A.B. 504
- *AB504*
ASSEMBLY BILL NO. 504–COMMITTEE ON JUDICIARY
MARCH 24, 2025
____________
Referred to Committee on Judiciary
SUMMARY—Establishes certain deceptive trade practices relating
to the sale of or an offer to sell certain hemp
products. (BDR 52-867)
FISCAL NOTE: Effect on Local Government: Increases or Newly
Provides for Term of Imprisonment in County or City
Jail or Detention Facility.
Effect on the State: Yes.
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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 deceptive trade practices; requiring a person
who does not hold a cannabis establishment license and
who sells or offers to sell certain hemp products to display
a sign containing certain information; prohibiting such a
person from making certain false, misleading or deceptive
statements in advertising; making it a deceptive trade
practice to violate those requirements or prohibitions; and
providing other matters properly relating thereto.
Legislative Counsel’s Digest:
Existing law defines activities that constitute deceptive trade practices and 1
provides for the imposition of civil and criminal penalties against persons who 2
engage in deceptive trade practices. (Chapter 598 of NRS) This bill requires a 3
person who does not hold a cannabis establishment license and who sells or offers 4
to sell a hemp product which is intended for human consumption to display at all 5
times at the location at which the sale or offer is made a sign notifying customers 6
that the person does not hold a cannabis establishment license and the location is 7
not the premises of a cannabis establishment. This bill additionally prohibits such a 8
person from advertising or permitting to be advertised in any manner any false, 9
misleading or deceptive statement or representation with regard to: (1) whether the 10
person holds a cannabis establishment license or the location at which the sale or 11
offer is made is the premises of a cannabis establishment; or (2) the nature of any 12
hemp product which is intended for human consumption that is sold or offered for 13
sale by the person. Under this bill, any violation of the requirements or prohibitions 14
set forth in this bill constitutes a deceptive trade practice. 15
– 2 –
- *AB504*
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
Section 1. Chapter 598 of NRS is hereby amended by adding 1
thereto a new section to read as follows: 2
1. A person who does not hold a cannabis establishment 3
license and who sells or offers to sell a hemp product which is 4
intended for human consumption: 5
(a) Shall display at all times in a conspicuous place at the 6
location at which the sale or offer is made a legible and 7
typewritten sign, in a type and font that is easy to read, which 8
notifies customers that the person does not hold a cannabis 9
establishment license and the location is not the premises of a 10
cannabis establishment; and 11
(b) Shall not advertise or permit to be advertised in any 12
manner any false, misleading or deceptive statement or 13
representation with regard to: 14
(1) Whether the person holds a cannabis establishment 15
license or the location at which the sale or offer is made is the 16
premises of a cannabis establishment; or 17
(2) The nature of any hemp product which is intended for 18
human consumption that is sold or offered for sale by the person. 19
2. The remedies, penalties, duties and prohibitions set forth in 20
this section are not exclusive and are in addition to any other 21
remedies, penalties, duties and prohibitions provided by law. 22
3. Any violation of this section constitutes a deceptive trade 23
practice for the purposes of NRS 598.0903 to 598.0999, inclusive. 24
4. As used in this section: 25
(a) “Approved hemp component” has the meaning ascribed to 26
it in NRS 446.844. 27
(b) “Cannabis establishment” has the meaning ascribed to it 28
in NRS 678A.095. 29
(c) “Cannabis establishment license” has the meaning 30
ascribed to “license” in NRS 678A.160. 31
(d) “Hemp” has the meaning ascribed to it in NRS 557.160. 32
(e) “Hemp product” means a commodity or product containing 33
hemp or any other commodity or product that purports to contain 34
cannabidiol. The term does not include a commodity or product 35
that contains only an approved hemp component and no other 36
hemp. 37
(f) “Intended for human consumption” has the meaning 38
ascribed to it in NRS 439.532. 39
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