Assembly Bill No. 108–Committee on Commerce and Labor

(On Behalf of Attorney General)

February 4, 1999

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Referred to Committee on Commerce and Labor

 

SUMMARY—Makes various changes regarding civil actions relating to unfair trade practices. (BDR 52-290)

FISCAL NOTE: Effect on Local Government: No.

Effect on the State or on Industrial Insurance: No.

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. Green numbers along left margin indicate location on the printed bill (e.g., 5-15 indicates page 5, line 15).

 

AN ACT relating to unfair trade practices; clarifying the persons on whose behalf the attorney general may bring a civil action for unfair trade practices; clarifying the persons who may bring a civil action for unfair trade practices; increasing the percentage of money collected for unfair trade practices that must be credited to the attorney general’s special fund; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

1-1 Section 1. NRS 598A.160 is hereby amended to read as follows:

1-2 598A.160 1. The attorney general may bring a civil action for any

1-3 violation of the provisions of this chapter in the name of the State of

1-4 Nevada and is entitled to recover damages and secure other relief provided

1-5 by the provisions of this chapter:

1-6 (a) As parens patriae of the persons residing in [the] this state, with

1-7 respect to damages sustained directly or indirectly by such persons, or,

1-8 alternatively, if the court finds in its discretion that the interests of justice

1-9 so require, as a representative of a class or classes consisting of persons

1-10 residing in [the state,] this state who have been damaged [ ;] directly or

1-11 indirectly; or

1-12 (b) As parens patriae, with respect to direct or indirect damages to the

1-13 general economy of the State of Nevada or any political subdivision

1-14 thereof.

2-1 2. In any action under this section, [the] this state:

2-2 (a) May recover the aggregate damage sustained by the persons on

2-3 whose behalf [the] this state sues, without separately proving the

2-4 individual claims of each such person. Proof of such damages [shall] must

2-5 be based on : [any or all of the following:]

2-6 (1) Statistical or sampling methods;

2-7 (2) The pro rata allocation of illegal overcharges of sales occurring

2-8 within the State of Nevada; or

2-9 (3) Such other reasonable system of estimating aggregate damages as

2-10 the court [in its discretion] may permit.

2-11 (b) Shall distribute, allocate or otherwise pay the amounts so recovered

2-12 [either] in accordance with state law, or in the absence of any applicable

2-13 state law, as the district court may [in its discretion] authorize, subject to

2-14 the requirement that any distribution procedure adopted afford each person

2-15 on whose behalf [the] this state sues a reasonable opportunity individually

2-16 to secure the pro rata portion of such recovery attributable to his or its

2-17 respective claims for damages, less litigation and administrative costs,

2-18 including attorney fees, before any of [such] the recovery is escheated.

2-19 Sec. 2. NRS 598A.210 is hereby amended to read as follows:

2-20 598A.210 1. Any person threatened with injury or damage to his

2-21 business or property by reason of a violation of any provision of this

2-22 chapter, may institute [an] a civil action or proceeding for injunctive relief.

2-23 If the court issues a permanent injunction, the plaintiff shall recover

2-24 reasonable attorney fees, together with costs, as determined by the court.

2-25 2. Any person injured or damaged directly or indirectly in his

2-26 business or property by reason of a violation of the provisions of this

2-27 chapter may [sue therefor] institute a civil action and shall recover treble

2-28 damages, together with reasonable attorney fees and costs.

2-29 3. Any person commencing an action for any violation of the

2-30 provisions of this chapter shall, simultaneously with the filing of the

2-31 complaint with the court, mail a copy of the complaint to the attorney

2-32 general.

2-33 Sec. 3. NRS 598A.260 is hereby amended to read as follows:

2-34 598A.260 1. All money obtained as awards, damages or civil

2-35 penalties for the State of Nevada and its agencies by the attorney general as

2-36 a result of enforcement of statutes pertaining to unfair trade practices,

2-37 whether by final judgment, settlement or otherwise must be deposited in

2-38 the state treasury as follows:

2-39 (a) All attorney’s fees and costs and [10] 50 percent of all recoveries for

2-40 credit to the attorney general’s special fund.

2-41 (b) The balance of the recoveries for credit to the state general fund.

3-1 2. Money deposited in the state treasury for credit to the attorney

3-2 general’s special fund pursuant to subsection 1 must be used for payment

3-3 of the expenses of enforcing the statutes pertaining to unfair trade

3-4 practices. Those expenses which are in excess of the amount available in

3-5 the fund must be paid out of the legislative appropriation for the support of

3-6 the office of attorney general.

3-7 [3. On June 30 of each fiscal year, any amount in excess of $30,000 in

3-8 the attorney general’s special fund of the money collected pursuant to

3-9 subsection 1 reverts to the state general fund.]

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