Nevada Revised Statutes 119A.420 – Deposits to be placed in escrow account; surety bond in lieu of escrow account
All money, negotiable instruments or other deposits pertaining to the sale of a time share which are received from a purchaser must be placed in an escrow account established to the satisfaction of the Division and held until such time as the right to cancel the contract of sale pursuant to NRS 119A.410 has expired and the purchaser has failed to cancel the contract of sale. In lieu of placing such deposits in an escrow account, the developer or project broker may establish to the satisfaction of the Division that a surety bond has been posted for the benefit of purchasers in the project in the amount of:
Terms Used In Nevada Revised Statutes 119A.420
- Contract: A legal written agreement that becomes binding when signed.
- Escrow: Money given to a third party to be held for payment until certain conditions are met.
1. Twenty-five thousand dollars; or
2. The highest monthly total amount of deposits received by a project broker, whichever is greater.