Nev. Admin. Code § 645F.820 - Duties of Commissioner when unsafe condition or practice is suspected; seizure of property and assets of licensee; duties of Attorney General
Current through October 13, 2021
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NAC 645F.820 Duties of Commissioner when unsafe condition or practice is suspected; seizure of property and assets of licensee; duties of Attorney General. (NRS 645F.255, 645F.390)
1. In addition to any other action that is required or allowed pursuant to the Nevada Covered Service Provider Regulations or chapter 645F of NRS, if the Commissioner has reasonable cause to believe that:
(a) The assets or capital of a licensee are impaired; or
(b) A licensee is conducting business in an unsafe and injurious manner that may result in danger to the public,
the Commissioner may immediately take possession of all the property, business and assets of the licensee that are located in this State and may retain possession of them.
2. If the licensee, or the board of directors or any officer or person in charge of the offices of the licensee, if any, refuses to permit the Commissioner to take possession of the property of the licensee pursuant to subsection 1:
(a) The Commissioner will notify the Attorney General; and
(b) The Attorney General may immediately bring such proceedings as may be necessary to place the Commissioner in immediate possession of the property of the licensee.
3. If the Commissioner takes possession of the property of the licensee, the Commissioner will:
(a) Make or have made an inventory of the assets and known liabilities of the licensee;
(b) File one copy of the inventory in the Office of the Commissioner;
(c) If the licensee’s principal office is located within this State, file one copy in the office of the clerk of the district court of the county in which the licensee has his or her principal office;
(d) If the licensee’s principal office is not located within this State, file one copy in the office of the clerk of the Eighth Judicial District Court of the State of Nevada in and for Clark County;
(e) Mail one copy to the licensee and to each stockholder, partner, officer, director or associate of the licensee, if any, at the last known address of each person; and
(f) If the licensee maintains any trust accounts, not later than 5 business days after the date on which the Commissioner takes possession of the property of the licensee, mail notice of such possession to the last known address of each person whose money is deposited in such an account or whose money was or should have been deposited in such an account during the preceding 12 months.
4. The clerk of the court with whom the copy of the inventory is filed shall file it as any other case or proceeding pending in the court and shall give it a docket number.
(Added to NAC by Comm’r of Mortgage Lending by R052-09, eff. 8-25-2009; A by R120-15, 12-23-2015, eff. 1-1-2016)