(REPRINTED WITH ADOPTED AMENDMENTS)

 

Assembly Bill No. 154–Committee on Commerce and Labor

 

(On Behalf of County Fiscal Officers Association)

 

February 15, 2001

____________

 

Referred to Committee on Commerce and Labor

 

SUMMARY—Revises provisions governing persons who conduct business under assumed or fictitious name. (BDR 52‑443)

 

FISCAL NOTE:                     Effect on Local Government: No.

                                    Effect on the State: No.

 

~

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

AN ACT relating to business practices; requiring the certificate that a person who conducts business in this state under an assumed or fictitious name is required to file with the county clerk to be notarized; providing for the renewal of such a certificate; 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. Chapter 602 of NRS is hereby amended by adding thereto a

1-2  new section to read as follows:  

1-3    1.  The board of county commissioners of a county may provide, by

1-4  ordinance, that a certificate filed with the county clerk pursuant to NRS

1-5  602.010 expires 5 years after it is filed.

1-6    2.  If such an ordinance is adopted, on or before the expiration of the

1-7  certificate, the person doing business in the county under an assumed or

1-8  fictitious name that does not indicate the real name of each person who

1-9  owns an interest in the business must file a renewal certificate containing

1-10  the information required by NRS 602.020 with the county clerk.

1-11    3.  A renewal certificate filed pursuant to this section:

1-12    (a) Expires 5 years after it is filed with the county clerk.

1-13    (b) Must include a statement indicating that the renewal certificate

1-14  expires 5 years after the date on which it is filed with the county clerk.

1-15    4.  Upon the adoption of such an ordinance, the county clerk shall

1-16  cause to be published in a newspaper of general circulation in the county

1-17  notice that those persons who have filed certificates in the county

1-18  pursuant to NRS 602.010 are required to renew those certificates

1-19  pursuant to the provisions of this section.

2-1    Sec. 2.  NRS 602.010 is hereby amended to read as follows:

2-2    602.010  1.  Every person doing business in this state under an

2-3  assumed or fictitious name which does not [show] indicate the real name

2-4  of each person who owns an interest in the business[,] must file with the

2-5  county clerk of each county in which the business is being conducted[,] a

2-6  certificate containing the information required by NRS 602.020.

2-7    2.  A person intending to conduct a business under an assumed or

2-8  fictitious name may, before initiating the conduct of the business, file a

2-9  certificate with the county clerk of each county in which the business is

2-10  intended to be conducted.

2-11    3.  If the board of county commissioners of a county has adopted an

2-12  ordinance pursuant to section 1 of this act, a certificate filed pursuant to

2-13  this section expires 5 years after it is filed with the county clerk.

2-14    Sec. 3.  NRS 602.020 is hereby amended to read as follows:

2-15    602.020  1.  [The] A certificate filed pursuant to NRS 602.010 or a

2-16  renewal certificate filed pursuant to section 1 of this act must state the

2-17  assumed or fictitious name under which the business is being conducted or

2-18  is intended to be conducted, and if conducted by:

2-19    (a) A natural person[, his] :

2-20      (1) His full name [and] ;

2-21      (2) The street address[, either] of his residence or business; and

2-22      (3) If the mailing address is different from the street address, the

2-23  mailing address of his residence or business;

2-24    (b) An artificial person required to make annual filings with the

2-25  secretary of state to retain its good standing, its name as it appears in the

2-26  records of the secretary of state;

2-27    (c) A general partnership[, the] :

2-28      (1) The full name [and] of each partner who is a natural person;

2-29      (2) The street address[, either] of the residence or business of each

2-30  partner who is a natural person;

2-31      (3) If the mailing address is different from the street address, the

2-32  mailing address of the residence or business[,] of each partner who is a

2-33  natural person[, and if] ; and

2-34      (4) If one or more of the partners is an artificial person described in

2-35  [subsection] paragraph (b), the information required by [subsection]

2-36  paragraph (b) for each such partner; or

2-37    (d) A trust[, the] :

2-38      (1) The full name [and] of each trustee of the trust;

2-39      (2) The street address[, either] of the residence or business of each

2-40  trustee of the trust; and

2-41      (3) If the mailing address is different from the street address, the

2-42  mailing address of the residence or business[,] of each trustee of the trust.

2-43    2.  The certificate must be : [signed:]

2-44    (a) Signed:

2-45      (1) In the case of a natural person, by him;

2-46    [(b)] (2) In the case of an artificial person required to make annual

2-47  filings with the secretary of state to retain its good standing, by a person

2-48  required to sign the annual filing;

3-1    [(c)] (3) In the case of a general partnership, by each of the partners

3-2  who is a natural person, and if one or more of the partners is an artificial

3-3  person described in [subsection (b),] subparagraph (2), by an officer of the

3-4  corporation or [an authorized representative of the artificial person; or

3-5    (d)] a person required to sign the annual filing; or

3-6       (4) In the case of a trust, by each of the trustees[.] ; and

3-7    (b) Notarized.

3-8    Sec. 4.  NRS 602.055 is hereby amended to read as follows:

3-9    602.055  1.  Any person who has filed a certificate may, upon the

3-10  termination of the business or his ownership in it, file with the county clerk

3-11  where the certificate is on file a certificate of termination stating that the

3-12  person who filed the certificate has terminated the business being

3-13  conducted under the assumed or fictitious name or his ownership in it and

3-14  the date of the termination.

3-15    2.  The certificate of termination must be notarized and signed in the

3-16  same manner as required by NRS 602.020, except that it is sufficient if

3-17  signed in the case of a general partnership by only one partner or in the

3-18  case of a trust by only one trustee.

3-19    3.  Upon the filing of a certificate of termination, the county clerk shall

3-20  note the termination in the book or other suitable index required by NRS

3-21  602.050.

3-22    Sec. 5.  NRS 602.080 is hereby amended to read as follows:

3-23    602.080  [1.  Partnerships which were engaged in business before

3-24  March 20, 1923, and which had complied with the provisions of chapter

3-25  40, Statutes of Nevada 1887, are not required to comply with the

3-26  provisions of this chapter except as to subsequent changes in membership

3-27  of the partnerships.

3-28    2.] Limited partnerships formed and foreign limited partnerships

3-29  registered pursuant to chapter 88 of NRS are not required to comply with

3-30  the provisions of this chapter.

3-31    Sec. 6.  NRS 369.190 is hereby amended to read as follows:

3-32    369.190  1.  An application for any of the licenses described in NRS

3-33  369.180 must be made to the board of county commissioners of the county

3-34  in which the applicant maintains his principal place of business.

3-35    2.  Each application must:

3-36    (a) Be made on such form as the department prescribes.

3-37    (b) Include the name and address of the applicant. If the applicant is:

3-38      (1) A partnership, the application must include the names and

3-39  addresses of all partners.

3-40      (2) A corporation, association or other organization, the application

3-41  must include the names and addresses of the president, vice president,

3-42  secretary and managing officer or officers.

3-43      (3) A person carrying on or transacting business in this state under an

3-44  assumed or fictitious name, the person making the application [shall attach

3-45  thereto:]

3-46  must attach to the application:

3-47        (I) A certified copy of the certificate required by NRS 602.010[.]

3-48  or any renewal certificate required by section 1 of this act.

4-1         (II) A certificate signed by an officer of the corporation or by each

4-2  person interested in, or conducting or carrying on such business, or

4-3  intending so to do, and acknowledged before a person authorized to take

4-4  acknowledgments of conveyances of real property, indicating the name of

4-5  the authorized representative whose signature may be required on the

4-6  license under the provisions of this chapter.

4-7    (c) Specify the location, by street and number, of the premises for which

4-8  the license is sought.

4-9    (d) Be accompanied by the annual license fee required for the particular

4-10  license for which application is made.

4-11    3.  The board of county commissioners shall examine all applications

4-12  filed with it, and [in addition thereto] shall require satisfactory evidence

4-13  that the applicant is a person of good moral character.

4-14    Sec. 7.  NRS 370.100 is hereby amended to read as follows:

4-15    370.100  An application for a cigarette dealer’s license [shall:] must:

4-16    1.  Be made to the department on forms prescribed by the department.

4-17    2.  Include the name and address of the applicant. If the applicant is a

4-18  partnership, the application [shall] must include the names and addresses

4-19  of all partners. If the applicant is a corporation, association or other

4-20  organization, the application [shall] must include the names and addresses

4-21  of the president, vice president, secretary and managing officer or officers.

4-22    3.  Specify the location, by street and number, of the premises for

4-23  which the license is sought.

4-24    4.  Be accompanied by the required license fee.

4-25    5.  Be accompanied by a certified copy of the certificate required by

4-26  NRS 602.010[.] or any renewal certificate required by section 1 of this

4-27  act.

4-28    Sec. 8.  NRS 683A.240 is hereby amended to read as follows:

4-29     683A.240  1.  [Every] An unincorporated licensee or unincorporated

4-30  applicant for a license under this chapter who desires to use a name other

4-31  than its true name as [shown] indicated on its license [shall] must file with

4-32  the commissioner a certified copy of the entry of the county clerk and of

4-33  the certificate or any renewal certificate filed under chapter 602 of NRS.

4-34  [Every] An incorporated licensee and incorporated applicant must file with

4-35  the commissioner in writing the corporation’s true name and [also all] the

4-36  fictitious names under which it conducts or intends to conduct business.

4-37  After licensing, [every such] each licensee shall file promptly with the

4-38  commissioner written notice of any change in or discontinuance of the use

4-39  of any such name.

4-40    2.  The commissioner may in writing disapprove the use of any true

4-41  name, other than the bona fide natural name of an individual applicant or

4-42  licensee, or any fictitious name used or proposed to be used by any

4-43  applicant or licensee, on any of the following grounds:

4-44    (a) The name interferes with or is deceptively similar to a name already

4-45  filed and in use by another licensee.

4-46    (b) Use of the name may mislead the public in any respect.

4-47    (c) The name states or implies that the licensee or applicant is an

4-48  insurer, motor club, hospital service plan or is entitled to engage in

5-1  insurance activities not [permitted] authorized under licenses which it

5-2  holds or has applied for.

5-3    (d) The name states or implies that the licensee is an underwriter. [This

5-4  paragraph does not prevent an] The provisions of this paragraph do not

5-5  prohibit:

5-6       (1) An individual life agent licensee or [an] individual life insurance

5-7  broker licensee from describing himself as an underwriter[,] or from using

5-8  the designation “chartered life underwriter” if he is entitled [thereto, or

5-9  prevent a] to use that designation;

5-10      (2) A natural person who is a property and casualty licensee from

5-11  using the designation “chartered property and casualty underwriter” if he is

5-12  entitled [thereto, or prevent an] to use that designation; or

5-13      (3) An insurance agent or broker trade association from using a name

5-14  containing “underwriter.”

5-15    (e) The licensee has already filed and not discontinued use of more than

5-16  two names, including the true name.

5-17    3.  A licensee shall not use a name after written notice from the

5-18  commissioner that its use is contrary to this section. If the commissioner

5-19  determines that [such] the use of the name is justified by mitigating

5-20  circumstances, he may in writing [permit] authorize the use of the name to

5-21  continue for a specified reasonable period upon conditions imposed by him

5-22  for the protection of the public consistent with the purposes of this section.

5-23    4.  Paragraphs (a), (c) and (d) of subsection 2 do not apply to the true

5-24  name of any organization which on July 1, 1965, held under [such] that

5-25  name any type of license similar to those provided for under this chapter,

5-26  or to any fictitious name in use on July 1, 1965, by any natural person or

5-27  organization holding any type of license similar to those provided for under

5-28  this chapter, if the fictitious name was filed with the commissioner on or

5-29  before July 1, 1965.

5-30    Sec. 9.  NRS 686A.370 is hereby amended to read as follows:

5-31     686A.370  1.  [Every] An unincorporated licensee or unincorporated

5-32  applicant for a license who desires the issuance of a license under a

5-33  fictitious name [shall] must file with the commissioner a certified copy of

5-34  the entry in the county clerk’s register and of the certificate or any renewal

5-35  certificate filed pursuant to chapter 602 of NRS. [Every] An incorporated

5-36  licensee and incorporated applicant [shall] must file with the commissioner

5-37  in writing the corporation’s true name and [also all] the fictitious names

5-38  under which it conducts or intends to conduct business in this state. After

5-39  licensing, [every] each licensee shall file promptly with the commissioner

5-40  written notice of any change in or discontinuance of any fictitious name.

5-41    2.  The commissioner may in writing disapprove the use of any true

5-42  name, other than the bona fide natural name of a natural person, or any

5-43  fictitious name used or proposed to be used by any applicant or licensee, on

5-44  any of the following grounds:

5-45    (a) The name interferes with or is deceptively similar to a name already

5-46  filed and in use by another licensee;

5-47    (b) Use of the name may mislead the public in any respect; or

6-1    (c) The name states or implies that the licensee or applicant is an insurer

6-2  or is entitled to engage in insurance activities not [permitted] authorized

6-3  under the licenses which he holds or for which he has applied.

6-4    Sec. 10.  NRS 602.015 is hereby repealed.

6-5    Sec. 11. This act becomes effective on July 1, 2001.

 

6-6  TEXT OF REPEALED SECTION

 

6-7    602.015  Filing by corporations doing business in state on July 1,

6-8   1969. Any corporation conducting, carrying on or transacting business in

6-9   this state under an assumed or fictitious name or designation on July 1,

6-10   1969, shall within 30 days after July 1, 1969, file the certificate required

6-11   by NRS 602.010.

 

6-12  H