Nevada Revised Statutes 616D.210 – Engagement in new business after termination of prior business while owing premiums, interest or penalties to private carriers: Prohibitions; penalties
1. Any person who:
Terms Used In Nevada Revised Statutes 616D.210
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
- person: means a natural person, any form of business or social organization and any other nongovernmental legal entity including, but not limited to, a corporation, partnership, association, trust or unincorporated organization. See Nevada Revised Statutes 0.039
(a) Is the legal or beneficial owner of 25 percent or more of a business which terminates operations while owing a premium, interest or penalty to a private carrier and becomes, or induces or procures another person to become, the legal or beneficial owner of 25 percent or more of a new business engaging in similar operations; or
(b) Knowingly aids or abets another person in carrying out such conduct, is liable in a civil action for the payment of any premium, interest and penalties owed to the private carrier and the reasonable costs incurred by the private carrier to investigate and act upon such conduct.
2. Any person who:
(a) Is the legal or beneficial owner of 25 percent or more of a business which terminates operations while owing money to the Division for any unpaid administrative fine imposed or benefit penalty ordered pursuant to NRS 616D.120, unpaid premium or interest charged pursuant to NRS 616D.200 or payments made from the Uninsured Employers’ Claim Account pursuant to NRS 616C.220 or 617.401, including attorney’s fees, administrative costs, interest or penalties, and becomes, or induces or procures another person to become, the legal or beneficial owner of 25 percent or more of a new business engaging in similar operations; or
(b) Knowingly aids or abets another person in carrying out such conduct, is liable for the payment of any amount owed to the Division and the reasonable costs incurred by the Division to investigate and act upon such conduct.
3. An insurer shall not knowingly insure any business which engages in the conduct described in:
(a) Subsection 1 unless the premium and any interest and penalties owed to the prior insurer have been paid to that insurer; or
(b) Subsection 2 unless the amount due the Division pursuant to NRS 616C.220, 616D.120, 616D.200 or 617.401, including any attorney’s fees, administrative costs, interest and penalties, has been paid to the Division.
4. As used in this section, ‘business’ includes, but is not limited to, a firm, sole proprietorship, general or limited partnership, voluntary association or private corporation.