News Maker - NEVADA
NEVADA - Senate Bill 251 continues to move through the Nevada legislature. The act titled: Revises various provisions governing contracts for the performance of any kind of labor and for work, material or equipment for the construction, alteration or repair of property or improvements to property, requires certain owners and lessees to obtain the services of an escrow agency and to establish trust accounts for amounts withheld from payment to contractors and subcontractors; requiring those owners and lessees to record a notice of establishment of a trust account and a verification of compliance under certain circumstances; establishes requirements for administering such trust accounts; providing that a lien claimant has a lien against such retention amounts and trust accounts under certain circumstances; expandis the scope of provisions concerning the liability of an original contractor for the indebtedness for labor incurred by a subcontractor; and provides other matters properly relating thereto.
These new provisions apply to contracts over $1,000,000. Assuming the act is signed into law it would become effective on July 1, 2013.