Senate Bill No. 392–Senator Porter
March 12, 1999
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Referred to Committee on Commerce and Labor
SUMMARY—Regulates certain trade practices. (BDR 52-1196)
FISCAL NOTE: Effect on Local Government: Yes.
Effect on the State or on Industrial Insurance: Yes.
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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:
1-1
Section 1. Chapter 597 of NRS is hereby amended by adding thereto1-2
the provisions set forth as sections 2 to 13, inclusive, of this act.1-3
Sec. 2. As used in sections 2 to 12, inclusive, of this act, the words1-4
and terms defined in sections 3 to 8, inclusive, of this act have the1-5
meanings ascribed to them in those sections.1-6
Sec. 3. "Infant formula" means food manufactured, packaged and1-7
labeled for consumption by children who have not attained 2 years of1-8
age.1-9
Sec. 4. "Informal market" means:1-10
1. A gathering at which:1-11
(a) Two or more persons offer personal property for sale or exchange;1-12
(b) A fee is charged for sale or exchange of personal property; or1-13
(c) A fee is charged for admission to the area in which personal1-14
property is offered for sale or exchange; or1-15
2. A place at which personal property is offered or displayed for sale1-16
or exchange on more than six occasions in a period of 12 months,1-17
whether held in a building, or under cover, or in the open air.2-1
Sec. 5. "Informal merchant" means a person who does not have an2-2
established retail store in the county and who transports an inventory of2-3
goods to an informal market and displays the goods for sale, offers them2-4
for sale at retail or sells them at retail.2-5
Sec. 6. "Medical device" means:2-6
1. An article, or any part of an article, required under federal law to2-7
bear the label: "Caution: Federal law requires dispensing by or on the2-8
order of a physician"; or2-9
2. An article defined by federal law as a medical device which:2-10
(a) Is intended for use in the diagnosis of disease or other conditions2-11
or in the cure, mitigation, treatment or prevention of disease in man or2-12
other animals or to affect the structure or any function of the body of2-13
man or other animals;2-14
(b) Does not achieve any intended purpose through chemical action2-15
within the body; and2-16
(c) Does not depend upon being metabolized for the achievement of2-17
any intended purpose.2-18
Sec. 7. "Nonprescription drug" means a nonnarcotic medicine or2-19
drug that may be sold without a prescription and is prepackaged for use2-20
by the customer or prepared by the manufacturer or producer for use by2-21
the customer. The term does not include herbal products, dietary2-22
supplements, botanical extracts or vitamins.2-23
Sec. 8. "Unused property" means tangible personal property2-24
acquired by an informal merchant directly from the manufacturer,2-25
producer, wholesaler or retailer of the property in the ordinary course of2-26
business which has never been used since its manufacture or production2-27
or which is in its original, unopened package or container.2-28
Sec. 9. Sections 2 to 12, inclusive, of this act do not apply to:2-29
1. The sale or exchange of personal property organized for the sole2-30
benefit of a religious, educational or charitable purpose, if no part of any2-31
fee for admission or parking charged to vendors or prospective2-32
purchasers, or receipts from the sale or exchange inures to the benefit of2-33
any private person participating in the organization or conduct of the2-34
gathering;2-35
2. Offering for sale or displaying new personal property if all2-36
participants are manufacturers, their authorized representatives or2-37
distributors;2-38
3. Business conducted in an industrial or commercial trade show;2-39
4. The sale of a vehicle that is required to be registered or is the2-40
subject of a certificate of title issued in this state;2-41
5. A farmers’ market or the sale of firewood or livestock;2-42
6. The sale of the product of the seller’s art or craft;3-1
7. Property, even if never used, whose style, packaging or material3-2
indicates that it was not recently manufactured or produced;3-3
8. A sale by sample, catalog or brochure for future delivery; or3-4
9. Presentation for sale made pursuant to a previous individual3-5
invitation to the prospective purchaser by the owner or occupant of the3-6
premises.3-7
Sec. 10. An informal merchant shall not offer for sale at an3-8
informal market, or knowingly allow the sale of, infant formula, medical3-9
devices, nonprescription drugs, cosmetics or products for personal care,3-10
unless the seller keeps available for public inspection a genuine written3-11
authorization from the manufacturer or distributor of the product sold.3-12
Sec. 11. 1. An informal merchant shall maintain a receipt for each3-13
purchase of unused property, containing:3-14
(a) The date of the purchase;3-15
(b) The name of the person from whom the property was acquired;3-16
(c) An identification or description of the property;3-17
(d) The price paid for the property; and3-18
(e) The signatures of the merchant and the seller to him.3-19
2. It is unlawful for a merchant required by subsection 1 to maintain3-20
a receipt to:3-21
(a) Falsify, obliterate or destroy the receipt;3-22
(b) Refuse, or fail upon request, to produce the receipt for inspection3-23
within a time reasonable under the circumstances of the request, but an3-24
informal merchant need not keep such receipts on his person without3-25
reasonable notice; or3-26
(c) Fail to maintain the receipt for at least 2 years.3-27
Sec. 12. An informal merchant who violates a provision of sections 23-28
to 11, inclusive, of this act is guilty of:3-29
1. For the first offense, a misdemeanor.3-30
2. For the second offense, a gross misdemeanor.3-31
3. For the third or a subsequent offense, a category E felony and3-32
shall be punished as provided in NRS 193.130.3-33
Sec. 13. 1. A person who, with intent to cheat or defraud a retailer,3-34
possesses, uses, utters, transfers, makes, alters, counterfeits or reproduces3-35
a retail sales receipt or a Universal Price Code Label, is guilty of a3-36
category E felony and shall be punished as provided in NRS 193.130 and3-37
by a fine not exceeding three times the value represented on the retail3-38
sales receipts or the Universal Price Code Labels.3-39
2. A person who, with intent to cheat or defraud a retailer, possesses3-40
15 or more fraudulent receipts or Universal Price Code Labels, or3-41
possesses the device that manufactures fraudulent receipts or Universal3-42
Price Code Labels, is guilty of a category D felony and shall be punished3-43
as provided in NRS 193.130.4-1
Sec. 14. The amendatory provisions of this act do not apply to4-2
offenses that were committed before October 1, 1999.~