NRS 111.120 Conditions necessary before proof by subscribing witness can be taken.
NRS 111.125 Proof required from subscribing witnesses.
NRS 111.175 Conveyances made to defraud prior or subsequent purchasers are void.
NRS 111.180 Bona fide purchaser: Conveyance not deemed fraudulent in favor of bona fide purchaser unless subsequent purchaser had actual knowledge, constructive notice or reasonable cause to know of fraud.
All subsequent transfers of Jimijack’s defective deed were void.
NRS 111.340 Certificate of acknowledgment and record may be rebutted. Neither the certificate of the acknowledgment nor of the proof of any conveyance or instrument, nor the record, nor the transcript of the record, of such conveyance or instrument, shall be conclusive, but the same may be rebutted.
NRS 111.345 Proof taken upon oath of incompetent witness: Instrument not admissible until established by competent proof. If the party contesting the proof of any conveyance or instrument shall make it appear that any such proof was taken upon the oath of an incompetent witness, neither such conveyance or instrument, nor the record thereof, shall be received in evidence, until established by other competent proof.
NRS 240 NOTARY PUBLICS
NRS 240.120 Journal of notarial acts: Duty to maintain; contents; verification based upon credible witness; copy of entry; storage; period of retention; report of loss or theft; exceptions.
NRS 240.155 Notarization of signature of person not in presence of notary public unlawful; penalty.
NRS 240.075 Prohibited acts. A notary public shall not:
2. Certify an instrument containing a statement known by the notary public to be false.
3. Perform any act as a notary public with intent to deceive or defraud, including, without limitation, altering the journal that the notary public is required to keep pursuant to NRS 240.120.
NRS 240.075
NRS 240.147 Unlawful destruction, defacement or concealment of notarial record.
NRS 116.3102Powers of unit-owners’ association; limitations.sociation; limitations.
NRS 116.3103 Power of executive board to act on behalf of association; members and officers are fiduciaries; duty of care; application of business-judgment rule and conflict of interest rules; limitations on power.
NRS 116.31031 Power of executive board to impose fines and other sanctions for violations of governing documents; limitations; procedural requirements; continuing violations; collection of past due fines; statement of balance owed.
NRS 116.3108 Meetings of units’ owners of association; opening and counting of ballots for election of members of executive board required; frequency of meetings; calling special meetings; requirements concerning notice and agendas; requirements concerning minutes of meetings; right of units’ owners to make audio recordings of meetings.
NRS 116.31083 Meetings of executive board; frequency of meetings; notice of meetings; periodic review of certain financial and legal matters at meetings; requirements concerning minutes of meetings; right of units’ owners to make audio recordings of certain meetings.
NRS 116.31084 Voting by member of executive board; disclosures; abstention from voting on certain matters.
NRS 116.31085 Right of units’ owners to speak at certain meetings; limitations on right; limitations on power of executive board to meet in executive session; procedure governing hearings on alleged violations; requirements concerning minutes of certain meetings.
NRS 116.31087 Right of units’ owners to have certain complaints placed on agenda of meeting of executive board.
Sun City Anthem bylaws 3.21 Accounts and reports: delinquency report
(v) a delinquency report listing all Owners who are delinquent in paying any assessments at the time of the report and describing the status of any action to collect such assessments which remain delinquent ( any assessment or installment thereof shall be considered to be delinquent on the 15th day following the due date unless otherwise specified by Board resolution).
Universal Citation: NV Rev Stat § 116.31162 (2013) NRS 116.31162 – Foreclosure of liens: Mailing of notice of delinquent assessment; recording of notice of default and election to sell; period during which unit s owner may pay lien to avoid foreclosure; limitations on type of lien that may be foreclosed.
Universal Citation: NV Rev Stat § 116.311635 (2013) NRS 116.311635 Foreclosure of liens: Providing notice of time and place of sale; service of notice of sale; contents of notice of sale; proof of service.
Universal Citation: NV Rev Stat § 116.31164 (2013) NRS 116.31164 Foreclosure of liens: Procedure for conducting sale; purchase of unit by association; execution and delivery of deed; use of proceeds of sale.
Universal Citation: NV Rev Stat § 116.31166 (2013) NRS 116.31166 Foreclosure of liens: Effect of recitals in deed; purchaser not responsible for proper application of purchase money; title vested in purchaser without equity or right of redemption.
Universal Citation: NV Rev Stat § 116.31168 (2013) NRS 116.31168 Foreclosure of liens: Requests by interested persons for notice of default and election to sell; right of association to waive default and withdraw notice or proceeding to foreclose.
NRS 116.31164(3) mandates ministerial duties after the sale including distribution of the proceeds
Sale was not authorized by a SCA Board action taken in compliance with the provisions of NRS 116.31083 and NRS 116.31085
NRS 116.3102 define the powers of unit-owners’ association.
NRS 116.3102(m) limits the association’s authority to sanction an owner for an alleged violation of the governing documents by requiring the association to provide notice and due process as delineated in NRS 116.31031 to the owner who may be sanctioned.
(m) May impose reasonable fines for violations of the governing documents of the association only if the association complies with the requirements set forth in NRS 116.31031.
With certain exceptions defined in NRS 116.31085, Board actions must occur at duly called Board meetings, compliant with the provisions of NRS 116.31083, i.e.,
that are open to all unit owners,
that provide meaningful notice of the actions the Board intends to take at that meeting,
that provide minutes of all Board decisions made and actions taken.
SCA Board voted in closed meetings to impose sanctions without notice
SCA board did not take any valid votes to authorize the sale of 2763 White Sage in any open meeting with agendas and minutes that complied with the requirements in NRS 116.31083 (2013) and NRS 116.31085 (2013).
Therefore, the decision and the sale are voidable.
No compliant agendas announced an intent to foreclose
SCA did not publish notice of its intent to authorize the sale of 2763 White Sage Drive on any agenda for any meeting of the Board in the manner prescribed by NRS 116.31083(5) and NRS 116.3108(4).
According to NRS 116.31083(5), meetings of an association’s executive board must comply with the provisions of subsection 4 of NRS 116.3108.
NRS 116.3108(4) defines requirements of notice and agendas:
(a) A clear and complete statement of the topics scheduled to be considered during the meeting, …
(b) A list describing the items on which action may be taken and clearly denoting that action may be taken on those items. In an emergency, the units’ owners may take action on an item which is not listed on the agenda as an item on which action may be taken.
(c) A period devoted to comments by units’ owners regarding any matter affecting the common-interest community or the association and discussion of those comments. Except in emergencies, no action may be taken upon a matter raised under this item of the agenda until the matter itself has been specifically included on an agenda as an item upon which action may be taken pursuant to paragraph (b).
No minutes of any SCA Board meeting, compliant with NRS 116.31083 and NRS 116.31085, document a Board action to authorize the foreclosure of 2763 White Sage Drive was ever taken, and therefore the decision is voidable.
NRS (2013) 116.31083 (8) (10) require the Board to maintain “the minutes of each meeting of the executive board until the common-interest community is terminated.” that include the following specific information:
8. Except as otherwise provided in subsection 9 (Section 9 allows the Board to “establish reasonable limitations on materials, remarks or other information to be included in the minutes of its meetings.”) and NRS 116.31085, the minutes of each meeting of the executive board must include:
(a) The date, time and place of the meeting;
(b) Those members of the executive board who were present and those members who were absent at the meeting;
c) The substance of all matters proposed, discussed or decided at the meeting;
(d) A record of each member s vote on any matter decided by vote at the meeting; and
e) The substance of remarks made by any unit s owner who addresses the executive board at the meeting if the unit s owner requests that the minutes reflect his or her remarks or, if the unit s owner has prepared written remarks, a copy of his or her prepared remarks if the unit s owner submits a copy for inclusion.
IMPERMISSIBLE TO SANCTION AN OWNER IN A CLOSED MEETING without a hearing
The decision to foreclose on 2763 White Sage was made in a closed session which was not permissible under the terms of NRS 16.31085 (3) (4) and is therefore voidable.
NRS 116.31085(3) defines the only permissible topics of discussion and actions the Board is authorized to take in an executive session closed to owners
NRS 116.31085 (3)
3. An executive board may meet in executive session only to:
(a) Consult with the attorney for the association on matters relating to proposed or pending litigation if the contents of the discussion would otherwise be governed by the privilege set forth in NRS 49.035 to 49.115, inclusive.
(b) Discuss the character, alleged misconduct, professional competence, or physical or mental health of a community manager or an employee of the association.
(c) Except as otherwise provided in subsection 4, discuss a violation of the governing documents, including, without limitation, the failure to pay an assessment.
(d) Discuss the alleged failure of a unit’s owner to adhere to a schedule required pursuant to NRS 116.310305 if the alleged failure may subject the unit’s owner to a construction penalty.
NRS 116.31085 (3)
Whereas NRS 116.31085(3)(c) only authorizes the Board to “discuss” alleged violations of the governing documents in executive session, NRS 116.31085(4) only permits Board action to sanction an owner for an alleged violation in closed session when it holds a hearing at which the owner can present a defense to dissuade the Board from imposing a sanction for an alleged violation.
NRS 116.31085(4)
4. An executive board shall meet in executive session to hold a hearing on an alleged violation of the governing documents unless the person who may be sanctioned for the alleged violation requests in writing that an open hearing be conducted by the executive board. If the person who may be sanctioned for the alleged violation requests in writing that an open hearing be conducted, the person:
(a) Is entitled to attend all portions of the hearing related to the alleged violation, including, without limitation, the presentation of evidence and the testimony of witnesses;
(b) Is entitled to due process, as set forth in the standards adopted by regulation by the Commission, which must include, without limitation, the right to counsel, the right to present witnesses and the right to present information relating to any conflict of interest of any member of the hearing panel; and
(c) Is not entitled to attend the deliberations of the executive board.
NRS 116.31085(4)
NO MINUTES = IT NEVER HAPPENED
NRS 116.31085(6) requires the Board to report its actions taken in closed session in the regular Board minutes.
6. Except as otherwise provided in this subsection, any matter discussed by the executive board when it meets in executive session must be generally noted in the minutes of the meeting of the executive board.
NRS 116.31085(6)
There are no minutes of any SCA Board meeting that document a Board action to authorize the sale of 2763 White Sage Drive.
NRS 116.31085 (6) also defines a sanctioned owner’s right to receive minutes of any closed meeting at which the Board took action to sanction an owner for an alleged violation pursuant to a hearing.
The executive board shall maintain minutes of any decision made pursuant to subsection 4 concerning an alleged violation and, upon request, provide a copy of the decision to the person who was subject to being sanctioned at the hearing or to the person’s designated representative.
SCA refused to provide minutes as required by NRS 116.31085(6) to document a decision to foreclose was made pursuant to a hearing make the action voidable.
The fact that SCA Board did not provide notice of its intent to authorize the foreclosure of 2763 White Sage, nor offer the owner an opportunity for an open hearing, nor hold a hearing that provided the owner with the mandated due process is evidenced by CAM Lori Martin’s June 1, 2016 email refusing Tobin’s request for minutes of any meeting at which the BOD took action to foreclose:
“Your request for the “minutes where actions leading to foreclosure for delinquent assessment(s) was approved for 2763 White Sage” cannot be fulfilled since those minutes are Executive Session minutes and not privy to the anyone except the Board. The only time Executive Session minutes are released to a homeowner is if a hearing was held and then, only that portion of the meeting minutes is provided.”
CAM Lori Martin’s June 1, 2016 email refusing Tobin’s request for minutes
No notice or hearing was provided
SCA Board did not provide mandated notice and hearing prior to imposing a sanction for the alleged violation of delinquent assessments
4. The executive board may not impose a fine pursuant to subsection 1 unless:
(a) Not less than 30 days before the alleged violation, the unit’s owner and, if different, the person against whom the fine will be imposed had been provided with written notice of the applicable provisions of the governing documents that form the basis of the alleged violation; and
(b) Within a reasonable time after the discovery of the alleged violation, the unit’s owner and, if different, the person against whom the fine will be imposed has been provided with:
(1) Written notice:
(I) Specifying in detail the alleged violation, the proposed action to cure the alleged violation, the amount of the fine, and the date, time and location for a hearing on the alleged violation; and
(II) Providing a clear and detailed photograph of the alleged violation, if the alleged violation relates to the physical condition of the unit or the grounds of the unit or an act or a failure to act of which it is possible to obtain a photograph; and
(2) A reasonable opportunity to cure the alleged violation or to contest the alleged violation at the hearing.
–For the purposes of this subsection, a unit’s owner shall not be deemed to have received written notice unless written notice is mailed to the address of the unit and, if different, to a mailing address specified by the unit’s owner.
5. The executive board must schedule the date, time and location for the hearing on the alleged violation so that the unit’s owner and, if different, the person against whom the fine will be imposed is provided with a reasonable opportunity to prepare for the hearing and to be present at the hearing.
6. The executive board must hold a hearing before it may impose the fine, unless the fine is paid before the hearing or unless the unit’s owner and, if different, the person against whom the fine will be imposed:
(a) Executes a written waiver of the right to the hearing; or
(b) Fails to appear at the hearing after being provided with proper notice of the hearing.
7. If a fine is imposed pursuant to subsection 1 and the violation is not cured within 14 days, or within any longer period that may be established by the executive board, the violation shall be deemed a continuing violation. Thereafter, the executive board may impose an additional fine for the violation for each 7-day period or portion thereof that the violation is not cured. Any additional fine may be imposed without providing the opportunity to cure the violation and without the notice and an opportunity to be heard required by paragraph (b) of subsection 4.
8. If the governing documents so provide, the executive board may appoint a committee, with not less than three members, to conduct hearings on alleged violations and to impose fines pursuant to this section. While acting on behalf of the executive board for those limited purposes, the committee and its members are entitled to all privileges and immunities and are subject to all duties and requirements of the executive board and its members.
Adam Clarkson stated unironically, and apparently, with a complete lack of self-awareness, that SCA Board compliance with specific meeting laws is required for its corporate actions to be valid.
In his first legal opinion as SCA’s Legal counsel and debt collector, Clarkson stated, inter alia,
SCA Board did not comply with NRS 116 meeting laws when it made decisions regarding collection fines, debt forgiveness or foreclosures.
SCA bylaws 3.15 provides that all HOA Board meetings must be open to members with specified exceptions. This provision parallels NRS 116.31083.
SCA bylaws 3.15A Executive Session defines the limited topics that can be discussed in closed meetings and define the due process required prior to the Board imposing a sanction against an owner for alleged violations of the governing documents. This provision parallels NRS 116.31085.
NRS 116.31164(3) (2013) defines ministerial duties mandated on a debt collector after conducting an HOA foreclosure sale. Red Rock did not comply with 3(b) or 3(c ) after Red Rock sold 2763 White Sage without statutorily required notice to Nona Tobin on 8/15/14.
Rule 22. Interpleader
(a) Grounds.
(1) By a Plaintiff. Persons with claims that may expose a plaintiff to double or multiple liability may be joined as defendants and required to interplead. Joinder for interpleader is proper even though:
(A) the claims of the several claimants, or the titles on which their claims depend, lack a common origin or are adverse and independent rather than identical; or
(B) the plaintiff denies liability in whole or in part to any or all of the claimants.
(2) By a Defendant. A defendant exposed to similar liability may seek interpleader through a crossclaim or counterclaim.
(b) Relation to Other Rules and Statutes. This rule supplements — and does not limit — the joinder of parties allowed by Rule 20. The remedy this rule provides is in addition to — and does not supersede or limit — the remedy provided by any Nevada statute authorizing interpleader. These rules apply to any action brought under statutory interpleader provisions, except as otherwise provided by Rule 81.
NRCP 22
Why interpleader was an abuse of process
NRCP 22 was corruptly utilized by Plaintiff Red Rock after unlawfully holding the sale proceeds for more than six years. Red Rock had no legitimate grounds for filing the interpleader action. Red Rock was not exposed to any liability as there were no recorded claims for those proceeds other than Nona Tobin’s 3/28/17 deed. Red Rock filed the interpleader complaint for improper purposes, including, but not limited to, the obstruction of the fair, evidence-based adjudication of Nona Tobin’s claims for quiet title and equitable relief.
What do HOA bylaws have to do with it?
NRS Chapter 116 is the chapter of the Nevada Revised Statutes that governs homeowners associations AKA “common-interest communities”.
NRS 116.3106 defines mandatory provisions that must be included in an HOA’s bylaws.
NRS 116.3106(1)(d) requires that an HOA’s bylaws define what an HOA Board of Directors can delegate
NRS 116.3106Bylaws.
1. The bylaws of the association must:
(d) Specify the powers the executive board or the officers of the association may delegate to other persons or to a community manager;
NRS 116.3106(1)(d)
Sun City Anthem bylaws 3.20/3.18 prohibit delegation of these duties:
Relevance to Red Rock’s misappropriation of the proceeds of the sale
Bylaws 3.18(b) levying and collecting assessments
SCA bylaws 3.18 (b) prohibited the Sun City Anthem Board from delegating policy control over “levying and collecting assessments”, but handled control of the debt collection and foreclosure function over to Red Rock based on the advice of its managing agent, FirstService Residential (FSR) who unjustly profited by misinforming the volunteer members of the HOA Board about their fiduciary duty to the HOA and to the common good of the membership at large.
Over-delegation caused by undisclosed conflict of interest
FirstService Residential (FSR) was both on contract with Sun City Anthem to be the managing agent and held the NRS 649 debt collection license doing business as Red Rock Financial Services, a partnership (EIN 88-0358132)
Link to RMI-SCA 1/1/10 management agreement is relevant only insofar as the HOA signed the contract with FSR after its agent RMI management, LLC was purchased by, or merged with, or somehow or another, morphed into FSR.
Secondly, this financial conflict of interest is relevant in that it allowed the agents to control all the records in a manner that allowed them to cover up the misappropriation of funds as well as the wrongful foreclosure of a dozen Sun City Anthem homes in 2014 when the transfer of managing agents occurred.
Bylaws 3.18(e) depositing funds in an approved bank and using funds to operate the HOA
Red Rock did not deposit the funds collected anywhere that they were used for the operation of the HOA.
The funds should have been placed in a Sun City Anthem Trust Account and certainly not in a Red Rock Financial Services Trust Account.
Bylaws 3.18(g) opening bank accounts and designating signatories required
Red Rock did not comply with these SCA bylaws restrictions on the proper depositing of these funds into an account where the Sun City Anthem Board controls the signatories.
The Sun City Anthem Board is ultimately accountable for the funds collected on behalf of the HOA under the HOA’s statutory authority. The bylaws provision was obviously required in order to prevent the very type of conversion that FSR dba Red Rock perpetrated here.
By not complying with the bylaws, the proceeds of this sale and at least a dozen other Sun City Anthem foreclosures were retained in an unaudited, unsupervised account, misnamed as an “attorney trust account”. None of these funds were under the proper control of the HOA Board. These funds, belonging to Sun City Anthem, were wrongly under the proprietary control of a partnership with undisclosed partners, Red Rock Financial Services EIN 88-0358132 and/or Steven Scow, an individual, and/or Koch & Scow LLC.
Red Rock agent/employee Christie Marling instructed Steven Scow to deposit the “excess” proceeds of the sale with the court for interpleader on 8/28/14. Steven Scow did not do it.
Bylaws 3.18(i) enforcing the governing documents, bringing legal proceedings, providing due process guaranteed by CC&Rs 7.4
Neither the Sun City Anthem Board nor the SCA managing agent FSR nor the SCA debt collector FSR dba Red Rock complied with CC&Rs 7.4 when they imposed the sanction of foreclosure on the alleged violation of delinquent assessments.
None of the notice and due process required by the HOA’s CC&Rs were provided prior to selling 2763 White Sage as the sanction for an alleged violation of $2,200 delinquent assessments.
Further, the assessments were only delinquent due to the malicious misconduct of the HOA’s agents, FSR and FSR dba Red Rock, who THREE TIMES misapplied or rejected payments of assessments prior to the sale, and then lied and falsified documents to cover up their crime.
Red Rock and HOA attorneys conspired to defraud the HOA homeowners regarding multiple secret Sun City Anthem foreclosures
NRS 41.1395 Action for damages for injury or loss suffered by older or vulnerable person from abuse, neglect or exploitation; double damages; attorney’s fees and costs.
1. Except as otherwise provided in subsection 3, if an older person or a vulnerable person suffers a personal injury or death that is caused by abuse or neglect or suffers a loss of money or property caused by exploitation, the person who caused the injury, death or loss is liable to the older person or vulnerable person for two times the actual damages incurred by the older person or vulnerable person.
2. If it is established by a preponderance of the evidence that a person who is liable for damages pursuant to this section acted with recklessness, oppression, fraud or malice, the court shall order the person to pay the attorney’s fees and costs of the person who initiated the lawsuit.
3. The provisions of this section do not apply to a person who caused injury, death or loss to a vulnerable person if the person did not know or have reason to know that the harmed person was a vulnerable person.
4. For the purposes of this section:
(a) “Abuse” means willful and unjustified:
(1) Infliction of pain, injury or mental anguish; or
(2) Deprivation of food, shelter, clothing or services which are necessary to maintain the physical or mental health of an older person or a vulnerable person.
(b) “Exploitation” means any act taken by a person who has the trust and confidence of an older person or a vulnerable person or any use of the power of attorney or guardianship of an older person or a vulnerable person to:
(1) Obtain control, through deception, intimidation or undue influence, over the money, assets or property of the older person or vulnerable person with the intention of permanently depriving the older person or vulnerable person of the ownership, use, benefit or possession of that person’s money, assets or property; or
(2) Convert money, assets or property of the older person with the intention of permanently depriving the older person or vulnerable person of the ownership, use, benefit or possession of that person’s money, assets or property.
Ê As used in this paragraph, “undue influence” does not include the normal influence that one member of a family has over another.
(c) “Neglect” means the failure of a person who has assumed legal responsibility or a contractual obligation for caring for an older person or a vulnerable person, or who has voluntarily assumed responsibility for such a person’s care, to provide food, shelter, clothing or services within the scope of the person’s responsibility or obligation, which are necessary to maintain the physical or mental health of the older person or vulnerable person. For the purposes of this paragraph, a person voluntarily assumes responsibility to provide care for an older or vulnerable person only to the extent that the person has expressly acknowledged the person’s responsibility to provide such care.
(d) “Older person” means a person who is 60 years of age or older.
(e) “Vulnerable person” means a person who:
(1) Has a physical or mental impairment that substantially limits one or more of the major life activities of the person; and
(2) Has a medical or psychological record of the impairment or is otherwise regarded as having the impairment.
Ê The term includes, without limitation, a person who has an intellectual disability, a person who has a severe learning disability, a person who suffers from a severe mental or emotional illness or a person who suffers from a terminal or catastrophic illness or injury.
NRS 240.155 Notarization of signature of person not in presence of notary public unlawful; penalty.
1. A notary public who is appointed pursuant to this chapter shall not willfully notarize the signature of a person unless the person is in the presence of the notary public and:
(a) Is known to the notary public; or
(b) If unknown to the notary public, provides a credible witness or documentary evidence of identification to the notary public.
2. A person who:
(a) Violates the provisions of subsection 1; or
(b) Aids and abets a notary public to commit a violation of subsection 1, is guilty of a gross misdemeanor.
NRS 240.155
NRS 240.075 Prohibited acts. A notary public shall not:
1. Influence a person to enter or not enter into a lawful transaction involving a notarial act performed by the notary public.
2. Certify an instrument containing a statement known by the notary public to be false.
3. Perform any act as a notary public with intent to deceive or defraud, including, without limitation, altering the journal that the notary public is required to keep pursuant to NRS 240.120.
4. Endorse or promote any product, service or offering if his or her appointment as a notary public is used in the endorsement or promotional statement.
5. Certify photocopies of a certificate of birth, death or marriage or a divorce decree.
6. Allow any other person to use his or her notary’s stamp.
7. Allow any other person to sign the notary’s name in a notarial capacity.
8. Perform a notarial act on a document that contains only a signature.
9. Perform a notarial act on a document, including a form that requires the signer to provide information within blank spaces, unless the document has been filled out completely and has been signed.
10. Make or note a protest of a negotiable instrument unless the notary public is employed by a depository institution and the protest is made or noted within the scope of that employment. As used in this subsection, “depository institution” has the meaning ascribed to it in NRS 657.037.
11. Affix his or her stamp to any document which does not contain a notarial certificate.
NRS 240.075
NRS 240.147 Unlawful destruction, defacement or concealment of notarial record.
It is unlawful for a person to knowingly destroy, deface or conceal a notarial record.
NRS 240.147
NRS 240.120 Journal of notarial acts: Duty to maintain; contents; verification based upon credible witness; copy of entry; storage; period of retention; report of loss or theft; exceptions.
1. Except as otherwise provided in subsection 2, each notary public shall keep a journal in his or her office in which the notary public shall enter for each notarial act performed, at the time the act is performed:
(a) The fees charged, if any;
(b) The title of the document;
(c) The date on which the notary public performed the act;
(d) Except as otherwise provided in subsection 3, the name and signature of the person whose signature is being notarized;
(e) Subject to the provisions of subsection 4, a description of the evidence used by the notary public to verify the identification of the person whose signature is being notarized;
(f) An indication of whether the notary public administered an oath; and
(g) The type of certificate used to evidence the notarial act, as required pursuant to NRS 240.1655.
2. A notary public may make one entry in the journal which documents more than one notarial act if the notarial acts documented are performed:
(a) For the same person and at the same time; and
(b) On one document or on similar documents.
3. When performing a notarial act for a person, a notary public need not require the person to sign the journal if:
(a) The notary public has performed a notarial act for the person within the previous 6 months;
(b) The notary public has personal knowledge of the identity of the person; and
(c) The person is an employer or coworker of the notary public and the notarial act relates to a transaction performed in the ordinary course of the person’s business.
4. If, pursuant to subsection 3, a notary public does not require a person to sign the journal, the notary public shall enter “known personally” as the description required to be entered into the journal pursuant to paragraph (e) of subsection 1.
5. If the notary verifies the identification of the person whose signature is being notarized on the basis of a credible witness, the notary public shall:
(a) Require the witness to sign the journal in the space provided for the description of the evidence used; and
(b) Make a notation in the journal that the witness is a credible witness.
6. The journal must:
(a)Be open to public inspection.
(b)Be in a bound volume with preprinted page numbers.
7.A notary public shall, upon request and payment of the fee set forth in NRS 240.100, provide a certified copy of an entry in his or her journal.
8. A notary public shall keep his or her journal in a secure location during any period in which the notary public is not making an entry or notation in the journal pursuant to this section.
9. A notary public shall retain each journal that the notary public has kept pursuant to this section until 7 years after the date on which he or she ceases to be a notary public.
10. A notary public shall file a report with the Secretary of State and the appropriate law enforcement agency if the journal of the notary public is lost or stolen.
11. The provisions of this section do not apply to a person who is authorized to perform a notarial act pursuant to paragraph (b), (c), (d) or (e) of subsection 1 of NRS 240.1635.
NRS 240.120
NRS 240.150 Liability for misconduct or neglect; liability of employer; penalties for willful violation or neglect of duty; procedure upon revocation or suspension.
1. For misconduct or neglect in a case in which a notary public appointed pursuant to the authority of this State may act, either by the law of this State or of another state, territory or country, or by the law of nations, or by commercial usage, the notary public is liable on his or her official bond to the parties injured thereby, for all the damages sustained.
2. The employer of a notary public may be assessed a civil penalty by the Secretary of State of not more than $2,000 for each violation specified in subsection 4 committed by the notary public, and the employer is liable for any damages proximately caused by the misconduct of the notary public, if:
(a) The notary public was acting within the scope of his or her employment at the time the notary public engaged in the misconduct; and
(b) The employer of the notary public consented to the misconduct of the notary public.
3. The Secretary of State may refuse to appoint or may suspend or revoke the appointment of a notary public who fails to provide to the Secretary of State, within a reasonable time, information that the Secretary of State requests from the notary public in connection with a complaint which alleges a violation of this chapter.
4. Except as otherwise provided in this chapter, for any willful violation or neglect of duty or other violation of this chapter, or upon proof that a notary public has been convicted of, or entered a plea of guilty, guilty but mentally ill or nolo contendere to, a crime described in paragraph (c) of subsection 2 of NRS 240.010:
(a) The appointment of the notary public may be suspended for a period determined by the Secretary of State, but not exceeding the time remaining on the appointment;
(b) The appointment of the notary public may be revoked after a hearing; or
(c) The notary public may be assessed a civil penalty of not more than $2,000 for each violation.
5. If the Secretary of State revokes or suspends the appointment of a notary public pursuant to this section, the Secretary of State shall:
(a) Notify the notary public in writing of the revocation or suspension;
(b) Cause notice of the revocation or suspension to be published on the website of the Secretary of State; and
(c) If a county clerk has issued a certificate of permission to perform marriages to the notary public pursuant to NRS 122.064, notify the county clerk of the revocation or suspension.
6. Except as otherwise provided by law, the Secretary of State may assess the civil penalty that is authorized pursuant to this section upon a notary public whose appointment has expired if the notary public committed the violation that justifies the civil penalty before his or her appointment expired. 7. The appointment of a notary public may be suspended or revoked by the Secretary of State pending a hearing if the Secretary of State believes it is in the public interest or is necessary to protect the public.
Conveyances of lands, or of any estate or interest therein, may be made by deed, signed by the person from whom the estate or interest is intended to pass, being of lawful age, or by the person’s lawful agent or attorney, and acknowledged or proved, and recorded, as directed in this chapter.
NRS 111.120
NRS 111.120 Conditions necessary before proof by subscribing witness can be taken.
No proof by a subscribing witness shall be taken unless the witness shall be personally known to the person taking the proof to be the person whose name is subscribed to the conveyance as witness thereto, or shall be proved to be such by the oath or affirmation of a credible witness.
NRS 111.120
NRS 111.125 Proof required from subscribing witnesses.
No certificate of proof shall be granted unless subscribing witnesses shall prove: 1. That the person whose name is subscribed thereto as a party is the person described in, and who executed the same. 2. That such person executed the conveyance. 3. That such witness subscribed his name thereto as a witness thereof.
NRS 111.175 Conveyances made to defraud prior or subsequent purchasers are void.
Every conveyance of any estate, or interest in lands, or the rents and profits of lands, and every charge upon lands, or upon the rents and profits thereof, made and created with the intent to defraud prior or subsequent purchasers for a valuable consideration of the same lands, rents or profits, as against such purchasers, shall be void.
NRS 111.175
NRS 111.180 Bona fide purchaser: Conveyance not deemed fraudulent in favor of bona fide purchaser unless subsequent purchaser had actual knowledge, constructive notice or reasonable cause to know of fraud.
1. Any purchaser who purchases an estate or interest in any real property in good faith and for valuable consideration and who does not have actual knowledge, constructive notice of, or reasonable cause to know that there exists a defect in, or adverse rights, title or interest to, the real property is a bona fide purchaser.
2. No conveyance of an estate or interest in real property, or charge upon real property, shall be deemed fraudulent in favor of a bona fide purchaser unless it appears that the subsequent purchaser in such conveyance, or person to be benefited by such charge, had actual knowledge, constructive notice or reasonable cause to know of the fraud intended.
Every conveyance in writing whereby any real property is conveyed or may be affected must be acknowledged or proved and certified in the manner provided in this chapter and in NRS 240.161 to 240.169, inclusive.
NRS 111.240
NRS 111.320 Filing of conveyances or other instruments is notice to all persons: Effect on subsequent purchasers and mortgagees.
Every such conveyance or instrument of writing, acknowledged or proved and certified, and recorded in the manner prescribed in this chapter or in NRS 105.010 to 105.080, inclusive, must from the time of filing the same with the Secretary of State or recorder for record, impart notice to all persons of the contents thereof; and subsequent purchasers and mortgagees shall be deemed to purchase and take with notice.
NRS 111.320
NRS 111.325 Unrecorded conveyances void as against subsequent bona fide purchaser for value when conveyance recorded.
Every conveyance of real property within this State hereafter made, which shall not be recorded as provided in this chapter, shall be void as against any subsequent purchaser, in good faith and for a valuable consideration, of the same real property, or any portion thereof, where his or her own conveyance shall be first duly recorded.
NRS 111.325
NRS 111.340 Certificate of acknowledgment and record may be rebutted.
Neither the certificate of the acknowledgment nor of the proof of any conveyance or instrument, nor the record, nor the transcript of the record, of such conveyance or instrument, shall be conclusive, but the same may be rebutted.
NRS 111.340
NRS 111.345 Proof taken upon oath of incompetent witness: Instrument not admissible until established by competent proof.
If the party contesting the proof of any conveyance or instrument shall make it appear that any such proof was taken upon the oath of an incompetent witness, neither such conveyance or instrument, nor the record thereof, shall be received in evidence, until established by other competent proof.
(a) Claims an interest in, or a lien or encumbrance against, real property in a document that is recorded in the office of the county recorder in which the real property is located and who knows or has reason to know that the document is forged or groundless, contains a material misstatement or false claim or is otherwise invalid;
(b) Executes or notarizes a document purporting to create an interest in, or a lien or encumbrance against, real property, that is recorded in the office of the county recorder in which the real property is located and who knows or has reason to know that the document is forged or groundless, contains a material misstatement or false claim or is otherwise invalid; or
(c) Causes a document described in paragraph (a) or (b) to be recorded in the office of the county recorder in which the real property is located and who knows or has reason to know that the document is forged or groundless, contains a material misstatement or false claim or is otherwise invalid,
Ê has made a false representation concerning title.
2. A person who makes a false representation concerning title in violation of subsection 1 is guilty of a category C felony and shall be punished as provided in NRS 193.130.
3. A person who engages in a pattern of making false representations concerning title is guilty of a category B felony and shall be punished by imprisonment in the state prison for a minimum term of not less than 3 years and a maximum term of not more than 20 years, or by a fine of not more than $50,000, or by both fine and imprisonment.
4. In addition to the criminal penalties imposed for a violation of this section, any person who violates this section is subject to a civil penalty of not more than $5,000 for each violation. This penalty must be recovered in a civil action, brought in the name of the State of Nevada by the Attorney General. In such an action, the Attorney General may recover reasonable attorney’s fees and costs.
5. Except as otherwise provided in this subsection, the owner or holder of the beneficial interest in real property which is the subject of a false representation concerning title may bring a civil action in the district court in and for the county in which the real property is located to recover any damages suffered by the owner or holder of the beneficial interest plus reasonable attorney’s fees and costs. The owner or holder of the beneficial interest in the real property must, before bringing a civil action pursuant to this subsection, send a written request to the person who made the false representation to record a document which corrects the false representation. If the person records such a document not later than 20 days after the date of the written request, the owner or holder of the beneficial interest may not bring a civil action pursuant to this subsection.
6. As used in this section:
(a) “Encumbrance” includes, without limitation, a lis pendens or other notice of the pendency of an action.
(b) “Pattern of making false representations concerning title” means one or more violations of a provision of subsection 1 committed in two or more transactions:
(1) Which have the same or similar pattern, purposes, results, accomplices, victims or methods of commission, or are otherwise interrelated by distinguishing characteristics;
(2) Which are not isolated incidents within the preceding 4 years; and
(3) In which the aggregate loss or intended loss is more than $250.
NRS 205.377 Multiple transactions involving fraud or deceit in course of enterprise or occupation; penalty. [Effective July 1, 2020.]
1. A person shall not, in the course of an enterprise or occupation, knowingly and with the intent to defraud, engage in an act, practice or course of business or employ a device, scheme or artifice which operates or would operate as a fraud or deceit upon a person by means of a false representation or omission of a material fact that:
(a) The person knows to be false or omitted;
(b) The person intends another to rely on; and
(c) Results in a loss to any person who relied on the false representation or omission,
Ê in at least two transactions that have the same or similar pattern, intents, results, accomplices, victims or methods of commission, or are otherwise interrelated by distinguishing characteristics and are not isolated incidents within 4 years and in which the aggregate loss or intended loss is more than $1,200.
2. Each act which violates subsection 1 constitutes a separate offense.
3. A person who violates subsection 1 is guilty of a category B felony and shall be punished by imprisonment in the state prison for a minimum term of not less than 1 year and a maximum term of not more than 20 years, and may be further punished by a fine of not more than $10,000.
4. In addition to any other penalty, the court shall order a person who violates subsection 1 to pay restitution.
5. A violation of this section constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive.
6. As used in this section, “enterprise” has the meaning ascribed to it in NRS 207.380.
1. A person who is a participant in a mortgage lending transaction and who:
(a) Knowingly makes a false statement or misrepresentation concerning a material fact or knowingly conceals or fails to disclose a material fact;
(b) Knowingly uses or facilitates the use of a false statement or misrepresentation made by another person concerning a material fact or knowingly uses or facilitates the use of another person’s concealment or failure to disclose a material fact;
(c) Receives any proceeds or any other money in connection with a mortgage lending transaction that the person knows resulted from a violation of paragraph (a) or (b);
(d) Conspires with another person to violate any of the provisions of paragraph (a), (b) or (c); or
(e) Files or causes to be filed with a county recorder any document that the person knows to include a misstatement, misrepresentation or omission concerning a material fact,
Ê commits the offense of mortgage lending fraud which is a category C felony and, upon conviction, shall be punished by imprisonment in the state prison for a minimum term of not less than 1 year and a maximum term of not more than 10 years, or by a fine of not more than $10,000, or by both fine and imprisonment.
2. A person who engages in a pattern of mortgage lending fraud or conspires or attempts to engage in a pattern of mortgage lending fraud is guilty of a category B felony and, upon conviction, shall be punished by imprisonment in the state prison for a minimum term of not less than 3 years and a maximum term of not more than 20 years, or by a fine of not more than $50,000, or by both fine and imprisonment.
3. Each mortgage lending transaction in which a person violates any provision of subsection 1 constitutes a separate violation.
4. Except as otherwise provided in this subsection, if a lender or any agent of the lender is convicted of the offense of mortgage lending fraud in violation of this section, the mortgage lending transaction with regard to which the fraud was committed may be rescinded by the borrower within 6 months after the date of the conviction if the borrower gives written notice to the lender and records that notice with the recorder of the county in which the mortgage was recorded. A mortgage lending transaction may not be rescinded pursuant to this subsection if the lender has transferred the mortgage to a bona fide purchaser.
5. The Attorney General may investigate and prosecute a violation of this section.
6. In addition to the criminal penalties imposed for a violation of this section, any person who violates this section is subject to a civil penalty of not more than $5,000 for each violation. This penalty must be recovered in a civil action, brought in the name of the State of Nevada by the Attorney General. In such an action, the Attorney General may recover reasonable attorney’s fees and costs.
7. The owner or holder of the beneficial interest in real property which is the subject of mortgage lending fraud may bring a civil action in the district court in and for the county in which the real property is located to recover any damages suffered by the owner or holder of the beneficial interest plus reasonable attorney’s fees and costs.
8. As used in this section:
(a) “Bona fide purchaser” means any person who purchases a mortgage in good faith and for valuable consideration and who does not know or have reasonable cause to believe that the lender or any agent of the lender engaged in mortgage lending fraud in violation of this section.
(b) “Mortgage lending transaction” means any transaction between two or more persons for the purpose of making or obtaining, attempting to make or obtain, or assisting another person to make or obtain a loan that is secured by a mortgage or other lien on residential real property. The term includes, without limitation:
(1) The solicitation of a person to make or obtain the loan;
(2) The representation or offer to represent another person to make or obtain the loan;
(3) The negotiation of the terms of the loan;
(4) The provision of services in connection with the loan; and
(5) The execution of any document in connection with making or obtaining the loan.
(c) “Participant in a mortgage lending transaction” includes, without limitation:
(7) A loan modification consultant as defined in NRS 645F.365;
(8) A mortgage loan originator as defined in NRS 645B.0125;
(9) A mortgage company as defined in NRS 645B.0127; and
(10) A mortgage servicer as defined in NRS 645F.063.
(d) “Pattern of mortgage lending fraud” means one or more violations of a provision of subsection 1 committed in two or more mortgage lending transactions which have the same or similar purposes, results, accomplices, victims or methods of commission, or are otherwise interrelated by distinguishing characteristics.
(a) Who has with criminal intent received any proceeds derived, directly or indirectly, from racketeering activity to use or invest, whether directly or indirectly, any part of the proceeds, or the proceeds derived from the investment or use thereof, in the acquisition of:
(1) Any title to or any right, interest or equity in real property; or
(2) Any interest in or the establishment or operation of any enterprise.
(b) Through racketeering activity to acquire or maintain, directly or indirectly, any interest in or control of any enterprise.
(c) Who is employed by or associated with any enterprise to conduct or participate, directly or indirectly, in:
(1) The affairs of the enterprise through racketeering activity; or
(2) Racketeering activity through the affairs of the enterprise.
(d) Intentionally to organize, manage, direct, supervise or finance a criminal syndicate.
(e) Knowingly to incite or induce others to engage in violence or intimidation to promote or further the criminal objectives of the criminal syndicate.
(f) To furnish advice, assistance or direction in the conduct, financing or management of the affairs of the criminal syndicate with the intent to promote or further the criminal objectives of the syndicate.
(g) Intentionally to promote or further the criminal objectives of a criminal syndicate by inducing the commission of an act or the omission of an act by a public officer or employee which violates his or her official duty.
(h) To transport property, to attempt to transport property or to provide property to another person knowing that the other person intends to use the property to further racketeering activity.
(i) Who knows that property represents proceeds of, or is directly or indirectly derived from, any unlawful activity to conduct or attempt to conduct any transaction involving the property:
(1) With the intent to further racketeering activity; or
(2) With the knowledge that the transaction conceals the location, source, ownership or control of the property.
(j) To conspire to violate any of the provisions of this section.
2. A person who violates this section is guilty of a category B felony and shall be punished by imprisonment in the state prison for a minimum term of not less than 5 years and a maximum term of not more than 20 years, and may be further punished by a fine of not more than $25,000.
3. As used in this section, “unlawful activity” has the meaning ascribed to it in NRS 207.195.
A criminal action or proceeding under NRS 205.322 or 207.400 may be commenced at any time within 5 years after the conduct in violation of the section occurs. Except as otherwise provided in NRS 217.007, a civil action or proceeding under NRS 207.470 may be commenced at any time within 5 years after the violation occurs or after the injured person sustains the injury, whichever is later. If a criminal prosecution or civil action or other proceeding is brought to punish, prevent or restrain any violation of the provisions of NRS 205.322 or 207.400, the running of the period of limitations prescribed by this section with respect to any cause of action arising under NRS 207.470, which is based in whole or in part upon any matter complained of in the prosecution or proceeding, is suspended during the pendency of the prosecution or proceeding and for 2 years following termination of the prosecution or proceeding.
NRS 207.520
Civil Action to claim damages resulting from racketeering
NRS 207.470 Civil actions for damages resulting from racketeering.
1. Any person who is injured in his or her business or property by reason of any violation of NRS 207.400 has a cause of action against a person causing such injury for three times the actual damages sustained. An injured person may also recover attorney’s fees in the trial and appellate courts and costs of investigation and litigation reasonably incurred. The defendant or any injured person in the action may demand a trial by jury in any civil action brought pursuant to this section. Any injured person has a claim to forfeited property or the proceeds derived therefrom and this claim is superior to any claim the State may have to the same property or proceeds if the injured person’s claim is asserted before a final decree is issued which grants forfeiture of the property or proceeds to the State.
2. A final judgment or decree rendered in favor of the State in any criminal proceeding under NRS 205.322 or 207.400 estops the defendant in any subsequent civil action or proceeding from denying the essential allegations of the criminal offense.
3. Any civil action or proceeding under this section must be instituted in the district court of the State in the county in which the prospective defendant resides or has committed any act which subjects him or her to criminal or civil liability under this section or NRS 205.322, 207.400 or 207.460.
4. Any civil remedy provided pursuant to this section is not exclusive of any other available remedy or penalty.
NRS 207.480 Order of court upon determination of civil liability. A district court may, following a determination of civil liability under NRS 207.470 or 207.490, take such actions as it deems proper, including ordering the defendant to pay all costs and expenses of the proceedings.
