Nevada legislature updates consumer protection laws and increases fines for deceptive practices

The Nevada State Legislature has introduced Senate Bill 49, aimed at strengthening consumer protection laws in the state. Proposed on April 18, 2025, the bill seeks to enhance penalties for deceptive trade practices and improve the operational capabilities of the Bureau of Consumer Protection.

One of the key provisions of Senate Bill 49 is the significant increase in administrative fines for deceptive trade practices. Currently set at $1,000 or treble the amount of restitution ordered, the new bill proposes raising this fine to a maximum of $15,000 for each violation, or treble the restitution amount, whichever is greater. This change is intended to deter fraudulent activities and provide a stronger enforcement mechanism for the Attorney General and the Commissioner of Consumer Affairs.

Additionally, the bill revises the methods by which civil penalties can be served, aiming to streamline the enforcement process. It also modifies the allocation of funds from the Consumer Protection Legal Account, allowing for greater flexibility in using these funds for staffing and operational needs within the Office of the Attorney General and the Consumer’s Advocate. Notably, the bill removes the previous requirement that the Legal Account must exceed 120 days of operating costs before funds can be utilized for additional consumer protection purposes.

Senate Bill 49 has sparked discussions among lawmakers and consumer advocacy groups. Proponents argue that the increased penalties and enhanced funding will empower the Consumer’s Advocate to more effectively combat fraud and protect consumers. However, some critics express concerns about the potential for overreach in enforcement and the implications of increased fines on small businesses.

The bill also addresses the confidentiality of records held by the Consumer’s Advocate, ensuring that communications and files related to consumer protection efforts remain private until officially released by the relevant agency.

As Senate Bill 49 moves through the legislative process, its implications could significantly impact consumer protection in Nevada. If passed, it may lead to a more robust framework for addressing deceptive practices, ultimately benefiting consumers across the state. The bill's progress will be closely monitored as stakeholders weigh its potential effects on both consumers and businesses.