{"id":4067,"date":"2021-09-24T12:30:50","date_gmt":"2021-09-24T17:30:50","guid":{"rendered":"https:\/\/blogs.luc.edu\/compliance\/?p=4067"},"modified":"2021-09-24T12:30:50","modified_gmt":"2021-09-24T17:30:50","slug":"nevada-limited-english-proficiency-consumer-law-taking-effect-october-1-2021","status":"publish","type":"post","link":"https:\/\/blogs.luc.edu\/compliance\/?p=4067","title":{"rendered":"Nevada Limited English Proficiency Consumer Law Taking Effect October 1, 2021"},"content":{"rendered":"

Daniela Rakowski<\/em><\/span><\/p>\n

Associate Editor <\/em><\/span><\/p>\n

Loyola University Chicago School of Law, JD 2023<\/em><\/span><\/p>\n

A new Nevada law will take effect October 1, 2021 aimed at ensuring that all consumers are protected from unfair and deceptive business acts and practices, regardless of their proficiency with the English language.<\/span><\/p>\n

In January 2021, the Consumer Financial Protection Bureau (CFPB) issued guidance<\/a> on how to best protect Limited English Proficiency (LEP) consumers. However, since the CFBP\u2019s guidance is not mandatory, certain states have enacted their own laws to protect LEP consumers. These state laws vary, with some providing the recommended CFPB protection and some providing protection beyond that outlined in the CFPB guidance.<\/span><\/p>\n

What is Nevada doing to protect its LEP consumers? <\/strong><\/span><\/p>\n

On June 2, 2021, Nevada Governor Steve Sisolak signed Assembly Bill 359<\/a> (Act) which requires businesses or their agents that advertise and negotiate transactions in a language other than English to provide a translation of the contract in the language that was used during the advertising and negotiations. The translation must be provided to the consumer who is a party to the contract or agreement and to any other signatories prior to the execution of the contract or agreement.<\/span><\/p>\n

A knowing violation of these new requirements is deemed a deceptive trade practice under Nevada law. Non-compliance with the requirements of the act allows the aggrieved party to rescind the contract or agreement.<\/span><\/p>\n

What types of contracts or agreements are covered by the new law?<\/strong><\/span><\/p>\n

Unless the context otherwise requires, the term \u201ccontract or agreement\u201d means \u201cthe document that creates the rights and obligations of the parties which results from a negotiation or transaction,\u201d of the type described in section 4(3) below. \u00a0\u00a0<\/span><\/p>\n

The term also includes \u201cany subsequent document that makes substantial changes to the rights and obligations of the parties.\u201d The term does not include any \u201csubsequent documents authorized or contemplated by the original document\u201d, or any subsequent document that makes substantial changes. Documents authorized or contemplated by the original agreement include periodic statements, sales slips or invoices representing purchases made pursuant to a credit card agreement, memoranda of purchases made in an add-on sale, and refinancing documents.<\/span><\/p>\n

Which types of transactions require translations? <\/strong><\/span><\/p>\n

Pursuant to section 4(3), the following transactions require translations:<\/span><\/p>\n