Title 52

NRS 604C.050 “Commissioner” defined. “Commissioner” means the Commissioner of Financial Institutions. (Added to NRS by 2019, 2400)

NRS 604C.060 “Consumer” defined. “Consumer” means a natural person who: 1. Resides or is domiciled in this State; and 2. Has a pending legal claim. (Added to NRS by 2019, 2400)

NRS 604C.070 “Consumer litigation funding” defined. “Consumer litigation funding” means the money provided directly or indirectly to a consumer by a consumer litigation funding company in a consumer litigation funding transaction. (Added to NRS by 2019, 2400)

NRS 604C.080 “Consumer litigation funding company” or “company” defined. 1. “Consumer litigation funding company” or “company” means a person that enters into a consumer litigation funding transaction with a consumer. 2. The term does not include: (a) An immediate family member o…

NRS 604C.090 “Consumer litigation funding contract” defined. “Consumer litigation funding contract” means a written agreement between a consumer and a consumer litigation funding company that provides for a consumer litigation funding transaction. (Added to NRS by 2019, 2401)

NRS 604C.100 “Consumer litigation funding transaction” defined. “Consumer litigation funding transaction” means a nonrecourse transaction in which: 1. A consumer litigation funding company provides consumer litigation funding to a consumer in an amount that does not exceed $500,0…

NRS 604C.110 “Document preparation fee” defined. “Document preparation fee” means a one-time fee per legal claim, not to exceed $500, assessed for document preparation services related to the preparation of a consumer litigation funding contract. (Added to NRS by 2019, 2401)

NRS 604C.120 “Funded amount” defined. “Funded amount” means the amount of consumer litigation funding provided to or on behalf of a consumer in a consumer litigation funding transaction. The term does not include charges. (Added to NRS by 2019, 2401)

NRS 604C.130 “Funding date” defined. “Funding date” means the date on which a company transfers to a consumer the funded amount of consumer litigation funding. (Added to NRS by 2019, 2401)

NRS 604C.140 “Immediate family member” defined. “Immediate family member” means a parent, sibling, child by blood, adoption or marriage, spouse, grandparent or grandchild. (Added to NRS by 2019, 2401)

NRS 604C.150 “Legal claim” defined. “Legal claim” means a bona fide civil claim or cause of action. (Added to NRS by 2019, 2401)

NRS 604C.160 “Licensee” defined. “Licensee” means a person who has been issued one or more licenses to engage in the business of a consumer litigation funding company. (Added to NRS by 2019, 2401)

NRS 604C.165 “Nationwide Multistate Licensing System and Registry” or “Registry” defined. “Nationwide Multistate Licensing System and Registry” or “Registry” has the meaning ascribed to it in NRS 604A.083. (Added to NRS by 2021, 2050)

NRS 604C.170 “Resolution date” defined. “Resolution date” means the date upon which: 1. A consumer, or a person on behalf of a consumer, delivers to a consumer litigation company an amount of money equivalent to the funded amount plus any agreed upon charges; or 2. The legal clai…

NRS 604C.200 Regulations. The Commissioner may adopt regulations for the administration and enforcement of this chapter, in addition to and not inconsistent with this chapter. (Added to NRS by 2019, 2401)

NRS 604C.220 Assignment of legal claim; applicability. 1. The contingent right to receive an amount of the potential proceeds of a legal claim is assignable by a consumer. 2. Nothing in this chapter shall be construed to cause any consumer litigation funding transaction conformin…

NRS 604C.240 Applicability of attorney-client relationship. Any communication between the attorney of a consumer in a legal claim and a consumer litigation funding company as it pertains to a consumer litigation funding transaction is subject to the attorney-client privilege, inc…

NRS 604C.300 Certain acts related to the operation of a consumer funding company prohibited. 1. A consumer litigation funding company shall not: (a) Pay or offer to pay a commission, referral fee or other form of consideration to an attorney, law firm, medical provider, chiroprac…

NRS 604C.310 Limitations on amount to be paid to consumer litigation funding company under consumer litigation funding contract. 1. A consumer litigation funding company shall require the amount to be paid to the company under a consumer litigation funding contract to be set as a…

NRS 604C.320 License required. 1. A person shall not engage in the business of a consumer litigation funding company in this State without having first obtained a license from the Commissioner pursuant to this chapter. 2. For the purpose of this section, a person is “engaged in t…

NRS 604C.330 Licensee must conduct business in accordance with license. A licensee shall not conduct the business of a consumer litigation funding company under any name or at a place other than stated in the license. Nothing in this section shall be construed to prohibit: 1. Con…

NRS 604C.340 Application to persons seeking to evade certain provisions. The provisions of NRS 604C.320 shall apply to any person who seeks to evade its application by any device, subterfuge or pretense whatever, including, but not thereby limiting the generality of the foregoing…

NRS 604C.350 Written consumer litigation funding contract required; contents. 1. A consumer litigation funding contract must: (a) Be written in a clear and comprehensible language that is understandable to an ordinary layperson. (b) Be filled out completely when presented to the …

NRS 604C.360 Required disclosures which constitute material terms of consumer litigation funding contract. A consumer litigation funding contract must contain the disclosures specified in this section, which shall constitute material terms of the contract. Except as otherwise pro…

NRS 604C.370 Additional required disclosures. 1. A consumer litigation funding contract must include a written disclosure, signed by the consumer that is typed in at least a 12-point font. 2. The disclosure described in subsection 1 must be separate from the consumer litigation f…

NRS 604C.380 Notice of cancellation of consumer litigation funding contract. If a consumer cancels a consumer litigation funding contract pursuant to NRS 604C.350, the consumer litigation funding company shall promptly forward notice of the cancellation to the attorney or law fir…

NRS 604C.390 Required assets. Every licensee shall maintain assets of at least $50,000 either used or readily available for use in the conduct of the business of each licensed office. (Added to NRS by 2019, 2411)

NRS 604C.400 Registered agent. A licensee who has an office or other place of business located outside of this State shall file with the Commissioner the information required pursuant to NRS 77.310 and continuously maintain a registered agent for service of legal process. Such ag…

NRS 604C.410 Duties of licensee to safeguard customer information. 1. A licensee shall comply with the requirements set forth in 16 C.F.R. Part 314. 2. In addition to complying with the requirements set forth in 16 C.F.R. Part 314, a licensee shall: (a) Maintain the information s…

NRS 604C.500 Application for license. 1. A person who wishes to obtain a license from the Commissioner to engage in the business of a consumer litigation funding company shall submit an application to the Commissioner. The application must be made in writing, under oath and on a …

NRS 604C.510 Additional materials to be submitted with application; grounds for denial of license. 1. In addition to any other requirements set forth in this chapter, each applicant must submit proof satisfactory to the Commissioner that the applicant: (a) Has a good reputation f…

NRS 604C.520 Statement concerning obligation for child support required for issuance or renewal of license. [Effective until the date of the repeal of 42 U.S.C. § 666, the federal law requiring each state to establish procedures for withholding, suspending and restricting the pro…

NRS 604C.530 Suspension of license; reinstatement of license. [Effective until the date of the repeal of 42 U.S.C. § 666, the federal law requiring each state to establish procedures for withholding, suspending and restricting the professional, occupational and recreational licen…

NRS 604C.540 Application fees; surety bond; regulations concerning application fees and surety bond. 1. An application submitted to the Commissioner pursuant to NRS 604C.500 must be accompanied by: (a) A nonrefundable fee of not more than $1,000 for the application and survey; (b…

NRS 604C.550 Investigation of applicant; notice; hearing; order; request hearing; regulations. 1. Upon the filing of the application and the payment of the fees, the Commissioner shall investigate the facts concerning the application and the requirements provided for in this chap…

NRS 604C.560 Issuance of license. If the Commissioner finds: 1. That the financial responsibility, experience, character and general fitness of the applicant are such as to command the confidence of the public and to warrant belief that the business will be operated lawfully, hon…

NRS 604C.565 Expiration of license; procedure for renewal; cancellation and reinstatement. 1. A license issued pursuant to the provisions of this chapter expires on December 31 of each year, unless it is renewed. To renew such a license, the licensee must submit to the Commission…

NRS 604C.570 Change of address by licensee: Notice; approval by Commissioner; penalty for failure to provide required notice. 1. A licensee who wishes to change the address of an office or other place of business for which he or she has a license pursuant to the provisions of thi…

NRS 604C.580 License not transferable or assignable. A license issued pursuant to this chapter is not transferable or assignable. (Added to NRS by 2019, 2411) NATIONWIDE MULTISTATE LICENSING SYSTEM AND REGISTRY

NRS 604C.583 Commissioner authorized to take action to participate in Registry; charges for use; regulations; provisions do not affect authority of Commissioner regarding licensing. 1. The Commissioner may, in furtherance of his or her duties with respect to the issuance and rene…

NRS 604C.586 Submission and processing of fingerprints. 1. The Commissioner may require an applicant or licensee to submit a complete set of fingerprints when the Commissioner determines necessary. 2. The Commissioner may use the services of the Registry to process and to submit …

NRS 604C.589 Commissioner to report information to Registry; confidentiality of information provided; Commissioner authorized to enter into certain agreements and arrangements. 1. Subject to any limitations or restrictions contained in federal or state law governing the privacy o…

NRS 604C.592 Additional materials to be submitted to Registry. 1. In addition to any other requirements set forth by specific statute, each applicant and each owner, officer, director and responsible person of the applicant, each person in control of the applicant and any other p…

NRS 604C.595 Licensee required to register and maintain unique identifier; Commissioner authorized to issue license through Registry; references to Commissioner deemed references to Registry. 1. Each licensee shall register with and maintain a valid unique identifier with the Reg…

NRS 604C.600 Required books and records. 1. Each licensee shall keep and use in his or her business such books and accounting records as are in accord with sound and accepted accounting practices. 2. Each licensee shall maintain a separate record or ledger card for the account of…

NRS 604C.610 Annual examinations by Commissioner; fees for examination. 1. At least once each year, the Commissioner or his or her authorized representative shall make an examination of the place of business of each licensee and of the transactions, books, papers and records of e…