A.B. 44
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ASSEMBLY BILL NO. 44–COMMITTEE
ON COMMERCE AND LABOR
(ON BEHALF OF THE ATTORNEY GENERAL)
PREFILED NOVEMBER 19, 2024
____________
Referred to Committee on Commerce and Labor
SUMMARY—Prohibits manipulating the price of an essential good
or service in this State. (BDR 52-503)
FISCAL NOTE: Effect on Local Government: No.
Effect on the State: No.
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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.
AN ACT relating to unfair trade practices; revising the list of
activities that constitute an unlawful contract,
combination or conspiracy in restraint of trade to include
manipulating the price of an essential good or service in
this State; providing a penalty; and providing other
matters properly relating thereto.
Legislative Counsel’s Digest:
The Nevada Unfair Trade Practice Act sets forth various activities that 1
constitute an unlawful contract, combination or conspiracy in restraint of trade and 2
authorizes the Attorney General to investigate and take certain actions against 3
persons who engage in such activities, which may include, without limitation, 4
criminal prosecution and the imposition of civil penalties. (Chapter 598A of NRS) 5
Existing law makes it a category D felony to engage in such activities. (NRS 6
598A.280) This bill includes among the activities that constitute an unlawful 7
contract, combination or conspiracy in restraint of trade manipulating the price of 8
an essential good or service in this State. This bill defines “essential good or 9
service” to mean any good or service: (1) that is needed on a daily or recurring 10
basis for the livelihood of a person, including, without limitation, food, medicine or 11
shelter; and (2) the price for which results in the person paying more than $750 for 12
the good or service over a 30-day period or $9,000 for the good or service over a 1-13
year period. Under this bill, a person manipulates the price of an essential good or 14
service when the person, alone or in concert with others, intentionally engages in 15
any fraudulent or deceptive conduct which is intended to and does cause the price 16
of an essential good or service in this State, as compared to the price of comparable 17
essential goods or services readily available in the 24 months immediately 18
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preceding the conduct, to increase in a manner that does not reflect the basic forces 19
of supply and demand. 20
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
Section 1. NRS 598A.060 is hereby amended to read as 1
follows: 2
598A.060 1. Every activity enumerated in this subsection 3
constitutes a contract, combination or conspiracy in restraint of 4
trade, and it is unlawful to conduct any part of any such activity in 5
this State: 6
(a) Price fixing, which consists of raising, depressing, fixing, 7
pegging or stabilizing the price of any commodity or service, and 8
which includes, but is not limited to: 9
(1) Agreements among competitors to depress prices at 10
which they will buy essential raw material for the end product. 11
(2) Agreements to establish prices for commodities or 12
services. 13
(3) Agreements to establish uniform discounts, or to 14
eliminate discounts. 15
(4) Agreements between manufacturers to price a premium 16
commodity a specified amount above inferior commodities. 17
(5) Agreements not to sell below cost. 18
(6) Agreements to establish uniform trade-in allowances. 19
(7) Establishment of uniform cost surveys. 20
(8) Establishment of minimum markup percentages. 21
(9) Establishment of single or multiple basing point systems 22
for determining the delivered price of commodities. 23
(10) Agreements not to advertise prices. 24
(11) Agreements among competitors to fix uniform list 25
prices as a place to start bargaining. 26
(12) Bid rigging, including the misuse of bid depositories, 27
foreclosures of competitive activity for a period of time, rotation of 28
jobs among competitors, submission of identical bids, and 29
submission of complementary bids not intended to secure 30
acceptance by the customer. 31
(13) Agreements to discontinue a product, or agreements 32
with anyone engaged in the manufacture of competitive lines to 33
limit size, styles or quantities of items comprising the lines. 34
(14) Agreements to restrict volume of production. 35
(b) Division of markets, consisting of agreements between 36
competitors to divide territories and to refrain from soliciting or 37
selling in certain areas. 38
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(c) Allocation of customers, consisting of agreements not to sell 1
to specified customers of a competitor. 2
(d) Tying arrangements, consisting of contracts in which the 3
seller or lessor conditions the sale or lease of commodities or 4
services on the purchase or leasing of another commodity or service. 5
(e) Monopolization of trade or commerce in this State, 6
including, without limitation, attempting to monopolize or otherwise 7
combining or conspiring to monopolize trade or commerce in this 8
State. 9
(f) Manipulating the price of an essential good or service in 10
this State. For the purposes of this paragraph, a person 11
manipulates the price of an essential good or service in this State 12
when the person, alone or in concert with others, intentionally 13
engages in any fraudulent or deceptive conduct which is intended 14
to and does cause the price of an essential good or service in this 15
State, as compared to the price of comparable essential goods or 16
services readily available in the 24 months immediately preceding 17
the conduct, to increase in a manner that does not reflect basic 18
forces of supply and demand. 19
(g) Except as otherwise provided in subsection 2, consolidation, 20
conversion, merger, acquisition of shares of stock or other equity 21
interest, directly or indirectly, of another person engaged in 22
commerce in this State or the acquisition of any assets of another 23
person engaged in commerce in this State that may: 24
(1) Result in the monopolization of trade or commerce in this 25
State or would further any attempt to monopolize trade or commerce 26
in this State; or 27
(2) Substantially lessen competition or be in restraint of 28
trade. 29
2. The provisions of paragraph [(f)] (g) of subsection 1 do not: 30
(a) Apply to a person who, solely for an investment purpose, 31
purchases stock or other equity interest or assets of another person if 32
the purchaser does not use his or her acquisition to bring about or 33
attempt to bring about the substantial lessening of competition in 34
this State. 35
(b) Prevent a person who is engaged in commerce in this State 36
from forming a subsidiary corporation or other business 37
organization and owning and holding all or part of the stock or 38
equity interest of that corporation or organization. 39
3. As used in this section, “essential good or service” means 40
any good or service: 41
(a) That is needed on a daily or recurring basis for the 42
livelihood of a person, including, without limitation, food, 43
medicine and shelter; and 44
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(b) The price for which results in the person paying more than 1
$750 for the good or service over a 30-day period or $9,000 for the 2
good or service over a 1-year period. 3
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