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Vegas Law
ated in this State.
(Added to NRS by 1997, 3194)
SALES PROMOTIONS
NRS 598.131 Definitions. As used in NRS 598.131 to 598.139, inclusive, unless the context otherwise requires, the words and terms defined in NRS 598.1315 to 598.134, inclusive, have the meanings ascribed to them in those sections.
(Added to NRS by 1989, 2194)
NRS 598.1315 “Advertisement” defined. “Advertisement” means the attempt by publication, dissemination, solicitation or circulation to induce, directly or indirectly, any person to enter into any obligation or to acquire any title or interest in any property, and any acts related to the inducement, promotion or encouragement of a sale.
(Added to NRS by 1989, 2194)
NRS 598.132 “Advertiser” defined. “Advertiser” means any person who is engaged in the business of promotion, marketing or sale of merchandise at retail and who places, either directly or indirectly, an advertisement before the public.
(Added to NRS by 1989, 2194)
NRS 598.1325 “Advertising premium” defined. “Advertising premium” means an offering, gift, prize, award, giveaway, discounted item, bonus, merchandise, service certificate or anything of value, or its equivalent in cash, offered in an advertisement.
(Added to NRS by 1989, 2194)
NRS 598.133 “Merchandise” defined. “Merchandise” means personal property, capable of manual delivery, displayed, held or offered for sale by a merchant.
(Added to NRS by 1989, 2194)
NRS 598.1335 “Sale” defined. “Sale” includes a sale, offer for sale or attempt to sell property for consideration.
(Added to NRS by 1989, 2194)
NRS 598.134 “Sales promotion” defined. “Sales promotion” means a promotion, presentation, solicitation or notification which induces or attempts to induce a sale of merchandise to a person.
(Added to NRS by 1989, 2194)
NRS 598.135 Scope. The provisions of NRS 598.136, 598.137 and 598.138, do not apply to:
1. A contest of skill that does not involve the sale or lease of any goods, property or service.
2. A person who is licensed as a seller or a salesman pursuant to chapter 599B of NRS, and is engaging in an activity within the scope of that license.
3. A sale or purchase, or solicitation or representation made in connection with the sale or purchase, of goods from a catalog or of books, recordings, video cassettes, periodicals or other similar goods offered by a seller or membership group which is regulated by the Federal Trade Commission if the seller or membership group sends goods, pursuant to an agreement, to a customer or member for his inspection and, if unsatisfied after inspecting the goods, the customer or member is entitled to receive a full refund of the purchase price of the goods if the goods are returned undamaged to the seller or membership group.
4. A solicitation, advertisement or promotion, or offer to extend credit, made by a commercial bank, bank holding company, subsidiary or affiliate of a bank holding company, trust company, savings and loan association, credit union, industrial loan company, personal property broker, consumer finance lender, commercial finance lender or insurer, or any other person engaged in the business of extending credit, who is regulated by an officer or agency of the State or of the Federal Government.
5. A person licensed pursuant to chapter 463 of NRS and his employees.
(Added to NRS by 1989, 2196)
NRS 598.136 Representation that person has won prize or is winner of contest.
1. A person shall not, in connection with the sale or lease or solicitation for the sale or lease of any goods, property or service, represent that another person has won anything of value or is the winner of any contest unless:
(a) The advertiser indicates, clearly and conspicuously, the name and address of the advertiser at the commencement of an oral solicitation or advertisement. If the advertisement is written, the information must be in bold type at least 2 points larger than the type used in the major portion of the advertisement, and must be placed at the top of the first page of the advertisement.
(b) The method of selection of the recipient of the prize is one in which no more than 10 percent of the names considered are selected as recipients.
(c) The prize is given without obligation to the recipient.
(d) The prize is delivered to the recipient at no expense to him within 30 days after the representation.
(e) The language of the advertisement represents that it is a sales promotion.
(f) The language of the advertisement does not represent that the recipient has been contacted by telephone or any other means when no such contact has occurred.
(g) The advertisement indicates to the recipient the brand name of any advertising premium offered. If the advertising premium consists of a vacation or trip, the advertiser shall indicate, clearly and conspicuously, the name and location of the accommodations and whether transportation to and from the vacation site or point of departure is included. The advertiser shall not offer a vacation or trip for which a deposit or other fee is required of the recipient.
(h) The advertisement does not misrepresent the value of an advertising premium by any means, including, but not limited to, the grouping of advertising premiums of substantially different value.
(i) The advertisement indicates, clearly and conspicuously, to the recipient that an advertising premium is discounted, no longer manufactured, damaged or less than first quality.
(j) The advertisement indicates that the advertiser will disclose upon request and without charge which advertising premium will be received. The advertiser shall disclose such information upon request.
(k) The advertisement indicates, clearly and conspicuously, the probability that a person may receive each advertising premium mentioned in the advertisement. The probability must be indicated adjacent to the first mention of each advertising premium and expressed in whole numbers. If the advertisement is written, such information and any rule or condition must appear in bold type the same size as the type used for the major portion of the advertisement.
(l) The advertisement indicates, clearly and conspicuously, the date the prizes are to be awarded, and that a record regarding the names and addresses of the winners will be provided upon request without charge. The advertiser shall provide the record to any person upon request.
(m) The advertiser does not offer merchandise as a substitute for a reimbursement for travel, allowance for a trip or similar plan of compensation.
2. As used in this section, “language of the advertisement” means the use of any language that has a tendency to lead a reasonable person to believe he has won a contest or merchandise of value, including, but not limited to, “congratulations,” “you have won,” “you are a winner,” “you have been chosen,” “you have been selected” and “you are entitled to receive.”
(Added to NRS by 1989, 2194)
NRS 598.137 Representation that person has chance to receive prize.
1. A person shall not, in connection with the sale or lease or solicitation for sale or lease of any goods, property or service, represent that another person has a chance to receive a prize or item of value without clearly disclosing on whose behalf the contest or promotion is conducted and all conditions that a participant must meet.
2. A person who makes a representation described in subsection 1 must display, clearly and conspicuously, adjacent to the description of the item or prize to which it relates:
(a) The actual retail value of each item or prize;
(b) The number of each item or prize to be awarded; and
(c) The odds of receiving each item or prize, expressed in whole numbers.
3. It is unlawful to make a representation described in subsection 1 if
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