2001 REGULAR SESSION (71st)                                                                       A SB527 R1 811

Amendment No. 811

 

 

 

     Amend the bill as a whole by deleting section 1 and adding a new section designated section 1, following the enacting clause, to read as follows:

     “Section 1. Chapter 370 of NRS is hereby amended by adding thereto a new section to read as follows:

     1.  Except as otherwise provided in subsection 2, a person may institute a civil action in a court of competent jurisdiction for appropriate injunctive relief if the person:

     (a) Sells, distributes or manufactures cigarettes; and

     (b) Sustains direct economic or commercial injury as a result of a violation of subsection 4 of NRS 370.240 or NRS 370.385.

   2.  Nothing in this section authorizes an action against this state, a political subdivision of this state, or an officer, employee or agency thereof.”.

     Amend the bill as a whole by deleting sec. 5 and adding a new section designated sec. 5, following sec. 4, to read as follows:

     “Sec. 5. NRS 370.385 is hereby amended to read as follows:

     370.385  1.  A wholesale or retail dealer shall not affix a Nevada cigarette revenue stamp or a metered machine impression upon a package, carton, packet or other container of cigarettes which:

     (a) Does not meet the requirements of the Federal Cigarette Labeling and Advertising Act, 15 U.S.C. §§ 1331 et seq., for the placement of labels, warnings or any other information required by that Act to be placed upon a container of cigarettes sold within the United States;

     (b) Is labeled as “for export only,” “U.S. tax exempt,” “for use outside the U.S.” or with similar wording indicating that the manufacturer did not intend for the product to be sold in the United States;

     (c) Has been altered by the unauthorized addition or removal of wording, labels or warnings described in paragraph (a) or (b);

     (d) Has been exported from the United States after January 1, 2000, and imported into the United States in violation of 26 U.S.C. § 5754; [or]

     (e) Has been imported into the United States in violation of 19 U.S.C. § 1681a;

     (f) Was manufactured, packaged or imported by a person who has not complied with 15 U.S.C. § 1335a with regard to the cigarettes;

     (g) Violates a federal trade-mark or copyright law [.] ; or

     (h) Violates any other federal statute or regulation or with respect to which any federal statute or regulation has been violated.

     2.  A wholesale or retail dealer shall not:

     (a) Affix Nevada cigarette revenue stamps or metered machine impressions on;

     (b) Sell or distribute in this state; or

     (c) Possess in this state with the intent to sell or distribute in this state,

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cigarettes manufactured for export outside the United States.

     3.  The department may impose a penalty on a wholesale or retail dealer who violates subsection 1 or 2 as follows:

     (a) For the first violation, a penalty of $5,000.

     (b) For each subsequent violation, a penalty of $10,000.

     4.  Notwithstanding any other provision of law, the department [may seize, destroy or sell to the manufacturer, for export only, a container of] shall seize and destroy cigarettes upon which a revenue stamp or metered machine impression was placed in violation of subsection 1 or 2.

     5.  As used in this section, “cigarettes manufactured for export outside the United States” means cigarettes contained in a package or carton which indicates that the cigarettes are tax exempt and for use outside the United States.”.

     Amend sec. 6, pages 2 and 3, by deleting lines 47 through 49 on page 1 and lines 1 and 2 on page 3, and inserting:

     “370.415  1.  The department, its agents, sheriffs within their respective counties and all other peace officers of the State of Nevada shall seize any contraband cigarettes found or located in the State of Nevada.

     2.  A sheriff or other peace officer who seizes cigarettes pursuant to this section shall provide written notification of the seizure to the department not later than 5 working days after the seizure. The notification must include the reason for the seizure.

     3.  After consultation with the department, the sheriff or other peace officer shall transmit the cigarettes to the department if:

     (a) The cigarettes, except for revenue stamps or metered machine impressions being properly affixed as required by this chapter, comply with all state and federal statutes and regulations; and

     (b) The department approves the transmission of the cigarettes.

     4.  Upon receipt of the cigarettes, the department shall dispose of the cigarettes as provided in subsection 4 of NRS 370.270.

     5.  If the sheriff or other peace officer does not transmit the cigarettes to the department, he shall destroy the cigarettes.”.

     Amend the bill as a whole by deleting sec. 7 and renumbering sections 8 and 9 as sections 7 and 8.

     Amend the title of the bill by deleting the fifth through ninth lines and inserting:

“certificates regarding cigarettes imported into the United States; expanding the scope of prohibited acts by cigarette dealers; revising the provisions governing the disposal of certain contraband cigarettes; providing for a private right of action for injunctive relief regarding certain violations of chapter 370 of NRS; providing a penalty; and”.

     Amend the summary of the bill to read as follows:

“SUMMARY—Revises provisions governing contraband cigarettes, cigarette dealers and enforcement of statutes regarding cigarettes. (BDR 32‑1326)”.