or enters a plea of guilty, guilty but mentally ill or nolo contendere to:

      (a) A crime against a child as that term is

defined in NRS 179.245;

      (b) A sexual offense as that term is defined in NRS 179.245;

      (c) Murder as that term is defined in NRS 200.010;

      (d) Voluntary manslaughter as that term is

defined in NRS 200.050; or

      (e) Any other felony or crime involving moral

turpitude if the conviction occurred or the plea was entered in the immediately

preceding 15 years,

Ê in this

State or any other jurisdiction.

      2.  An applicant for a contractor’s license

or a licensee shall submit the notification required by subsection 1 not more

than 30 days after the conviction or entry of the plea of guilty, guilty but

mentally ill or nolo contendere.

      (Added to NRS by 2011, 1882)

      NRS 624.268  Payment of child support: Submission of certain information by

applicant; grounds for denial of license; duty of Board. [Effective until the

date of the repeal of 42 U.S.C. § 666, the federal law requiring each state to

establish procedures for withholding, suspending and restricting the

professional, occupational and recreational licenses for child support

arrearages and for noncompliance with certain processes relating to paternity

or child support proceedings.]

      1.  In addition to any other requirements

set forth in this chapter:

      (a) A natural person who applies for the issuance

of a contractor’s license shall include the social security number of the

applicant in the application submitted to the Board.

      (b) A natural person who applies for the issuance

or renewal of a contractor’s license shall submit to the Board the statement

prescribed by the Division of Welfare and Supportive Services of the Department

of Health and Human Services pursuant to NRS

425.520. The statement must be completed and signed by the applicant.

      2.  The Board shall include the statement

required pursuant to subsection 1 in:

      (a) The application or any other forms that must

be submitted for the issuance or renewal of the license; or

      (b) A separate form prescribed by the Board.

      3.  A contractor’s license may not be

issued or renewed by the Board if the applicant is a natural person who:

      (a) Fails to submit the statement required

pursuant to subsection 1; or

      (b) Indicates on the statement submitted pursuant

to subsection 1 that the applicant is subject to a court order for the support

of a child and is not in compliance with the order or a plan approved by the

district attorney or other public agency enforcing the order for the repayment

of the amount owed pursuant to the order.

      4.  If an applicant indicates on the

statement submitted pursuant to subsection 1 that the applicant is subject to a

court order for the support of a child and is not in compliance with the order

or a plan approved by the district attorney or other public agency enforcing the

order for the repayment of the amount owed pursuant to the order, the Board

shall advise the applicant to contact the district attorney or other public

agency enforcing the order to determine the actions that the applicant may take

to satisfy the arrearage.

      (Added to NRS by 1997, 2112; A 2005, 2706, 2807)

      NRS 624.268  Payment of child support:

Submission of certain information by applicant; grounds for denial of license;

duty of Board. [Effective on the date of the repeal of 42 U.S.C. § 666, the

federal law requiring each state to establish procedures for withholding,

suspending and restricting the professional, occupational and recreational

licenses for child support arrearages and for noncompliance with certain

processes relating to paternity or child support proceedings and expires by

limitation 2 years after that date.]

      1.  In addition to any other requirements

set forth in this chapter, a natural person who applies for the issuance or

renewal of a contractor’s license shall submit to the Board the statement

prescribed by the Division of Welfare and Supportive Services of the Department

of Health and Human Services pursuant to NRS

425.520. The statement must be completed and signed by the applicant.

      2.  The Board shall include the statement

required pursuant to subsection 1 in:

      (a) The application or any other forms that must

be submitted for the issuance or renewal of the license; or

      (b) A separate form prescribed by the Board.

      3.  A contractor’s license may not be

issued or renewed by the Board if the applicant is a natural person who:

      (a) Fails to submit the statement required

pursuant to subsection 1; or

      (b) Indicates on the statement submitted pursuant

to subsection 1 that the applicant is subject to a court order for the support

of a child and is not in compliance with the order or a plan approved by the

district attorney or other public agency enforcing the order for the repayment

of the amount owed pursuant to the order.

      4.  If an applicant indicates on the

statement submitted pursuant to subsection 1 that the applicant is subject to a

court order for the support of a child and is not in compliance with the order

or a plan approved by the district attorney or other public agency enforcing

the order for the repayment of the amount owed pursuant to the order, the Board

shall advise the applicant to contact the district attorney or other public

agency enforcing the order to determine the actions that the applicant may take

to satisfy the arrearage.

      (Added to NRS by 1997, 2112; A 2005, 2706, 2807,

effective on the date of the repeal of 42 U.S.C. § 666, the federal law

requiring each state to establish procedures for withholding, suspending and

restricting the professional, occupational and recreational licenses for child

support arrearages and for noncompliance with certain processes relating to

paternity or child support proceedings)

      NRS 624.270  Bond and deposit: Requirements; amount; conditions.

      1.  Before issuing a contractor’s license

to any applicant, the Board shall require that the applicant:

      (a) File with the Board a surety bond in a form

acceptable to the Board executed by the contractor as principal with a

corporation authorized to transact surety business in the State of Nevada as

surety; or

      (b) In lieu of such a bond, establish with the

Board a cash deposit as provided in this section.

      2.  Before granting renewal of a

contractor’s license to any applicant, the Board shall require that the

applicant file with the Board satisfactory evidence that the applicant’s surety

bond or cash deposit is in full force, unless the applicant has been relieved

of the requirement as provided in this section.

      3.  Failure of an applicant or licensee to

file or maintain in full force the required bond or to establish the required

cash deposit constitutes cause for the Board to deny, revoke, suspend or refuse

to renew a license.

      4.  Except as otherwise provided in

subsection 6, the amount of each bond or cash deposit required by this section

must be fixed by the Board with reference to the contractor’s financial and

professional responsibility and the magnitude of the contractor’s operations,

but must be not less than $1,000 or more than $500,000. The bond must be

continuous in form and must be conditioned that the total aggregate liability

of the surety for all claims is limited to the face amount of the bond

irrespective of the number of years the bond is in force. A bond required by

this section must be provided by a person whose long-term debt obligations are

rated “A” or better by a nationally recognized rating agency. The Board may

increase or reduce the amount of any bond or cash deposit if evidence supporting

such a change in the amount is presented to the Board at the time application

is made for renewal of a license or at any hearing conducted pursuant to NRS 624.2545 or 624.291.

Unless released earlier pursuant to subsection 5, any cash deposit may be

withdrawn 2 years after termination of the license in connection with which it

was established, or 2 years after completion of all work authorized by the

Board after termination of the license, whichever occurs later, if there is no

outstanding claim against it.

      5.  After a licensee has acted in the

capacity of a licensed contractor in the State of Nevada for not less than 5

consecutive years, the Board may relieve the licensee of the requirement of

filing a bond or establishing a cash deposit if evidence supporting such relief

is presented to the Board. The Board may at any time thereafter require the

licensee to file a new bond or establish a new cash deposit as provided in

subsection 4:

      (a) If evidence is presented to the Board

supporting this requirement;

      (b) Pursuant to subsection 6, after notification

of a final written decision by the Labor Commissioner; or

      (c) Pursuant to subsection 7.

Ê If a

licensee is relieved of the requirement of establishing a cash deposit, the

deposit may be withdrawn 2 years after such relief is granted, if there is no

outstanding claim against it.

      6.  If the Board is notified by the Labor

Commissioner pursuant to NRS 607.165 or

otherwise receives notification that three substantiated claims for wages have

been filed against a contractor within a 2-year period, the Board shall require

the contractor to file a bond or establish a cash deposit in an amount fixed by

the Board. The contractor shall maintain the bond or cash deposit for the

period required by the Board.

      7.  If a contractor who performs work

concerning a residential pool or spa:

      (a) Is determined by the Board to have violated

one or more of the provisions of NRS 624.301 to 624.305, inclusive;

      (b) Enters into a contract on or after July 1,

2001, that is later found to be void and unenforceable against the owner

pursuant to subsection 5 of NRS 624.940 or pursuant

to any regulation adopted by the Board with respect to contracts for work

concerning a residential pool or spa; or

      (c) Has five valid complaints filed against him

or her with the Board within any 15-day period,

Ê the Board

may require the contractor to comply with the provisions of subsection 8.

      8.  If the Board requires a contractor

described in subsection 7 to comply with the provisions of this subsection, the

contractor shall, before commencing work concerning a residential pool or spa,

obtain:

      (a) Except as otherwise provided in this

subsection, a performance bond in an amount equal to not less than 50 percent

of the amount of the contract, conditioned upon the faithful performance of the

contract in accordance with the plans, specifications and conditions set forth

in the contract. The performance bond must be solely for the protection of the

owner of the property to be improved.

      (b) Except as otherwise provided in this

subsection, a payment bond in an amount equal to not less than 50 percent of

the amount of the contract. The payment bond must be solely for the protection

of persons supplying labor or materials to the contractor, or to any of his or

her subcontractors, in carrying out the provisions of the contract.

Ê A bond

required pursuant to this subsection must be provided by a person whose

long-term debt obligations are rated “A” or better by a nationally recognized

rating agency. The contractor shall maintain the bond for the period required by

the Board. The contractor shall furnish to the building department of the city

or county, as applicable, in which the work will be carried out, a copy of any

bond. In lieu of a performance or payment bond, the contractor may obtain an

equivalent form of security approved by the Board.

      9.  As used in this section, “substantiated

claim for wages” has the meaning ascribed to it in NRS 607.165.

      [6:Art. IV:186:1941; added 1951, 365]—(NRS A 1959,

868; 1963, 695; 1965, 349; 1971, 180; 1975, 1160; 1983, 318; 1985, 1057; 1987, 1139; 1997, 1513, 2688; 1999, 596; 2001, 2413, 2981; 2003, 2142; 2005, 2383)

      NRS 624.273  Bond and deposit: Person benefited; actions; payment by surety

without action by court; interpleader by surety or Board; preferred claims;

prohibited claims.

      1.  Each bond or deposit required by NRS 624.270 must be in favor of the State of Nevada

for the benefit of any person who:

      (a) As owner of the property to be improved

entered into a construction contract with the contractor and is damaged by

failure of the contractor to perform the contract or to remove liens filed

against the property;

      (b) As an employee of the contractor performed

labor on or about the site of the construction covered by the contract;

      (c) As a supplier or materialman furnished

materials or equipment for the construction covered by the contract; or

      (d) Is injured by any unlawful act or omission of

the contractor in the performance of a contract.

      2.  Any person claiming against the bond or

deposit may bring an action in a court of competent jurisdiction on the bond or

against the Board on the deposit for the amount of damage the person has

suffered to the extent covered by the bond or deposit. No action may be

commenced on the bond or deposit 2 years after the commission of the act on

which the action is based. If an action is commenced on the bond, the surety

that executed the bond shall notify the Board of the action within 30 days

after the date that:

      (a) The surety is served with a complaint and

summons; or

      (b) The action is commenced,

Ê whichever

occurs first.

      3.  Upon receiving a request from a person

for whose benefit a bond or deposit is required, the Board shall notify the

person that:

      (a) A bond is in effect or that a deposit has

been made, and the amount of either;

      (b) There is an action against a bond, if that is

the case, and the court, the title and number of the action and the amount

sought by the plaintiff; and

      (c) There is an action against the Board, if that

is the case, and the amount sought by the plaintiff.

      4.  If a surety, or in the case of a

deposit, the Board, desires to make payment without awaiting court action, the

amount of the bond or deposit must be reduced to the extent of any payment made

by the surety or the Board in good faith under the bond or deposit. Any payment

must be based on written claims received by the surety or Board before the

court action.

      5.  The surety or the Board may bring an

action for interpleader against all claimants upon the bond or deposit. If an

action for interpleader is commenced, the surety or the Board must serve each

known claimant and publish notice of the action at least once each week for 2

weeks in a newspaper of general circulation in the county where the contractor

has his or her principal place of business. The surety is entitled to deduct

its costs of the action, including publication, from its liability under the

bond. The Board is entitled to deduct its costs of the action, including attorney’s

fees and publication, from the deposit.

      6.  A claim of any employee of the

contractor for labor is a preferred claim against a bond or deposit. If any

bond or deposit is insufficient to pay all claims for labor in full, the sum

recovered must be distributed among all claimants for labor in proportion to

the amounts of their respective claims. Partial payment of claims is not full

payment, and the claimants may bring actions against the contractor for the

unpaid balances.

      7.  Claims, other than claims for labor,

against a bond or deposit have equal priority, except where otherwise provided

by law, and if the bond or deposit is insufficient to pay all of those claims

in full, they must be paid pro rata. Partial payment of claims is not full

payment, and the claimants may bring actions against the contractor for the

unpaid balances.

      8.  The Board may not claim against the

bond or deposit required pursuant to NRS 624.270

for the payment of an administrative fine imposed for a violation of the

provisions of this chapter.

      (Added to NRS by 1965, 351; A 1971, 181, 383; 1981, 1746; 1985, 761; 1999, 2181, 2960)

      NRS 624.275  Bond and deposit: Notice of claim paid against contractor’s bond

by surety; cancellation of contractor’s bond by surety; notification to

contractor of claim against or cancellation of bond; duties of Board and

contractor; revocation or suspension of license.

      1.  With respect to a surety bond that a

licensed contractor maintains in accordance with NRS

624.270 or 624.276:

      (a) The surety shall give prompt notice to the

Board of any claims paid against the bond of the licensed contractor.

      (b) The surety may cancel the bond upon giving 60

days’ notice to the Board and to the contractor by certified mail.

      2.  Upon receipt by the Board of the notice

described in paragraph (a) of subsection 1, the Board shall immediately notify

the contractor who is the principal on the bond that the contractor’s license

will be suspended or revoked unless the contractor furnishes an equivalent bond

or establishes an equivalent cash deposit before a date set by the Board.

      3.  Upon receipt by the Board of the notice

described in paragraph (b) of subsection 1, the Board shall immediately notify

the contractor who is the principal on the bond that the contractor’s license

will be suspended or revoked unless the contractor furnishes an equivalent bond

or establishes an equivalent cash deposit before the effective date of the

cancellation.

      4.  The notice mailed to the contractor by

the Board pursuant to subsection 2 or 3 must be addressed to the contractor’s

latest address of record in the office of the Board.

      5.  If the contractor does not comply with

the requirements of the notice from the Board, the contractor’s license must be

suspended or revoked on the date:

      (a) Set by the Board, if the notice was provided

to the contractor pursuant to subsection 2; or

      (b) The bond is cancelled, if the notice was

provided to the contractor pursuant to subsection 3.

      (Added to NRS by 1965, 351; A 1987, 1140; 1989, 852; 1999, 2182; 2005, 2384)

      NRS 624.276  Bond and deposit: Additional requirements for contractors

performing work concerning residential pools or spas.

      1.  Before granting an original

contractor’s license to, or renewing the contractor’s license of, an applicant

who performs or will perform work concerning residential pools or spas, the

Board shall, in addition to any other conditions for the issuance or renewal of

a license, require the applicant to:

      (a) File with the Board a bond solely for the

protection of consumers in an amount fixed by the Board; or

      (b) In lieu of filing a bond, establish with the

Board a cash deposit as provided in this section.

      2.  A bond required pursuant to subsection

1 is in addition to, may not be combined with and does not replace any other

bond required pursuant to the provisions of this chapter. A contractor required

to file a bond pursuant to subsection 1 shall maintain the bond for 5 years or

for such longer period as the Board may require.

      3.  After a contractor who performs work

concerning a residential pool or spa has acted in the capacity of a licensed

contractor in the State of Nevada for not less than 5 consecutive years, the

Board may relieve the contractor of the requirements of subsection 1 if

evidence supporting such relief is presented to the Board. The Board may at any

time thereafter require the contractor to comply with subsection 1 if evidence

is presented to the Board supporting this requirement.

      4.  If a licensee is relieved of the

requirement of establishing a cash deposit pursuant to this section, the

deposit may be withdrawn 2 years after such relief is granted, if there is no

outstanding claim against it.

      5.  Failure of an applicant or licensee to

file or maintain in full force the required bond or to establish the required

cash deposit constitutes cause for the Board to deny, revoke, suspend or refuse

to renew a license.

      6.  The amount of each bond or cash deposit

required by this section must be fixed by the Board with reference to the

contractor’s financial and professional responsibility and the magnitude of the

contractor’s operations, but must be not less than $10,000 or more than

$400,000. The bond must be continuous in form and must be conditioned that the

total aggregate liability of the surety for all claims is limited to the face

amount of the bond irrespective of the number of years the bond is in force.

      7.  A bond required pursuant to subsection

1 must be provided by a person whose long-term debt obligations are rated “A”

or better by a nationally recognized rating agency. The Board may increase or

reduce the amount of any bond or cash deposit if evidence supporting such a

change in the amount is presented to the Board at the time application is made

for renewal of a license or at any hearing conducted pursuant to NRS 624.2545 or 624.291.

      8.  Unless released earlier pursuant to

subsection 3, any cash deposit may be withdrawn 2 years after termination of

the license in connection with which it was established or 2 years after

completion of all work authorized by the Board after termination of the

license, whichever occurs later, if there is no outstanding claim against it.

      9.  Each bond or deposit required pursuant

to this section must be in favor of the State of Nevada solely for the benefit

of any consumer who entered into a contract with the contractor to perform work

concerning a residential pool or spa and:

      (a) Is damaged by failure of the contractor to

perform the contract or to remove liens filed against the property; or

      (b) Is injured by any unlawful act or omission of

the contractor in the performance of a contract.

      10.  Any consumer claiming against the bond

or deposit may bring an action in a court of competent jurisdiction on the bond

or against the Board on the deposit for the amount of damage the consumer has

suffered to the extent covered by the bond or deposit.

      11.  If an action is commenced on the bond,

the surety that executed the bond shall notify the Board of the action within

30 days after the date that:

      (a) The surety is served with a complaint and

summons; or

      (b) The action is commenced,

Ê whichever

occurs first.

      12.  A claim or action pursuant to this

section must proceed and be administered in the manner provided pursuant to NRS 624.273 for a claim or action.

      13.  The Board shall adopt regulations

necessary to carry out the provisions of this section, including, without

limitation, regulations concerning:

      (a) The determination of the amount of a bond

pursuant to this section;

      (b) The form of bond required pursuant to this

section;

      (c) The time within which an applicant or

licensee must comply with the provisions of this section; and

      (d) Procedures to contest the amount of a bond

required pursuant to this section.

      14.  The Board shall immediately suspend

the license of a contractor who fails to post the bond or provide the deposit

required pursuant to this section. Failure by a licensee for 6 months to post

the bond or provide the deposit required pursuant to this section constitutes

grounds for disciplinary action.

      15.  As used in this section:

      (a) “Consumer” means a natural person who:

             (1) Owns a single-family residence; and

             (2) Enters into a contract with a licensee

to perform work concerning a residential pool or spa.

      (b) “Work concerning a residential pool or spa”

has the meaning ascribed to it in NRS 624.915.

      (Added to NRS by 2001, 2981; A 2005, 2385)

      NRS 624.280  Regulations concerning fees; limitation on amount.  The Board may adopt regulations fixing the fee

for an application, the fee for an examination and the fee for a license to be

paid by applicants and licensees. Except as otherwise provided in NRS 624.281, the fee for:

      1.  An application must not exceed $550.

      2.  A license must not exceed $900

biennially.

      3.  An examination must not exceed $300.

      [1:Art. VI:186:1941; A 1951, 47; 1953, 521]—(NRS A

1959, 869; 1967, 1593; 1981, 634; 1987, 1140; 1997, 506; 1999, 2182; 2007, 860)

      NRS 624.281  Fee for license issued in expedited manner; reimbursement to

Board for costs and expenses; regulations concerning application for license

issued in expedited manner.

      1.  If an applicant wishes to have a

license issued in an expedited manner, the applicant must pay a fee for an

application equal to two times the amount of the fee regularly paid for an

application pursuant to subsection 1 of NRS 624.280.

      2.  The applicant must pay one-half of the

fee required pursuant to subsection 1 when submitting the application and the

other one-half of the fee when the Board issues the license.

      3.  In addition to the fee required

pursuant to subsection 1, the applicant shall reimburse the Board for the

actual costs and expenses incurred by the Board in processing the application.

      4.  The Board shall adopt regulations

prescribing the procedures for making an application pursuant to this section.

      (Added to NRS by 1999, 2177)

      NRS 624.282  Inactive status of license: Application; effect; duration;

regulations.

      1.  A contractor may apply to the Board to

have his or her license placed on inactive status. The Board may grant the

application if the license is in good standing and the licensee has met all

requirements for the issuance or renewal of a contractor’s license as of the

date of the application.

      2.  If the application is granted, the

licensee shall not engage in any work or activities that require a contractor’s

license in this State unless the licensee is returned to active status.

      3.  A person whose license has been placed

on inactive status pursuant to this section is exempt from:

      (a) The requirement to execute and maintain a

bond pursuant to NRS 624.270; and

      (b) The requirement to qualify in regard to his

or her experience and knowledge pursuant to NRS 624.260.

      4.  The inactive status of a license is

valid for 5 years after the date that the inactive status is granted.

      5.  The Board shall not refund any portion

of the renewal fee of a contractor’s license that was paid before the license

was placed on inactive status.

      6.  The Board shall adopt regulations

prescribing the:

      (a) Procedures for making an application pursuant

to this section;

      (b) Procedures and terms upon which a person

whose license has been placed on inactive status may resume work or activities

that require a contractor’s license; and

      (c) Fees for the renewal of the inactive status

of a license.

      (Added to NRS by 1999, 2177)

      NRS 624.283  License: Expiration; renewal; financial statement;

reinstatement; cancellation.

      1.  Each license issued under the

provisions of this chapter expires 2 years after the date on which it is

issued, except that the Board may by regulation prescribe shorter or longer

periods and prorated fees to establish a system of staggered biennial renewals.

Any license which is not renewed on or before the date for renewal is

automatically suspended.

      2.  A license may be renewed by submitting

to the Board:

      (a) An application for renewal;

      (b) The fee for renewal fixed by the Board;

      (c) Any assessment required pursuant to NRS 624.470 if the holder of the license is a

residential contractor as defined in NRS 624.450;

and

      (d) All information required to complete the

renewal.

      3.  The Board may require a licensee to

demonstrate financial responsibility at any time through the submission of:

      (a) A financial statement that is:

             (1) Prepared by an independent certified

public accountant; or

             (2) Submitted on a form or in a format

prescribed by the Board together with an affidavit which verifies the accuracy

of the financial statement; and

      (b) If the licensee performs residential

construction, such additional documentation as the Board deems appropriate.

      4.  If a license is automatically suspended

pursuant to subsection 1, the licensee may have the license reinstated upon

filing an application for renewal within 6 months after the date of suspension

and paying, in addition to the fee for renewal, a fee for reinstatement fixed

by the Board, if the licensee is otherwise in good standing and there are no

complaints pending against the licensee. If the licensee is otherwise not in

good standing or there is a complaint pending, the Board shall require the

licensee to provide a current financial statement prepared by an independent certified

public accountant or establish other conditions for reinstatement. An

application for renewal must be accompanied by all information required to

complete the renewal. A license which is not reinstated within 6 months after

it is automatically suspended may be cancelled by the Board, and a new license

may be issued only upon application for an original contractor’s license.

      (Added to NRS by 1969, 943; A 1977, 87; 1987, 1140; 1997, 2113, 2689; 1999, 520, 1970, 2961, 2967; 2001, 141; 2005, 1204, 1205, 2707, 2807; 2007, 860)

      NRS 624.284  License: Limitation of scope.  A

contractor’s license issued pursuant to this chapter does not authorize a

contractor to construct or repair a mobile home, manufactured home,

manufactured building or commercial coach or factory-built housing.

      (Added to NRS by 1997, 212; A 2011, 102)

      NRS 624.285  Termination of association of natural person qualifying by

examination on behalf of another natural person or firm: Notice; replacement

with qualified natural person.

      1.  If the natural person qualifying by

examination on behalf of another natural person or a firm pursuant to

subsection 2 of NRS 624.260 ceases for any reason

to be connected with the licensee to whom the license is issued, the licensee

shall notify the Board in writing within 10 days after the cessation of

association or employment. If a notice is given, the license remains in force

for a reasonable length of time to be set by the Board, but not exceeding 30

days after the date of the cessation of association or employment.

      2.  The licensee shall replace the person

originally qualified with another natural person similarly qualified and

approved by the Board within the time limited by subsection 1, unless extended

by the Board for good cause.

      3.  If the licensee fails to notify the

Board within the 10-day period the license must be automatically suspended. The

license must be reinstated upon the replacement of the person originally

qualified by another natural person similarly qualified and approved by the

Board.

      4.  If the licensee fails to replace the

person originally qualified within the 30-day period, the license may be

suspended or revoked.

      (Added to NRS by 1967, 1595; A 1987, 613)

      NRS 624.288  Display of name and license on motor vehicle.  A licensee shall display on each commercial

motor vehicle registered under the licensee’s name, his or her name and the

number of his or her license, in letters and numbers approximately 1 1/2 inches

high.

      (Added to NRS by 1987, 1101)

HEARINGS

      NRS 624.291  Hearing required if Board suspends or revokes license, has

probable cause to believe that person has engaged in unlawful advertising or

imposes administrative fine for unlicensed actions; exception.

      1.  Except as otherwise provided in

subsection 4, if the Board suspends or revokes a license, has probable cause to

believe that a person has violated NRS 624.720 or

imposes an administrative fine pursuant to NRS 624.710,

the Board shall hold a hearing. The time and place for the hearing must be

fixed by the Board, and notice of the time and place of the hearing must be

personally served on the applicant or accused or mailed to the last known

address of the applicant or accused at least 21 days before the date fixed for

the hearing.

      2.  The testimony taken pursuant to NRS 624.170 to 624.210,

inclusive, must be considered a part of the record of the hearing before the

Board.

      3.  Except as otherwise provided in NRS 622.320, the hearing must be public if

a request is made therefor.

      4.  The Board may suspend the license of a

contractor without a hearing if the Board finds, based upon evidence in its

possession, that the public health, safety or welfare imperatively requires

summary suspension of the license of the contractor and incorporates that

finding in its order. If the Board summarily suspends the license of the

contractor, the Board must notify the contractor by certified mail. A hearing

must be held within 60 days after the suspension if the contractor submits a

written request for a hearing to the Board within 20 days after the Board

summarily suspends the license.

      [5:Art. IV:186:1941; A 1955, 378]—(NRS A 1977, 87; 1995, 928; 1997, 2691; 1999, 2183, 2858; 2001, 2414; 2003, 3422)

DISCIPLINARY ACTION

General Provisions

      NRS 624.295  Member of Board authorized to inform Executive Officer of

allegation of ground for disciplinary action; action by Executive Officer.  If a member of the Board becomes aware that

any one or a combination of the grounds for initiating disciplinary action may

exist as to a contractor in this State, the member of the Board may inform the

Executive Officer of the Board of the allegations. The Executive Officer, upon

receiving such information, shall take such actions as he or she deems

appropriate under the circumstances.

      (Added to NRS by 1995, 926; A 1999, 2962)

      NRS 624.300  Disciplinary actions against licensee; private reprimands

prohibited; orders imposing discipline deemed public records; deposit of fines

in Construction Education Account.

      1.  Except as otherwise provided in

subsections 3 and 5, the Board may:

      (a) Suspend or revoke licenses already issued;

      (b) Refuse renewals of licenses;

      (c) Impose limits on the field, scope and

monetary limit of the license;

      (d) Impose an administrative fine of not more

than $10,000;

      (e) Order a licensee to repay to the account

established pursuant to NRS 624.470, any amount

paid out of the account pursuant to NRS 624.510 as

a result of an act or omission of that licensee;

      (f) Order the licensee to take action to correct

a condition resulting from an act which constitutes a cause for disciplinary

action, at the licensee’s cost, that may consist of requiring the licensee to:

             (1) Perform the corrective work himself or

herself;

             (2) Hire and pay another licensee to

perform the corrective work; or

             (3) Pay to the owner of the construction

project a specified sum to correct the condition; or

      (g) Issue a public reprimand or take other less

severe disciplinary action, including, without limitation, increasing the

amount of the surety bond or cash deposit of the licensee,

Ê if the

licensee commits any act which constitutes a cause for disciplinary action.

      2.  If the Board suspends or revokes the

license of a contractor for failure to establish financial responsibility, the

Board may, in addition to any other conditions for reinstating or renewing the

license, require that each contract undertaken by the licensee for a period to

be designated by the Board, not to exceed 12 months, be separately covered by a

bond or bonds approved by the Board and conditioned upon the performance of and

the payment of labor and materials required by the contract.

      3.  If a licensee violates:

      (a) The provisions of NRS

624.3014, subsection 2 or 3 of NRS 624.3015,

subsection 1 of NRS 624.302 or subsection 1 of NRS 624.305, the Board may impose for each violation

an administrative fine in an amount that is not more than $50,000.

      (b) The provisions of subsection 4 of NRS 624.3015:

             (1) For a first offense, the Board shall

impose an administrative fine of not less than $1,000 and not more than

$50,000, and may suspend the license of the licensee for 6 months;

             (2) For a second offense, the Board shall

impose an administrative fine of not less than $5,000 and not more than

$50,000, and may suspend the license of the licensee for 1 year; and

             (3) For a third or subsequent offense, the

Board shall impose an administrative fine of not less than $10,000 and not more

than $50,000, and may revoke the license of the licensee.

      (c) The provisions of subsection 7 of NRS 624.302, the Board shall, in addition to any other

disciplinary action taken pursuant to this section, impose an administrative

fine of $1,000.

      4.  The Board shall, by regulation,

establish standards for use by the Board in determining the amount of an

administrative fine imposed pursuant to subsection 3. The standards must

include, without limitation, provisions requiring the Board to consider:

      (a) The gravity of the violation;

      (b) The good faith of the licensee; and

      (c) Any history of previous violations of the

provisions of this chapter committed by the licensee.

      5.  If a licensee is prohibited from being

awarded a contract for a public work pursuant to NRS 338.017, the Board may suspend the

license of the licensee for the period of the prohibition.

      6.  If a licensee commits a fraudulent act

which is a cause for disciplinary action under NRS

624.3016, the correction of any condition resulting from the act does not

preclude the Board from taking disciplinary action.

      7.  If the Board finds that a licensee has

engaged in repeated acts that would be cause for disciplinary action, the

correction of any resulting conditions does not preclude the Board from taking

disciplinary action pursuant to this section.

      8.  The expiration of a license by

operation of law or by order or decision of the Board or a court, or the

voluntary surrender of a license by a licensee, does not deprive the Board of

jurisdiction to proceed with any investigation of, or action or disciplinary

proceeding against, the licensee or to render a decision suspending or revoking

the license.

      9.  The Board shall not issue a private

reprimand to a licensee.

      10.  An order that imposes discipline and

the findings of fact and conclusions of law supporting that order are public

records.

      11.  An administrative fine imposed

pursuant to this section or NRS 624.341 or 624.710 plus interest at a rate that is equal to the

prime rate at the largest bank in this State, as determined by the Commissioner

of Financial Institutions on January 1 or July 1, as appropriate, immediately

preceding the date of the order imposing the administrative fine, plus 4

percent, must be paid to the Board before the issuance or renewal of a license

to engage in the business of contracting in this State. The interest must be

collected from the date of the order until the date the administrative fine is

paid.

      12.  All fines and interest collected

pursuant to this section must be deposited with the State Treasurer for credit

to the Construction Education Account created pursuant to NRS 624.580.

      [4:Art. IV:186:1941; A 1955, 378]—(NRS A 1963, 696;

1967, 1043, 1594; 1969, 939; 1979, 320; 1993, 884; 1995, 234, 2544, 2545; 1997, 2690; 1999, 1447, 1971, 2962, 2967; 2001, 2414; 2003, 173, 1901, 2143, 3422; 2005, 1205; 2007, 649; 2011, 1884)

Grounds for Disciplinary Action

      NRS 624.301  Abandonment or failure to complete or prosecute diligently

project for construction; willful failure to comply with terms of contract or

written warranty.  The following

acts, among others, constitute cause for disciplinary action under NRS 624.300:

      1.  Abandonment without legal excuse of any

construction project or operation engaged in or undertaken by the licensee as a

contractor.

      2.  Abandonment of a construction project

when the percentage of the project completed is less than the percentage of the

total price of the contract paid to the contractor at the time of abandonment,

unless the contractor is entitled to retain the amount paid pursuant to the

terms of the contract or the contractor refunds the excessive amount paid

within 30 days after the abandonment of the project.

      3.  Failure in a material respect on the

part of a licensee to complete any construction project or operation for the

price stated in the contract for the project or operation or any modification

of the contract.

      4.  Willful failure or refusal without

legal excuse on the part of a licensee as a contractor to prosecute a

construction project or operation with reasonable diligence, thereby causing

material injury to another.

      5.  Willful failure or refusal without

legal excuse on the part of a licensee to comply with the terms of a

construction contract or written warranty, thereby causing material injury to

another.

      (Added to NRS by 1969, 940; A 1979, 320; 1999, 2963)

      NRS 624.3011  Disregard of plans, specifications, laws or regulations.

      1.  The following acts, among others,

constitute cause for disciplinary action under NRS

624.300:

      (a) Willful and prejudicial departure from or

disregard of plans or specifications in any material respect without the

consent of the owner or the owner’s authorized representative and the person

entitled to have the particular construction project or operation completed in

accordance with the plans and specifications.

      (b) Willful or deliberate disregard and violation

of:

             (1) The building laws of the State or of

any political subdivision thereof.

             (2) The safety laws or labor laws of the

State.

             (3) Any provision of the Nevada health and

safety laws or the regulations adopted thereunder relating to the digging,

boring or drilling of water wells.

             (4) The laws of this State regarding

industrial insurance.

      2.  If a contractor performs construction

without obtaining any necessary building permit, there is a rebuttable presumption

that the contractor willfully and deliberately violated the building laws of

this State or of its political subdivisions.

      (Added to NRS by 1969, 941; A 1983, 541; 1987, 1101; 1995, 2545; 1999, 2964)

      NRS 624.3012  Diversion of money or property; failure to pay for materials or

services; false denial of amount due, or validity of claim of amount due, for

materials or services; failure to release lien against property to be improved.  The following acts, among others, constitute

cause for disciplinary action under NRS 624.300:

      1.  Diversion of money or property received

for the completion of a specific construction project or operation or for a

specified purpose in the completion of any construction project or operation to

any other construction project or operation, obligation or purpose.

      2.  Willful or deliberate failure by any

licensee or agent or officer thereof to pay any money when due for any materials

or services rendered in connection with the licensee’s operations as a

contractor, when the licensee has the capacity to pay or has received

sufficient money therefor as payment for the particular construction work,

project or operation for which the services or materials were rendered or

purchased.

      3.  The false denial by any licensee or

agent or officer thereof of any amount due, or the validity of the claim

thereof, for any materials or services rendered in connection with the

licensee’s operations as a contractor, when the licensee has the capacity to

pay or has received sufficient money therefor as payment for the particular

construction work, project or operation for which the services or materials

were rendered or purchased, with intent to secure a discount upon such

indebtedness or with intent to injure, delay or defraud the person to whom such

indebtedness is due.

      4.  Failure to obtain the discharge or

release of any lien recorded against the property to be improved by a

construction project for the price of any materials or services rendered to the

project by order of the contractor, when the contractor has received sufficient

money therefor as payment for the project, within 75 days after the recording

of the lien.

      (Added to NRS by 1969, 941; A 1999, 2964; 2009, 765)

      NRS 624.3013  Failure to keep records or maintain bond; misrepresentation;

failure to establish financial responsibility or comply with law or regulations

of Board.  The following acts,

among others, constitute cause for disciplinary action pursuant to NRS 624.300:

      1.  Failure to keep records showing all

contracts, documents, receipts and disbursements by a licensee of all of the

licensee’s transactions as a contractor and to keep them open for inspection by

the Board or Executive Officer for a period of not less than 3 years after the

completion of any construction project or operation to which the records refer.

      2.  Misrepresentation of a material fact by

an applicant or licensee in connection with any information or evidence

furnished the Board in connection with official matters of the Board.

      3.  Failure to establish financial

responsibility pursuant to NRS 624.220 and 624.260 to 624.265,

inclusive, at the time of renewal of the license or at any other time when

required by the Board.

      4.  Failure to keep in force the bond or

cash deposit pursuant to NRS 624.270 for the full

period required by the Board.

      5.  Failure in any material respect to

comply with the provisions of this chapter or the regulations of the Board.

      (Added to NRS by 1969, 941; A 1971, 182; 1985, 1053; 1987, 217; 1999, 2965)

      NRS 624.3014  Misuse of license; evasion of law.  The

following acts, among others, constitute cause for disciplinary action under NRS 624.300:

      1.  Acting in the capacity of a contractor

under any license issued hereunder except:

      (a) In the name of the licensee as set forth upon

the license.

      (b) As an employee of the licensee as set forth

in the application for such license or as later changed pursuant to this

chapter and the rules and regulations of the Board.

      2.  With the intent to evade the provisions

of this chapter:

      (a) Aiding or abetting an unlicensed person to

evade the provisions of this chapter.

      (b) Combining or conspiring with an unlicensed

person to perform an unauthorized act.

      (c) Allowing a license to be used by an

unlicensed person.

      (d) Acting as agent, partner or associate of an

unlicensed person.

      (e) Furnishing estimates or bids to an unlicensed

person.

      3.  Any attempt by a licensee to assign,

transfer or otherwise dispose of a license or permit the unauthorized use

thereof.

      (Added to NRS by 1969, 941)

      NRS 624.3015  Acting beyond scope of license; bidding on work in excess of

limit or beyond scope of license; contracting with unlicensed contractor;

constructing or repairing mobile home, manufactured home, manufactured building

or commercial coach or factory-built housing; engaging in work that requires

license while license is inactive.  The

following acts, among others, constitute cause for disciplinary action under NRS 624.300:

      1.  Acting in the capacity of a contractor

beyond the scope of the license.

      2.  Bidding to contract or contracting for

a sum for one construction contract or project in excess of the limit placed on

the license by the Board.

      3.  Knowingly bidding to contract or

entering into a contract with a contractor for work in excess of his or her

limit or beyond the scope of his or her license.

      4.  Knowingly entering into a contract with

a contractor while that contractor is not licensed.

      5.  Constructing or repairing a mobile

home, manufactured home, manufactured building or commercial coach or

factory-built housing unless the contractor:

      (a) Is licensed pursuant to NRS 489.311; or

      (b) Owns, leases or rents the mobile home,

manufactured home, manufactured building, commercial coach or factory-built

housing.

      6.  Engaging in any work or activities that

require a contractor’s license while the license is placed on inactive status

pursuant to NRS 624.282.

      (Added to NRS by 1969, 942; A 1979, 319; 1981, 634; 1997, 213; 1999, 2182; 2007, 651; 2009, 1935)

      NRS 624.3016  Fraudulent or deceitful acts; criminal conviction; improper acts

involving liens; improper acts involving residential pools and spas; failure to

make required disclosure; failure to pay assessment; improper acts involving

contract for public work; failure to notify Board of certain information.  The following acts or omissions, among others,

constitute cause for disciplinary action under NRS

624.300:

      1.  Any fraudulent or deceitful act

committed in the capacity of a contractor, including, without limitation,

misrepresentation or the omission of a material fact.

      2.  A conviction of a violation of NRS 624.730, or a conviction in this State or any

other jurisdiction of a felony relating to the practice of a contractor or a

crime involving moral turpitude.

      3.  Knowingly making a false statement in

or relating to the recording of a notice of lien pursuant to the provisions of NRS 108.226.

      4.  Failure to give a notice required by NRS 108.227, 108.245 or 108.246.

      5.  Failure to comply with NRS 624.920, 624.930, 624.935 or 624.940 or any

regulations of the Board governing contracts for work concerning residential

pools and spas.

      6.  Failure to comply with NRS 624.600.

      7.  Misrepresentation or the omission of a

material fact, or the commission of any other fraudulent or deceitful act, to

obtain a license.

      8.  Failure to pay an assessment required

pursuant to NRS 624.470.

      9.  Failure to file a certified payroll

report that is required for a contract for a public work.

      10.  Knowingly submitting false information

in an application for qualification or a certified payroll report that is

required for a contract for a public work.

      11.  Failure to notify the Board of a

conviction or entry of a plea of guilty, guilty but mentally ill or nolo

contendere pursuant to NRS 624.266.

      (Added to NRS by 1969, 942; A 1983, 510; 1997, 2690; 1999, 1972, 2965, 2967; 2001, 141; 2003, 2144, 2618, 2704; 2005, 1207, 2387; 2011, 1883)

      NRS 624.30165  Unfair business practices: Misrepresentations involving need for

service, replacement parts, equipment or repairs; false or misleading

statements.  The following acts,

among others, are unfair business practices and constitute cause for disciplinary

action under NRS 624.300:

      1.  When a contractor states that service,

replacement parts, equipment or repairs are needed when such service,

replacement parts, equipment or repairs actually are not needed.

      2.  When a contractor makes any false or

misleading statement or representation of material fact that is intended,

directly or indirectly, to induce another person to use the services of the

contractor or to enter into any contract with the contractor or any obligation

relating to such a contract.

      3.  When a contractor makes any false or

misleading statement or representation of material fact that is intended,

directly or indirectly, to disparage the goods, services or business of another

person.

      (Added to NRS by 2005, 1200)

      NRS 624.3017  Substandard workmanship; incomplete advertising; advertising

projects beyond scope of license.  The

following acts, among others, constitute cause for disciplinary action under NRS 624.300:

      1.  Workmanship which is not commensurate

with standards of the trade in general or which is below the standards in the

building or construction codes adopted by the city or county in which the work

is performed. If no applicable building or construction code has been adopted

locally, then workmanship must meet the standards prescribed in the Uniform

Building Code, Uniform Plumbing Code or National Electrical Code

in the form of the code most recently approved by the Board. The Board shall

review each edition of the Uniform Building Code, Uniform Plumbing

Code or National Electrical Code that is published after the 1996

edition to ensure its suitability. Each new edition of the code shall be deemed

approved by the Board unless the edition is disapproved by the Board within 60

days of the publication of the code.

      2.  Advertising projects of construction

without including in the advertisements the name and license number of the

licensed contractor who is responsible for the construction.

      3.  Advertising projects of construction

beyond the scope of the license.

      (Added to NRS by 1969, 942; A 1985, 375, 1053; 1987, 217; 1997, 2691; 1999, 2856)

      NRS 624.30175  Suspension of license for failure to pay child support or comply

with certain subpoenas or warrants; reinstatement of license. [Effective until

2 years after the date of the repeal of 42 U.S.C. § 666, the federal law

requiring each state to establish procedures for withholding, suspending and

restricting the professional, occupational and recreational licenses for child

support arrearages and for noncompliance with certain processes relating to

paternity or child support proceedings.]

      1.  If the Board receives a copy of a court

order issued pursuant to NRS 425.540

that provides for the suspension of all professional, occupational and

recreational licenses, certificates and permits issued to a person who is the

holder of a contractor’s license, the Board shall deem the license issued to

that person to be suspended at the end of the 30th day after the date on which

the court order was issued unless the Board receives a letter issued to the

holder of the license by the district attorney or other public agency pursuant

to NRS 425.550 stating that the holder

of the license has complied with the subpoena or warrant or has satisfied the

arrearage pursuant to NRS 425.560.

      2.  The Board shall reinstate a

contractor’s license that has been suspended by a district court pursuant to NRS 425.540 if the Board receives a letter

issued by the district attorney or other public agency pursuant to NRS 425.550 to the person whose license

was suspended stating that the person whose license was suspended has complied

with the subpoena or warrant or has satisfied the arrearage pursuant to NRS 425.560.

      (Added to NRS by 1997, 2112; A 2005, 2807)

      NRS 624.3018  Certain persons prohibited from serving as officer, director,

associate or partner of licensee.

      1.  Any person who:

      (a) Has been denied a license or who has had a

license revoked or suspended or who has been denied a renewal of a license; or

      (b) Has been a member, officer, director or

associate of any partnership, corporation, firm or association whose

application for a license has been denied, or whose license has been revoked or

suspended or which has been denied a renewal of a license, and while acting as

such member, officer, director or associate had knowledge of or participated in

any of the prohibited acts for which the license or the renewal thereof was

denied, suspended or revoked,

Ê may be

prohibited from serving as an officer, director, associate or partner of a

licensee.

      2.  The performance by any partnership,

corporation, firm or association of any act or omission constituting a cause

for disciplinary action likewise constitutes a cause for disciplinary action

against any licensee who is a member, officer, director or associate of such

partnership, corporation, firm or association, and who participated in such

prohibited act or omission.

      (Added to NRS by 1969, 942; A 1975, 1161)

      NRS 624.302  Contracting, offering to contract or submitting bid if license

is suspended, revoked or inactive; failure to comply with written citation or

pay administrative fine; suspension or revocation of license in other state or

disciplinary action in other state; failure or refusal to respond to or comply

with written requests of Board; failure or refusal to comply with order of

Board.  The following acts or

omissions, among others, constitute cause for disciplinary action pursuant to NRS 624.300:

      1.  Contracting, offering to contract or

submitting a bid as a contractor if the contractor’s license:

      (a) Has been suspended or revoked pursuant to NRS 624.300; or

      (b) Is inactive.

      2.  Failure to comply with a written

citation issued pursuant to NRS 624.341 within the

time permitted for compliance set forth in the citation, or, if a hearing is

held pursuant to NRS 624.291, within 15 business

days after the hearing.

      3.  Except as otherwise provided in

subsection 2, failure to pay an administrative fine imposed pursuant to this

chapter within 30 days after:

      (a) Receiving notice of the imposition of the

fine; or

      (b) The final administrative or judicial decision

affirming the imposition of the fine,

Ê whichever

occurs later.

      4.  The suspension, revocation or other

disciplinary action taken by another state against a contractor based on a

license issued by that state if the contractor is licensed in this State or

applies for a license in this State. A certified copy of the suspension,

revocation or other disciplinary action taken by another state against a

contractor based on a license issued by that state is conclusive evidence of

that action.

      5.  Failure or refusal to respond to a

written request from the Board or its designee to cooperate in the

investigation of a complaint.

      6.  Failure or refusal to comply with a

written request by the Board or its designee for information or records, or

obstructing or delaying the providing of such information or records.

      7.  Failure or refusal to comply with an

order of the Board.

      (Added to NRS by 1999, 2953; A 2001, 213; 2011, 1886)

      NRS 624.305  Unlawful use, assignment or transfer of license; revocation of

license.

      1.  No license may be used for any purpose

by any person other than the person to whom such license is issued, and no license

may be assigned, transferred or otherwise disposed of to permit the

unauthorized use thereof.

      2.  The license of any person who violates

any provision of this section shall be automatically cancelled and revoked.

      (Added to NRS by 1959, 868)

Proceedings

      NRS 624.320  Allegation and proof of license in action on contract.  No person, firm, copartnership, corporation,

association or other organization, or any combination of any thereof, engaged

in the business or acting in the capacity of a contractor shall bring or

maintain any action in the courts of this State for the collection of

compensation for the performance of any act or contract for which a license is

required by this chapter without alleging and proving that such person, firm,

copartnership, corporation, association or other organization, or any

combination of any thereof, was a duly licensed contractor at all times during

the performance of such act or contract and when the job was bid.

      [3:Art. VII:186:1941; Added 1943, 83; A 1953, 521]

      NRS 624.323  Licensee subject to disciplinary proceeding must submit

financial statement and other information to Board; authority of Board to take

certain actions to protect public.

      1.  In addition to any other requirements

set forth in this chapter, if an investigation is conducted against a licensee

and the Board determines that there is cause to proceed with a formal

disciplinary proceeding against the licensee, the Board shall require the

licensee to submit to the Board:

      (a) A financial statement that is:

             (1) Prepared by an independent certified

public accountant; or

             (2) Submitted on a form or in a format

prescribed by the Board together with an affidavit which verifies the accuracy

of the financial statement; and

      (b) A statement setting forth the number of

building permits issued to and construction projects completed by the licensee

during the immediately preceding year and any other information required by the

Board. The statement submitted pursuant to this paragraph must be provided on a

form approved by the Board.

      2.  After providing the licensee with

notice and an opportunity to be heard, the Board must determine whether, based

on the financial information concerning the licensee, it would be in the public

interest to do any or all of the following:

      (a) Require the licensee to obtain the services

of a construction control with respect to any money that the licensee requires

a purchaser of a new residence to pay in advance to make upgrades to the new

residence. If the Board imposes such a requirement, the licensee may not:

             (1) Be related to the construction control

or to an employee or agent of the construction control; or

             (2) Hold, directly or indirectly, a

financial interest in the business of the construction control.

      (b) Establish an aggregate monetary limit on the

contractor’s license, which must be the maximum combined monetary limit on all

contracts that the licensee may undertake or perform as a licensed contractor

at any one time, regardless of the number of contracts, construction sites,

subdivision sites or clients. If the Board establishes such a limit, the Board:

             (1) Shall determine the period that the

limit is in effect; and

             (2) During that period, may increase or

decrease the limit as the Board deems appropriate.

      3.  The provisions of this section do not

limit the authority of the Board to take disciplinary action against the

licensee.

      (Added to NRS by 2003, 1898; A 2005, 1207)

      NRS 624.327  Certain records relating to investigation deemed confidential;

certain records relating to disciplinary action deemed public records.

      1.  Except as otherwise provided in this

section and NRS 239.0115, the

existence of and the personally identifying information in a complaint filed

with the Board, all documents and other information filed with the complaint

and all documents and other information compiled as a result of the

investigation conducted to determine whether to initiate disciplinary action are

confidential.

      2.  The complaint or other document filed

by the Board to initiate disciplinary action and all documents and information

considered by the Board when determining whether to impose discipline are

public records.

      (Added to NRS by 2003, 1898, 3422; A 2007, 861, 2132)

      NRS 624.331  Complaint against licensee must be written and filed within

certain period; Board must act on complaint within certain period.

      1.  A complaint against a licensee for the

commission of any act or omission that constitutes cause for disciplinary

action pursuant to NRS 624.300 must be filed in

writing with the Board within 4 years after the act or omission.

      2.  The Board shall, within 2 years after

the date on which the complaint is filed, initiate disciplinary action against

the licensee or dismiss the complaint.

      (Added to NRS by 1999, 2954; A 2007, 861)

      NRS 624.335  Investigation of complaint by Investigations Office;

notification of actions taken; resolution of complaint by Investigations

Office; forwarding of complaint to appropriate agency for resolution.

      1.  The Investigations Office of the Board

shall:

      (a) Upon the receipt of a complaint against a

licensee, initiate an investigation of the complaint.

      (b) Within 10 days after receiving such a

complaint, notify the licensee and, if known, the person making the complaint

of the initiation of the investigation, and provide a copy of the complaint to

the licensee.

      (c) Upon the completion of its investigation of a

complaint, provide the licensee and, if known, the person making the complaint

with written notification of any action taken on the complaint and the reasons

for taking that action.

      2.  The Investigations Office of the Board

may attempt to resolve the complaint by:

      (a) Meeting and conferring with the licensee and

the person making the complaint; and

      (b) Requesting the licensee to provide

appropriate relief.

      3.  If the subject matter of the complaint

is not within the jurisdiction of the Board, the Board or its designee may:

      (a) Forward the complaint, together with any

evidence or other information in the possession of the Board concerning the

complaint, to any public or private agency which, in the opinion of the Board,

would be effective in resolving the complaint; and

      (b) Notify the person making the complaint of its

action pursuant to paragraph (a) and of any other procedures which may be

available to resolve the complaint.

      (Added to NRS by 1999, 2951; A 2003, 1902)

      NRS 624.341  Administrative citation; order to take corrective action;

penalty.

      1.  If the Board or its designee, based

upon a preponderance of the evidence, has reason to believe that a person has:

      (a) Acted as a contractor without an active

license of the proper classification issued pursuant to this chapter, the Board

or its designee, as appropriate, shall issue or authorize the issuance of a

written administrative citation to the person.

      (b) Committed any other act which constitutes a

violation of this chapter or the regulations of the Board, the Board or its

designee, as appropriate, may issue or authorize the issuance of a written

administrative citation to the person.

      2.  A citation issued pursuant to this

section may include, without limitation:

      (a) An order to take action to correct a

condition resulting from an act that constitutes a violation of this chapter or

the regulations of the Board, at the person’s cost;

      (b) An order to pay an administrative fine not to

exceed $50,000, except as otherwise provided in subsection 1 of NRS 624.300; and

      (c) An order to reimburse the Board for the

amount of the expenses incurred to investigate the complaint.

      3.  If a written citation issued pursuant

to this section includes an order to take action to correct a condition

resulting from an act that constitutes a violation of this chapter or the

regulations of the Board, the citation must state the time permitted for

compliance, which must be not less than 15 business days after the date the

person receives the citation, and specifically describe the action required to

be taken.

      4.  The sanctions authorized by this

section are separate from, and in addition to, any other remedy, civil or

criminal, authorized by this chapter.

      5.  The failure of an unlicensed person to

comply with a citation or order after it is final is a misdemeanor. If an

unlicensed person does not pay an administrative fine imposed pursuant to this

section within 60 days after the order of the Board becomes final, the order

may be executed upon in the same manner as a judgment issued by a court.

      (Added to NRS by 1999, 2951; A 2007, 861; 2011, 489)

      NRS 624.345  Contest of administrative citation: Time limit; effect of

failure to contest citation within time limit; extension of time to contest

citation; service of citation.

      1.  A person who is issued a written

citation pursuant to NRS 624.341 may contest the

citation within 15 business days after the date on which the citation is served

on the person.

      2.  A person may contest, without

limitation:

      (a) The facts forming the basis for the

determination that the person has committed an act which constitutes a

violation of this chapter or the regulations of the Board;

      (b) The time allowed to take any corrective

action ordered;

      (c) The amount of any administrative fine

ordered;

      (d) The amount of any order to reimburse the

Board for the expenses incurred to investigate the person; and

      (e) Whether any corrective action described in

the citation is reasonable.

      3.  If a person does not contest a citation

issued pursuant to NRS 624.341 within 15 business

days after the date on which the citation is served on the person, or on or

before such later date as specified by the Board pursuant to subsection 4, the

citation shall be deemed a final order of the Board and not subject to review

by any court or agency.

      4.  The Board may, for good cause shown,

extend the time to contest a citation issued pursuant to NRS

624.341.

      5.  For the purposes of this section, a

citation shall be deemed to have been served on a person on:

      (a) The date on which the citation is personally

delivered to the person; or

      (b) If the citation is mailed, the date on which

the citation is mailed by certified mail to the last known business or

residential address of the person.

      (Added to NRS by 1999, 2952; A 2007, 862)

      NRS 624.351  Contest of administrative citation or order to correct

violation: Hearing.  If a person

contests a citation issued pursuant to NRS 624.341

or order to correct a violation of the provisions of this chapter within 15

business days after receiving the citation or order, or on or before such later

date as specified by the Board pursuant to subsection 4 of NRS 624.345, the Board shall hold a hearing pursuant

to NRS 624.291.

      (Added to NRS by 1999, 2952; A 2007, 862)

      NRS 624.355  Annual review of complaints by Board; report to Governor and

Legislature; duty to inform public.

      1.  On or before September 1 of each

even-numbered year, the Board or its designee shall:

      (a) Review the complaints received by the Board

to ascertain whether there are any similarities or common trends among any of

those complaints;

      (b) Prepare a written summary that identifies

potential difficulties in the regulation of contractors and the protection of

the public pursuant to this chapter; and

      (c) Report any findings and recommendations for

legislation to:

             (1) The Governor; and

             (2) The Director of the Legislative

Counsel Bureau for transmittal to the next regular session of the Legislature.

      2.  The Board shall take such action as is

necessary to keep the public informed of its activities pursuant to this section.

      (Added to NRS by 1999, 2953)

      NRS 624.361  Regulations.  The

Board shall adopt regulations concerning the:

      1.  Form of a written citation issued

pursuant to NRS 624.341;

      2.  Time required for a person to correct a

condition resulting from an act that constitutes a violation of this chapter or

the regulations of the Board if the person is so ordered pursuant to NRS 624.341; and

      3.  Imposition of an administrative fine

pursuant to the provisions of this chapter. The Board shall consider:

      (a) The gravity of the violation;

      (b) The good faith of the person; and

      (c) Any history of previous violations of the

provisions of this chapter by the person.

      (Added to NRS by 1999, 2952; A 2007, 863)

RECOVERY FUND

      NRS 624.400  Definitions.  As

used in NRS 624.400 to 624.560,

inclusive, unless the context otherwise requires, the words and terms defined

in NRS 624.410 to 624.460,

inclusive, have the meanings ascribed to them in those sections.

      (Added to NRS by 1999, 1967; A 2001, 141)

      NRS 624.410  “Account” defined.  “Account”

means the account established pursuant to NRS 624.470.

      (Added to NRS by 1999, 1967; A 2001, 141)

      NRS 624.420  “Injured person” defined.  “Injured

person” means an owner who:

      1.  Is damaged by the failure of a

residential contractor to perform qualified services adequately; or

      2.  Pays to obtain a release of a lien:

      (a) Which is recorded:

             (1) For the value of any materials or

services rendered in connection with a construction project; and

             (2) Against property to be improved by the

project; and

      (b) When a licensee or agent or officer thereof:

             (1) Willfully or deliberately fails to pay

any money when due for the materials or services; and

             (2) Has received sufficient money as

payment for the materials or services.

      (Added to NRS by 1999, 1967; A 2001, 141; 2009, 766)

      NRS 624.430  “Owner” defined.  “Owner”

means a natural person who owns a single-family residence and who contracts

with a residential contractor for the performance of qualified services with respect

to the residence. The term includes a subsequent owner.

      (Added to NRS by 1999, 1967; A 2001, 141)

      NRS 624.440  “Qualified services” defined.  “Qualified

services” means any construction, remodeling, repair or improvement performed by

a residential contractor on a single-family residence occupied by the owner of

the residence.

      (Added to NRS by 1999, 1967; A 2001, 141)

      NRS 624.450  “Residential contractor” defined.  “Residential

contractor” means a contractor who is licensed pursuant to this chapter and who

contracts with the owner of a single-family residence to perform qualified

services.

      (Added to NRS by 1999, 1967; A 2001, 141)

      NRS 624.460  “Subsequent owner” defined.  “Subsequent

owner” means a natural person who purchases a single-family residence from the

owner of the residence.

      (Added to NRS by 1999, 1967; A 2001, 141)

      NRS 624.470  Establishment of account; reference to account as “Recovery

Fund”; collection of biennial assessment; reduction in amount of assessment

under certain circumstances; use of money in account.

      1.  Except as otherwise provided in

subsection 3, in addition to the fee for a license required pursuant to NRS 624.280, a residential contractor shall pay to the

Board an assessment not to exceed the following amount, if the monetary limit

on the residential contractor’s license is:

 

Not more than $1,000,000........................................................ $200

per biennium

More than $1,000,000 but limited.............................................. 500

per biennium

Unlimited...................................................................................... 1,000

per biennium

 

      2.  The Board shall administer and account

separately for the money received from the assessments collected pursuant to

subsection 1. The Board may refer to the money in the account as the “Recovery

Fund.”

      3.  The Board shall reduce the amount of

the assessments collected pursuant to subsection 1 when the balance in the

account reaches 150 percent of the largest balance in the account during the

previous fiscal year.

      4.  Except as otherwise provided in NRS 624.540, the money in the account must be used to

pay claims made by injured persons, as provided in NRS

624.400 to 624.560, inclusive.

      (Added to NRS by 1999, 1967; A 2003, 1902; 2007, 863; 2009, 766)

      NRS 624.480  Limitation on time to file complaint seeking recovery.  Except as otherwise provided in NRS 624.490, an injured person who wishes to recover

from the account must file a complaint with the Board or its designee within 4

years after the completion of qualified services.

      (Added to NRS by 1999, 1968)

      NRS 624.490  Application to Board for satisfaction of judgment from account.  Within 2 years after an injured person has

obtained a judgment in any court of competent jurisdiction for recovery of

damages against a residential contractor for an act or omission of the

residential contractor that is in violation of this chapter or the regulations

adopted pursuant thereto, the injured person may apply to the Board for

satisfaction of the judgment from the account if:

      1.  The proceedings in connection with the

judgment have terminated, including appeals;

      2.  The injured person submits an

application on a form established for this purpose by the Board;

      3.  The injured person submits proof

satisfactory to the Board of the judgment; and

      4.  Upon obtaining payment from the

account, the injured person assigns his or her rights to enforce the judgment

to the Board.

      (Added to NRS by 1999, 1968)

      NRS 624.500  Hearing on complaint; limitation on time for acting on

complaint.

      1.  The

Board or its designee shall hold a hearing if the Board receives a complaint

pursuant to NRS 624.480. The time and place for the

hearing must be fixed by the Board or its designee, and the Board or its

designee shall notify the injured person in writing of the time and place of

the hearing at least 30 days before the date fixed for the hearing.

      2.  Any

testimony taken pursuant to NRS 624.170 to 624.210, inclusive, must be considered a part of the

record of the hearing before the Board or its designee.

      3.  The

hearing must be public if a request is made for a public hearing.

      4.  The Board or its designee shall act

upon the complaint within 6 months after the complaint is filed with the Board.

      (Added to NRS by 1999, 1968)

      NRS 624.510  Eligibility for recovery from account; maximum amount of

individual recovery from account; Board subrogated to rights of injured person;

maximum amount of recovery from account for claims against individual

contractor.

      1.  Except as otherwise provided in NRS 624.490 and subsection 2, an injured person is

eligible for recovery from the account if the Board or its designee finds that

the injured person suffered actual damages as a result of an act or omission of

a residential contractor that is in violation of this chapter or the

regulations adopted pursuant thereto.

      2.  An injured person is not eligible for

recovery from the account if:

      (a) The injured person is the spouse of the

licensee, or a personal representative of the spouse of the licensee;

      (b) The injured person was associated in a

business relationship with the licensee other than the contract at issue; or

      (c) At the time of contracting with the

residential contractor, the license of the residential contractor was suspended

or revoked pursuant to NRS 624.300.

      3.  If the Board or its designee determines

that an injured person is eligible for recovery from the account pursuant to

this section or NRS 624.490, the Board or its

designee may pay out of the account:

      (a) The amount of actual damages suffered, but

not to exceed $35,000; or

      (b) If a judgment was obtained as set forth in NRS 624.490, the amount of actual damages included in

the judgment and remaining unpaid, but not to exceed $35,000.

      4.  The decision of the Board or its

designee regarding eligibility for recovery and all related issues is final and

not subject to judicial review.

      5.  If the injured person has recovered a

portion of his or her loss from sources other than the account, the Board 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.

      6.  To the extent of payments made from the

account, the Board is subrogated to the rights of the injured person,

including, without limitation, the right to collect from a surety bond or a

cash bond. The Board and the Attorney General shall promptly enforce all

subrogation claims.

      7.  The amount of recovery from the account

based upon claims made against any single contractor must not exceed $400,000.

      8.  As used in this section, “actual

damages” includes attorney’s fees or costs in contested cases appealed to the

appellate court of competent jurisdiction. The term does not include any other

attorney’s fees or costs.

      (Added to NRS by 1999, 1968; A 2005, 20; 2013, 1795)

      NRS 624.520  Contractor to notify owner of rights related to account; written

statement; administrative fine for noncompliance.

      1.  A residential contractor shall notify

an owner with whom he or she contracts of the rights of the owner pursuant to NRS 624.400 to 624.560,

inclusive, including, without limitation, providing a written statement

explaining those rights in any agreement or contract for qualified services.

The written statement must be in substantially the following form:

 

RESIDENTIAL

CONSTRUCTION RECOVERY FUND

 

Payment may be available from the

Recovery Fund if you are damaged financially by a project performed on your

residence pursuant to a contract, including construction, remodeling, repair or

other improvements, and the damage resulted from certain specified violations

of Nevada law by a contractor licensed in this State. To obtain information relating

to the Recovery Fund and filing a claim for recovery from the Recovery Fund,

you may contact the State Contractors’ Board at the following locations:

 

State

Contractors’ Board                       State Contractors’ Board

9670

Gateway Drive, Suite 100            2310 Corporate Circle, Suite 200

Reno,

Nevada 89521                             Henderson, Nevada 89074

Telephone

number: (775) 688-1141      Telephone number: (702) 486-1100

 

      2.  The Board may impose upon a contractor

an administrative fine:

      (a) Of not more than $100 for the first violation

of subsection 1; and

      (b) Of not more than $250 for a second or

subsequent violation of subsection 1.

      3.  The Board shall deposit any money

received pursuant to this section in the account established pursuant to NRS 624.470.

      (Added to NRS by 1999, 1970)

      NRS 624.530  Board retains authority to take disciplinary action against

residential contractor; additional actions by Board against residential

contractor.

      1.  The provisions of NRS 624.400 to 624.560,

inclusive, do not limit the authority of the Board to take disciplinary action

against a residential contractor.

      2.  If the Board or its designee finds that

an owner recovered from the account an amount paid by the owner to obtain a

release of a lien recorded against property to be improved by a construction

project as a result of a residential contractor’s act or omission as described

in subsection 2 of NRS 624.3012, in addition to

any disciplinary action that the Board takes against the residential contractor

pursuant to subsection 1, the Board may:

      (a) Suspend or revoke the license of the

residential contractor; and

      (b) Prohibit the issuance, reinstatement or

renewal of a license to the residential contractor and any officer, director,

associate or partner thereof, unless the residential contractor or any officer,

director, associate or partner thereof repays to the account or the owner, or

both, as appropriate, any amount paid out of the account or by the owner as a

result of the act or omission of the residential contractor.

      (Added to NRS by 1999, 1970; A 2009, 766)

      NRS 624.540  Annual statement of condition of account to Legislature;

employment of necessary persons; procurement of necessary equipment, supplies

and services; interest credited to account; limit on expenditures.

      1.  The Board shall:

      (a) On or before February 1 of each year, prepare

and submit to the Director of the Legislative Counsel Bureau for transmittal to

the appropriate legislative committee if the Legislature is in session, or to

the Interim Finance Committee if the Legislature is not in session, a statement

of the condition of the account that is prepared in accordance with generally accepted

accounting principles.

      (b) Employ accountants as necessary for the

performance of the duties set forth in this section and pay any related

expenses from the money in the account. Except as otherwise provided in

subsection 3, the expenditures made by the Board pursuant to this paragraph

must not exceed $10,000 in any fiscal year.

      (c) Employ or contract with persons and procure

necessary equipment, supplies and services to be paid from or purchased with

the money in the account as may be necessary to monitor or process claims filed

by injured persons that may result in a recovery from the account.

      2.  Any interest earned on the money in the

account must be credited to the account. The Board may expend the interest

earned on the money in the account to increase public awareness of the account.

Except as otherwise provided in subsection 3, the expenditures made by the

Board for this purpose must not exceed $50,000 in any fiscal year.

      3.  The total expenditures made by the

Board pursuant to this section must not exceed 10 percent of the account in any

fiscal year.

      (Added to NRS by 1999, 1969)

      NRS 624.550  Minimum balance in account.  Once

an initial balance of $200,000 exists in the account, the Board shall maintain

a minimum balance of $200,000 in the account.

      (Added to NRS by 1999, 1970)

      NRS 624.560  Regulations.  The

Board shall adopt such regulations as are necessary to carry out the provisions

of NRS 624.400 to 624.560,

inclusive, including, without limitation, regulations governing:

      1.  The disbursement of money from the

account; and

      2.  The manner in which a complaint is

filed with the Board or its designee pursuant to NRS

624.480.

      (Added to NRS by 1999, 1970)

COMMISSION ON CONSTRUCTION EDUCATION

      NRS 624.570  Creation; members; expenses; duties; powers; regulations.

      1.  The Commission on Construction

Education is hereby created.

      2.  The Commission consists of one member

who is a member of the Board and six members appointed by the Governor as

follows:

      (a) Four members who are representatives of the

construction industry; and

      (b) Two members who have knowledge of

construction education programs.

      3.  Each member of the Commission serves a

term of 3 years.

      4.  The members of the Commission who are

appointed by the Governor serve without compensation, per diem allowance or

reimbursement for travel expenses. While engaged in the business of the

Commission, the member who is a member of the Board shall receive from the

Board the same salary, per diem allowance and reimbursement for travel expenses

the member receives while engaged in the business of the Board.

      5.  The Commission shall review programs of

education which relate to building construction and distribute grants from the

Construction Education Account created pursuant to NRS

624.580 for programs that the Commission determines qualify for such a

grant.

      6.  The Board may adopt regulations which

establish the rules of procedure for meetings of the Commission.

      7.  The Commission shall adopt regulations

providing:

      (a) Procedures for applying for a grant of money

from the Construction Education Account;

      (b) Procedures for reviewing an application for a

grant from the Construction Education Account; and

      (c) Qualifications for receiving a grant from the

Construction Education Account.

      (Added to NRS by 2001, 2408)

      NRS 624.580  Construction Education Account; administration.

      1.  There is hereby created a Construction

Education Account as a separate account within the State General Fund.

      2.  Money deposited in the Account must be

used:

      (a) For the purposes of construction education

and to pay the costs of the Commission on Construction Education as described

in accordance with subsection 3, and in addition to any other money provided

for construction education from any other source; or

      (b) For any other purpose authorized by the

Legislature.

      3.  The Commission on Construction

Education shall administer the Construction Education Account and, except as

otherwise provided in paragraph (b) of subsection 2, shall disburse the money

in the Account as follows:

      (a) At least 95 percent of the money deposited in

the Account must be used to fund programs of education which relate to building

construction and which the Commission on Construction Education determines

qualify for grants; and

      (b) Not more than 5 percent of the money

deposited in the Account may be reserved for operating expenses incurred by the

Commission on Construction Education pursuant to this section.

      4.  The unexpended and unencumbered balance,

if any, remaining in the Construction Education Account at the end of each

fiscal year, must remain in the Account.

      (Added to NRS by 2001, 2409; A 2003, 173; 2010, 26th

Special Session, 24)

DISCLOSURES

      NRS 624.600  Required disclosures by general building contractor.  A general building contractor shall provide in

writing to the owner of a single-family residence with whom he or she has

contracted:

      1.  The name, license number, business

address and telephone number of:

      (a) All subcontractors with whom he or she has

contracted on the project; and

      (b) All persons who furnish material of the value

of $500 or more to be used in the project.

      2.  A notice that a person described in

subsection 1 may record a notice of lien upon the residence of the owner and

any building, structure and improvement thereon pursuant to the provisions of NRS 108.226.

      3.  An informational form, whose contents

must be prescribed by the Board, regarding:

      (a) Contractors pursuant to this chapter; and

      (b) Mechanics’ and materialmen’s liens pursuant

to chapter 108 of NRS.

      (Added to NRS by 1997, 2686)

      NRS 624.605  Availability to contractor of names and addresses of

subcontractors delinquent in payment of contributions for unemployment or

industrial insurance.  The

Employment Security Division of the Department of Employment, Training and

Rehabilitation and the Administrator of the Division of Industrial Relations of

the Department of Business and Industry shall make available, upon request, to

any licensed contractor the names and addresses of subcontractors who are

delinquent in paying the amounts owed by the subcontractor to:

      1.  The Division for benefits for

unemployment pursuant to chapter 612 of NRS;

and

      2.  A private carrier that provides

industrial insurance in this State for premiums for industrial insurance.

      (Added to NRS by 1983, 1350; A 1993, 1890; 1995, 634, 2048; 1999, 1828)

RIGHTS, DUTIES AND LIABILITIES UNDER CERTAIN AGREEMENTS FOR

WORKS OF IMPROVEMENT

General Provisions

      NRS 624.606  Definitions.  As

used in NRS 624.606 to 624.630,

inclusive, the words and terms defined in NRS 624.607

to 624.6086, inclusive, have the meanings ascribed

to them in those sections.

      (Added to NRS by 2001, 1615; A 2005, 1224, 1721)

      NRS 624.607  “Higher-tiered contractor” defined.  “Higher-tiered

contractor” means a prime contractor or subcontractor who has entered into an

oral or written agreement with a lower-tiered subcontractor pursuant to which

the lower-tiered subcontractor has agreed to provide work, materials or

equipment for a work of improvement.

      (Added to NRS by 2001, 1615; A 2005, 1721)

      NRS 624.608  “Lower-tiered subcontractor” defined.  “Lower-tiered

subcontractor” means a subcontractor who has agreed in an oral or written

agreement with a higher-tiered contractor to provide work, materials or

equipment for a work of improvement.

      (Added to NRS by 2001, 1615; A 2005, 1722)

      NRS 624.6084  “Owner” defined.

      1.  “Owner” means an owner or lessee of

real property or any improvement who enters into an oral or written agreement

with a prime contractor pursuant to which the prime contractor agrees to

provide work, materials or equipment for a work of improvement.

      2.  The term includes, without limitation,

an owner of a planned unit development who enters into one or more oral or

written agreements to construct a work of improvement in the planned unit

development in the manner described in subsection 5 of NRS

624.020.

      (Added to NRS by 2005, 1223, 1721)

      NRS 624.6086  “Prime contractor” defined.  “Prime

contractor” means a contractor who enters into an oral or written agreement

with an owner pursuant to which the prime contractor agrees to provide work,

materials or equipment for a work of improvement.

      (Added to NRS by 2005, 1223, 1721)

Agreements Between Owner and Prime Contractor

      NRS 624.609  Payment of prime contractor during performance of agreement;

grounds and procedure for withholding amounts from payment; rights and duties

after notice of withholding, notice of objection or notice of correction.

      1.  Except as otherwise provided in

subsections 2 and 4 and subsection 4 of NRS 624.622,

if an owner of real property enters into a written or oral agreement with a

prime contractor for the performance of work or the provision of materials or

equipment by the prime contractor, the owner must:

      (a) Pay the prime contractor on or before the

date a payment is due pursuant to a schedule for payments established in a

written agreement; or

      (b) If no such schedule is established or if the

agreement is oral, pay the prime contractor within 21 days after the date the

prime contractor submits a request for payment.

      2.  If an owner has complied with

subsection 3, the owner may:

      (a) Withhold from any payment to be made to the

prime contractor:

             (1) A retention amount that, if the owner

is authorized to withhold a retention amount pursuant to the agreement, must

not exceed 10 percent of the amount of the payment to be made;

             (2) An amount equal to the sum of the

value of:

                   (I) Any work or labor that has not

been performed or materials or equipment that has not been furnished for which

payment is being sought, unless the agreement otherwise allows or requires such

a payment to be made; and

                   (II) Costs and expenses reasonably

necessary to correct or repair any work which is the subject of the request for

payment and which is not materially in compliance with the agreement to the

extent that such costs and expenses exceed 50 percent of the retention amount

withheld pursuant to subparagraph (1); and

             (3) The amount the owner has paid or is

required to pay pursuant to an official notice from a state agency or employee

benefit trust fund, for which the owner is or may reasonably be liable for the

prime contractor or his or her lower-tiered subcontractors in accordance with chapter 608, 612,

616A to 616D,

inclusive, or 617 of NRS; and

      (b) Require as a condition precedent to the

payment of any amount due, lien releases furnished by the prime contractor and

his or her lower-tiered subcontractors and suppliers in accordance with the

provisions of paragraphs (a) and (c) of subsection 5 of NRS 108.2457.

      3.  If, pursuant to subparagraph (2) or (3)

of paragraph (a) of subsection 2 or paragraph (b) of subsection 2, an owner

intends to withhold any amount from a payment to be made to a prime contractor,

the owner must give, on or before the date the payment is due, a written notice

to the prime contractor of any amount that will be withheld. The written notice

of withholding must:

      (a) Identify the amount of the request for

payment that will be withheld from the prime contractor;

      (b) Give a reasonably detailed explanation of the

condition or the reason the owner will withhold that amount, including, without

limitation, a specific reference to the provision or section of the agreement,

and any documents relating thereto, and the applicable building code, law or

regulation with which the prime contractor has failed to comply; and

      (c) Be signed by an authorized agent of the

owner.

      4.  A prime contractor who receives a

notice of withholding pursuant to subsection 3 or a notice of objection

pursuant to subparagraph (2) of paragraph (b) may:

      (a) Give the owner a written notice and thereby

dispute in good faith and for reasonable cause the amount withheld, or the

condition or reason for the withholding; or

      (b) Correct any condition or reason for the

withholding described in the notice of withholding and thereafter provide

written notice to the owner of the correction of the condition or reason for

the withholding. The notice of correction must be sufficient to identify the

scope and manner of the correction of the condition or reason for the

withholding and be signed by an authorized representative of the prime

contractor. If an owner receives a written notice from the prime contractor of

the correction of a condition or reason for the withholding pursuant to this

paragraph, the owner shall:

             (1) Pay the amount withheld by the owner

for that condition or reason for the withholding on or before the date the next

payment is due the prime contractor; or

             (2) Object to the scope and manner of the

correction of the condition or reason for the withholding, on or before the

date the next payment is due to the prime contractor, in a written statement

which sets forth the condition or reason for the objection and which complies

with subsection 3. If the owner objects to the scope and manner of the

correction of a condition or reason for the withholding, the owner shall

nevertheless pay to the prime contractor, along with the payment to be made

pursuant to the prime contractor’s next payment request, the amount withheld

for the correction of the condition or reason for the withholding to which the

owner no longer objects.

      5.  Except as otherwise allowed in

subsections 2, 3 and 4, an owner shall not withhold from a payment to be made

to a prime contractor more than the retention amount.

      (Added to NRS by 2001, 1619; A 2005, 1722)

      NRS 624.610  Grounds and procedure for stopping work or terminating

agreement; change orders; damages and other remedies; rights of lower-tiered

subcontractors; limitations on liability.

      1.  If:

      (a) An owner fails to pay the prime contractor in

the time and manner required by subsection 1 or 4 of NRS

624.609;

      (b) An owner fails to give the prime contractor

written notice of any withholding in the time and manner required by subsection

3 or 4 of NRS 624.609;

      (c) After receipt of a notice of withholding

given pursuant to subsection 3 or 4 of NRS 624.609,

the prime contractor gives the owner written notice pursuant to subsection 4 of

NRS 624.609 and thereby disputes in good faith and

for reasonable cause the amount withheld or the condition or reason for the

withholding; or

      (d) Within 30 days after the date that a written

request for a change order is submitted by the prime contractor to the owner,

the owner fails to:

             (1) Issue the change order; or

             (2) If the request for a change order is

unreasonable or does not contain sufficient information to make a

determination, give written notice to the prime contractor of the reasons why

the change order is unreasonable or explain that additional information and

time are necessary to make a determination,

Ê the prime

contractor may stop work after giving written notice to the owner at least 10

days before stopping work.

      2.  If a prime contractor stops work

pursuant to paragraph (a), (b) or (c) of subsection 1, the prime contractor may

terminate the agreement by giving written notice of termination to the owner

after stopping work but at least 15 days before terminating the agreement. If

the prime contractor is paid the amount due before the date for termination of

the agreement set forth in the written notice, the prime contractor shall not

terminate the agreement and shall resume work.

      3.  If an owner fails to issue a change

order or give written notice to the prime contractor pursuant to the provisions

of paragraph (d) of subsection 1:

      (a) The agreement price must be increased by the

amount sought in the request for a change order;

      (b) The time for performance must be extended by

the amount sought in the request for a change order;

      (c) The prime contractor may submit to the owner

a bill or invoice for the labor, materials, equipment or services that are the

subject of the request for a change order; and

      (d) The owner shall pay the prime contractor for

such labor, materials, equipment or services with the next payment made to the

prime contractor.

      4.  If the owner through his or her own act

or neglect, or through an act or neglect of his or her agent, excluding acts of

God, floods, fires, labor disputes, strikes or reasonable adjustments to work

schedules, causes the work to be stopped for a period of 15 days or more, the prime

contractor may terminate the agreement if:

      (a) The prime contractor gives written notice of

his or her intent to terminate to the owner at least 10 days before terminating

the agreement; and

      (b) The owner fails to allow work to resume

within the time set forth in the written notice given pursuant to paragraph

(a).

      5.  If a prime contractor stops work

pursuant to subsection 1, the owner may terminate the agreement by giving the

prime contractor written notice of his or her intent to terminate at least 15

days before terminating the agreement.

      6.  If the agreement is terminated pursuant

to subsection 4, or if the prime contractor stops work in accordance with this

section and the agreement is terminated pursuant to subsection 1 or 5, the

prime contractor is entitled to recover from the owner payment in an amount

found by a trier of fact to be due the prime contractor, including, without

limitation:

      (a) The cost of all work, labor, materials,

equipment and services furnished by and through the prime contractor, including

any overhead the prime contractor and his or her lower-tiered subcontractors

and suppliers incurred and profit the prime contractor and his or her

lower-tiered subcontractors and suppliers earned through the date of

termination;

      (b) The balance of the profit that the prime

contractor and his or her lower-tiered subcontractors and suppliers would have

received if the agreement had been performed in full;

      (c) Interest determined pursuant to NRS 624.630; and

      (d) The reasonable costs, including court and

arbitration costs, incurred by the prime contractor and his or her lower-tiered

subcontractors in collecting the amount due.

Ê In any

action brought to enforce the rights or obligations set forth in this

subsection, the trier of fact may award reasonable attorney’s fees to the prime

contractor and his or her lower-tiered subcontractors and suppliers or, if the

trier of fact determines that the prime contractor stopped work or terminated

the agreement without a reasonable basis in law or fact, the trier of fact may

award reasonable attorney’s fees and costs, including court and arbitration

costs, to the owner.

      7.  If a prime contractor stops work

pursuant to subsection 1, each lower-tiered subcontractor with whom the prime

contractor has entered into an agreement and who has not fully performed under

that agreement may also stop work on the work of improvement. If a prime

contractor terminates an agreement pursuant to this section, all such

lower-tiered subcontractors may terminate their agreements with the prime

contractor.

      8.  The right of a prime contractor to stop

work or terminate an agreement pursuant to this section is in addition to all

other rights that the prime contractor may have at law or in equity and does

not impair or affect the right of a prime contractor to maintain a civil action

or to submit any controversy arising under the agreement with the owner to

arbitration.

      9.  No prime contractor or his or her lower-tiered

subcontractors or suppliers, or their respective sureties, may be held liable

for any delays or damages that an owner may suffer as a result of the prime

contractor or lower-tiered subcontractors or suppliers stopping their work or

the provision of materials or equipment or terminating an agreement for a

reasonable basis in law or fact and in accordance with this section or

reasonable cause and in accordance with this section or NRS

624.626.

      (Added to NRS by 1975, 1382; A 1987, 533; 1989, 1535; 1991, 146; 1999, 238; 2001, 1622; 2005, 1723)

      NRS 624.620  Payment of prime contractor after work of improvement is

available for use or occupancy; grounds and procedure for withholding amounts

from payment; rights and duties after notice of withholding or notice of

correction; partial payments.

      1.  Except as otherwise provided in this

section, any money remaining unpaid for the construction of a work of

improvement is payable to the prime contractor within 30 days after:

      (a) Occupancy or use of the work of improvement

by the owner or by a person acting with the authority of the owner; or

      (b) The availability of a work of improvement for

its intended use. The prime contractor must have provided to the owner:

             (1) A written notice of availability on or

before the day on which the prime contractor claims that the work of

improvement became available for use or occupancy; or

             (2) A certificate of occupancy issued by

the appropriate building inspector or other authority.

      2.  If the owner has complied with

subsection 3, the owner may:

      (a) Withhold payment for the amount of:

             (1) Any work or labor that has not been

performed or materials or equipment that has not been furnished for which

payment is sought;

             (2) The costs and expenses reasonably

necessary to correct or repair any work that is not materially in compliance

with the agreement to the extent that such costs and expenses exceed 50 percent

of the amount of retention being withheld pursuant to the terms of the

agreement; and

             (3) Money the owner has paid or is

required to pay pursuant to an official notice from a state agency, or employee

benefit trust fund, for which the owner is liable for the prime contractor or

his or her lower-tiered subcontractors in accordance with chapter 608, 612,

616A to 616D,

inclusive, or 617 of NRS.

      (b) Require, as a condition precedent to the

payment of any unpaid amount under the agreement, that lien releases be

furnished by the prime contractor and his or her lower-tiered subcontractors

and suppliers in accordance with the provisions of paragraphs (a) and (c) of

subsection 5 of NRS 108.2457.

      3.  If, pursuant to paragraph (a) of

subsection 2, an owner intends to withhold any amount from a payment to be made

to a prime contractor, the owner must, on or before the date the payment is

due, give written notice to the prime contractor of any amount that will be

withheld. The written notice of withholding must:

      (a) Identify the amount that will be withheld

from the prime contractor;

      (b) Give a reasonably detailed explanation of the

condition for which or the reason the owner will withhold that amount,

including, without limitation, a specific reference to the provision or section

of the agreement with the prime contractor, and any documents relating thereto,

and the applicable building code, law or regulation with which the prime

contractor has failed to comply; and

      (c) Be signed by an authorized agent of the

owner.

      4.  A prime contractor who receives a

notice of withholding pursuant to subsection 3 may correct any condition or

reason for the withholding described in the notice of withholding and

thereafter provide written notice to the owner of the correction of the

condition or reason for the withholding. The notice of correction must be

sufficient to identify the scope and manner of the correction of the condition

or reason for the withholding and be signed by an authorized representative of

the prime contractor. If an owner receives a written notice from the prime

contractor of the correction of a condition or reason for the withholding

described in an owner’s notice of withholding pursuant to subsection 3, the

owner must, within 10 days after receipt of such notice:

      (a) Pay the amount withheld by the owner for that

condition or reason for the withholding; or

      (b) Object to the scope and manner of the correction

of the condition or reason for the withholding in a written statement that sets

forth the reason for the objection and complies with subsection 3. If the owner

objects to the scope and manner of the correction of a condition or reason for

the withholding, the owner shall nevertheless pay to the prime contractor,

along with the payment to be made pursuant to the prime contractor’s next

payment request, the amount withheld for the correction of the condition or

reason for the withholding to which the owner no longer objects.

      5.  The partial occupancy or availability

of a building requires payment in direct proportion to the value of the part of

the building which is partially occupied or partially available. For works of

improvement which involve more than one building, each building must be

considered separately in determining the amount of money which is payable to

the prime contractor.

      (Added to NRS by 1983, 425; A 1987, 557; 2001, 1624; 2003, 2619; 2005, 1224, 1726)

      NRS 624.622  Requirements concerning notices; prohibited provisions;

exemptions; requests for information.

      1.  A prime contractor shall provide a copy

of any notice given to an owner pursuant to subsection 1 or 2 of NRS 624.610 to each lower-tiered subcontractor with

whom the prime contractor has entered into an agreement. Upon receipt of

payment pursuant to NRS 624.609, the prime

contractor shall notify all such lower-tiered subcontractors in writing of

receipt of payment.

      2.  A condition, stipulation or provision

in an agreement which:

      (a) Requires a prime contractor to waive any

rights provided in this section, NRS 624.609, 624.610, 624.620 or 624.630, or which limits those rights;

      (b) Relieves an owner of any obligation or

liability imposed pursuant to NRS 624.606 to 624.630, inclusive; or

      (c) Requires a prime contractor to waive, release

or extinguish a claim or right for damages or an extension of time that the

prime contractor may otherwise possess or acquire as a result of delay,

acceleration, disruption or an impact event that is unreasonable under the

circumstances, that was not within the contemplation of the parties at the time

the agreement was entered into, or for which the prime contractor is not responsible,

Ê is against

public policy and is void and unenforceable.

      3.  All notices required pursuant to NRS 624.609 to 624.622,

inclusive, must be:

      (a) Delivered personally, in which case the prime

contractor shall obtain a notarized statement from the person who delivered the

notice as proof of delivery;

      (b) Sent by facsimile and delivered by regular

mail, in which case the prime contractor shall retain proof of a successful

transmission of the facsimile;

      (c) Delivered by certified mail; or

      (d) Delivered in the manner provided for in the

agreement.

      4.  NRS 624.609

to 624.622, inclusive, do not apply to an agreement

between:

      (a) A prime contractor and a natural person who

owns a single-family residence for the performance of qualified services with

respect to the residence; or

      (b) A public body and a prime contractor for the

performance of work and labor on a public work.

      5.  Within 5 days after an owner receives a

written request for the information set forth in paragraphs (a), (b) and (c)

from a lower-tiered subcontractor, the owner shall notify the lower-tiered

subcontractor in writing of the following:

      (a) The date the owner made a specified payment

to the prime contractor;

      (b) Whether the owner has paid the entire amount

of a specified payment to the prime contractor; and

      (c) The amount withheld by the owner from a

specified payment to the prime contractor and the condition or reason for the

withholding.

      (Added to NRS by 2001, 1620; A 2005, 1727)

Agreements Between Higher-Tiered Contractor and

Lower-Tiered Subcontractor

      NRS 624.624  Payment of lower-tiered subcontractor; grounds and procedure for

withholding amounts from payment; rights and duties after notice of

withholding, notice of objection or notice of correction.

      1.  Except as otherwise provided in this

section, if a higher-tiered contractor enters into:

      (a) A written agreement with a lower-tiered

subcontractor that includes a schedule for payments, the higher-tiered

contractor shall pay the lower-tiered subcontractor:

             (1) On or before the date payment is due;

or

             (2) Within 10 days after the date the

higher-tiered contractor receives payment for all or a portion of the work,

materials or equipment described in a request for payment submitted by the

lower-tiered subcontractor,

Ê whichever is

earlier.

      (b) A written agreement with a lower-tiered

subcontractor that does not contain a schedule for payments, or an agreement

that is oral, the higher-tiered contractor shall pay the lower-tiered

subcontractor:

             (1) Within 30 days after the date the

lower-tiered subcontractor submits a request for payment; or

             (2) Within 10 days after the date the

higher-tiered contractor receives payment for all or a portion of the work,

labor, materials, equipment or services described in a request for payment

submitted by the lower-tiered subcontractor,

Ê whichever is

earlier.

      2.  If a higher-tiered contractor has

complied with subsection 3, the higher-tiered contractor may:

      (a) Withhold from any payment owed to the

lower-tiered subcontractor:

             (1) A retention amount that the

higher-tiered contractor is authorized to withhold pursuant to the agreement,

but the retention amount withheld must not exceed 10 percent of the payment

that is required pursuant to subsection 1;

             (2) An amount equal to the sum of the

value of:

                   (I) Any work or labor that has not

been performed or materials or equipment that has not been furnished for which

payment is being sought, unless the agreement otherwise allows or requires such

a payment to be made; and

                   (II) Costs and expenses reasonably

necessary to correct or repair any work which is the subject of the request for

payment and which is not materially in compliance with the agreement to the

extent that such costs and expenses exceed 50 percent of the retention amount

withheld pursuant to subparagraph (1); and

             (3) The amount the owner or higher-tiered

contractor has paid or is required to pay pursuant to an official notice from a

state agency or employee benefit trust fund, for which the owner or higher-tiered

contractor is or may reasonably be liable for the lower-tiered subcontractor or

his or her lower-tiered subcontractors in accordance with chapter 608, 612,

616A to 616D,

inclusive, or 617 of NRS; and

      (b) Require as a condition precedent to the

payment of any amount due, lien releases furnished by the lower-tiered

subcontractor and his or her lower-tiered subcontractors and suppliers in

accordance with the provisions of paragraphs (a) and (c) of subsection 5 of NRS 108.2457.

      3.  If, pursuant to subparagraph (2) or (3)

of paragraph (a) of subsection 2 or paragraph (b) of subsection 2, a

higher-tiered contractor intends to withhold any amount from a payment to be

made to a lower-tiered subcontractor, the higher-tiered contractor must give,

on or before the date the payment is due, a written notice to the lower-tiered

subcontractor of any amount that will be withheld and give a copy of such

notice to all reputed higher-tiered contractors and the owner. The written

notice of withholding must:

      (a) Identify the amount of the request for

payment that will be withheld from the lower-tiered subcontractor;

      (b) Give a reasonably detailed explanation of the

condition or the reason the higher-tiered contractor will withhold that amount,

including, without limitation, a specific reference to the provision or section

of the agreement with the lower-tiered subcontractor, and any documents relating

thereto, and the applicable building code, law or regulation with which the

lower-tiered subcontractor has failed to comply; and

      (c) Be signed by an authorized agent of the

higher-tiered contractor.

      4.  A lower-tiered subcontractor who

receives a notice of withholding pursuant to subsection 3 or a notice of

objection pursuant to subparagraph (2) of paragraph (b) may:

      (a) Give the higher-tiered contractor a written

notice and thereby dispute in good faith and for reasonable cause the amount

withheld or the conditions or reasons for the withholding; or

      (b) Correct any condition or reason for the

withholding described in the notice of withholding and thereafter provide

written notice to the higher-tiered contractor of the correction of the

condition or reason for the withholding. The notice of correction must be

sufficient to identify the scope and manner of the correction of the condition

or reason for the withholding and be signed by an authorized representative of

the lower-tiered subcontractor. If a higher-tiered contractor receives a

written notice from the lower-tiered subcontractor of the correction of a

condition or reason for the withholding pursuant to this paragraph, the

higher-tiered contractor shall:

             (1) Pay the amount withheld by the

higher-tiered contractor for that condition or reason for the withholding on or

before the date the next payment is due the lower-tiered subcontractor; or

             (2) Object to the scope and manner of the

correction of the condition or reason for the withholding, on or before the

date the next payment is due to the lower-tiered subcontractor, in a written

statement which sets forth the condition or reason for the objection and which

complies with subsection 3. If the higher-tiered contractor objects to the

scope and manner of the correction of a condition or reason for the

withholding, the higher-tiered contractor shall nevertheless pay to the

lower-tiered subcontractor, along with payment to be made pursuant to the

lower-tiered subcontractor’s next payment request, the amount withheld for the

correction of the conditions or reasons for the withholding to which the

higher-tiered contractor no longer objects.

      5.  Except as otherwise allowed in

subsections 2, 3 and 4, a higher-tiered contractor shall not withhold from a

payment to be made to a lower-tiered subcontractor more than the retention

amount.

      (Added to NRS by 2001, 1615; A 2005, 1728)

      NRS 624.626  Grounds and procedure for stopping work or terminating

agreement; change orders; damages and other remedies; rights of lower-tiered

subcontractors after work stoppage or termination of agreement; limitations on

liability.

      1.  If:

      (a) A higher-tiered contractor fails to pay the

lower-tiered subcontractor within the time provided in subsection 1 or 4 of NRS 624.624;

      (b) A higher-tiered contractor fails to pay the

lower-tiered subcontractor within 45 days after the 25th day of the month in

which the lower-tiered subcontractor submits a request for payment, even if the

higher-tiered contractor has not been paid and the agreement contains a

provision which requires the higher-tiered contractor to pay the lower-tiered

subcontractor only if or when the higher-tiered contractor is paid;

      (c) A higher-tiered contractor fails to give the

lower-tiered subcontractor written notice of any withholding in the time and

manner required by subsection 3 or 4 of NRS 624.624;

      (d) After receipt of a notice of withholding

pursuant to subsection 3 or 4 of NRS 624.624, the

lower-tiered subcontractor gives the higher-tiered contractor written notice

pursuant to subsection 4 of NRS 624.624 and thereby

disputes in good faith and for reasonable cause the amount withheld or the

condition or reason for the withholding; or

      (e) Within 30 days after the date that a written

request for a change order is submitted by the lower-tiered subcontractor to

the higher-tiered contractor, the higher-tiered contractor fails to:

             (1) Issue the change order; or

             (2) If the request for a change order is

unreasonable, give written notice to the lower-tiered subcontractor of the

reasons why the change order is unreasonable,

Ê the

lower-tiered subcontractor may stop work under the agreement until payment is

received if the lower-tiered subcontractor gives written notice to the

higher-tiered contractor at least 10 days before stopping work.

      2.  If a lower-tiered subcontractor stops

work pursuant to paragraph (a), (c) or (d) of subsection 1, the lower-tiered

subcontractor may terminate the agreement with the higher-tiered contractor by

giving written notice of the termination to the higher-tiered contractor after

stopping work but at least 15 days before the termination of the agreement. If

the lower-tiered subcontractor is paid the amount due before the date for

termination set forth in the written notice, the lower-tiered subcontractor

shall not terminate the agreement and shall resume work.

      3.  If a higher-tiered contractor fails to

issue a change order or fails to give written notice pursuant to paragraph (e)

of subsection 1:

      (a) The agreement price must be increased by the

amount sought in the request for a change order;

      (b) The time for performance must be extended by

the amount sought in the request for a change order;

      (c) The lower-tiered subcontractor may submit to

the higher-tiered contractor a bill or invoice for the labor, materials,

equipment or services that are the subject of the request for a change order;

and

      (d) The higher-tiered contractor shall pay the

lower-tiered subcontractor for such labor, materials, equipment or services with

the next payment made to the lower-tiered subcontractor.

      4.  If an owner or higher-tiered contractor

through his or her own act or neglect, or through an act or neglect of his or

her agent, excluding acts of God, floods, fires, labor disputes, strikes or

reasonable adjustments in work schedules, causes the work to be stopped for a

period of 15 days or more, the lower-tiered subcontractor may terminate the

agreement if:

      (a) The lower-tiered subcontractor gives written

notice of his or her intent to terminate to the higher-tiered contractor at

least 10 days before terminating the agreement; and

      (b) The higher-tiered contractor fails to allow

the lower-tiered subcontractor to resume the work within the time set forth in

the written notice given pursuant to paragraph (a).

      5.  If a lower-tiered subcontractor stops

work pursuant to paragraph (a), (c) or (d) of subsection 1, the higher-tiered

contractor may terminate the agreement by giving the lower-tiered subcontractor

written notice of his or her intent to terminate at least 15 days before

terminating the agreement.

      6.  If the agreement is terminated pursuant

to subsection 4, or if the lower-tiered subcontractor stops work in accordance

with this section and the agreement is terminated pursuant to subsection 2 or

5, the lower-tiered subcontractor is entitled to recover from the higher-tiered

contractor with whom the lower-tiered subcontractor has entered into an

agreement the amount found by a trier of fact to be due the lower-tiered

subcontractor, including, without limitation:

      (a) The cost of all work, labor, materials,

equipment and services furnished by and through the lower-tiered subcontractor,

including any overhead the lower-tiered subcontractor and his or her

lower-tiered subcontractors and suppliers incurred and profit the lower-tiered

subcontractor and his or her lower-tiered subcontractors and suppliers earned

through the date of termination;

      (b) The balance of the profit that the

lower-tiered subcontractor and his or her lower-tiered subcontractors and

suppliers would have received if the agreement had been performed in full;

      (c) Interest determined pursuant to NRS 624.630; and

      (d) The reasonable costs, including court costs

and arbitration costs, incurred by the lower-tiered subcontractor and his or

her lower-tiered subcontractors in collecting the amount due.

Ê In any

action brought to enforce the rights or obligations set forth in this

subsection, the trier of fact may award reasonable attorney’s fees to the

lower-tiered subcontractor and his or her lower-tiered subcontractors and

suppliers or, if the trier of fact determines that the lower-tiered

subcontractor stopped work or terminated the agreement without a reasonable basis

in law or fact, the trier of fact may award reasonable attorney’s fees and

costs, including court costs and arbitration costs, to the higher-tiered

contractor.

      7.  If a lower-tiered subcontractor stops

work pursuant to this section, each lower-tiered subcontractor with whom the

lower-tiered subcontractor has entered into an agreement and who has not fully

performed under the agreement may also stop work on the work of improvement. If

a lower-tiered subcontractor terminates an agreement pursuant to this section,

all of his or her lower-tiered subcontractors may terminate their agreements

with the lower-tiered subcontractor.

      8.  The right of a lower-tiered

subcontractor to stop work or terminate an agreement pursuant to this section

is in addition to all other rights that the lower-tiered subcontractor may have

at law or in equity and does not impair or affect the right of a lower-tiered

subcontractor to maintain a civil action or to submit any controversy arising

under the agreement to arbitration.

      9.  No lower-tiered subcontractor or his or

her lower-tiered subcontractors or suppliers, or their respective sureties, may

be held liable for any delays or damages that an owner or higher-tiered

contractor may suffer as a result of the lower-tiered subcontractor and his or

her lower-tiered subcontractors and suppliers stopping their work or the

provision of materials or equipment or terminating an agreement for a

reasonable basis in law or fact and in accordance with this section.

      (Added to NRS by 2001, 1617; A 2005, 1731)

      NRS 624.628  Requirements concerning notices; prohibited provisions; requests

for information.

      1.  A lower-tiered subcontractor shall

provide a copy of any notice given to a higher-tiered contractor pursuant to

this section or NRS 624.624 or 624.626 to each lower-tiered subcontractor with whom

the lower-tiered subcontractor has entered into an agreement and who has not

fully performed under the agreement. Upon receipt of payment pursuant to NRS 624.624, the lower-tiered subcontractor shall

notify all of his or her lower-tiered subcontractors in writing of receipt of

payment.

      2.  A lower-tiered subcontractor shall

provide a copy of any notice given to a higher-tiered contractor pursuant to

this section or NRS 624.624 or 624.626 to all other higher-tiered contractors and the

owner, if known. The failure of a lower-tiered subcontractor to comply with

this subsection does not invalidate any notice otherwise properly given.

      3.  A condition, stipulation or provision

in an agreement which:

      (a) Requires a lower-tiered subcontractor to

waive any rights provided in NRS 624.624 to 624.630, inclusive, or which limits those rights;

      (b) Relieves a higher-tiered contractor of any

obligation or liability imposed pursuant to NRS 624.624

to 624.630, inclusive; or

      (c) Requires a lower-tiered subcontractor to

waive, release or extinguish a claim or right for damages or an extension of

time that the lower-tiered subcontractor may otherwise possess or acquire as a

result of delay, acceleration, disruption or an impact event that is

unreasonable under the circumstances, that was not within the contemplation of

the parties at the time the agreement was entered into, or for which the

lower-tiered subcontractor is not responsible,

Ê is against

public policy and is void and unenforceable.

      4.  All notices required pursuant to this

section or NRS 624.624 or 624.626

must be:

      (a) Delivered personally, in which case the

lower-tiered subcontractor shall obtain a notarized statement from the person

who delivered the notice as proof of delivery;

      (b) Sent by facsimile and delivered by regular

mail, in which case the lower-tiered subcontractor shall retain proof of a

successful transmission of the facsimile;

      (c) Delivered by certified mail; or

      (d) Delivered in the manner provided in the

agreement between the higher-tiered contractor and the lower-tiered

subcontractor.

      5.  Within 5 days after the owner or any

higher-tiered contractor receives a written request for the information set

forth in paragraphs (a), (b) and (c) from a lower-tiered subcontractor with

respect to an agreement that has not been fully performed, the owner or

higher-tiered contractor shall notify the lower-tiered subcontractor in writing

of the following:

      (a) The date the owner or higher-tiered

contractor made a specified payment to the prime contractor or lower-tiered

subcontractor;

      (b) Whether the owner or higher-tiered contractor

has paid the prime contractor or lower-tiered subcontractor the entire amount

of a specified payment; and

      (c) The amount withheld by the owner or higher-tiered

contractor of a specified payment to his or her prime contractor or

lower-tiered subcontractor and the condition or reason for the withholding.

      (Added to NRS by 2001, 1618; A 2005, 1733)

Payment of Interest

      NRS 624.630  Accrual of interest on money due; rate of interest.  Any

money which is payable to a prime contractor, higher-tiered contractor or

lower-tiered subcontractor pursuant to NRS 624.609,

624.610, 624.620, 624.624, 624.626 or 624.628 accrues interest from the time it becomes due

at a rate equal to the higher of:

      1.  The rate agreed upon in the agreement

between the parties; or

      2.  The rate equal to the prime rate at the

largest bank in this State, as determined by the Commissioner of Financial

Institutions on January 1 or July 1, as the case may be, immediately preceding:

      (a) The time at which the agreement was signed;

or

      (b) If the agreement was oral, the time at which

the terms of the agreement were agreed to by the parties,

Ê plus 4

percent until the date of payment.

      (Added to NRS by 1987, 557; A 2005, 1734)

UNLAWFUL ACTS; PENALTIES

      NRS 624.700  Engaging in business or submitting bid without license unlawful;

prosecution; damages; bid submitted in violation of section void.

      1.  It is unlawful for any person or

combination of persons to:

      (a) Engage in the business or act in the capacity

of a contractor within this State; or

      (b) Submit a bid on a job situated within this

State,

Ê without

having an active license therefor as provided in this chapter, unless that

person or combination of persons is exempted from licensure pursuant to NRS 624.031.

      2.  The district attorneys in this State

shall prosecute all violations of this section which occur in their respective

counties, unless the violations are prosecuted by the Attorney General. Upon

the request of the Board, the Attorney General shall prosecute any violation of

this section in lieu of prosecution by the district attorney.

      3.  In addition to any other penalty

imposed pursuant to this chapter, a person who is convicted of violating

subsection 1 may be required to pay:

      (a) Court costs and the costs of prosecution;

      (b) Reasonable costs of the investigation of the

violation to the Board;

      (c) Damages the person caused as a result of the

violation up to the amount of the person’s pecuniary gain from the violation;

or

      (d) Any combination of paragraphs (a), (b) and

(c).

      4.  If a person submits a bid or enters

into a contract in violation of subsection 1, the bid or contract shall be

deemed void ab initio.

      [1:Art. VII:186:1941; A 1953, 521]—(NRS A 1967, 1042;

1969, 939; 1987,

771; 1995,

927; 1999,

2957)

      NRS 624.710  Administrative fine for engaging in business or submitting bid

without license; fine cumulative; action for fine; deposit of fine in

Construction Education Account.

      1.  If any person violates the provisions

of subsection 1 of NRS 624.700, subsection 1, 2 or

3 of NRS 624.720 or NRS

624.740, the Board may impose for each violation an administrative fine in

an amount that is not less than $1,000 and not more than $50,000.

      2.  The Board shall, by regulation,

establish standards for use by the Board in determining the amount of an

administrative fine imposed pursuant to this section. The standards must

include, without limitation, provisions requiring the Board to consider:

      (a) The gravity of the violation;

      (b) The good faith of the person; and

      (c) Any history of previous violations of the

provisions of this chapter or the regulations of the Board committed by the

person.

      3.  An administrative fine imposed pursuant

to this section is in addition to any other penalty imposed pursuant to this

chapter.

      4.  If the administrative fine and any

interest imposed pursuant to NRS 624.300 is not

paid when due, the fine and interest, if any, must be recovered in a civil

action brought by the Attorney General on behalf of the Board.

      5.  All administrative fines and interest

collected pursuant to this section must be deposited with the State Treasurer

for credit to the Construction Education Account created pursuant to NRS 624.580.

      (Added to NRS by 1995, 926; A 2001, 2415; 2005, 1208; 2007, 863)

      NRS 624.720  Unlawful advertising; disconnection of telephone number or

beeper listed in unlawful advertisement.

      1.  It is unlawful for any person,

including a person exempt under the provisions of NRS

624.031, to advertise as a contractor unless the person has a license in

the appropriate classification established by the provisions of NRS 624.215 and 624.220.

      2.  It is unlawful for a licensed

contractor to disseminate, as part of any advertising by the contractor, any

false or misleading statement or representation of material fact that is

intended, directly or indirectly, to induce another person to use the services

of the contractor or to enter into any contract with the contractor or any

obligation relating to such a contract.

      3.  All advertising by a licensed contractor

must include the name of the contractor’s company and the number of the

contractor’s license.

      4.  If, after giving notice and holding a

hearing pursuant to NRS 624.291, the Board

determines that a person has engaged in advertising in a manner that violates

the provisions of this section, the Board may, in addition to any penalty,

punishment or disciplinary action authorized by the provisions of this chapter,

issue an order to the person to cease and desist the unlawful advertising and

to:

      (a) Cause any telephone number included in the

advertising, other than a telephone number to a provider of paging services, to

be disconnected.

      (b) Request the provider of paging services to

change the number of any beeper which is included in the advertising or

disconnect the paging services to such a beeper, and to inform the provider of

paging services that the request is made pursuant to this section.

      5.  If a person fails to comply with paragraph

(a) of subsection 4 within 5 days after receiving an order pursuant to

subsection 4, the Board may request the Public Utilities Commission of Nevada

to order the appropriate provider of telephone service to disconnect any

telephone number included in the advertisement, except for a telephone number

to a provider of paging services. If a person fails to comply with paragraph

(b) of subsection 4 within 5 days after receiving an order pursuant to

subsection 4, the Board may request the provider of paging services to switch

the beeper number or disconnect the paging services provided to the person,

whichever the provider deems appropriate.

      6.  If the provider of paging services

receives a request from a person pursuant to subsection 4 or a request from the

Board pursuant to subsection 5, it shall:

      (a) Disconnect the paging service to the person;

or

      (b) Switch the beeper number of the paging

service provided to the person.

Ê If the

provider of paging services elects to switch the number pursuant to paragraph

(b), it shall not forward or offer to forward the paging calls from the

previous number, or provide or offer to provide a recorded message that

includes the new beeper number.

      7.  As used in this section:

      (a) “Advertising” includes, but is not limited

to, the issuance of any sign, card or device, or the permitting or allowing of

any sign or marking on a motor vehicle, in any building, structure, newspaper,

magazine or airway transmission, on the Internet or in any directory under the

listing of “contractor” with or without any limiting qualifications.

      (b) “Beeper” means a portable electronic device

which is used to page the person carrying it by emitting an audible or a

vibrating signal when the device receives a special radio signal.

      (c) “Provider of paging services” means an

entity, other than a public utility, that provides paging service to a beeper.

      (d) “Provider of telephone service” has the

meaning ascribed to it in NRS 707.355.

      (Added to NRS by 1975, 1159; A 1987, 1101; 1999, 2857, 2965; 2001, 213; 2005, 1208)

      NRS 624.730  Unlawful to sit for examination on behalf of another; unlawful

to provide any portion of examination to another.

      1.  Except as otherwise provided in this

chapter, any person other than an applicant for a contractor’s license who

takes an examination of the Board on behalf of the applicant, is guilty of a

misdemeanor.

      2.  Any person who, without the

authorization of the Board, provides any portion of an examination of the Board

to another person, is guilty of a misdemeanor.

      (Added to NRS by 1999, 2954)

      NRS 624.740  Unlawful to act in joint venture or combination without

additional license.

      1.  It is unlawful for any two or more

licensees, whose licenses have been limited by the Board to contracts not

exceeding certain monetary sums and each of whom has been issued a license to

engage separately in the business or to act separately in the capacity of a

contractor within this State, jointly to submit a bid or otherwise act in the

capacity of a contractor within this State without first having secured an

additional license for acting in the capacity of such a joint venture or

combination in accordance with the provisions of this chapter as provided for

an individual, copartnership or corporation.

      2.  A licensee whose license is limited to

contracts not exceeding certain monetary sums cannot be a party to a joint

venture unless such licensee has secured an additional license for such joint

venture.

      [4:Art. II:186:1941; A 1951, 47]—(NRS A 1963, 695)

      NRS 624.750  Other unlawful acts or omissions; penalties for unlawful acts

and omissions.

      1.  It is unlawful for a person to commit

any act or omission described in subsection 1 of NRS

624.3012, subsection 2 of NRS 624.3013, NRS 624.3014 or subsection 1, 3 or 7 of NRS 624.3016.

      2.  Unless a greater penalty is otherwise

provided by a specific statute, any person who violates subsection 1, NRS 624.305, subsection 1 of NRS

624.700 or NRS 624.720 or 624.740:

      (a) For a first offense, is guilty of a

misdemeanor and shall be punished by a fine of not more than $1,000, and may be

further punished by imprisonment in the county jail for not more than 6 months.

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

misdemeanor and shall be punished by a fine of not less than $2,000 nor more

than $4,000, and may be further punished by imprisonment in the county jail for

not more than 364 days.

      (c) For the third or subsequent offense, is

guilty of a category E felony and shall be punished by a fine of not less than

$5,000 nor more than $10,000 and may be further punished by imprisonment in the

state prison for not less than 1 year and not more than 4 years.

      3.  It is unlawful for a person to receive

money for the purpose of obtaining or paying for services, labor, materials or

equipment if the person:

      (a) Willfully fails to use that money for that

purpose by failing to complete the improvements for which the person received

the money or by failing to pay for any services, labor, materials or equipment

provided for that construction; and

      (b) Wrongfully diverts that money to a use other

than that for which it was received.

      4.  Unless a greater penalty is otherwise

provided by a specific statute, any person who violates subsection 3:

      (a) If the amount of money wrongfully diverted is

$1,000 or less, is guilty of a gross misdemeanor and shall be punished by a

fine of not less than $2,000 nor more than $4,000, and may be further punished

by imprisonment in the county jail for not more than 364 days.

      (b) If the amount of money wrongfully diverted is

more than $1,000, is guilty of a category E felony and shall be punished by a

fine of not less than $5,000 nor more than $10,000, and may be further punished

by imprisonment in the state prison for not less than 1 year and not more than

4 years.

      5.  Imposition of a penalty provided for in

this section is not precluded by any disciplinary action taken by the Board

against a contractor pursuant to the provisions of NRS

624.300 to 624.305, inclusive.

      [2:Art. VII:186:1941; A 1955, 378]—(NRS A 1967, 639; 1971,

182; 1975, 1161; 1981,

634; 1991,

146; 1999,

2966; 2001,

2983; 2003,

1903; 2013,

990)

PROSECUTION OF VIOLATIONS

      NRS 624.800  Statute of limitations for certain violations.  For any violation of the provisions of NRS 624.005 to 624.750,

inclusive, that is punishable as a misdemeanor, an indictment must be found, or

an information or complaint filed, within 2 years after the commission of the

offense.

      (Added to NRS by 2005, 1200)

RESIDENTIAL SWIMMING POOLS AND SPAS

      NRS 624.900  Definitions.  As

used in NRS 624.900 to 624.965,

inclusive, unless the context otherwise requires, the words and terms defined

in NRS 624.905, 624.910

and 624.915 have the meanings ascribed to them in

those sections.

      (Supplied in revision)

      NRS 624.905  “Contract” defined.  “Contract”

means any contract or agreement in which a contractor agrees to perform work

concerning a residential pool or spa.

      (Added to NRS by 1997, 2698; A 2001, 2977; 2005, 2377)—(Substituted

in revision for part of NRS 597.713)

      NRS 624.910  “Contractor” defined.  “Contractor”

means a person licensed pursuant to the provisions of this chapter who performs

work concerning a residential pool or spa.

      (Added to NRS by 1997, 2698; A 2001, 2977; 2005, 2377)—(Substituted

in revision for part of NRS 597.713)

      NRS 624.915  “Work concerning a residential pool or spa” defined.

      1.  “Work concerning a residential pool or

spa” means any of the following acts, if performed for a fee:

      (a) The design, construction, repair,

maintenance, restoration, alteration or improvement of any residential swimming

pool or spa, regardless of use, including the repair or replacement of existing

equipment or the installation of new equipment, as necessary; or

      (b) Any consultation or supervision concerning

such work.

      2.  The scope of such work includes layout,

excavation, operation of construction pumps for removal of water, steelwork,

construction of floors, installation of gunite, fiberglass, tile and coping,

installation of all perimeter and filter piping, installation of all filter

equipment and chemical feeders of any type, plastering of the interior, construction

of decks, installation of housing for pool equipment and installation of

packaged pool heaters.

      3.  The scope of such work also includes

the installation of plumbing, including, without limitation, connections to

potable water, and the installation of gas lines if the contractor holds

classifications for such work pursuant to NRS 624.925.

      (Added to NRS by 1997, 2698; A 2001, 2977; 2005, 2377)—(Substituted

in revision for part of NRS 597.713)

      NRS 624.920  License or other authorization required to perform work

concerning residential pool or spa.  A

person shall not, directly or indirectly, perform or offer to perform, for a

fee, any work concerning a residential pool or spa or any consultation or

supervision concerning such work or otherwise hold himself or herself out as

being able to perform such acts for a fee, unless the person holds:

      1.  A license as a contractor or

subcontractor under state law which authorizes the person to perform such acts

for a fee; or

      2.  Any other license, certificate,

registration or permit under state law which authorizes the person to perform

such acts for a fee.

      (Added to NRS by 2005, 2376)

      NRS 624.925  Classifications of licensing.

      1.  The Board shall adopt regulations to

provide for classifications of licensing that authorize a contractor who performs

work concerning a residential pool or spa to perform, in connection with such

work, the installation of:

      (a) Plumbing, including, without limitation,

connections to potable water; and

      (b) Gas lines.

      2.  The regulations adopted by the Board

must include, without limitation, regulations establishing the qualifications,

training and examinations that are required for such classifications.

      (Added to NRS by 2005, 2376)

      NRS 624.930  Contractor and subcontractor required to obtain permits and meet

certain requirements; certain owner-builders required to submit information

regarding bonds and insurance; supervision and control of work; license or

other authorization required to perform certain acts for owner-builder.

      1.  Any contractor or subcontractor who

performs work concerning a residential pool or spa shall, regardless of whether

the work is performed under the direction of a builder who is also the owner of

the property being improved:

      (a) Apply for and obtain all applicable permits

for the project; and

      (b) Meet all applicable requirements imposed

pursuant to this chapter and any regulations adopted by the Board with respect

to contracts for work concerning a residential pool or spa.

      2.  If a contractor or subcontractor

performs work concerning a residential pool or spa and the work is performed

under the direction of a builder who is also the owner of the property being

improved, the owner shall comply with all state and local laws and ordinances

for the submission of names, licenses and information concerning any required

bonds and insurance with respect to the contractors and subcontractors working

on the project.

      3.  With respect to a contract for work

concerning a residential pool or spa, the work performed pursuant to such a

contract must be supervised and controlled directly by the qualified employee

or qualified officer of the contractor.

      4.  If work concerning a residential pool

or spa is performed under the direction of a builder who is exempt from having

to obtain a license as a contractor because the builder is also the owner of

the property being improved, a person shall not, directly or indirectly,

perform or offer to perform, for a fee, any act as a consultant, adviser,

assistant or aide to the builder for the purposes of the project, including,

without limitation, any act associated with obtaining permits for the project,

or otherwise hold himself or herself out as being able to perform such acts for

a fee, unless the person holds:

      (a) A license as a contractor or subcontractor

under state law which authorizes the person to perform such acts for a fee; or

      (b) Any other license, certificate, registration

or permit under state law which authorizes the person to perform such acts for

a fee.

      (Added to NRS by 2001, 2976; A 2003, 1233; 2005, 2377)—(Substituted

in revision for NRS 597.715)

      NRS 624.935  Duties of contractor regarding commencement, performance and

completion of work; contract to explain rights of customer; conditions for

final payment.

      1.  A contractor who receives an initial

down payment or deposit of $1,000 or 10 percent of the aggregate contract price,

whichever is less, for work concerning a residential pool or spa shall start

the work within 30 days after the date all necessary permits for the work, if

any, are issued, unless the person who made the payment agrees in writing to a

longer period to apply for the necessary permits or start the work or to longer

periods for both.

      2.  A contractor who receives money for

work concerning a residential pool or spa shall complete the work diligently

and shall not refuse to perform any work for any 30-day period.

      3.  If satisfactory payment is made for any

portion of the work performed, the contractor shall, before any further payment

is made, furnish the owner a full and unconditional release from any claim of

mechanic’s lien for that portion of the work for which payment has been made.

      4.  The requirements of subsection 3 do not

apply if the contract provides for the contractor to furnish a bond for payment

and performance or joint control covering full performance and completion of

the contract and the bond or joint control is furnished by the contractor.

      5.  A contract for work concerning a

residential pool or spa must contain a written statement explaining the rights

of the customer under NRS 624.900 to 624.965, inclusive, and other relevant statutes.

      6.  A contractor may require final payment

for the final stage or phase of the construction of a residential pool or spa

after the completion of the plastering and the final inspection by the local

building department, unless any installation of equipment, decking or fencing

that is required in the contract is not completed.

      (Added to NRS by 1997, 2698; A 2001, 2978; 2005, 2378)—(Substituted

in revision for NRS 597.716)

      NRS 624.940  Mandatory elements and required information in contracts;

contractor to furnish copy of signed documents and receipt for money paid;

certain contracts void; contractor to apply for and obtain necessary permits.

      1.  The Board shall adopt by regulation

mandatory elements to be included in all contracts to be used by contractors

for work concerning a residential pool or spa. Such mandatory elements must not

be waived or limited by contract or in any other manner. On and after October

1, 2001, any contract entered into between a contractor and the owner of a

single-family residence for work concerning a residential pool or spa must

comply with the standard elements adopted by the Board. A contract that does

not comply with the standard elements adopted by the Board is void and

unenforceable against the owner.

      2.  Any such contract in an amount of more

than $1,000 must contain in writing at least the following information:

      (a) The name of the contractor and his or her

business address and license number.

      (b) The name and mailing address of the owner and

the address or legal description of the property.

      (c) The date of execution of the contract.

      (d) The estimated date of completion of all work

to be performed under the contract.

      (e) A description of the work to be performed

under the contract.

      (f) The total amount to be paid to the contractor

by the owner for all work to be performed under the contract, including all

applicable taxes.

      (g) The amount, not to exceed $1,000 or 10

percent of the aggregate contract price, whichever is less, of any initial down

payment or deposit paid or promised to be paid to the contractor by the owner

before the start of construction.

      (h) A statement that the contractor has provided

the owner with the notice and informational form required by NRS 624.600.

      (i) A statement that any additional work to be

performed under the contract, whether or not pursuant to a change order, which

will require the owner to pay additional money and any other change in the terms

in the original contract must be agreed to in writing by the parties and

incorporated into the original contract as a change order. A change order is

not enforceable against the owner contracting for work concerning a residential

pool or spa unless the change order clearly sets forth the scope of work to be

completed and the price to be charged for the changes and is signed by the

owner.

      (j) A plan and scale drawing showing the shape,

size, dimensions and the specifications for the construction and equipment for

the residential pool or spa and for other home improvements, and a description

of the work to be done, the materials to be used and the equipment to be

installed, and the agreed consideration for the work.

      (k) Except as otherwise provided in this

subsection, the dollar amount of any progress payment and the stage of

construction at which the contractor will be entitled to collect progress

payments during the course of construction under the contract. The schedule of

payments must show the amount of each payment as a sum in dollars and cents.

The schedule of payments must not provide for the contractor to receive, nor

may the contractor actually receive, payments in excess of 100 percent of the

value of the work performed on the project at any time, excluding finance

charges, except for an initial down payment or deposit as authorized by

subsection 1 of NRS 624.935 or the regulations

adopted by the Board. With respect to a contract executed before October 1,

2001, if any schedule of payments set forth in the contract does not comply

with the provisions of this chapter or any regulations adopted pursuant

thereto:

             (1) The obligation of the owner to make

payments in accordance with the payment schedule shall be deemed void and

unenforceable; and

             (2) The lender, if any, may not initiate

proceedings to enforce the payment of any applicable loan unless and until the

contract is reformed or otherwise amended to comply with those provisions of

law.

Ê The

provisions of this paragraph do not apply if the contractor has furnished a

bond for payment and performance covering full performance and completion of

the contract and the cost of the bond is included in the price of the project

or if the contractor builds a residential pool or spa as part of the original

building plan pursuant to which the contractor builds a single-family residence

on the premises.

      (l) If the contract provides for payment of a

commission to a salesperson out of the contract price, a statement that the

payment must be made on a pro rata basis in proportion to the schedule of

payments made to the contractor by the disbursing party in accordance with the

provisions of paragraph (k).

Ê Except as

otherwise provided in subsection 5, the contract may contain such other

conditions, stipulations or provisions as to which the parties may agree.

      3.  The contract must contain:

      (a) A method whereby the owner may initial

provisions of the contract, thereby indicating that those provisions have been

read and are understood.

      (b) In close proximity to the signatures of the

owner and the contractor, a notice stating that the owner:

             (1) May contact the Board if assistance is

needed to clarify any of the provisions of the contract that the owner does not

fully understand; and

             (2) Has the right to request a bond for

payment and performance if such a bond is not otherwise required pursuant to NRS 624.270.

      4.  At the time the owner signs the

contract, the contractor shall furnish the owner a legible copy of all

documents signed and a written and signed receipt for any money paid to the

contractor by the owner. All written information provided in the contract must

be printed in at least 10-point bold type.

      5.  A condition, stipulation or provision

in a contract that requires a person to waive any right provided by NRS 624.900 to 624.965,

inclusive, or relieves a person of an obligation or liability imposed by those

sections is void. Failure to comply with the requirements of NRS 624.900 to 624.965,

inclusive, renders a contract void and unenforceable against the owner.

      6.  The contractor shall apply for and

obtain all necessary permits.

      (Added to NRS by 1997, 2699; A 2001, 2978; 2005, 2378)—(Substituted

in revision for NRS 597.719)

      NRS 624.945  Standards for advertisements; prohibited advertising practices.

      1.  The Board shall adopt by regulation

standards for advertisements used by contractors in connection with the

solicitation or sale of contracts for work concerning residential pools or

spas.

      2.  The regulations adopted pursuant to

subsection 1 must prohibit a contractor from employing “bait and switch”

advertising or otherwise intentionally publishing, displaying or circulating

any advertisement which is misleading or inaccurate in any material particular

or which misrepresents any of the goods or services sold or furnished by the

contractor to members of the public.

      3.  The Board shall, in adopting the

standards required by subsection 1, give consideration to the provisions of chapter 598 of NRS relating to advertisements

that constitute deceptive trade practices and, to the extent practicable, adopt

standards that are at least as stringent as those provisions.

      4.  A contractor shall not cause to be published

or display or circulate any advertisement that does not comply with the

standards adopted by the Board pursuant to subsection 1.

      5.  As used in this section, “bait and

switch” advertising has the meaning ascribed to it in NRS 482.351.

      (Added to NRS by 2001, 2975; A 2005, 2380)—(Substituted

in revision for NRS 597.7191)

      NRS 624.950  Limitations on contractor’s involvement with entities engaged in

certain lending and financial services.

      1.  Except as otherwise provided in this

section and NRS 624.955, a contractor who performs

work concerning a residential pool or spa shall not act as, or carry out the duties

of, an officer, director, employee or owner of a bonding company, finance

company, or any other corporation or business entity who cosigns, underwrites,

obtains a deed of trust for, issues, sells, purchases or acquires a loan to

finance work concerning a residential pool or spa.

      2.  The provisions of this section do not

prohibit a contractor from owning, holding or possessing, either directly or

indirectly through a mutual fund or any other financial arrangement or

investment plan, any stocks or other securities issued by a company,

corporation or business entity described in subsection 1 if:

      (a) The stocks or other securities are offered

openly to the public through a securities exchange; and

      (b) The contractor does not own, hold or possess

a controlling interest in the company, corporation or business entity.

      (Added to NRS by 2001, 2976; A 2003, 1234; 2005, 2381)—(Substituted

in revision for NRS 597.7192)

      NRS 624.955  Limitations on certain lending and financial practices.

      1.  A contract for work concerning a

residential pool or spa is not enforceable against the owner if the obtaining

of a loan for all or a portion of the contract price is a condition precedent

to the contract unless all of the following requirements are satisfied:

      (a) A third party agrees to make the loan or give

the financing.

      (b) The owner agrees to accept the loan or financing.

      (c) The owner does not rescind the loan or

financing transaction within the period prescribed for rescission pursuant to

the Truth in Lending Act, 15 U.S.C. §§ 1601 et seq., or chapter 598 of NRS, if applicable.

      2.  Unless and until all applicable

requirements of subsection 1 are satisfied, a contractor shall not:

      (a) Perform or deliver any work, labor, material

or services; or

      (b) Represent in any manner that the contract is

enforceable or that the owner has any obligation under the contract.

      3.  A contract for work concerning a

residential pool or spa is not enforceable against the owner if the contractor

provides a loan or gives financing for all or a portion of the contract price

unless all of the following requirements are satisfied:

      (a) The owner agrees to accept the loan or

financing.

      (b) The owner does not rescind the loan or

financing transaction within the period prescribed for rescission pursuant to

the Truth in Lending Act, 15 U.S.C. §§ 1601 et seq., or chapter 598 of NRS, if applicable.

      4.  Unless and until all applicable

requirements of subsection 3 are satisfied, a contractor shall not:

      (a) Perform or deliver any work, labor, material

or services; or

      (b) Represent in any manner that the contract is

enforceable or that the owner has any obligation under the contract.

      5.  A contract for work concerning a

residential pool or spa is not enforceable against the owner if the contractor

receives from a third party, either directly or indirectly, remuneration or any

other thing of value for a loan to finance the work and that fact is not

disclosed in writing in the contract.

      6.  As used in this section, “third party” means

a bonding company, finance company, or any other corporation or business entity

who cosigns, underwrites, obtains a deed of trust for, issues, sells, purchases

or acquires a loan to finance work concerning a residential pool or spa.

      (Added to NRS by 2001, 2976; A 2005, 2381)—(Substituted

in revision for NRS 597.7194)

      NRS 624.960  Contractor who commits certain violations may be required to

obtain services of construction control.

      1.  If a contractor who performs work

concerning a residential pool or spa is determined by the Board to have

violated:

      (a) One or more of the provisions of NRS 624.301 to 624.305,

inclusive, or 624.920, 624.935

or 624.940; or

      (b) Any regulation adopted by the Board with

respect to contracts for work concerning a residential pool or spa,

Ê the Board

may require that the contractor obtain the services of a construction control

for each contract that the contractor enters into for work concerning a

residential pool or spa.

      2.  The contractor may not:

      (a) Be related to the construction control or to

an employee or agent of the construction control; or

      (b) Hold, directly or indirectly, a financial

interest in the business of the construction control.

      3.  As used in this section, “construction

control” has the meaning ascribed to it in NRS

627.050.

      (Added to NRS by 2001, 2975; A 2005, 2382)—(Substituted

in revision for NRS 597.7196)

      NRS 624.965  Grounds for disciplinary action; unlawful acts; penalties.

      1.  A violation of any provision of NRS 624.900 to 624.965,

inclusive, or any regulation adopted by the Board with respect to contracts for

work concerning a residential pool or spa by a contractor constitutes cause for

disciplinary action pursuant to NRS 624.300.

      2.  It is unlawful for a person to violate

any provision of NRS 624.900 to 624.965, inclusive.

      3.  Any person who violates any provision

of NRS 624.900 to 624.965,

inclusive:

      (a) For a first offense, is guilty of a

misdemeanor and shall be punished by a fine of not more than $1,000, and may be

further punished by imprisonment in the county jail for not more than 6 months.

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

misdemeanor and shall be punished by a fine of not less than $2,000 nor more

than $4,000, and may be further punished by imprisonment in the county jail for

not more than 364 days.

      (c) For the third or subsequent offense, is

guilty of a category E felony and shall be punished by a fine of not less than

$5,000 nor more than $10,000 and may be further punished by imprisonment in the

state prison for not less than 1 year and not more than 4 years.

      4.  The imposition of a penalty provided

for in this section is not precluded by any disciplinary action taken by the

Board against a contractor pursuant to the provisions of NRS

624.300 to 624.305, inclusive.

      (Added to NRS by 2001, 2977; A 2005, 2382; 2013, 991)—(Substituted

in revision for NRS 597.7198)