Assembly Bill No. 576–Committee on Judiciary

 

March 26, 2001

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Referred to Committee on Judiciary

 

SUMMARY—Revises provisions concerning stay of execution and appeal of certain judgments. (BDR 2‑1153)

 

FISCAL NOTE:    Effect on Local Government: No.

                                 Effect on the State: No.

 

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

 

AN ACT relating to judgments; clarifying the circumstances under which the enforcement of a foreign judgment may be stayed; prescribing the procedures for determining the amount of a bond to secure the stay of execution of certain judgments pending appeal; 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 17.370 is hereby amended to read as follows:

1-2    17.370  1.  If the judgment debtor shows the court that an appeal from

1-3  the foreign judgment is pending or will be taken, or that a stay of execution

1-4  has been granted, the court shall stay enforcement of the foreign judgment

1-5  until the appeal is concluded, the time for appeal expires or the stay of

1-6  execution expires or is vacated, upon proof that the judgment debtor has

1-7  furnished the security for the satisfaction of the judgment required by the

1-8  state in which it was rendered.

1-9    2.  If the judgment debtor shows the court any ground upon which

1-10  enforcement of a judgment of any court of this state would be stayed,

1-11  including, without limitation, a showing that an appeal is pending or will

1-12  be taken, that a stay has been granted, requested or will be requested, or

1-13  that the time for taking an appeal has not yet expired, the court shall stay

1-14  enforcement of the foreign judgment for an appropriate period, upon

1-15  requiring the same security for satisfaction of the judgment which is

1-16  required in this state[.] , including, without limitation, security

1-17  determined pursuant to section 2 of this act, if applicable.

1-18    Sec. 2.  Chapter 20 of NRS is hereby amended by adding thereto a new

1-19  section to read as follows:

1-20    1.  Except as otherwise provided in subsection 2, if an appeal is taken

1-21  of a judgment in a civil action that exceeds $1,000,000 in value in which

2-1  an appellant is required to give a bond in order to secure a stay of

2-2  execution of the judgment during the pendency of the appeal, the amount

2-3  of the bond must be:

2-4    (a) One million dollars plus 10 percent of the judgment in excess of

2-5  $1,000,000; or

2-6    (b) Twenty-five million dollars,

2-7  whichever is less.

2-8    2.  If the plaintiff proves by a preponderance of evidence that the

2-9  appellant who posted the bond pursuant to subsection 1 is purposefully

2-10  dissipating or diverting assets outside of the ordinary course of its

2-11  business to evade the ultimate payment of the judgment, the court may

2-12  enter such orders as are necessary to prevent such dissipation or

2-13  diversion, including, without limitation, requiring that a bond be posted

2-14  in an amount equal to the full amount of the judgment.

2-15    3.  The provisions of this section do not limit the discretion of a court,

2-16  for good cause shown, to set the bond on appeal in an amount less than

2-17  the amount otherwise required by law.

2-18    Sec. 3.  The amendatory provisions of this act apply to all actions

2-19  pending or filed on or after the effective date of this act.

2-20    Sec. 4.  This act becomes effective upon passage and approval.

 

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