USA Statutes : nevada
Title : Title 54 - PROFESSIONS, OCCUPATIONS AND BUSINESSES
Chapter : CHAPTER 649 - COLLECTION AGENCIES
As used in this chapter, unless the
context otherwise requires, the words and terms defined in NRS 649.010
to 649.035 , inclusive, have the meanings ascribed to them
in those sections.
(Added to NRS by 1969, 829; A 1983, 1710; 1985, 536)
“Claim” means any obligation for the
payment of money or its equivalent that is past due.
[Part 2:237:1931; 1931 NCL § 1420.01]—(NRS A 1969, 835; 1995, 999)
1. “Collection agency” means all persons engaging, directly or
indirectly, and as a primary or a secondary object, business or pursuit,
in the collection of or in soliciting or obtaining in any manner the
payment of a claim owed or due or asserted to be owed or due to another.
2. “Collection agency” does not include any of the following
unless they are conducting collection agencies:
(a) Individuals regularly employed on a regular wage or salary, in
the capacity of credit men or in other similar capacity upon the staff of
employees of any person not engaged in the business of a collection
agency or making or attempting to make collections as an incident to the
usual practices of their primary business or profession.
(b) Banks.
(c) Nonprofit cooperative associations.
(d) Unit-owners’ associations and the board members, officers,
employees and units’ owners of those associations when acting under the
authority of and in accordance with chapter 116 of NRS and the governing documents of the
association, except for those community managers included within the term
“collection agency” pursuant to subsection 3.
(e) Abstract companies doing an escrow business.
(f) Duly licensed real estate brokers, except for those real estate
brokers who are community managers included within the term “collection
agency” pursuant to subsection 3.
(g) Attorneys and counselors at law licensed to practice in this
State, so long as they are retained by their clients to collect or to
solicit or obtain payment of such clients’ claims in the usual course of
the practice of their profession and the collection, solicitation or
obtainment is incidental to the usual course of the practice of their
profession.
3. “Collection agency”:
(a) Includes a community manager while engaged in the management of
a common-interest community if the community manager, or any employee,
agent or affiliate of the community manager, performs or offers to
perform any act associated with the foreclosure of a lien pursuant to NRS
116.31162 to 116.31168 , inclusive; and
(b) Does not include any other community manager while engaged in
the management of a common-interest community.
4. As used in this section:
(a) “Community manager” has the meaning ascribed to it in NRS
116.023 .
(b) “Unit-owners’ association” has the meaning ascribed to it in
NRS 116.011 .
[Part 2:237:1931; 1931 NCL § 1420.01] + [14:237:1931; 1931 NCL §
1420.13]—(NRS A 1969, 835; 2005, 1716 , 1867 )
“Collection agent” means
any person, whether or not regularly employed at a regular wage or
salary, who in the capacity of a credit man or in any other similar
capacity makes a collection, solicitation or investigation of a claim at
a place or location other than the business premises of the collection
agency, but does not include:
1. Employees of a collection agency whose activities and duties
are restricted to the business premises of the collection agency.
2. The individuals, corporations and associations enumerated in
subsection 2 of NRS 649.020 .
(Added to NRS by 1963, 1141; A 1969, 835)
“Commissioner” means the
Commissioner of Financial Institutions.
(Added to NRS by 1983, 1710; A 1987, 1887)—(Substituted in revision
for NRS 649.007)
“Customer” means any person
authorizing or employing a collection agency for any of the purposes
permitted or authorized by this chapter.
[Part 2:237:1931; 1931 NCL § 1420.01]—(NRS A 1969, 835)
“Manager” means a person who:
1. Holds a manager’s certificate;
2. Is designated as the manager of a collection agency;
3. Shares equally with the holder of a license to conduct a
collection agency the responsibility for the operation of the collection
agency; and
4. Devotes a majority of the hours he works as an employee of the
agency to the actual management, operation and administration of that
collection agency.
(Added to NRS by 1969, 829; A 1989, 2035)
The Legislature
finds and declares that:
1. There exists in this State a need for more stringent regulatory
control over collection agencies to ensure that they are composed only of
responsible and well qualified personnel.
2. It is the purpose of this chapter to:
(a) Bring licensed collection agencies and their personnel under
more stringent public supervision;
(b) Establish a system of regulation to ensure that persons using
the services of a collection agency are properly represented; and
(c) Discourage improper and abusive collection methods.
(Added to NRS by 1969, 830; A 1995, 999)
COLLECTION AGENCY ADVISORY BOARD
1. The Collection Agency Advisory Board, consisting of five
members appointed by the Governor, is hereby created. The members
appointed must be residents of this State and represent collection
agencies.
2. After the initial terms, each member of the Board serves a term
of 4 years. No member may serve more than two consecutive terms.
3. The Governor shall designate the Chairman of the Board from its
members.
4. Three members of the Board constitute a quorum, and a quorum
may exercise all the powers conferred on the Board.
5. The Board shall meet regularly at least semiannually and may
meet at other times upon the call of the Chairman. While he is engaged in
the business of the board, each member is entitled to the per diem
allowance and travel expenses provided for state officers and employees
generally.
(Added to NRS by 1989, 2034; A 1991, 2211)
The Collection Agency Advisory Board
may make recommendations to the Legislature concerning the enactment of
any legislation it deems necessary or appropriate relating to collection
agencies.
(Added to NRS by 1989, 2034; A 1997, 1622)
ADMINISTRATION
The
Commissioner shall administer and enforce the provisions of this chapter,
subject to the administrative supervision of the Director of the
Department of Business and Industry.
(Added to NRS by 1969, 830; A 1983, 1710; 1987, 1887; 1993, 1894)
The Commissioner shall adopt such
regulations as may be necessary to carry out the provisions of this
chapter.
(Added to NRS by 1969, 830; A 1983, 1710; 1987, 1887; 1995, 999)
The Commissioner may
adopt regulations authorizing collection agencies licensed in this State
to collect from a location outside of this State debts due or asserted to
be due another person in this State. The Commissioner may, by regulation,
establish standards for the establishment and maintenance of trust
accounts to be used by collection agencies collecting debts pursuant to
this section.
(Added to NRS by 1991, 2211; A 1993, 2415)
The Commissioner may:
1. By regulation prescribe for collection agencies the method and
manner of:
(a) Keeping records.
(b) Preparing and filing financial and other reports.
(c) Handling trust funds and accounts.
(d) The transfer or assignment of accounts and other agreements.
(e) Using fair practices for the solicitation of business and
collection of accounts.
(f) The operation of such other phases of the business as may be
necessary to promote the best interests of the industry and the public.
2. Conduct such investigations or examinations of collection
agencies, their personnel, activities, books, records and other matters
as may be necessary to ensure compliance with the purposes and provisions
of this chapter.
(Added to NRS by 1969, 830; A 1983, 1710; 1987, 1887)
In the conduct of any
investigation or hearing, the Commissioner may:
1. Compel the attendance of any person by subpoena.
2. Administer oaths.
3. Examine any person under oath concerning the business and
conduct of affairs of any person subject to the provisions of this
chapter and in connection therewith require the production of any books,
records or papers relevant to the inquiry.
(Added to NRS by 1987, 1507)
The Commissioner may
require collection agencies to submit any printed form of agreements,
listing sheets, acknowledgments, communications or other documents used
in its business for his approval or disapproval.
(Added to NRS by 1969, 830; A 1983, 1711; 1987, 1888)
1. The Commissioner shall notify all applicants for licensure or
certification of the results of any examination taken under this chapter,
by certified mail, as soon as the results are available.
2. All examination papers must be kept on file in the Office of
the Commissioner for at least 1 year, after which they may be destroyed.
(Added to NRS by 1969, 833; A 1983, 1711; 1985, 314; 1987, 1888)
1. The Commissioner shall keep in his office, in a suitable record
provided for the purpose, all applications for certificates, licenses and
all bonds required to be filed under this chapter. The record must state
the date of issuance or denial of the license or certificate and the date
and nature of any action taken against any of them.
2. All licenses and certificates issued must be sufficiently
identified in the record.
3. All renewals must be recorded in the same manner as originals,
except that, in addition, the number of the preceding license or
certificate issued must be recorded.
4. Except for confidential information contained therein, the
record must be open for inspection as a public record in the Office of
the Commissioner.
[12:237:1931; 1931 NCL § 1420.11]—(NRS A 1959, 828; 1969, 841;
1983, 1711; 1985, 314, 376; 1987, 1888)
1. Except as otherwise provided in this section, a complaint filed
with the Commissioner, all documents and other information filed with the
complaint and all documents and other information compiled as a result of
an investigation conducted to determine whether to initiate disciplinary
action are confidential.
2. The complaint or other document filed by the Commissioner to
initiate disciplinary action and all documents and information considered
by the Commissioner when determining whether to impose discipline are
public records.
(Added to NRS by 2003, 3475 )
LICENSING OF COLLECTION AGENCIES AND COLLECTION AGENTS
1. Except as otherwise provided in this section, a person shall
not conduct within this State a collection agency or engage within this
State in the business of collecting claims for others, or of soliciting
the right to collect or receive payment for another of any claim, or
advertise, or solicit, either in print, by letter, in person or
otherwise, the right to collect or receive payment for another of any
claim, or seek to make collection or obtain payment of any claim on
behalf of another without having first applied for and obtained a license
from the Commissioner.
2. A person is not required to obtain a license if:
(a) The collection agency he works for is located outside of this
State;
(b) His activities in this State are limited to the collection of
claims from residents of this State on behalf of residents of another
state; and
(c) His contact with persons in this State is limited to interstate
communications by telephone, mail or facsimile.
3. A person is not required to obtain a license if the person
holds a certificate of registration as a foreign collection agency issued
by the Commissioner pursuant to NRS 649.171 .
[1:237:1931; 1931 NCL § 1420]—(NRS A 1969, 836; 1983, 1711; 1987,
1888; 1993, 2415; 2005, 1867 )
Every
individual applicant, every officer and director of a corporate
applicant, and every member of a firm or partnership applicant for a
license as a collection agency or collection agent must submit proof
satisfactory to the Commissioner that he:
1. Is a citizen of the United States or lawfully entitled to
remain and work in the United States.
2. Has a good reputation for honesty, trustworthiness and
integrity and is competent to transact the business of a collection
agency in a manner which protects the interests of the general public.
3. Has not had a collection agency license suspended or revoked
within the 10 years immediately preceding the date of the application.
4. Has not been convicted of, or entered a plea of nolo contendere
to:
(a) A felony relating to the practice of collection agencies or
collection agents; or
(b) Any crime involving fraud, misrepresentation or moral turpitude.
5. Has not made a false statement of material fact on his
application.
6. Will maintain one or more offices in this State for the
transaction of the business of his collection agency.
7. Has established a plan to ensure that his collection agency
will provide the services of a collection agency adequately and
efficiently.
(Added to NRS by 1963, 1141; A 1969, 836; 1975, 1297; 1995, 999;
2003, 2731 )
1. An application for a license must be in writing and filed with
the Commissioner on a form provided for that purpose.
2. The application must state:
(a) The name of the applicant and the name under which the
applicant does business or expects to do business.
(b) The address of the applicant’s business and residence,
including street and number.
(c) The character of the business sought to be carried on.
(d) The locations by street and number where the business will be
transacted.
(e) In the case of a firm or partnership, the full names and
residential addresses of all members or partners and the name and
residential address of the manager.
(f) In the case of a corporation or voluntary association, the name
and residential address of each of the directors and officers and the
name and residential address of the manager.
(g) Any other information reasonably related to the applicant’s
qualifications for the license which the Commissioner determines to be
necessary.
(h) All information required to complete the application.
3. In addition to any other requirements, each applicant or
member, partner, director, officer or manager of an applicant shall
submit to the Commissioner a complete set of his fingerprints and written
permission authorizing the Division of Financial Institutions of the
Department of Business and Industry to forward the fingerprints to the
Central Repository for Nevada Records of Criminal History for submission
to the Federal Bureau of Investigation for its report.
4. The application must be subscribed by the applicant and
acknowledged.
5. Every applicant may be examined concerning his competency,
experience, character and qualifications by the Commissioner or his
authorized agent, and if the examination reveals that the applicant lacks
any of the required qualifications, issuance of the license must be
denied. Every application must have attached to it a financial statement
showing the assets, liabilities and net worth of the applicant.
6. The Commissioner shall consider an application to be withdrawn
if the Commissioner has not received all information and fees required to
complete the application within 6 months after the date the application
is first submitted to the Commissioner or within such later period as the
Commissioner determines in accordance with any existing policies of joint
regulatory partners. If an application is deemed to be withdrawn pursuant
to this subsection or if an applicant otherwise withdraws an application,
the Commissioner may not issue a license to the applicant unless the
applicant submits a new application and pays any required fees.
[3:237:1931; 1931 NCL § 1420.02]—(NRS A 1959, 826; 1963, 1142;
1967, 955; 1969, 836; 1983, 679, 1712; 1987, 1888; 1997, 2178; 2005, 1868
, 2794 , 2807 )
1. An applicant for a license must file with the Commissioner,
concurrently with the application, a bond in the sum of $35,000, or an
appropriate substitute pursuant to NRS 649.119 , which must run to the State of Nevada. The
bond must be made and executed by the principal and a surety company
authorized to write bonds in the State of Nevada.
2. The bonds must be conditioned:
(a) That the principal, who must be the applicant, must, upon
demand in writing, pay any customer from whom any claim for collection is
received, the proceeds of the collection, in accordance with the terms of
the agreement made between the principal and the customer; and
(b) That the principal must comply with all requirements of this or
any other statute with respect to the duties, obligations and liabilities
of collection agencies.
3. Not later than 3 months after the issuance of the license and
semiannually thereafter, the Commissioner shall determine the appropriate
amount of bond or appropriate substitute which must be maintained by the
licensee in accordance with the licensee’s average monthly balance in the
trust account maintained pursuant to NRS 649.355 :
AMOUNT OF
AVERAGE MONTHLY BALANCE BOND
REQUIRED
Less than
$100,000...................................................................
......................... $35,000
$100,000 or more but less than
$150,000.......................................................... 40,000
$150,000 or more but less than
$200,000.......................................................... 50,000
$200,000 or
more.......................................................................
........................... 60,000
[Part 4:237:1931; A 1935, 227; 1931 NCL § 1420.03]—(NRS A 1959,
826; 1981, 1432; 1983, 679, 1712; 1987, 1889; 1989, 518; 1995, 1000;
2005, 1869 )
1. The bond must be in a form approved by the Division of
Financial Institutions of the Department of Business and Industry and
conditioned that the applicant conduct his business in accordance with
the requirements of this chapter.
2. The bond must cover all matters placed with the licensee during
the term of the license so applied for, or a renewal thereof.
3. No action may be brought upon any bond after the expiration of
2 years from the revocation or expiration of the license.
4. After the expiration of the period of 2 years, all liability of
the surety or sureties upon the bond ceases if no action is commenced
upon the bond before the expiration of the period.
[Part 4:237:1931; A 1935, 227; 1931 NCL § 1420.03] + [10:237:1931;
1931 NCL § 1420.09]—(NRS A 1967, 955; 1983, 1713; 1993, 1894)
1. An applicant for a license may deposit with any bank or trust
company authorized to do business in this State, with the permission of
the Commissioner, as a substitute for the surety bond required by NRS
649.105 :
(a) An obligation of a bank, savings and loan association, thrift
company or credit union licensed to do business in this State;
(b) Bills, bonds, notes, debentures or other obligations of the
United States or any agency or instrumentality thereof, or guaranteed by
the United States; or
(c) Any obligation of this State or any city, county, town, school
district or other instrumentality of this State or guaranteed by this
State, in an aggregate amount, based upon principal amount or market
value, whichever is lower.
Ê The deposit must be in a form approved by the Commissioner.
2. The obligations of a bank, savings and loan association, thrift
company or credit union must be held to secure the same obligation as
would the surety bond. With the approval of the Commissioner, the
depositor may substitute other suitable obligations for those deposited
which must be assigned to the State of Nevada and are negotiable only
upon approval by the Commissioner.
3. Any interest or dividends earned on the deposit accrue to the
account of the depositor.
4. The deposit must be an amount at least equal to the required
surety bond and must state that the amount may not be withdrawn except by
direct and sole order of the Commissioner.
5. An applicant is not relieved of the obligation to file the
required surety bond until the Commissioner has had a reasonable amount
of time to verify whether a deposit made pursuant to this section
qualifies as a substitute for the required surety bond.
(Added to NRS by 1981, 1431; A 1983, 1713; 1987, 1889; 2005, 1870
)
Upon receiving an
application for a license and bond in proper form along with payment of
the required fee, the Commissioner shall investigate all the facts stated
in the application and the requirements of NRS 649.135 .
(Added to NRS by 1969, 830; A 1983, 1320, 1714; 1987, 1890)
The
Commissioner shall enter an order approving the application for a
license, keep on file his findings of fact pertaining thereto, and permit
the applicant to take the required examination, if he finds that the
applicant has met all the other requirements of this chapter pertaining
to his qualifications and application.
(Added to NRS by 1969, 831; A 1983, 1714; 1987, 1890; 1995, 1000)
1. If the Commissioner enters an order approving the application
in accordance with NRS 649.135 and the
applicant passes the required examination, pays the required license fee
and submits all information required to complete the application, the
Commissioner shall grant and issue a license to the applicant.
2. The license, when issued, must state:
(a) The name of the licensee.
(b) The locations by street and number where the licensee is
authorized to carry on business.
(c) The number and the date of the license.
(d) That it is issued pursuant to this chapter, and that the
licensee is authorized under this chapter.
[Part 5:237:1931; 1931 NCL § 1420.04]—(NRS A 1959, 826; 1963, 1142;
1969, 837; 1983, 1714; 1987, 1890; 1997, 2179; 2005, 2794 , 2807 )
1. If the Commissioner finds that any application or applicant for
a collection agency license does not meet the requirements of NRS 649.135
or the applicant fails to pass the
required examination, he shall enter an order denying the application.
2. Within 10 days after the entry of such an order, the
Commissioner shall mail or deliver to the applicant written notice of the
denial in which all the reasons for such denial are stated.
(Added to NRS by 1969, 831; A 1983, 1714; 1987, 1891)
Upon receipt of the license, the
licensee shall have the right to conduct the business of a collection
agency with all the powers and privileges contained in, but subject to,
the provisions of this chapter.
[Part 5:237:1931; 1931 NCL § 1420.04]—(Substituted in revision for
NRS 649.100)
1. A collection agency licensed in this State may apply to the
Commissioner for a permit to operate a branch office in this State in a
location not previously approved by its license.
2. The Commissioner shall not issue a permit for a branch office
until the principal office of the collection agency has been examined by
the Commissioner and found to be satisfactory.
3. A branch office must have a manager on the premises during
regular business hours.
4. The Commissioner shall adopt regulations concerning an
application for a permit to operate a branch office.
(Added to NRS by 1987, 1508; A 1991, 2211)
FOREIGN COLLECTION AGENCIES
1. A person who is not licensed in this State as a collection
agency may apply to the Commissioner for a certificate of registration as
a foreign collection agency.
2. To be issued and to hold a certificate of registration as a
foreign collection agency, a person:
(a) Must hold a license or permit to do business as a collection
agency in another state;
(b) Must meet the qualifications to do business as a collection
agency in this State;
(c) Must not have any employees or agents present in this State who
engage in the collection of claims and must not maintain any business
locations in this State as a collection agency;
(d) Must submit proof to the Commissioner, upon application and
upon each annual renewal of the certification of registration, that the
person and his employees and agents will not, in this State:
(1) Engage in the business of soliciting the right to
collect or receive payment for another of any claim; or
(2) Advertise or solicit, either in print, by letter, in
person or otherwise, the right to collect or receive payment for another
of any claim;
(e) When collecting claims against debtors who are present in this
State, must:
(1) Limit his activities and those of his employees and
agents to interstate communications by telephone, mail or facsimile; and
(2) Comply with the requirements of NRS 649.305 to 649.375 ,
inclusive, with regard to his activities and those of his employees and
agents;
(f) Must pay:
(1) A fee to apply for a certificate of registration of not
less than $200 and not more than $600, prorated on the basis of the
registration year as determined by the Commissioner; and
(2) An annual renewal fee of not more than $200;
(g) Must deposit and maintain a bond or an appropriate substitute
for the bond in the same manner as an applicant or licensee pursuant to
NRS 649.105 , 649.115 and 649.119 ;
(h) Must maintain his accounts, books and records in accordance
with generally accepted accounting principles and in accordance with the
requirements of subsection 1 of NRS 649.335 ; and
(i) Must pay any fees related to any examination of his accounts,
books and records conducted by the Commissioner pursuant to subsection 3.
3. The Commissioner may conduct an annual examination and any
additional examinations pursuant to NRS 649.335 of the accounts, books and records of each
person who holds a certificate of registration as a foreign collection
agency.
4. The Commissioner may take disciplinary action pursuant to NRS
649.385 , 649.390 and 649.395
against a person who holds a certificate of registration as a foreign
collection agency for any act or omission that would be grounds for
taking such disciplinary action under those sections.
5. The Commissioner shall adopt:
(a) Regulations establishing the amount of the fees required
pursuant to this section; and
(b) Any other regulations as may be necessary to carry out the
provisions of this section.
(Added to NRS by 2005, 1865 )
MANAGERS
No person may be the
manager of a collection agency unless he holds a valid manager’s
certificate issued pursuant to the provisions of this chapter.
(Added to NRS by 1969, 831; A 1983, 1714)
Each person who is, or
desires to become, the manager of a collection agency shall submit an
application for a manager’s certificate to the Commissioner in accordance
with the provisions of this chapter. The application must include all
information required to complete the application.
(Added to NRS by 1969, 831; A 1983, 1714; 1987, 1891; 1997, 2179;
2005, 2794 , 2807 )
1. Each applicant for a manager’s certificate must submit proof
satisfactory to the Commissioner that he:
(a) Is a citizen of the United States or lawfully entitled to
remain and work in the United States.
(b) Is at least 21 years of age.
(c) Has a good reputation for honesty, trustworthiness and
integrity and is competent to transact the business of a collection
agency in a manner which protects the interests of the general public.
(d) Has not committed any of the acts specified in NRS 649.215
.
(e) Has not had a collection agency license or manager’s
certificate suspended or revoked within the 10 years immediately
preceding the date of filing the application.
(f) Has not been convicted of, or entered a plea of nolo contendere
to, a felony or any crime involving fraud, misrepresentation or moral
turpitude.
(g) Has had not less than 2 years’ full-time experience with a
collection agency in the collection of accounts assigned by creditors who
were not affiliated with the collection agency except as assignors of
accounts. At least 1 year of the 2 years of experience must have been
within the 18-month period preceding the date of filing the application.
2. Each applicant must:
(a) Pass the examination or reexamination provided for in NRS
649.205 .
(b) Pay the required fees.
(c) Submit, in such form as the Commissioner prescribes:
(1) Three recent photographs; and
(2) Three complete sets of his fingerprints which the
Commissioner may forward to the Central Repository for Nevada Records of
Criminal History for submission to the Federal Bureau of Investigation
for its report.
(d) Submit such other information reasonably related to his
qualifications for the manager’s certificate as the Commissioner
determines to be necessary.
3. The Commissioner may refuse to issue a manager’s certificate if
the applicant does not meet the requirements of subsections 1 and 2.
4. If the Commissioner refuses to issue a manager’s certificate
pursuant to this section, he shall notify the applicant in writing by
certified mail stating the reasons for the refusal. The applicant may
submit a written request for a hearing within 20 days after he receives
the notice. If the applicant fails to submit a written request within the
prescribed period, the Commissioner shall enter a final order.
5. The Commissioner shall consider an application to be withdrawn
if the Commissioner has not received all information and fees required to
complete the application within 6 months after the date the application
is first submitted to the Commissioner or within such later period as the
Commissioner determines in accordance with any existing policies of joint
regulatory partners. If an application is deemed to be withdrawn pursuant
to this subsection or if an applicant otherwise withdraws an application,
the Commissioner may not issue a license to the applicant unless the
applicant submits a new application and pays any required fees.
(Added to NRS by 1969, 831; A 1977, 1568; 1983, 680, 1715; 1987,
1891; 1995, 1000; 2003, 2865 ; 2005, 1870 )
1. The Commissioner shall provide for managers’ examinations at
such times and places as he may direct, at least twice each year.
2. The examinations must be of a length, scope and character which
the Commissioner deems reasonably necessary to determine the fitness of
the applicants to act as managers of collection agencies.
3. If an applicant does not pass the examination, the applicant
must reapply to take the examination and pay a reexamination fee of not
more than $100 for each subsequent examination. The Commissioner shall
adopt regulations establishing the amount of the reexamination fee
required pursuant to this subsection.
4. The Commissioner may make such rules and regulations as may be
necessary to carry out the purposes of this section.
(Added to NRS by 1969, 831; A 1983, 1715; 1987, 1891; 2005, 1871
)
The Commissioner may refuse to permit an applicant
for a manager’s certificate to take the examination, or, after a hearing,
may suspend or revoke a manager’s certificate if the applicant or manager
has:
1. Committed or participated in any act which, if committed or
done by a licensee, would be grounds for the suspension or revocation of
a license.
2. Been refused a license or certificate pursuant to this chapter
or had such a license or certificate suspended or revoked.
3. Participated in any act, which act was a basis for the refusal
or revocation of a collection agency license.
4. Falsified any of the information submitted to the Commissioner
in support of an application pursuant to this chapter.
5. Impersonated, or permitted or aided and abetted another to
impersonate, a law enforcement officer or employee of the United States,
a state or any political subdivision thereof.
6. Made any statement in connection with his employment with a
collection agency with the intent to give an impression that he was a law
enforcement officer of the United States, a state or political
subdivision thereof.
(Added to NRS by 1969, 832; A 1983, 1715; 1985, 314; 1987, 1892;
1995, 1001)
1. The Commissioner shall issue a manager’s certificate to any
applicant who meets the requirements of this chapter for the certificate.
2. Each manager holding a manager’s certificate issued pursuant to
this chapter shall notify the Commissioner in writing of any change in
his residence address within 10 days after the change.
(Added to NRS by 1969, 832; A 1983, 1716; 1987, 1892)
MISCELLANEOUS PROVISIONS
[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 license as a
collection agent or agency or a manager’s certificate shall include the
social security number of the applicant in the application submitted to
the Commissioner.
(b) A natural person who applies for the issuance or renewal of a
license as a collection agent or agency or a manager’s certificate shall
submit to the Commissioner 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 Commissioner 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 certificate; or
(b) A separate form prescribed by the Commissioner.
3. A license as a collection agent or agency or a manager’s
certificate may not be issued or renewed by the Commissioner 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 Commissioner
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, 2177; A 2005, 2795 , 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
license as a collection agent or agency or a manager’s certificate shall
submit to the Commissioner 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 Commissioner 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 certificate; or
(b) A separate form prescribed by the Commissioner.
3. A license as a collection agent or agency or a manager’s
certificate may not be issued or renewed by the Commissioner 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 Commissioner
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, 2177; A 2005, 2795 , 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)
Each collection agency license and manager’s certificate
issued pursuant to this chapter shall expire on June 30 of the year
following its issuance and thereafter shall expire on June 30 of each
year. A license or certificate shall not be transferable.
[Part 8:237:1931; 1931 NCL § 1420.07]—(NRS A 1969,
838)—(Substituted in revision for NRS 649.130)
1. A collection agency or manager desiring a renewal of a license
or certificate which will expire shall file in the Office of the
Commissioner, on or before June 1 in each year following the year of
original issuance, a renewal application, stating in addition to the
matters required in the original application the date and number of the
license or certificate which will expire. The renewal application must be
accompanied by the renewal fee and all information required to complete
the renewal application.
2. The Commissioner shall issue a renewal license or certificate
to the applicant, which must be dated July 1 next ensuing the date of the
application, in form and text like the original except that, in addition,
the renewal must include the date and number of the earliest license or
certificate issued.
3. All requirements of this chapter with respect to original
certificates, licenses and bonds apply with like force to all renewal
certificates, licenses and bonds except as otherwise specified in this
section.
4. The Commissioner shall refuse to renew a certificate or license
if at the time of application a proceeding to revoke or suspend the
certificate or license is pending.
[9:237:1931; 1931 NCL § 1420.08]—(NRS A 1959, 827; 1963, 1143;
1969, 838; 1983, 1716; 1985, 376; 1987, 1892; 1997, 2179; 2005, 2796
, 2807 )
FEES
1. A nonrefundable fee of not more than $500 for the application
and survey must accompany each new application for a license as a
collection agency. Each applicant shall also pay any additional expenses
incurred in the process of investigation. All money received by the
Commissioner pursuant to this subsection must be placed in the
Investigative Account created by NRS 232.545 .
2. A fee of not less than $200 or more than $600, prorated on the
basis of the licensing year as provided by the Commissioner, must be
charged for each original license issued. A fee of not more than $500
must be charged for each annual renewal of a license.
3. A fee of not more than $20 must be charged for each duplicate
license or license for a transfer of location issued.
4. A nonrefundable application fee of not more than $500 and a
nonrefundable investigation fee of not more than $150 must accompany each
application for a manager’s certificate.
5. A fee of not more than $40 must be charged for each manager’s
certificate issued and for each annual renewal of such a certificate.
6. A fee of not more than $60 must be charged for the
reinstatement of a manager’s certificate.
7. A fee of not more than $10 must be charged for each day an
application for the renewal of a license or certificate, or a required
report, is filed late, unless the fee or portion thereof is excused by
the Commissioner for good cause shown.
8. A nonrefundable fee of not more than $250 for the application
and an examination must accompany each application for a permit to
operate a branch office of a licensed collection agency. A fee of not
more than $500 must be charged for each annual renewal of such a permit.
9. For each examination the Commissioner shall charge and collect
from the licensee a fee for conducting the examination and preparing and
typing the report of the examination at the rate established pursuant to
NRS 658.101 . Failure to pay the fee
within 30 days after receipt of the bill is a ground for revoking the
collection agency’s license.
10. The Commissioner shall adopt regulations establishing the
amount of the fees required pursuant to this section.
11. Except as otherwise provided in subsection 1, all money
received by the Commissioner pursuant to this chapter must be deposited
in the State Treasury pursuant to the provisions of NRS 658.091 .
[6:237:1931; 1931 NCL § 1420.05]—(NRS A 1959, 827; 1967, 956; 1969,
837; 1979, 954; 1981, 756; 1983, 1320, 1717; 1987, 1508, 1893, 2225;
1991, 1804; 2003, 3231 ; 2005, 1871 )
1. If a holder of a license or manager’s certificate fails to
submit any report required pursuant to this chapter or any regulation
adopted pursuant thereto within the prescribed period, the Commissioner
may impose and collect a fee of not more than $10 for each day the report
is overdue.
2. The Commissioner shall adopt regulations establishing the
amount of the fee that may be imposed pursuant to this section.
(Added to NRS by 2005, 1866 )
Each collection agency shall pay the assessment levied
pursuant to NRS 658.055 and cooperate
fully with the audits and examinations performed pursuant thereto.
(Added to NRS by 1987, 827)
CONDUCT OF BUSINESS; PROHIBITED PRACTICES
No
collection agency may operate its business without a manager who holds a
valid manager’s certificate issued under the provisions of this chapter.
(Added to NRS by 1969, 830; A 1983, 1717)
Each license and
certificate issued under this chapter must be framed in a suitable frame
under glass and hung in a conspicuous place upon the walls of the place
of business designated in the license or certificate.
[Part 8:237:1931; 1931 NCL § 1420.07]—(NRS A 1969,
838)—(Substituted in revision for NRS 649.120)
1. A collection agency shall not remove its business location from
the place of business as stated in the license except upon prior approval
by the Commissioner in writing.
2. If the removal is approved, the Commissioner shall note the
change upon the face of the license and enter in his records a notation
of that change.
[7:237:1931; 1931 NCL § 1420.06]—(NRS A 1959, 827; 1969, 838; 1983,
1717; 1987, 1893; 1995, 1002)
1. A collection agency shall immediately notify the Commissioner
of any change:
(a) Of the manager of the agency; or
(b) If the agency is a corporation, in the ownership of 5 percent
or more of its outstanding voting stock.
2. An application must be submitted to the Commissioner, pursuant
to NRS 649.095 , by:
(a) The person who replaces the manager; and
(b) A person who acquires:
(1) At least 25 percent of the outstanding voting stock of
an agency; or
(2) Any outstanding voting stock of an agency if the change
will result in a change in the control of the agency.
Ê Except as otherwise provided in subsection 4, the Commissioner shall
conduct an investigation to determine whether the applicant has the
competence, experience, character and qualifications necessary for the
licensing of a collection agency. If the Commissioner denies the
application, he may in his order forbid the applicant from participating
in the business of the collection agency.
3. The collection agency with which the applicant is affiliated
shall pay such expenses incurred in the investigation as the Commissioner
deems necessary. All money received by the Commissioner pursuant to this
subsection must be placed in the Investigative Account created by NRS
232.545 .
4. A collection agency may submit a written request to the
Commissioner to waive an investigation pursuant to subsection 2. The
Commissioner may grant a waiver if the applicant has undergone a similar
investigation by a state or federal agency in connection with the
licensing of or his employment with a financial institution.
(Added to NRS by 1985, 1344; A 1987, 1894; 1991, 1805)
1. The terms and conditions of any written agreement between a
collection agency and a customer must be specific, intelligible and
unambiguous. In the absence of a written agreement, unless the conduct of
the parties indicates a different mutual understanding, the understanding
of the customer concerning the terms of the agreement must govern in any
dispute between the customer and the collection agency.
2. Unless a written agreement between the parties otherwise
provides, any money collected on a claim, after court costs have been
recovered, must first be credited to the principal amount of the claim.
Any interest charged and collected on the claim must be allocated
pursuant to the agreement between the customer and the collection agency.
3. Except with the consent of its customer, a collection agency
shall not accept less than the full amount of a claim in settlement of an
assigned claim.
4. A collection agency shall, at the time it remits to the
customer the money it collected on behalf of the customer, give each
customer an accounting in writing of the money it collected on behalf of
the customer in connection with a claim.
(Added to NRS by 1989, 2034)
1. Unless a written agreement between the parties otherwise
provides, a customer may withdraw, without obligation, any claim assigned
to a collection agency at any time 6 months after the date of the
assignment if:
(a) The customer gives written notice of the withdrawal to the
collection agency not less than 60 days before the effective date of the
withdrawal; and
(b) The claim is not in the process of being collected.
2. As used in this section, “in the process of being collected,”
means that:
(a) A payment on the claim has been received after the date of the
assignment;
(b) An action on the claim has been filed by or on behalf of the
collection agency;
(c) The claim has been forwarded to another collection agency for
collection;
(d) A lawful and sufficient claim or notice of lien has been filed
by the collection agency on behalf of the customer to ensure payment from
money distributed in connection with the probate of an estate, proceeding
in bankruptcy, assignment for the benefit of creditors or any similar
proceeding; or
(e) The collection agency has obtained from the debtor an
enforceable written promise to make payment.
3. Upon the withdrawal of any claim, the collection agency shall
return to the customer any documents, records or other items relating to
the claim that have been supplied by him.
(Added to NRS by 1989, 2034)
1. Every collection agency shall keep all records concerning each
of its accounts for at least 6 years following the completion of the last
transaction concerning the account.
2. The Commissioner shall conduct an examination of the trust
accounts and the records relating to debtors and customers of each
collection agency licensed pursuant to this chapter at least once each
year.
3. If there is evidence that a collection agency is not complying
with the provisions of this chapter, the Commissioner may conduct an
additional examination to determine whether a violation has occurred.
4. During the first year a collection agency is licensed, the
Commissioner may conduct as many examinations as he deems necessary to
ensure compliance with the provisions of this chapter.
(Added to NRS by 1969, 834; A 1983, 1718; 1987, 1894; 1989, 2035)
1. Each licensed collection agency shall file with the
Commissioner a written report, signed and sworn to by its manager, no
later than January 31 of each year, unless the Commissioner determines
that there is good cause for later filing of the report. The report must
include:
(a) The total sum of money due to all creditors as of the close of
the last business day of the preceding month.
(b) The total sum on deposit in customer trust fund accounts and
available for immediate distribution as of the close of the last business
day of the preceding month, the title of the trust account or accounts,
and the name of the banks or credit unions where the money is deposited.
(c) The total amount of creditors’ or forwarders’ share of money
collected more than 60 days before the last business day of the preceding
month and not remitted by that date.
(d) When the total sum under paragraph (c) exceeds $10, the name of
each creditor or forwarder and the respective share of each in that sum.
(e) Such other information, audit or reports as the Commissioner
may require.
2. The filing of any report required by this section which is
known by the collection agency to contain false information or statements
constitutes grounds for the suspension of the agency’s license or the
manager’s certificate, or both.
(Added to NRS by 1969, 834; A 1981, 756; 1983, 1718; 1987, 1894;
1989, 921; 1999, 1540 )
1. Every collection agency and collection agent shall openly,
fairly and honestly conduct the collection agency business and shall at
all times conform to the accepted business ethics and practices of the
collection agency business.
2. Every licensee shall at all times maintain a separate account
in a bank or credit union in which must be deposited all money collected.
Except as otherwise provided in regulations adopted by the Commissioner
pursuant to NRS 649.054 , the account
must be maintained in a bank or credit union located in this State and
bear some title sufficient to distinguish it from the licensee’s personal
or general checking account and to designate it as a trust account, such
as “customer’s trust fund account.” The trust account must at all times
contain sufficient money to pay all money due or owing to all customers,
and no disbursement may be made from the account except to customers or
to pay costs advanced for those customers, except that a licensee may
periodically withdraw from the account such money as may accrue to the
licensee from collections deposited or from adjustments resulting from
costs advanced and payments made directly to customers.
3. Every licensee maintaining a separate custodial or trust
account shall keep a record of all money deposited in the account, which
must indicate clearly the date and from whom the money was received, the
date deposited, the dates of withdrawals and other pertinent information
concerning the transaction, and must show clearly for whose account the
money is deposited and to whom the money belongs. The money must be
remitted to the creditors respectively entitled thereto within 30 days
following the end of the month in which payment is received. The records
and money are subject to inspection by the Commissioner or his authorized
representative. The records must be maintained at the premises in this
State at which the licensee is authorized to conduct business.
4. If the Commissioner finds that a licensee’s records are not
maintained pursuant to subsections 2 and 3, he may require the licensee
to deliver an audited financial statement prepared from his records by a
certified public accountant who holds a certificate to engage in the
practice of public accounting in this State. The statement must be
submitted within 60 days after the Commissioner requests it. The
Commissioner may grant a reasonable extension for the submission of the
financial statement if an extension is requested before the statement is
due.
(Added to NRS by 1963, 1141; A 1967, 956; 1969, 840; 1983, 1718;
1987, 1509, 1895; 1993, 2416; 1999, 1541 )
1. A collection agency licensed under this chapter must obtain the
approval of the Commissioner before using or changing a business name.
2. A collection agency licensed under this chapter shall not:
(a) Use any business name which is identical or similar to a
business name used by another collection agency licensed under this
chapter or which may mislead or confuse the public.
(b) Use any printed forms which may mislead or confuse the public.
(c) Use the term “credit bureau” in its name unless it operates a
bona fide credit bureau in conjunction with its collection agency
business. For purposes of this paragraph, “credit bureau” means any
person engaged in gathering, recording and disseminating information
relative to the creditworthiness, financial responsibility, paying habits
or character of persons being considered for credit extension for
prospective creditors.
(Added to NRS by 1969, 833; A 2005, 1872 )
A collection agency, or its
manager, agents or employees, shall not:
1. Use any device, subterfuge, pretense or deceptive means or
representations to collect any debt, nor use any collection letter,
demand or notice which simulates a legal process or purports to be from
any local, city, county, state or government authority or attorney.
2. Collect or attempt to collect any interest, charge, fee or
expense incidental to the principal obligation unless:
(a) Any such interest, charge, fee or expense as authorized by law
or as agreed to by the parties has been added to the principal of the
debt by the creditor before receipt of the item of collection;
(b) Any such interest, charge, fee or expense as authorized by law
or as agreed to by the parties has been added to the principal of the
debt by the collection agency and described as such in the first written
communication with the debtor; or
(c) The interest, charge, fee or expense has been judicially
determined as proper and legally due from and chargeable against the
debtor.
3. Assign or transfer any claim or account upon termination or
abandonment of its collection business unless prior written consent by
the customer is given for the assignment or transfer. The written consent
must contain an agreement with the customer as to all terms and
conditions of the assignment or transfer, including the name and address
of the intended assignee. Prior written consent of the Commissioner must
also be obtained for any bulk assignment or transfer of claims or
accounts, and any assignment or transfer may be regulated and made
subject to such limitations or conditions as the Commissioner by
regulation may reasonably prescribe.
4. Operate its business or solicit claims for collection from any
location, address or post office box other than that listed on its
license or as may be prescribed by the Commissioner.
5. Harass a debtor’s employer in collecting or attempting to
collect a claim, nor engage in any conduct that constitutes harassment as
defined by regulations adopted by the Commissioner.
6. Advertise for sale or threaten to advertise for sale any claim
as a means to enforce payment of the claim, unless acting under court
order.
7. Publish or post, or cause to be published or posted, any list
of debtors except for the benefit of its stockholders or membership in
relation to its internal affairs.
8. Conduct or operate, in conjunction with its collection agency
business, a debt counseling or prorater service for a debtor who has
incurred a debt primarily for personal, family or household purposes
whereby the debtor assigns or turns over to the counselor or prorater any
of his earnings or other money for apportionment and payment of his debts
or obligations. This section does not prohibit the conjunctive operation
of a business of commercial debt adjustment with a collection agency if
the business deals exclusively with the collection of commercial debt.
(Added to NRS by 1969, 833; A 1983, 1719; 1987, 1896; 1989, 1448;
1993, 2417)
DISCIPLINARY ACTION
1. Upon the filing with the Commissioner of a verified complaint
against any collection agency or manager, the Commissioner shall
investigate the alleged violation of the provisions of this chapter.
2. If the Commissioner determines that the complaint warrants
further action, he shall send a copy of the complaint and notice of the
date set for an informal hearing to the accused and the Attorney General.
3. The Commissioner may require the accused collection agency or
manager to file a verified answer to the complaint within 10 days after
service unless, for good cause shown, the Commissioner extends the time
for a period not to exceed 60 days.
4. If at the hearing the complaint is not explained to the
satisfaction of the Commissioner, he may take such action against the
accused as may be authorized by the provisions of this chapter.
[Part 11:237:1931; 1931 NCL § 1420.10]—(NRS A 1959, 827; 1969, 839;
1983, 1720; 1985, 315; 1987, 1897; 1993, 2418)
1. The Commissioner shall conduct an investigation if he receives
a verified complaint from any person that sets forth reason to believe
that an unlicensed person is engaging in an activity for which a license
is required pursuant to this chapter.
2. If the Commissioner determines that an unlicensed person is
engaging in an activity for which a license is required pursuant to this
chapter, the Commissioner shall issue and serve on the person an order to
cease and desist from engaging in the activity until such time as the
person obtains a license from the Commissioner.
3. If a person upon whom an order to cease and desist is served
does not comply with the order within 30 days after service, the
Commissioner shall, after notice and opportunity for a hearing:
(a) Impose upon the person an administrative fine of $10,000; or
(b) Enter into a written consent agreement with the person pursuant
to which the person agrees to cease and desist from all unlicensed
activity in this State relating to the collection of debts, and impose
upon the person an administrative fine of not less than $5,000 and not
more than $10,000.
Ê The imposition of an administrative fine pursuant to this subsection is
a final decision for the purposes of judicial review.
4. The Commissioner shall bring suit in the name and on behalf of
the State of Nevada against a person upon whom an administrative fine is
imposed pursuant to subsection 3 to recover the amount of the
administrative fine:
(a) If no petition for judicial review is filed pursuant to NRS
233B.130 and the fine remains unpaid
for more than 90 days after notice of the imposition of the fine; or
(b) If a petition for judicial review is filed pursuant to NRS
233B.130 and the fine remains unpaid
for more than 90 days after exhaustion of any right of appeal in the
courts of this State resulting in a final determination that upholds the
imposition of the fine.
5. A person’s liability for an administrative fine is in addition
to any other penalty provided in this chapter.
(Added to NRS by 2001, 519 )
1. The Commissioner may impose an administrative fine, not to
exceed $500 for each violation, or suspend or revoke the license of a
collection agency, or both impose a fine and suspend or revoke the
license, by an order made in writing and filed in his office and served
on the licensee by registered or certified mail at the address shown in
the records of the Commissioner, if:
(a) The licensee is adjudged liable in any court of law for breach
of any bond given under the provisions of this chapter; or
(b) After notice and hearing, the licensee is found guilty of:
(1) Fraud or misrepresentation;
(2) An act or omission inconsistent with the faithful
discharge of his duties and obligations; or
(3) A violation of any provision of this chapter.
2. The Commissioner may suspend or revoke the license of a
collection agency without notice and hearing if:
(a) The suspension or revocation is necessary for the immediate
protection of the public; and
(b) The licensee is afforded a hearing to contest the suspension or
revocation within 20 days after the written order of suspension or
revocation is served upon the licensee.
3. Upon revocation of his license, all rights of the licensee
under this chapter terminate, and no application may be received from any
person whose license has once been revoked.
4. An order that imposes discipline and the findings of fact and
conclusions of law supporting that order are public records.
[Part 11:237:1931; 1931 NCL § 1420.10]—(NRS A 1959, 828; 1969, 95,
839; 1983, 1720; 1987, 1510, 1897; 1993, 2418; 2003, 3475 ; 2003, 20th Special Session, 224 ; 2005, 1784 )
[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 Commissioner 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 license as a collection agent or agency or a manager’s certificate,
the Commissioner shall deem the license or certificate 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 Commissioner receives a letter
issued to the holder of the license or certificate by the district
attorney or other public agency pursuant to NRS 425.550 stating that the holder of the license or
certificate has complied with the subpoena or warrant or has satisfied
the arrearage pursuant to NRS 425.560 .
2. The Commissioner shall reinstate a license as a collection
agent or agency or a manager’s certificate that has been suspended by a
district court pursuant to NRS 425.540
if the Commissioner receives a letter issued by the district attorney or
other public agency pursuant to NRS 425.550 to the person whose license or certificate was
suspended stating that the person whose license or certificate was
suspended has complied with the subpoena or warrant or has satisfied the
arrearage pursuant to NRS 425.560 .
(Added to NRS by 1997, 2178; A 2005, 2807 )
1. If upon investigation it appears that a collection agency is
conducting its business in violation of this chapter or the regulations
adopted by the Commissioner, or when it appears that any person is
engaging in the business of a collection agency without being licensed
under the provisions of this chapter, the Commissioner may:
(a) Advise the district attorney of the county in which the
business is conducted, and the district attorney shall cause the
appropriate legal action to be taken to enjoin the operation of the
business or prosecute the violations of this chapter; or
(b) Bring suit in the name and on behalf of the State of Nevada
against such a person and any other person concerned in or in any way
participating in or about to participate in such unsafe or injurious
practices or action in violation of this chapter or the regulations
adopted by the Commissioner to enjoin any such person from continuing or
engaging in such practices or doing any such act.
2. If the Commissioner brings suit, the district court of any
judicial district may grant injunctions to prevent and restrain such
practices or transactions. The court may, during the pendency of the
proceedings before it, issue such temporary restraining orders as may
appear to be just and proper. The findings of the Commissioner shall be
deemed to be prima facie evidence and sufficient grounds, in the
discretion of the court, for the issue ex parte of a temporary
restraining order. In any such proceedings the Commissioner may apply for
and on due showing is entitled to have issued the court’s subpoena
requiring forthwith the appearance of any defendant and his employees and
the production of such documents, books and records as appear necessary
for the hearing of the petition, to testify and give evidence concerning
the acts or conduct or things complained of in the application for an
injunction.
(Added to NRS by 1987, 1507)
PENALTIES
Any person who violates any
provision of this chapter is guilty of a gross misdemeanor. Each day a
person operates a collection agency in violation of the provisions of
this chapter is a separate violation under this section.
[13:237:1931; 1931 NCL § 1420.12]—(NRS A 1959, 828; 1969, 841;
2001, 520 )
In addition to
any other remedy or penalty, the Commissioner may impose an
administrative fine of not more than $10,000 upon a person who:
1. Without a license or certificate, conducts any business or
activity for which a license or certificate is required pursuant to the
provisions of this chapter; or
2. Violates any provision of this chapter or any regulation
adopted pursuant thereto.
(Added to NRS by 2005, 1867 )
