Nevada Revised Statutes 645A.015 – Unlawful to engage in business of administering escrows or act in capacity of escrow agent or escrow agency without license; exceptions
1. Except as otherwise provided in subsection 2, it shall be unlawful for any person to engage in or carry on, or hold himself or herself out as engaging in or carrying on, the business of administering escrows or to act in the capacity of an escrow agent or escrow agency within this State or with respect to any transaction involving real or personal property located in this State without first obtaining a license as an escrow agent or escrow agency issued by the Commissioner pursuant to the requirements of this chapter.
Terms Used In Nevada Revised Statutes 645A.015
- administering escrows: means the process of managing, conducting or supervising an escrow or escrow-related transaction as an escrow agent or escrow agency. See Nevada Revised Statutes 645A.010
- Client: means a person that has engaged an escrow agent or escrow agency to administer an escrow related to a transaction. See Nevada Revised Statutes 645A.010
- Commissioner: means the Commissioner of Mortgage Lending. See Nevada Revised Statutes 645A.010
- 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.
- Escrow: Money given to a third party to be held for payment until certain conditions are met.
- Escrow: means any transaction wherein one person, for the purpose of effecting or closing the sale, purchase, exchange, transfer, encumbering or leasing of real or personal property to another person or persons, delivers any written instrument, money, evidence of title to real or personal property, or other thing of value to a third person to be held by such third person until the happening of a specified event or the performance of a prescribed condition, when it is then to be delivered by such third person, in compliance with instructions under which he or she is to act, to a grantee, grantor, promisee, promisor, obligee, obligor, lessee, lessor, bailee, bailor or any agent or employee thereof. See Nevada Revised Statutes 645A.010
- Escrow agency: means :
(a) Any person who employs one or more escrow agents; or
(b) An escrow agent who administers escrows on his or her own behalf. See Nevada Revised Statutes 645A.010
- Escrow agent: means any natural person employed by and associated with an escrow agency engaged in the business of administering escrows for compensation. See Nevada Revised Statutes 645A.010
- 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
- Personal property: All property that is not real property.
- Trust account: A general term that covers all types of accounts in a trust department, such as estates, guardianships, and agencies. Source: OCC
2. The licensing requirements of this chapter do not apply to:
(a) Any person doing business under the laws of this State or the United States relating to banks, mutual savings banks, trust companies, savings and loan associations, savings banks, common and consumer finance companies or industrial loan companies;
(b) Any person licensed pursuant to chapter 692A of NRS;
(c) Any person licensed to practice law in this State if:
(1) The escrow transaction is performed by the attorney while engaged in the practice of law, or by employees of the law firm under the direct supervision of the attorney while engaged in the practice of law;
(2) The escrow transaction is performed under the name of a person or entity identified and operated as a law firm; and
(3) Any money provided to the attorney related to the escrow, other than money designated for attorney’s fees and costs, is deposited into, maintained within and disbursed from a client trust account that complies with rules of this State governing the conduct of attorneys;
(d) Any firm or corporation which lends money on real or personal property and is subject to licensing, supervision or auditing by an agency of the United States or of this State; or
(e) Any person doing any act under order of any court.
3. As used in this section, ‘law firm’ has the meaning ascribed to it in NRS 38.435.