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)
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 )
“Board” means the State Contractors’
Board.
(Added to NRS by 2003, 1899 , 2140 )
“Construction
control” has the meaning ascribed to it in NRS 627.050 .
(Added to NRS by 2003, 1897 )
1. “Contractor” is synonymous with “builder.”
2. A contractor is any person, except a registered architect or a
licensed professional engineer, acting solely in his 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 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 )
“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 )
“Planned unit
development” has the meaning ascribed to it in NRS 278A.065 .
(Added to NRS by 2005, 1223 )
“Work of improvement”
has the meaning ascribed to it in NRS 108.22188 .
(Added to NRS by 2005, 1223 , 1721 )
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
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 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. An owner of a complex containing not more than four
condominiums, townhouses, apartments or cooperative units, the managing
officer of the owner or an employee of the managing officer, who performs
work to repair or maintain that property the value of which is less than
$500, 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 use or occupancy and not intended for sale or lease.
[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 )
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)—(Substituted in revision for NRS 624.340)
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]—(Substituted in revision
for NRS 624.350)
STATE CONTRACTORS’ BOARD
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]
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 appointment.
(c) Have been a citizen and resident of the State of Nevada for at
least 5 years next preceding his 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
)
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 office,
take the constitutional oath of office.
[4:Art. I:186:1941; 1931 NCL § 1474.04]
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]
Four members of the Board shall constitute a
quorum.
[Part 5:Art. I:186:1941; 1931 NCL § 1474.05]
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. 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. If the Board establishes an advisory committee, 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.
4. If the Board establishes an advisory committee, 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.
5. The Board is not bound by any recommendation made by an
advisory committee.
[Part 5:Art. I:186:1941; 1931 NCL § 1474.05]—(NRS A 1997, 2687)
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 )
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 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 )
1. The Board shall:
(a) Establish an Investigations Office to enforce the provisions of
this chapter. The Investigations Office must include a Special
Investigations Unit consisting of criminal investigators and a Compliance
Investigations Unit consisting of 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 )
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 him in
the issuance of such a citation.
(Added to NRS by 1963, 145; A 1995, 926; 1999, 2954 ; 2001, 213 ; 2003, 1899 )
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 )
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)
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 $80 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 )
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 )
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.
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.
[Part 5:Art. I:186:1941; 1931 NCL § 1474.05]—(NRS A 1997, 2687)
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 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 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 )
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 )
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)
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 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 he 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 )
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 )
Any party to any hearing, investigation or other
proceeding before the Board has the right to the attendance of witnesses
in his 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 )
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 him 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
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 is a prime contractor and where the construction or
remodeling of a building is the primary purpose. Unless he holds the
appropriate specialty license, a general building contractor may only
contract to perform specialty contracting if he 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)
1. The Board shall adopt by regulation a classification of
licensing for persons who construct or improve community antenna
television systems. 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.
(Added to NRS by 1989, 1997)
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 he 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 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. If
a request submitted pursuant to this section is for a single construction
project, the request must be submitted to the Board at least 2 working
days before the date on which the licensed contractor intends to submit
his bid for the project.
4. 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 he is licensed, is incidental and
supplemental to the performance of work in the craft for which the
specialty contractor is licensed.
[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 )
LICENSES
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 him 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, he 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 him to demonstrate
his 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, he 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)
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 )
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 his conviction.
(Added to NRS by 1975, 1159; A 1995, 927)
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) The names and physical and mailing addresses of any owners,
partners, officers, directors, members and managerial personnel of the
applicant.
(f) Any information requested by the Board to ascertain the
background, financial responsibility, experience, knowledge and
qualifications of the applicant.
(g) 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 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.
[2:Art. IV:186:1941; 1931 NCL § 1474.23]—(NRS A 1997, 2113; 1999,
2957 ; 2001, 2411 ; 2005, 2705 , 2807 )
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)
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)
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, he 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 his 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 )
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 his employees;
(b) A copy of his 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 is not
subject to the provisions of chapters 616A
to 616D , inclusive, or chapter 617 of NRS because:
(1) He has no employees;
(2) He is not or does not intend to be a subcontractor for a
principal contractor; and
(3) He 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
industrial insurance or insurance for occupational diseases in violation
of the provisions of chapters 616A to 617
, inclusive, of NRS.
(Added to NRS by 1983, 541; A 1987, 1138; 1993, 781; 1995, 1879;
1999, 237 )
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
experience and knowledge in the following ways:
(a) If a natural person, he may qualify by personal appearance or
by the appearance of his 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 is a bona fide member or employee of that person or firm and when
his principal or employer is actively engaged as a contractor shall
exercise authority in connection with his 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
through others, or effectively to recommend such action on behalf of his
principal or employer; and
(c) To devote himself solely to his principal or employer’s
business and not to take any other employment which would conflict with
his 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
he 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 his application for licensure, at least 4 years
of experience as a journeyman, foreman, supervising employee or
contractor in the specific classification in which he 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
he 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 he is applying for licensure; or
(b) Has successfully completed:
(1) A program of apprenticeship for the classification in
which he 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 )
A licensee or an applicant for a contractor’s
license must prove his financial responsibility by demonstrating that his
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 )
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 must be determined by using the
following standards and criteria in connection with each applicant or
contractor and each associate or partner thereof:
(a) Net worth.
(b) Amount of liquid assets.
(c) Prior payment and credit records.
(d) Previous business experience.
(e) Prior and pending lawsuits.
(f) Prior and pending liens.
(g) Adverse judgments.
(h) Conviction of a felony or crime involving moral turpitude.
(i) Prior suspension or revocation of a contractor’s license in
Nevada or elsewhere.
(j) 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.
(k) Form of business organization, corporate or otherwise.
(l) Information obtained from confidential financial references and
credit reports.
(m) 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 (j) 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 his 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 his 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 his financial responsibility to the Board, if the Board
requests him to do so.
(Added to NRS by 1967, 1594; A 1969, 939; 1993, 926; 1999, 2958
; 2001, 2412 ; 2005, 1200 )
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 his 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 )
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 nolo contendere or guilty to, been found
guilty 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 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 his 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. 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 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 )
[Effective until the date of the repeal of 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 he 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 he 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 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 he 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 he 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
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. 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 his 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 his 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 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
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 )
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 he 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 him 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 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 )
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 his license will be suspended or
revoked unless he 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 his license will be suspended or
revoked unless he 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 his 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, his 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 )
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 his
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 he 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 )
The Board may adopt regulations fixing the fee for an application, the
fee for an examination and the annual 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 $450 annually.
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 )
1. If an applicant wishes to have his license issued in an
expedited manner, he 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 he submits 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 )
1. A contractor may apply to the Board to have his 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 he 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 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 )
1. Each license issued under the provisions of this chapter
expires 1 year 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 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 his 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 his 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 he is otherwise in good standing and there are no
complaints pending against him. If he is otherwise not in good standing
or there is a complaint pending, the Board shall require him 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 )
A contractor’s license
issued pursuant to this chapter does not authorize a contractor to
construct or repair a mobile home, manufactured home or commercial coach.
(Added to NRS by 1997, 212)
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 his 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, his license may be suspended or
revoked.
(Added to NRS by 1967, 1595; A 1987, 613)
A
licensee shall display on each commercial motor vehicle registered under
his name, his name and the number of his license, in letters and numbers
approximately 1 1/2 inches high.
(Added to NRS by 1987, 1101)—(Substituted in revision for NRS
624.306)
HEARINGS
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 his 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
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 deems
appropriate under the circumstances.
(Added to NRS by 1995, 926; A 1999, 2962 )
1. Except as otherwise provided in subsections 3 and 4, 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;
(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 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. The Board
shall, by regulation, establish standards for use by the Board in
determining the amount of an administrative fine imposed pursuant to this
subsection. 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.
4. 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.
5. 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.
6. 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.
7. 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.
8. The Board shall not issue a private reprimand to a licensee.
9. An order that imposes discipline and the findings of fact and
conclusions of law supporting that order are public records.
10. An administrative fine imposed pursuant to this section, 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.
11. 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 )
Grounds for Disciplinary Action
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 )
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 his 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 )
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 his operations as a contractor, when he has
the capacity to pay or when he 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, or the false
denial of any such amount due or the validity of the claim thereof 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.
3. 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 )
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 his 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 )
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)
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 entering into a contract with a contractor while that
contractor is not licensed, or bidding to contract or entering into a
contract with a contractor for work in excess of his limit or beyond the
scope of his license.
4. Constructing or repairing a mobile home, manufactured home or
commercial coach, unless the contractor:
(a) Is licensed pursuant to NRS 489.311 ; or
(b) Owns, leases or rents the mobile home, manufactured home or
commercial coach.
5. 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 )
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.
(Added to NRS by 1969, 942; A 1983, 510; 1997, 2690; 1999, 1972
, 2965 , 2967 ; 2001, 141 ; 2003, 2144 , 2618 , 2704 ; 2005, 1207 , 2387 )
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 )
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 )
[Expires by limitation 2 years after the date of the repeal of
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 )
1. Any person who:
(a) Has been denied a license or who has had his 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)
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.
(Added to NRS by 1999, 2953 ; A 2001, 213 )
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
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]
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 )
1. Except as otherwise provided in this section, 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 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.
(Added to NRS by 1999, 2954 )
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 )
1. If the Board or its designee, based upon a preponderance of the
evidence, has reason to believe that a licensee or applicant for a
contractor’s license has committed an act which constitutes a cause for
disciplinary action pursuant to NRS 624.300 , the Board or its designee, as appropriate,
may issue or authorize the issuance of a written administrative citation
to the licensee or applicant. 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 cause for disciplinary action, at the
licensee’s or applicant’s cost;
(b) An order to pay an administrative fine; and
(c) An order to reimburse the Board for the amount of the expenses
incurred to investigate the complaint.
2. If a written citation issued pursuant to subsection 1 includes
an order to take action to correct a condition resulting from an act that
constitutes a cause for disciplinary action, the citation must state the
time permitted for compliance, which must be not less than 15 business
days after the date the licensee or applicant receives the citation, and
specifically describe the action required to be taken.
(Added to NRS by 1999, 2951 )
1. A licensee or applicant for a contractor’s license 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 licensee or
applicant.
2. A licensee or applicant for a contractor’s license may contest,
without limitation:
(a) The facts forming the basis for the determination that the
licensee or applicant has committed an act which constitutes a cause for
disciplinary action;
(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 licensee or applicant; and
(e) Whether any corrective action described in the citation is
reasonable.
3. If a licensee or applicant for a contractor’s license 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 licensee or applicant, 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 licensee or an applicant on:
(a) The date on which the citation is personally delivered to the
licensee or applicant; 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 licensee or applicant.
(Added to NRS by 1999, 2952 )
If a licensee or applicant for a contractor’s
license 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 he receives 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 )
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 )
The Board shall adopt regulations
concerning the:
1. Form of a written citation issued pursuant to NRS 624.341
;
2. Time required for a licensee or applicant for a license to
correct a condition resulting from an act that constitutes a cause for
disciplinary action if he is so ordered pursuant to NRS 624.341 ; and
3. Imposition of an administrative fine pursuant to the provisions
of this chapter. The Board must 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 by the licensee.
(Added to NRS by 1999, 2952 )
RECOVERY FUND
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 )
“Account” means the account
established pursuant to NRS 624.470 .
(Added to NRS by 1999, 1967 ; A 2001, 141 )
“Injured person” means an
owner who is damaged by the failure of a residential contractor to
perform qualified services adequately.
(Added to NRS by 1999, 1967 ; A 2001, 141 )
“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 )
“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 )
“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 )
“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 )
1. Except as otherwise provided in subsection 3, in addition to
the annual fee for a license required pursuant to NRS 624.280 , a residential contractor shall pay to the
Board an annual assessment not to exceed the following amount, if the
monetary limit on his license is:
Not more than
$1,000,000.................................................................
..................... $100
More than $1,000,000 but
limited....................................................................
....... 250
Unlimited..................................................................
................................................. 500
2. The Board shall administer and account separately for the money
received from the annual 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 owners who are damaged by the failure of a residential
contractor to perform qualified services adequately, as provided in NRS
624.400 to 624.560 , inclusive.
(Added to NRS by 1999, 1967 ; A 2003, 1902 )
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 )
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. He submits an application on a form established for this
purpose by the Board;
3. He submits proof satisfactory to the Board of the judgment; and
4. Upon obtaining payment from the account, he assigns his rights
to enforce the judgment to the Board.
(Added to NRS by 1999, 1968 )
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 )
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 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 Supreme Court of this
State. The term does not include any other attorney’s fees or costs.
(Added to NRS by 1999, 1968 ; A 2005, 20 )
1. A residential contractor shall notify an owner with whom he
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 )
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.
(Added to NRS by 1999, 1970 )
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 )
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 )
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
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 he
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 )
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) Solely 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
(b) In addition to any other money provided for construction
education from any other source.
3. The Commission on Construction Education shall administer the
Construction Education Account and 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 )
DISCLOSURES
A general building contractor shall provide in writing to the owner of a
single-family residence with whom he has contracted:
1. The name, license number, business address and telephone number
of:
(a) All subcontractors with whom he 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 chapter 624
of NRS; and
(b) Mechanics’ and materialmen’s liens pursuant to chapter 108
of NRS.
(Added to NRS by 1997, 2686)—(Substituted in revision for NRS
624.321)
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 )—(Substituted in revision for NRS 624.640)
RIGHTS, DUTIES AND LIABILITIES UNDER CERTAIN AGREEMENTS FOR WORKS OF
IMPROVEMENT
General Provisions
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 )
“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 )
“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 )
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 )
“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
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 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 lower-tiered
subcontractors and suppliers in accordance with the provisions of
paragraphs (a) and (c) of subsection 4 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, he 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 )
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 his 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 own act or neglect, or through an act
or neglect of his 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 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 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 lower-tiered subcontractors and suppliers
incurred and profit the prime contractor and his lower-tiered
subcontractors and suppliers earned through the date of termination;
(b) The balance of the profit that the prime contractor and his
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 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 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 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 )
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 he 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
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 lower-tiered subcontractors and suppliers in
accordance with the provisions of paragraphs (a) and (c) of subsection 4
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, he 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 )
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 his 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 this section, NRS 624.609
, 624.610 and 624.620
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. This section, NRS 624.609 ,
624.610 and 624.620 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 his prime
contractor;
(b) Whether the owner has paid the entire amount of a specified
payment to his 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
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 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
lower-tiered subcontractors and suppliers in accordance with the
provisions of paragraphs (a) and (c) of subsection 4 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, he 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 )
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 his 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 own act or
neglect, or through an act or neglect of his 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
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 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 he 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 lower-tiered
subcontractors and suppliers incurred and profit the lower-tiered
subcontractor and his lower-tiered subcontractors and suppliers earned
through the date of termination;
(b) The balance of the profit that the lower-tiered subcontractor
and his 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 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 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 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 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 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 )
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 lower-tiered subcontractors in
writing of his 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 this section or NRS 624.624 , 624.626 or
624.630 or which limits those rights;
(b) Relieves a higher-tiered contractor of any obligation or
liability imposed pursuant to this section, NRS 624.624 , 624.626 or
624.630 ; 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 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
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
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 he caused as a result of the violation up to the amount
of his 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 )
1. If any person violates the provisions of subsection 1 of NRS
624.700 , 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 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 )
1. It is unlawful for any person, including a person exempt under
the provisions of NRS 624.031 , to
advertise as a contractor unless he 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 his company and the number of his 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 the date that he receives 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 the date he
receives 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 )
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 )
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)—(Substituted in
revision for NRS 624.290)
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 1 year.
(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 1 year.
(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 )
PROSECUTION OF 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
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)
“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)
“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)
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)
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 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 )
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 )
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 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)
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)
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 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 him 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)
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)
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)
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)
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)
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 1 year.
(c) For the third or subsequent offense, is guilty of a class 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 )—(Substituted in revision for NRS
597.7198)
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