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).

1-1 Section 1. Chapter 597 of NRS is hereby amended by adding thereto

1-2 the provisions set forth as sections 2 to 9, inclusive, of this act.

1-3 Sec. 2. As used in sections 2 to 8, inclusive, of this act, unless the

1-4 context otherwise requires, the words and terms defined in sections 3 and

1-5 4 of this act have the meanings ascribed to them in those sections.

1-6 Sec. 3. "Informal market" means:

1-7 1. A gathering at which:

1-8 (a) Two or more persons offer personal property for sale or exchange;

1-9 (b) A fee is charged for the sale or exchange of personal property; or

1-10 (c) A fee is charged for admission to the area in which personal

1-11 property is offered for sale or exchange; or

1-12 2. A place at which personal property is offered or displayed for sale

1-13 or exchange on more than six occasions in a period of 12 months,

1-14 whether held in a building, under cover or in the open air.

2-1 Sec. 4. "Informal merchant" means a person who does not have an

2-2 established retail store in the county and who transports an inventory of

2-3 goods to an informal market and displays the goods for sale, offers them

2-4 for sale at retail or sells them at retail.

2-5 Sec. 5. The provisions of sections 2 to 8, inclusive, of this act do not

2-6 apply to:

2-7 1. The sale or exchange of personal property organized for the sole

2-8 benefit of a religious, educational or charitable purpose, if no part of any

2-9 fee for admission or parking charged to vendors or prospective

2-10 purchasers, or receipts from the sale or exchange, inures to the benefit of

2-11 any private person participating in the organization or conduct of the

2-12 gathering;

2-13 2. Offering for sale or displaying new personal property if all

2-14 participants are manufacturers, their authorized representatives or

2-15 distributors;

2-16 3. Business conducted in an industrial or commercial trade show;

2-17 4. The sale of a vehicle that is required to be registered or is the

2-18 subject of a certificate of title issued in this state;

2-19 5. A farmers’ market or the sale of firewood or livestock;

2-20 6. The sale of the product of the seller’s art or craft;

2-21 7. Property, even if never used, whose style, packaging or material

2-22 indicates that it was not recently manufactured or produced;

2-23 8. A sale by sample, catalog or brochure for future delivery;

2-24 9. The sale or exchange of personal property at an event which is

2-25 held at the residence of the seller or one of the sellers of the personal

2-26 property that is commonly referred to as a "garage sale" or "yard sale";

2-27 or

2-28 10. Presentation for sale made pursuant to a previous individual

2-29 invitation to the prospective purchaser by the owner or occupant of the

2-30 premises.

2-31 Sec. 6. 1. An informal merchant shall not offer for sale at an

2-32 informal market, or knowingly allow the sale of, infant formula, medical

2-33 devices, nonprescription drugs, cosmetics or products for personal care,

2-34 unless the seller keeps available for public inspection a genuine written

2-35 authorization from the manufacturer or distributor of the product sold.

2-36 2. As used in this section:

2-37 (a) "Infant formula" means food manufactured, packaged and

2-38 labeled for consumption by children who have not attained 2 years of

2-39 age.

2-40 (b) "Medical device" means:

2-41 (1) An article, or any part of an article, required pursuant to federal

2-42 law to bear the label: "Caution: Federal law requires dispensing by or on

2-43 the order of a physician"; or

3-1 (2) An article defined by federal law as a medical device which:

3-2 (I) Is intended for use in the diagnosis of disease or other

3-3 conditions or in the cure, mitigation, treatment or prevention of disease

3-4 in man or other animals or to affect the structure or any function of the

3-5 body of man or other animals;

3-6 (II) Does not achieve any intended purpose through chemical

3-7 action within the body; and

3-8 (III) Does not depend upon being metabolized for the

3-9 achievement of any intended purpose.

3-10 (c) "Nonprescription drug" means a nonnarcotic medicine or drug

3-11 that may be sold without a prescription and is prepackaged for use by the

3-12 customer or prepared by the manufacturer or producer for use by the

3-13 customer. The term does not include herbal products, dietary

3-14 supplements, botanical extracts or vitamins.

3-15 Sec. 7. 1. An informal merchant shall maintain a receipt for each

3-16 purchase of unused property, containing:

3-17 (a) The date of the purchase;

3-18 (b) The name of the person from whom the property was acquired;

3-19 (c) An identification or description of the property;

3-20 (d) The price paid for the property; and

3-21 (e) The signatures of the merchant and the person from whom the

3-22 property was acquired.

3-23 2. It is unlawful for a merchant required by subsection 1 to maintain

3-24 a receipt to:

3-25 (a) Falsify, obliterate or destroy the receipt;

3-26 (b) Refuse, or fail upon request, to produce the receipt for inspection

3-27 within a time reasonable under the circumstances of the request, but an

3-28 informal merchant need not keep such receipts on his person without

3-29 reasonable notice; or

3-30 (c) Fail to maintain the receipt for at least 2 years.

3-31 3. As used in this section, "unused property" means tangible

3-32 personal property acquired by an informal merchant directly from the

3-33 manufacturer, producer, wholesaler or retailer of the property in the

3-34 ordinary course of business which has never been used since its

3-35 manufacture or production or which is in its original, unopened package

3-36 or container.

3-37 Sec. 8. An informal merchant who violates a provision of sections 2

3-38 to 7, inclusive, of this act is guilty of:

3-39 1. For the first offense, a misdemeanor.

3-40 2. For the second offense, a gross misdemeanor.

3-41 3. For the third or a subsequent offense, a category E felony and

3-42 shall be punished as provided in NRS 193.130.

4-1 Sec. 9. 1. A person who, with intent to cheat or defraud a retailer,

4-2 possesses, uses, utters, transfers, makes, alters, counterfeits or reproduces

4-3 a retail sales receipt or a Universal Product Code Label, is guilty of a

4-4 category E felony and shall be punished as provided in NRS 193.130 and

4-5 by a fine not exceeding three times the value represented on the retail

4-6 sales receipts or the Universal Product Code Labels.

4-7 2. A person who, with intent to cheat or defraud a retailer, possesses

4-8 15 or more fraudulent receipts or Universal Product Code Labels, or

4-9 possesses a device that manufactures fraudulent receipts or Universal

4-10 Product Code Labels, is guilty of a category D felony and shall be

4-11 punished as provided in NRS 193.130.

4-12 Sec. 10. NRS 598.281 is hereby amended to read as follows:

4-13 598.281 As used in NRS 598.281 to 598.289, inclusive, unless the

4-43 are eligible for insurance by the Federal Deposit Insurance Corporation.

5-1 (3) [A nonprofit organization exempt from taxation under section

5-2 501(c)(3) of the Internal Revenue Code.

5-3 (4)] A person licensed as a real estate broker by this state where the

5-4 person is acting within the course and scope of that license [.

5-5 (5)] , unless the person is rendering those services in the course and

5-6 scope of employment by or other affiliation with an organization.

5-7 (4) A person licensed to practice law in this state where the person

5-8 renders services within the course and scope of his practice as an attorney

5-9 at law, unless the person is rendering [such] those services in the course

5-10 and scope of employment by or other affiliation with an organization.

5-11 [(6)] (5) A broker-dealer registered with the Securities and Exchange

5-12 Commission or the Commodity Futures Trading Commission where the

5-13 broker-dealer is acting within the course and scope of such regulation.

5-14 [(7)] (6) A person licensed as a debt adjuster pursuant to chapter 676

5-15 of NRS.

5-16 [(8)] (7) A reporting agency.

5-17 6. "Reporting agency" means a person who, for fees, dues or on a

5-18 cooperative nonprofit basis, regularly engages in whole or in part in the

5-19 business of assembling or evaluating information regarding the credit of or

5-20 other information regarding consumers to furnish consumer reports to third

5-21 parties, regardless of the means or facility of commerce used to prepare or

5-22 furnish the consumer reports. The term does not include:

5-23 (a) A person solely for the reason that he conveys a decision regarding

5-24 whether to guarantee a check in response to a request by a third party;

5-25 (b) A person who obtains or creates a consumer report and provides the

5-26 report or information contained in it to a subsidiary or affiliate; or

5-27 (c) A person licensed pursuant to chapter 463 of NRS.

5-28 Sec. 11. The amendatory provisions of this act do not apply to

5-29 offenses that were committed before October 1, 1999.