Assembly Bill No. 677–Committee on Transportation
March 22, 1999
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Referred to Committee on Transportation
SUMMARY—Provides immunity under certain circumstances for short-term lessors of vehicles from penalties that may be imposed by transportation services authority for unlawful use of vehicles leased by short-term lessors. (BDR 58-1599)
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
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
Section 1. Chapter 706 of NRS is hereby amended by adding thereto a1-2
new section to read as follows:1-3
1. Notwithstanding any provision of NRS 706.011 to 706.791,1-4
inclusive, and this section to the contrary, if the registered owner of a1-5
vehicle which is impounded pursuant to NRS 706.476 is a short-term1-6
lessor licensed pursuant to NRS 482.363 who is engaged in the business1-7
of renting or leasing vehicles in accordance with NRS 482.295 to1-8
482.3159, inclusive, the registered owner is not liable for any1-9
administrative fine or other penalty that may be imposed by the authority1-10
for the operation of a passenger vehicle in violation of NRS 706.011 to1-11
706.791, inclusive, if:1-12
(a) At the time that the vehicle was impounded, the vehicle was in the1-13
care, custody or control of a lessee; and2-1
(b) The registered owner did not know or have reason to know that the2-2
vehicle would be used in violation of NRS 706.011 to 706.791, inclusive.2-3
2. A short-term lessor may establish that a vehicle was subject to the2-4
care, custody or control of a lessee at the time that the vehicle was2-5
impounded pursuant to NRS 706.476 by submitting to the authority a2-6
true copy of the lease or rental agreement pursuant to which the vehicle2-7
was leased or rented to the lessee by the short-term lessor. The2-8
submission of a true copy of a lease or rental agreement is prima facie2-9
evidence that the vehicle was in the care, custody or control of the lessee.2-10
3. Upon the receipt of:2-11
(a) A true copy of a written lease or rental agreement pursuant to2-12
subsection 2 which evidences that the vehicle impounded by the authority2-13
pursuant to NRS 706.476 was under the care, custody or control of a2-14
lessee and not the registered owner of the vehicle; and2-15
(b) An affidavit made by the short-term lessor which states that the2-16
registered owner did not know or have reason to know that the vehicle2-17
would be operated in violation of NRS 706.011 to 706.791, inclusive,2-18
the authority shall release the vehicle to the short-term lessor.2-19
4. As used in this section, "short-term lessor" has the meaning2-20
ascribed to it in NRS 482.053.2-21
Sec. 2. NRS 706.011 is hereby amended to read as follows: 706.011 As used in NRS 706.013 to 706.791, inclusive, and section 12-23
of this act, unless the context otherwise requires, the words and terms2-24
defined in NRS 706.013 to 706.146, inclusive, have the meanings ascribed2-25
to them in those sections.2-26
Sec. 3. NRS 706.476 is hereby amended to read as follows:2-27
706.476 Except as otherwise provided in section 1 of this act:2-28
1. A vehicle used as a taxicab, limousine or other passenger vehicle in2-29
passenger service must be impounded by the authority if a certificate of2-30
public convenience and necessity has not been issued authorizing its2-31
operation. A hearing must be held by the authority no later than the2-32
conclusion of the second normal business day after impoundment,2-33
weekends and holidays excluded. As soon as practicable after2-34
impoundment, the authority shall notify the registered owner of the vehicle:2-35
(a) That the registered owner of the vehicle must post a bond in the2-36
amount of $20,000 to ensure his presence at all proceedings held pursuant2-37
to this section;2-38
(b) Of the time set for the hearing; and2-39
(c) Of his right to be represented by counsel during all phases of the2-40
proceedings.2-41
2. The authority shall hold the vehicle until the registered owner of the2-42
vehicle appears and:2-43
(a) Proves that he is the registered owner of the vehicle;3-1
(b) Proves that he holds a valid certificate of public convenience and3-2
necessity;3-3
(c) Proves that the vehicle meets all required standards of the authority;3-4
and3-5
(d) Posts a bond in the amount of $20,000 with the3-6
authority.3-7
The authority shall return the vehicle to its registered owner when the3-8
owner meets the requirements of this subsection and pays all costs of3-9
impoundment.3-10
3. If the registered owner is unable to meet the requirements of3-11
paragraph (b) or (c) of subsection 2, the authority may assess an3-12
administrative fine against the registered owner for each such violation in3-13
the amount of $5,000. The maximum amount of the administrative fine that3-14
may be assessed against a registered owner for a single impoundment of his3-15
vehicle pursuant to this section is $10,000. The authority shall return the3-16
vehicle after any administrative fine imposed pursuant to this subsection3-17
and all costs of impoundment have been paid.3-18
Sec. 4. NRS 706.756 is hereby amended to read as follows: 706.756 1. Except as otherwise provided in subsection 2, any person3-20
who:3-21
(a) Operates a vehicle or causes it to be operated in any carriage to3-22
which the provisions of NRS 706.011 to 706.861, inclusive, and section 13-23
of this act, apply without first obtaining a certificate, permit or license, or3-24
in violation of the terms thereof;3-25
(b) Fails to make any return or report required by the provisions of NRS3-26
706.011 to 706.861, inclusive, and section 1 of this act, or by the authority3-27
or the department pursuant to the provisions of NRS 706.011 to 706.861,3-28
inclusive3-29
(c) Violates, or procures, aids or abets the violating of, any provision of3-30
NRS 706.011 to 706.861, inclusive3-31
(d) Fails to obey any order, decision or regulation of the authority or the3-32
department;3-33
(e) Procures, aids or abets any person in his failure to obey such an3-34
order, decision or regulation of the authority or the department;3-35
(f) Advertises, solicits, proffers bids or otherwise holds himself out to3-36
perform transportation as a common or contract carrier in violation of any3-37
of the provisions of NRS 706.011 to 706.861, inclusive3-38
of this act;3-39
(g) Advertises as providing:3-40
(1) The services of a fully regulated carrier; or3-41
(2) Towing services,3-42
without including the number of his certificate of public convenience and3-43
necessity or contract carrier’s permit in each advertisement;4-1
(h) Knowingly offers, gives, solicits or accepts any rebate, concession or4-2
discrimination in violation of the provisions of this chapter;4-3
(i) Knowingly, willfully and fraudulently seeks to evade or defeat the4-4
purposes of this chapter;4-5
(j) Operates or causes to be operated a vehicle which does not have the4-6
proper identifying device;4-7
(k) Displays or causes or permits to be displayed a certificate, permit,4-8
license or identifying device, knowing it to be fictitious or to have been4-9
canceled, revoked, suspended or altered;4-10
(l) Lends or knowingly permits the use of by one not entitled thereto any4-11
certificate, permit, license or identifying device issued to the person so4-12
lending or permitting the use thereof; or4-13
(m) Refuses or fails to surrender to the authority or department any4-14
certificate, permit, license or identifying device which has been suspended,4-15
canceled or revoked pursuant to the provisions of this chapter,4-16
is guilty of a misdemeanor, and upon conviction thereof shall be punished4-17
by a fine of not less than $100 nor more than $1,000, or by imprisonment in4-18
the county jail for not more than 6 months, or by both fine and4-19
imprisonment.4-20
2. A person convicted of a misdemeanor for a violation of the4-21
provisions of NRS 706.386 or 706.421 shall be punished:4-22
(a) For the first offense by a fine of not less than $500 nor more than4-23
$1,000;4-24
(b) For a second offense within 12 consecutive months and each4-25
subsequent offense by a fine of $1,000; or4-26
(c) For any offense, by imprisonment in the county jail for not more than4-27
6 months, or by both the prescribed fine and imprisonment.4-28
3. Any person who operates or permits the operation of a vehicle in4-29
passenger service without a certificate of public convenience and necessity4-30
issued pursuant to NRS 706.391 is guilty of a gross misdemeanor. If a law4-31
enforcement officer witnesses a violation of this subsection, he may cause4-32
the vehicle to be towed immediately from the scene.4-33
4. The fines provided in this section are mandatory and must not be4-34
reduced under any circumstances by the court.4-35
5. Any bail allowed must not be less than the appropriate fine provided4-36
for by this section.~