Assembly Bill No. 212–Committee on Commerce and Labor

 

(On Behalf of the Department of Business and Industry, Manufactured Housing Division)

 

February 27, 2003

____________

 

Referred to Committee on Commerce and Labor

 

SUMMARY—Revises provisions relating to Account for Education and Recovery Relating to Manufactured Housing. (BDR 43‑462)

 

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 manufactured housing; revising certain fees related to licensing certain persons for activities relating to manufactured housing; revising various provisions governing a petition for, the permissible amount of, entitlement to and the procedures for recovery from the Account for Education and Recovery Relating to Manufactured Housing; authorizing certain appeals of orders directing payment from the Account; 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 489.4971 is hereby amended to read as

1-2  follows:

1-3  489.4971  1.  The Account for Education and Recovery

1-4  Relating to Manufactured Housing is hereby created within the Fund

1-5  for Manufactured Housing to satisfy the claims of purchasers of

1-6  manufactured homes, mobile homes or commercial coaches against

1-7  persons licensed pursuant to the provisions of this chapter. Any

1-8  balance in the Account over $500,000 at the end of any fiscal year

1-9  must be set aside and used by the Administrator for education

2-1  relating to manufactured homes, mobile homes, travel trailers or

2-2  commercial coaches.

2-3  2.  Upon the issuance or renewal of the following licenses by

2-4  the Division, the licensee must pay in addition to the original or

2-5  renewal license fee, a fee:

2-6  (a) For a dealer’s or manufacturer’s original license, or an

2-7  original limited dealer’s license issued pursuant to NRS 489.281, of

2-8  $1,000.

2-9  (b) For a dealer’s or manufacturer’s renewal license, or a

2-10  renewal limited dealer’s license issued pursuant to NRS 489.281, of

2-11  $600.

2-12      (c) For an original or renewal license for:

2-13          (1) A serviceman, rebuilder or installer, of $150.

2-14          (2) A salesman, of [$25.] $75.

2-15          (3) A responsible managing employee, of [$50.] $100.

2-16  Except as otherwise provided in NRS 489.265, fees collected

2-17  pursuant to this section must be deposited in the State Treasury for

2-18  credit to the Account.

2-19      3.  A payment from the Account to satisfy the claim of a

2-20  purchaser specified in subsection 1 against a person who is licensed

2-21  pursuant to this chapter must be made only upon an appropriate

2-22  court order that is issued in an action for fraud, misrepresentation or

2-23  deceit relating to an act for which a license is required pursuant to

2-24  this chapter.

2-25      Sec. 2.  NRS 489.4975 is hereby amended to read as follows:

2-26      489.4975  1.  If a purchaser of a manufactured home, mobile

2-27  home or commercial coach obtains a final judgment in any court of

2-28  competent jurisdiction against any licensee under this chapter in an

2-29  action specified in subsection 3 of NRS 489.4971, the judgment

2-30  creditor may, upon the termination of all proceedings, including

2-31  appeals in connection with any judgment, file a verified petition ,

2-32  naming the Administrator as a party, in the court in which the

2-33  judgment was entered for an order directing payment from the

2-34  Account in the amount of the unpaid actual damages , [included in

2-35  the judgment and unpaid,] but not more than $25,000 per [judgment

2-36  and the] transaction, regardless of the number of judgments

2-37  relating to the same transaction obtained against a licensee or

2-38  against multiple licensees. The liability of the Account may not

2-39  exceed $100,000 for any [licensee.] person licensed pursuant to

2-40  this chapter, whether he is licensed as a limited-liability company,

2-41  partnership, association or corporation or as a natural person, or

2-42  both.

2-43      2.  A copy of the petition must be served upon the

2-44  Administrator and an affidavit of service filed with the court. The

2-45  petition and each copy of the petition served pursuant to this

3-1  subsection must set forth the grounds which entitle the judgment

3-2  creditor to recover from the Account and must include a copy of:

3-3  (a) The final judgment specified in subsection 1;

3-4  (b) The complaint upon which the final judgment was entered;

3-5  and

3-6  (c) [If assets are known to exist, the] The writ of execution that

3-7  was returned unsatisfied.

3-8  3.  The court shall act upon the petition within 30 days after

3-9  service and, upon the hearing of the petition, the judgment creditor

3-10  must show that:

3-11      (a) He is not the spouse of the judgment debtor, or the personal

3-12  representative of that spouse.

3-13      (b) He has complied with all the requirements of NRS 489.4971

3-14  to 489.4989, inclusive.

3-15      (c) He has obtained a judgment of the kind described in

3-16  subsection 1, stating the amount of the judgment and the amount

3-17  owing on it at the date of the petition.

3-18      (d) A writ of execution has been issued upon the judgment and

3-19  that no assets of the judgment debtor liable to be levied upon in

3-20  satisfaction of the judgment could be found, or that the amount

3-21  realized on the sale of any of them that were found under the

3-22  execution was insufficient to satisfy the judgment, stating the

3-23  amount so realized and the balance remaining due.

3-24      (e) He and the Division have made reasonable searches and

3-25  inquiries to ascertain whether the judgment debtor possesses real or

3-26  personal property or other assets, liable to be sold or applied in

3-27  satisfaction of the judgment.

3-28      (f) The petition has been filed not more than 1 year after the

3-29  termination of all proceedings, including reviews and appeals, in

3-30  connection with the judgment.

3-31      4.  A person licensed pursuant to this chapter shall not

3-32  recover from the Account for damages related to a transaction in

3-33  which he acted in his capacity as a licensee.

3-34      5.  As used in this section, “unpaid actual damages” means

3-35  unpaid damages excluding any award for attorney’s fees, interest

3-36  or costs.

3-37      Sec. 3.  NRS 489.4977 is hereby amended to read as follows:

3-38      489.4977  1.  The Administrator may answer and defend any

3-39  action against the Account in the name of the defendant and may

3-40  use any appropriate method of review on behalf of the Account.

3-41      2.  [The] Unless the judgment was entered by default, consent

3-42  or stipulation or the case was uncontested, the judgment set forth

3-43  in the petition must be considered as prima facie evidence [only

3-44  and] , but the findings of fact in it are not conclusive for the

3-45  purposes of this chapter.

4-1  3.  The Administrator may, subject to court approval,

4-2  compromise a claim based upon the application of the judgment

4-3  creditor. He shall not be bound by any prior compromise of the

4-4  judgment debtor.

4-5  Sec. 4.  NRS 489.4979 is hereby amended to read as follows:

4-6  489.4979  After the hearing, if the court finds that a claim may

4-7  be made against the Account, the court shall enter an order directing

4-8  the Administrator to pay from the Account an amount within the

4-9  limitations set by NRS 489.4975 and 489.4983. The Administrator

4-10  may appeal any court order directing him to pay from the

4-11  Account.

4-12      Sec. 5.  This act becomes effective upon passage and approval.

 

4-13  H