NRS
116.1201 Applicability; regulations.
1. Except as otherwise provided in this
section and NRS 116.1203, this chapter
applies to all common-interest communities created within this State.
2. This chapter does not apply to:
(a) A limited-purpose association, except that a
limited-purpose association:
(1) Shall pay the fees required pursuant
to NRS 116.31155, except that if the
limited-purpose association is created for a rural agricultural residential
common-interest community, the limited-purpose association is not required to
pay the fee unless the association intends to use the services of the
Ombudsman;
(2) Shall register with the Ombudsman
pursuant to NRS 116.31158;
(3) Shall comply with the provisions of:
(I) NRS 116.31038;
(II) NRS 116.31083 and 116.31152, unless the limited-purpose
association is created for a rural agricultural residential common-interest
community;
(III) NRS 116.31073, if the limited-purpose
association is created for maintaining the landscape of the common elements of
the common-interest community;
(IV) NRS 116.31075, if the limited-purpose
association is created for a rural agricultural residential common-interest
community; and
(V) NRS 116.3116 to 116.31168, inclusive.
(4) Shall comply with the provisions of NRS 116.4101 to 116.412, inclusive, as required by the
regulations adopted by the Commission pursuant to paragraph (b) of subsection
5; and
(5) Shall not enforce any restrictions
concerning the use of units by the units’ owners, unless the limited-purpose
association is created for a rural agricultural residential common-interest
community.
(b) Common-interest communities or units located
outside of this State, but NRS 116.4102
and 116.4103, and, to the extent
applicable, NRS 116.41035 to 116.4107, inclusive, apply to a contract
for the disposition of a unit in that common-interest community signed in this
State by any party unless exempt under subsection 2 of NRS 116.4101.
(c) A common-interest community that was created
before January 1, 1992, is located in a county whose population is less than
55,000, and has less than 50 percent of the units within the community put to
residential use, unless a majority of the units’ owners otherwise elect in
writing.
(d) Except as otherwise provided in this chapter,
time shares governed by the provisions of chapter
119A of NRS.
3. The provisions of this chapter do not:
(a) Prohibit a common-interest community created
before January 1, 1992, from providing for separate classes of voting for the
units’ owners;
(b) Require a common-interest community created
before January 1, 1992, to comply with the provisions of NRS 116.2101 to 116.2124, inclusive;
(c) Invalidate any assessments that were imposed
on or before October 1, 1999, by a common-interest community created before
January 1, 1992;
(d) Except as otherwise provided in subsection 8
of NRS 116.31105, prohibit a
common-interest community created before January 1, 1992, or a common-interest
community described in NRS 116.31105
from providing for a representative form of government, except that, in the
election or removal of a member of the executive board, the voting rights of
the units’ owners may not be exercised by delegates or representatives;
(e) Prohibit a master association which governs a
time-share plan created pursuant to chapter 119A
of NRS from providing for a representative form of government for the
time-share plan; or
(f) Prohibit a master association which governs a
planned community containing both units that are restricted exclusively to
nonresidential use and other units that are not so restricted and which is
exempt from the provisions of this chapter pursuant to subsection 2 of NRS 116.12077 from providing for a
representative form of government.
4. The provisions of chapters 117 and 278A
of NRS do not apply to common-interest communities.
5. The Commission shall establish, by
regulation:
(a) The criteria for determining whether an
association, a limited-purpose association or a common-interest community
satisfies the requirements for an exemption or limited exemption from any
provision of this chapter; and
(b) The extent to which a limited-purpose
association must comply with the provisions of NRS 116.4101 to 116.412, inclusive.
6. As used in this section,
“limited-purpose association” means an association that:
(a) Is created for the limited purpose of
maintaining:
(1) The landscape of the common elements
of a common-interest community;
(2) Facilities for flood control; or
(3) A rural agricultural residential
common-interest community; and
(b) Is not authorized by its governing documents
to enforce any restrictions concerning the use of units by units’ owners,
unless the limited-purpose association is created for a rural agricultural
residential common-interest community.
(Added to NRS by 1991,
542; A 1999,
2998; 2001,
2488; 2003,
2223; 2005,
2587; 2009,
1609, 2211,
2863,
2908,
2910;
2011,
1143, 2418;
2019,
1378; 2021,
709, 1398)
Notes of Decisions
Boulder Oaks Cmty. Ass'n v. B & J Andrews Enter., LLC, 215 P.3d 27 (Nev. 2009).
“NRS 116.1201(1) and (2)(b). A lot has a “residential use” if it is used as a dwelling or for “personal, family or household purposes by ordinary customers, whether rented to particular persons or not.”
Elk Point CC HOA v. K.J. Brown, LLC, 515 P.3d 837 (Nev. 2022).
· cites it 2× “See NRS 116.1201 (providing that NRS Chapter 116 "applies to all common- interest communities created within this State").”
Nationstar Mortg., LLC v. Flamingo Trails No. 7 Landscape Maint. Ass'n, No. 2:15-cv-01268 (D. Nev. Sept. 6, 2019).
· cites it 4× “The Nevada Administrative Code sets out the definitional requirements of a 5 limited-purpose association under subsection (1): 6 An association is a limited-purpose association pursuant to subparagraph (1) of 7 paragraph (a) of subsection 6 of NRS 116.1201 if: (a) The…”
Lytle v. Boulden, No. 73039 (Nev. Dec. 4, 2018).
· cites it 3× “By listing exactly which provisions within NRS Chapter 116 apply to limited purpose associations, NRS 116.1201 does not leave any room for question or expansion in the way the Lytles urge.”
Saticoy Bay LLC Ser. 4500 Pac. Sun v. Lakeview Loan Serv., LLC, No. 75586 (Nev. May 15, 2019).
· cites it 3× “An association is a limited-purpose association pursuant to subparagraph (1) of paragraph (a) of subsection 6 of NRS 116.1201 if: (a) The association has been created for the sole purpose of maintaining the common elements consisting of landscaping, public lighting or security…”
Saticoy Bay LLC Ser. 4500 Pac. Sun v. Lakeview Loan Serv., LLC, No. 75586 (Nev. May 15, 2019).
· cites it 3× “An association is a limited-purpose association pursuant to subparagraph (1) of paragraph (a) of subsection 6 of NRS 116.1201 if: (a) The association has been created for the sole purpose of maintaining the common elements consisting of landscaping, public lighting or security…”
Jpmorgan Chase Bank, N.A. v. 1209 Vill. Walk Trust, LLC, No. 69784 (Nev. Mar. 20, 2018).
· cites it 2× “NRS 116.1201(4), detailing NRS Chapter 116's applicability, originally stated, "Mlle provisions of chapters 117 and 278A of NRS do not apply to common-interest communities created on or after January 1, 1992.”
Lytle v. September Tr., No. 76198 (Nev. Mar. 2, 2020).
· cites it 2× “Importantly, the lower court in NRED 1 determined the association was a limited purpose association as defined by NRS 116.1201 and not a Chapter 116 unit-owners association, and that the amended CC&Rs, which would have substantially increased the scope and complexity of the…”
Lytle v. September Tr., No. 76198 (Nev. Mar. 2, 2020).
· cites it 2× “Importantly, the lower court in NRED 1 determined the association was a limited purpose association as defined by NRS 116.1201 and not a Chapter 116 unit-owners association, and that the amended CC&Rs, which would have substantially increased the scope and complexity of the…”
Nev. Rev. Stat. § 116.1201(1): 2 cases
Boulder Oaks Cmty. Ass'n v. B & J Andrews Enter., LLC, 215 P.3d 27 (Nev. 2009).
“NRS 116.1201(1) and (2)(b). A lot has a “residential use” if it is used as a dwelling or for “personal, family or household purposes by ordinary customers, whether rented to particular persons or not.”
Nev. Rev. Stat. § 116.1201(2): 3 cases
Saticoy Bay LLC Ser. 4500 Pac. Sun v. Lakeview Loan Serv., LLC, No. 75586 (Nev. May 15, 2019).
“An association is a limited-purpose association pursuant to subparagraph (1) of paragraph (a) of subsection 6 of NRS 116.1201 if: (a) The association has been created for the sole purpose of maintaining the common elements consisting of landscaping, public lighting or security…”
Saticoy Bay LLC Ser. 4500 Pac. Sun v. Lakeview Loan Serv., LLC, No. 75586 (Nev. May 15, 2019).
“An association is a limited-purpose association pursuant to subparagraph (1) of paragraph (a) of subsection 6 of NRS 116.1201 if: (a) The association has been created for the sole purpose of maintaining the common elements consisting of landscaping, public lighting or security…”
Nev. Rev. Stat. § 116.1201(2)(a): 2 cases
Lytle v. Boulden, No. 73039 (Nev. Dec. 4, 2018).
“By listing exactly which provisions within NRS Chapter 116 apply to limited purpose associations, NRS 116.1201 does not leave any room for question or expansion in the way the Lytles urge.”
Nationstar Mortg., LLC v. Flamingo Trails No. 7 Landscape Maint. Ass'n, No. 2:15-cv-01268 (D. Nev. Sept. 6, 2019).
“The Nevada Administrative Code sets out the definitional requirements of a 5 limited-purpose association under subsection (1): 6 An association is a limited-purpose association pursuant to subparagraph (1) of 7 paragraph (a) of subsection 6 of NRS 116.1201 if: (a) The…”
Nev. Rev. Stat. § 116.1201(2)(b): 1 case
Nev. Rev. Stat. § 116.1201(3)(b): 1 case
Nev. Rev. Stat. § 116.1201(4): 2 cases
Jpmorgan Chase Bank, N.A. v. 1209 Vill. Walk Trust, LLC, No. 69784 (Nev. Mar. 20, 2018).
“NRS 116.1201(4), detailing NRS Chapter 116's applicability, originally stated, "Mlle provisions of chapters 117 and 278A of NRS do not apply to common-interest communities created on or after January 1, 1992.”
Nev. Rev. Stat. § 116.1201(6): 1 case
Nationstar Mortg., LLC v. Flamingo Trails No. 7 Landscape Maint. Ass'n, No. 2:15-cv-01268 (D. Nev. Sept. 6, 2019).
“The Nevada Administrative Code sets out the definitional requirements of a 5 limited-purpose association under subsection (1): 6 An association is a limited-purpose association pursuant to subparagraph (1) of 7 paragraph (a) of subsection 6 of NRS 116.1201 if: (a) The…”
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