business law 2015

2 0 1 5 G U I D E

BUSINESSLAW

2 | Business Law Guide 2015

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Table of Contents

Protecting Your Business’ Goodwill 4through Federal Trademark Registration

Is a Letter of Intent Ever 5Enforceable Like a Contract?

Collaborative Divorce 6

Do You Know What Your Bylaws Say? 7

The ‘Push Me - Pull You’ 8of Rising Interest Rates and Yields

Social Media in Hiring 10

Change Happens 11

When the Dust Settled, 12Few Changes were Made to the Construction Industry in Nevada

Understanding the Complexities 14of a Mechanic’s Lien

Northern Nevada Law Firms 16

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Northern Nevada Business Weekly | 3

The Lawyers are InBusiness is at the heart of law firms’ counsel, support

Welcome to the 2015 edition of the Business Law Guide. Northern Nevada’s legal sector is a lot healthier these days, amid a stronger local economy and a diverse array of corporate sectors providing law firms with a varied diet of business. Mergers are also a big part of the local legal scene, as evidenced by several high-profile firms looking to establish a beachhead in northern Nevada. Others are rumored to be in the offing. Legal heads at Reno firms say growing local companies and big national firms bringing operations into The Biggest Little City in the World speaks to the heightened profile of the city, providing opportunities to broaden practice lines around the region’s burgeoning business and industry. And even though business is thriving, legal advisors say companies must act to preserve and protect their proprietary assets, product lines and intellectual property, and attend to compliance issues with an eye on the horizon. In this issue, some of the region’s noteworthy legal minds weigh in on what business owners should be thinking about and for which areas of their businesses they should have a plan in place. Many business issues today are legal issues. To be relevant, law firms understand that they need to be consultants with strong internal skills sets that meet the varied needs of their clients.


By Justin Bustos

As a business owner, you spend valuable time, energy, and creativity building an identity for your brand, products or services that your customers will recognize. If you have a

quality product or provide superior services, you will earn repeat business from your customers and, in the process, build your company’s reputation and goodwill in the marketplace. Once you successfully build that strong product or service identity, there is a risk that other individuals and businesses may attempt to capitalize upon the goodwill you have created by marketing their own products or services using a confusingly similar mark or identifier. Thus, as a business owner, it is important to consider how you can protect your brand identity through trademark law. A trademark is a form of intellectual property. It functions as a mechanism to allow consumers to identify the origin of goods and services in the marketplace. A trademark exists as a symbol of goodwill and has no separate existence from the product or service it symbolizes. Generally speaking, a trademark may include any combination of words, names, or symbols used to identify a business. However, it is generally impermissible to use a trademark that merely describes the products or services offered. Instead, a trademark must be distinctive. A mark is considered descriptive if it defines a particular characteristic of the good or service in a way that does not require any exercise of imagination. For example, the mark “Delicious Foods” would be merely descriptive of the services offered if it was used to identify a restaurant chain. Trademark rights are established based on the date of first use in commerce. The first business to use a mark is deemed to be the “senior” user and has the right to prevent any “junior” users from using confusingly similar marks in the same industry and market or within the senior user’s natural zone of expansion. Thus, in choosing a trademark, it is important to conduct sufficient research to determine whether that mark is already being used in commerce. Third party services exist that can assist with such searches. Once a valid trademark is chosen and used in commerce, the business owner acquires a property right to that trademark. Although trademarks receive some protection simply by virtue of their use, a business can obtain additional protections by registering its trademark with the United States Patent and Trademark Office (“USPTO”). Registration of a trademark on the USPTO’s principal register bars the registration of marks that are confusingly similar. It also permits a business to use the registered trademark symbol, ®, and serves as constructive notice of the claim to ownership. Indeed, registration constitutes prima facie evidence that the trademark is valid and the

registered owner has the exclusive right to use the mark on the goods and services specified in the registration. After the mark has been federally registered and in continuous use for five consecutive years, the trademark owner may have the mark declared incontestable. Once a mark is declared incontestable, the registration of the mark constitutes conclusive evidence of the validity of the mark, the registrant’s ownership of the mark, and of the registrant’s exclusive right to use the registered mark in commerce. Finally, trademark registration also grants the trademark owner the right to file a trademark infringement lawsuit in federal court and to obtain certain monetary remedies in the event infringement occurs, which can include an infringer’s profits, damages, and costs of suit. In some cases, a trademark owner may also be able to recover their attorneys’ fees incurred in pursuing the lawsuit. Finally, once you have obtained and registered your trademark, it is important to vigorously protect your trademark from infringement that may harm your business’s goodwill. The failure to protect your mark from unauthorized use can, in some circumstances, result in the loss of your rights in the trademark. Thus, it is important to monitor your trademark in order to detect and address potential infringing use. There are third party monitoring services you can use to assist you. If you do detect an infringing use, you should take the necessary actions to protect your rights. If you believe your trademark is being infringed, you should contact an intellectual property lawyer to discuss how to proceed to protect your business’s trademark rights and corresponding goodwill. Businesses can spend years establishing a recognizable identity in the marketplace. Just as businesses take measures to protect their tangible property interests, it is equally important to protect the goodwill that has been established in the marketplace. In protecting your business’s goodwill, it is wise to federally register your trademark when possible as federal registration provides you with additional protections. Once you have established and registered your trademark, your job is not over. At that point, you must continue to vigorously protect and enforce your trademark rights just as you would enforce your rights in the event your tangible property was stolen or damaged. ●

By Brian Irvine

After weeks of negotiation and due diligence, you finally sit down to celebrate an important deal. While you are relaxing and trying to figure out which bottle of wine to order, you get

a text message with some terrible news – your business partner has changed his mind and no longer wants to go through with the transaction. You can’t believe that this is possible, because you and your business partner signed a document that included all of the important terms of the deal. You must have an enforceable contract, right? The answer to this question largely depends on the language of the document you hold in your hands. Certain documents may look like contracts, with very specific terms listed, like the names of the parties, the sales price and even a closing date, but still fall short of becoming an enforceable contract. These documents are usually referred to with names like “Letter of Intent,” “Memorandum of Understanding” or “Term Sheet.” And, since there is often a fine line between these kind of documents and enforceable contracts, it is critical to understand the difference, or run the risk of wasting time and money on negotiations and due diligence or even worse - losing a valuable opportunity. The existence of an enforceable contract in Nevada requires three basic elements: (1) an offer and acceptance; (2) meeting of the minds; and (3) consideration. Documents that contain all of these required elements are enforceable contracts that memorialize a full and final, negotiated agreement between the parties to that contract. Written contracts are typical in most sophisticated business transactions and can be used to enforce contractual rights in court when one party fails to meet the obligations they have promised to perform in that document. In contrast, documents such as letters of intent, memoranda of understanding or term sheets are usually thought of as “agreements to agree.” They often contain verbiage indicating that the agreement is “non-binding,” “for discussion purposes only” or “subject to further agreement.” They usually, but not always, contain some qualifying language that makes it clear that the parties do not intend to enter into a contract immediately, that they are still negotiating and that a final written contract will be drafted if the parties’ negotiations culminate in a deal. Numerous

courts have used the following criteria to determine the parties’ intentions in interpreting such documents: (1) whether there has been an express reservation of the right not to be bound

Protecting Your Business’ Goodwill through Federal Trademark Registration

Is A Letter of Intent EverEnforceable Like a Contract?

Justin J. Bustos is an attorney at the law firm of Dickinson Wright, PLLC, which opened its

Reno office in June 2015. He has over ten years of experience and practices primarily in the areas of

commercial litigation, appeals, and criminal defense.


registered owner has the exclusive right to use the mark on the goods and services specified in the registration. After the mark has been federally registered and in continuous use for five consecutive years, the trademark owner may have the mark declared incontestable. Once a mark is declared incontestable, the registration of the mark constitutes conclusive evidence of the validity of the mark, the registrant’s ownership of the mark, and of the registrant’s exclusive right to use the registered mark in commerce. Finally, trademark registration also grants the trademark owner the right to file a trademark infringement lawsuit in federal court and to obtain certain monetary remedies in the event infringement occurs, which can include an infringer’s profits, damages, and costs of suit. In some cases, a trademark owner may also be able to recover their attorneys’ fees incurred in pursuing the lawsuit. Finally, once you have obtained and registered your trademark, it is important to vigorously protect your trademark from infringement that may harm your business’s goodwill. The failure to protect your mark from unauthorized use can, in some circumstances, result in the loss of your rights in the trademark. Thus, it is important to monitor your trademark in order to detect and address potential infringing use. There are third party monitoring services you can use to assist you. If you do detect an infringing use, you should take the necessary actions to protect your rights. If you believe your trademark is being infringed, you should contact an intellectual property lawyer to discuss how to proceed to protect your business’s trademark rights and corresponding goodwill. Businesses can spend years establishing a recognizable identity in the marketplace. Just as businesses take measures to protect their tangible property interests, it is equally important to protect the goodwill that has been established in the marketplace. In protecting your business’s goodwill, it is wise to federally register your trademark when possible as federal registration provides you with additional protections. Once you have established and registered your trademark, your job is not over. At that point, you must continue to vigorously protect and enforce your trademark rights just as you would enforce your rights in the event your tangible property was stolen or damaged. ●

By Brian Irvine

After weeks of negotiation and due diligence, you finally sit down to celebrate an important deal. While you are relaxing and trying to figure out which bottle of wine to order, you get

a text message with some terrible news – your business partner has changed his mind and no longer wants to go through with the transaction. You can’t believe that this is possible, because you and your business partner signed a document that included all of the important terms of the deal. You must have an enforceable contract, right? The answer to this question largely depends on the language of the document you hold in your hands. Certain documents may look like contracts, with very specific terms listed, like the names of the parties, the sales price and even a closing date, but still fall short of becoming an enforceable contract. These documents are usually referred to with names like “Letter of Intent,” “Memorandum of Understanding” or “Term Sheet.” And, since there is often a fine line between these kind of documents and enforceable contracts, it is critical to understand the difference, or run the risk of wasting time and money on negotiations and due diligence or even worse - losing a valuable opportunity. The existence of an enforceable contract in Nevada requires three basic elements: (1) an offer and acceptance; (2) meeting of the minds; and (3) consideration. Documents that contain all of these required elements are enforceable contracts that memorialize a full and final, negotiated agreement between the parties to that contract. Written contracts are typical in most sophisticated business transactions and can be used to enforce contractual rights in court when one party fails to meet the obligations they have promised to perform in that document. In contrast, documents such as letters of intent, memoranda of understanding or term sheets are usually thought of as “agreements to agree.” They often contain verbiage indicating that the agreement is “non-binding,” “for discussion purposes only” or “subject to further agreement.” They usually, but not always, contain some qualifying language that makes it clear that the parties do not intend to enter into a contract immediately, that they are still negotiating and that a final written contract will be drafted if the parties’ negotiations culminate in a deal. Numerous

courts have used the following criteria to determine the parties’ intentions in interpreting such documents: (1) whether there has been an express reservation of the right not to be bound

in the absence of an additional, more final written agreement; (2) whether there has been partial performance of the obligations contemplated in the document; (3) whether all of the terms of the alleged contract have been agreed upon; and (4) whether the document in question is the type of contract that is usually committed to a final writing. In Nevada, courts have interpreted such “agreements to agree” fairly strictly, and have required evidence that is “convincing and subject to no other reasonable interpretation” that the parties intended to be bound immediately by the document at issue. Therefore, it is important to keep in mind that even if you have utilized a letter of intent or similar document as part of your negotiations, you may still need to draft a final written contract memorializing your final deal, even where there has been no disagreement between the parties about the contents of the letter of intent. This is especially true in complex transactions, where courts are more likely to require a detailed and clearly final contract as opposed to enforcing a simple term sheet. Because documents such as letters of intent are often not enforceable and are usually somewhat duplicative of the final contract, some business people believe them to be useless or inconsequential documents. However, this belief is not completely true. Letters of intent and similar documents can be used as the framework for the entire negotiation process. They can be used to make sure that the parties agree on all essential deal points before spending time and money on due diligence and drafting a formal agreement. They can permit the parties to declare publicly that they are officially negotiating, which can assist a buyer in obtaining necessary financing. They can also include a timeline and method for addressing the remaining deal points so the parties do not negotiate indefinitely. They can provide a potential buyer with the assurance that it is the only party with whom the seller is negotiating. Finally, they can detail, among other things, what information will be provided during due diligence and the timeline for conducting that due diligence. And, if negotiations fail, and a final deal is not reached, that does not mean that the parties can ignore the entirety of a letter of intent that was used to govern the parties’ negotiations. Instead, a letter of intent can be partially binding, where certain provisions, such as an exclusive negotiation covenant, a non-compete or non-solicitation covenant, or a confidentiality provision, can be enforced if a party that signed a letter of intent does not comply with the negotiation framework set forth in that document. In conclusion, it is always best to proceed with caution when negotiating an important transaction and a party negotiating a significant deal should always consider engaging a competent attorney to protect its rights. And, while a letter of intent or similar document may not contain the necessary language to be considered an enforceable contract, there are potential ramifications to signing one that should be considered before putting pen to paper. ●

Protecting Your Business’ Goodwill through Federal Trademark Registration

Is A Letter of Intent EverEnforceable Like a Contract?

Brian Irvine is a Reno native and member of the litigation department of Dickinson Wright PLLC, which opened its Reno office in June 2015. Mr. Irvine’s practice focuses on areas of litigation, construction, banking, bankruptcy and creditors’ rights.


By Lauren Berkich

A contentious divorce can bankrupt a person both financially and emotionally. Under the traditional litigation approach to divorce, each spouse would retain his and her own attorney and

financial expert. Each spouse would appear in court before the judge prepared to argue his or her position to the absolute extreme. And then, each would place their relationship, children, assets (including business interests) and futures in the judge’s hands to decide what happens next. In most cases the judge’s decision is equitable and neither party feels as if they have “won.” Litigation is a slow, time-consuming process. One spouse files a Complaint for Divorce. The other has 20 days to respond. Approximately three months later the couple appears before the court (likely each accompanied with an attorney) for an initial hearing, called a Case Management Conference. This is when the court issues temporary orders while the divorce is pending. For example, the court may require a party to pay temporary child support or temporary spousal support. The court may enter a Temporary Mutual Restraining Order, preventing either party from transferring, encumbering, concealing or in any way disposing of any property until further order of the court. Such an order could be problematic for a business owner. The court will then hold a Settlement Conference, approximately two to three months after the Case Management Conference. If a settlement is not reached, the court will hold a divorce trial three to six months after the Settlement Conference. Therefore, a divorce that reaches trial could take one year or more. You’re an informed, savvy, businessperson accustomed to working with people and working through disputes. Why would you refuse to work with the person you once pledged to share a life with? Instead of communicating and dissolving the romantic partnership together as a team, couples frequently retreat to their respective sides of the ring to fight and then allow a judge to make the tough decisions. Both spouses incur substantial fees and spend months of their life involved in an emotional, stressful, and expensive legal battle with their spouse. If the couple’s assets include business interests (e.g. a family run business or a sole proprietorship) the future of the business is also in the judge’s hands. Will the judge order the business to be sold to provide a source of funds for an equitable distribution of property? Will the judge render a decision that leaves both parties in joint control of the business? Will the judge require one party to pay substantial alimony to the other to account for that party retaining the business, an income-producing asset? For business owners a divorce proceeding that leaves key decisions to be made by the judge could result in substantial uncertainty for the business. For couples seeking an alternative approach, there’s a relatively new method that has been successful in California: collaborative divorce. This begins with two spouses making the commitment to resolve their divorce outside of court. Each is represented by an attorney whose goal is not to file motions and appear at hearings, but to work with jointly selected professionals to reach a fair, amicable resolution. If properly executed,

a collaborative divorce could provide certainty for a couple’s business interests producing better and, more importantly, certain results for both parties. The collaborative process is also more efficient. Instead of the experts taking sides and spending time and money finding and exposing the weaknesses of the other party’s experts, the attorneys and the experts — such as accountants and mental health professionals —work together to obtain results with which each party can live. There are no court deadlines or notice requirements. Rather, couples can decide how fast or slow to move through the process. Perhaps the most compelling reason collaborative divorce makes sense for a business owner is privacy. Divorce is public record. In Washoe County, all divorce dockets are available for public viewing on the court’s website. Even if your divorce case has been sealed, the parties’ names and the fact that it is a divorce case is still accessible on the Internet. This could lead to financial uncertainty and potentially impact customer relations, management relations and financing prospects with local banks. Collaborative divorce would allow couples to privately decide the terms of their divorce. One of the attorneys involved would prepare the necessary court forms. The couple would then submit to the court only the necessary forms for divorce. No complaints or motions will be filed and no hearings will be set. If the couple wanted even more privacy, they may consider filing in another county, like Carson City. Carson City does not have electronic dockets so the divorce docket is not available for viewing on the Internet. The collaborative process is not right for every divorce. It requires spouses to have a mutual respect for each other, the life they have created and the partnership they now seek to divide. It requires a commitment to resolution, rather than a desire to demonize and punish each other for perceived (or actual) wrongdoing. A collaborative divorce may be even more beneficial if the couple’s assets include business interests, especially if the business is the sole or primary source of one or both of the spouses’ regular income. Even if a business was started prior to marriage, there is a community interest that accrues during the marriage that must be dealt with and resolved in the divorce process — whether it be by way of the traditional litigation process or the new on the horizon collaborative process. A group of professionals — attorneys, accountants, and mental health professionals in Reno — have formed a group within the Nevada Dispute Resolution Coalition with the goal of bringing the collaborative process to Northern Nevada. If you want more information about NDRC, you may contact the author of this article. ●

Collaborative Divorce:A Step that Could Save Your Business

Lauren D. Berkich is an associate attorney with Woodburn and Wedge and works extensively in family law.

By Austin Sweet

If you own a business, you probably have a business entity. Maybe you heard that business entities provide some sort of liability protection, and someone mentioned that you should

form an LLC, so you went online or, better yet, to a lawyer, and formed an LLC. A few weeks later, you got a fancy looking book with your company’s name embossed in gold lettering. You played with the neat little company seal thingy for a few minutes, patted yourself on the back for being a responsible business owner with such an official looking book and seal, and then put the book on a shelf never to be touched again. That is, of course, until your lawyer asked you to bring that book to his office because its contents will dramatically impact the outcome of the dispute you’ve recently entered into with your partner. Are you sure that book says what you want it to say? Do you even know what it says? How will this impact your business? The documents in your corporate book are your corporate governance documents (Articles of Incorporation / Articles of Organization, Bylaws / Operating Agreement, etc.) which govern every aspect of your business. These documents outline who owns the company, who controls the company, who makes the decisions, who can sign checks, how the owners and managers get paid, and what happens when the owners get into a dispute. The contents and accuracy of these documents are therefore critical to the smooth operation of your business. Think of your corporate book as the “rule book” for your business. The good news is that you get to write many of the rules yourself and, if you don’t like the rules, you generally have the ability to change them whenever you want. The bad news is that the consequences for breaking the rules can be severe. You should therefore ensure that these rules are accurate and complete from the outset. Most importantly, make sure you actually know and understand them. Your business is probably not the same today as it was when it was formed. Hopefully it’s bigger, so you may have hired a manager to help run the day-to-day operations. Perhaps you’ve opened a second location. You’re older now, so you may be grooming someone to take over. Have changes in ownership or management been properly reflected? Is your new manager authorized to sign checks and enter into contracts? Does the buy-sell provision

account for your second location? Now that your partner’s children are grown, are you comfortable being partners with them if your partner dies or decides to retire and give them his interest?

Do You Know What Your Bylaws Say?


a collaborative divorce could provide certainty for a couple’s business interests producing better and, more importantly, certain results for both parties. The collaborative process is also more efficient. Instead of the experts taking sides and spending time and money finding and exposing the weaknesses of the other party’s experts, the attorneys and the experts — such as accountants and mental health professionals —work together to obtain results with which each party can live. There are no court deadlines or notice requirements. Rather, couples can decide how fast or slow to move through the process. Perhaps the most compelling reason collaborative divorce makes sense for a business owner is privacy. Divorce is public record. In Washoe County, all divorce dockets are available for public viewing on the court’s website. Even if your divorce case has been sealed, the parties’ names and the fact that it is a divorce case is still accessible on the Internet. This could lead to financial uncertainty and potentially impact customer relations, management relations and financing prospects with local banks. Collaborative divorce would allow couples to privately decide the terms of their divorce. One of the attorneys involved would prepare the necessary court forms. The couple would then submit to the court only the necessary forms for divorce. No complaints or motions will be filed and no hearings will be set. If the couple wanted even more privacy, they may consider filing in another county, like Carson City. Carson City does not have electronic dockets so the divorce docket is not available for viewing on the Internet. The collaborative process is not right for every divorce. It requires spouses to have a mutual respect for each other, the life they have created and the partnership they now seek to divide. It requires a commitment to resolution, rather than a desire to demonize and punish each other for perceived (or actual) wrongdoing. A collaborative divorce may be even more beneficial if the couple’s assets include business interests, especially if the business is the sole or primary source of one or both of the spouses’ regular income. Even if a business was started prior to marriage, there is a community interest that accrues during the marriage that must be dealt with and resolved in the divorce process — whether it be by way of the traditional litigation process or the new on the horizon collaborative process. A group of professionals — attorneys, accountants, and mental health professionals in Reno — have formed a group within the Nevada Dispute Resolution Coalition with the goal of bringing the collaborative process to Northern Nevada. If you want more information about NDRC, you may contact the author of this article. ●

Collaborative Divorce:A Step that Could Save Your Business

By Austin Sweet

If you own a business, you probably have a business entity. Maybe you heard that business entities provide some sort of liability protection, and someone mentioned that you should

form an LLC, so you went online or, better yet, to a lawyer, and formed an LLC. A few weeks later, you got a fancy looking book with your company’s name embossed in gold lettering. You played with the neat little company seal thingy for a few minutes, patted yourself on the back for being a responsible business owner with such an official looking book and seal, and then put the book on a shelf never to be touched again. That is, of course, until your lawyer asked you to bring that book to his office because its contents will dramatically impact the outcome of the dispute you’ve recently entered into with your partner. Are you sure that book says what you want it to say? Do you even know what it says? How will this impact your business? The documents in your corporate book are your corporate governance documents (Articles of Incorporation / Articles of Organization, Bylaws / Operating Agreement, etc.) which govern every aspect of your business. These documents outline who owns the company, who controls the company, who makes the decisions, who can sign checks, how the owners and managers get paid, and what happens when the owners get into a dispute. The contents and accuracy of these documents are therefore critical to the smooth operation of your business. Think of your corporate book as the “rule book” for your business. The good news is that you get to write many of the rules yourself and, if you don’t like the rules, you generally have the ability to change them whenever you want. The bad news is that the consequences for breaking the rules can be severe. You should therefore ensure that these rules are accurate and complete from the outset. Most importantly, make sure you actually know and understand them. Your business is probably not the same today as it was when it was formed. Hopefully it’s bigger, so you may have hired a manager to help run the day-to-day operations. Perhaps you’ve opened a second location. You’re older now, so you may be grooming someone to take over. Have changes in ownership or management been properly reflected? Is your new manager authorized to sign checks and enter into contracts? Does the buy-sell provision

account for your second location? Now that your partner’s children are grown, are you comfortable being partners with them if your partner dies or decides to retire and give them his interest?

The answers to these questions are likely to change several times over the life of your business. It is important to regularly review and update your corporate governance documents to reflect these changes. Amending your Operating Agreement while everyone gets along is easy, but if things start to go sideways, you may be stuck with what your governing documents require, whether you like it or not. Carefully drafting and regularly updating your corporate governance documents doesn’t help unless you are complying with them. Observing the corporate formalities of your business is critical to maintaining your liability protection. Ignoring these formalities, even unintentionally, can lead to severe consequences. Are you holding annual meetings and keeping minutes? Have you formally authorized your new manager to sign checks? Do the minutes reflect approval to borrow money for that new line of credit? Are you actually using that neat little company seal thingy that came in your book? There are some corporate formalities that are required by law, but your corporate governance documents may include additional formalities which are not. These formalities are like your business’s appendix: they serve no known practical function but can unexpectedly kill you. For example, Nevada law does not require that an entity have or use a company seal, but if you got one with your corporate book, it’s likely that your governing documents require you to use it. Using it serves no practical function, but failing to use it could contribute to losing your liability protection. If you are getting bogged down by all these formalities, consult an attorney who can help you trim your governing documents. As any small business owner has experienced, knowing what you should do and actually doing it are very different things. Having ensured that your governing documents accurately reflect your business operations, include all necessary provisions, and are being followed becomes critical if a dispute arises, either internally among partners or with an outside third-party. If your business is involved in a legal dispute, one of the first things your lawyer will want to review are your corporate governance documents. If you have an internal dispute, these documents will dictate each partners’ rights and responsibilities. If you have an external dispute, the other lawyer might try to use the fact that you weren’t following your own rules to “pierce the corporate veil” and hold you personally liable for the company’s debts. So pull that fancy looking corporate book off the shelf, dust off the gold-embossed lettering, give your company seal to your kids to play with, and prepare yourself for a very boring, but incredibly important read. If you find anything you don’t understand or haven’t been doing, consult with an attorney who can help you rewrite and follow your own rules. It probably won’t be the most exciting thing you do today, but it could ultimately save you a lot of time and money. ●

Do You Know What Your Bylaws Say?

Austin Sweet is an attorney at Gunderson Law Firm, practicing business law and litigation directed at helping business owners protect and enforce their rights. He can be contacted at (775) 829-1222 or [email protected].


By Alan B. Rabkin

You remember the twin-headed llamas in the original (and remade) movie Doctor Dolittle, don’t you? One side, uh, head, wanting to go to the left and the other one wanting the right?

Oh wait, is it one side wants to go forward and one wants to go backwards? Oh, no matter. The two-in-one are not exactly working hand-in-glove at all times and often work at cross-purposes. Well, and here comes the really big transitional stretch between mythical creatures and interest rates, interest rates currently being studied by the Federal Reserve and predicted to go higher are just a little like our twin-headed llama friend. We generally love llamas just as we usually love receiving more interest on our money, right? Of course we do. But not always. The love depends on what side of the interest issue you are on and our love for interest is often deeply conflicted and hopelessly confused depending on our circumstances. Let’s call the first head of our Pushmi-pullyu our ‘saver’ or money side. Savers, often the older bank customers, like ascending interest rates—in fact, they like rising rates a lot. A 5 percent certificate of deposit compared to today’s paltry rates is like a sugar-high for your average adult saver. Rising rates cause outflows of money from other investments (read that equities, bonds and treasuries) straight into your friendly bank or credit union. Why incur worrisome risk when a high rate is guaranteed by a bank and in many cases actually insured by our friend Uncle Sam. But, alas, current rates are a tiny fraction of that 5.00 percent level we last saw in 2007. Some rates are as low as .05 percent--a one hundredth of that lofty rate. Predicted rising rates are the happy place of the saver’s world and can turn saver’s frowns into saver’s smiles. The clouds part. The sun shines. We can party (with interest) like its pre-2007 again. OK, now let’s look at the second analogous head of our Pushmi-pullyu. This is the ‘borrower’ head. In a rising interest rate environment it is not a pretty head. In fact, borrowers are the ‘party-poopers’ of higher interest rates. They hate rising rates if an adjustable rate loan tracks interest rates upward. Rather, our borrower’s love the fixed, rock-bottom rates we have all seen for the past 5-plus years. It’s cheap money. Got a 4.00 percent annual percentage rate fixed loan? Sweet! Locked in low borrowing rates are like buying something for half price—a virtual sale on borrowed money. Cheap borrowed money equates to lower expense overhead and larger profits. Perfect for our cost-controlling businesses. Addicting. Enticing. But coming to an end soon. Rising rates empty the punchbowl of profit and ruin the party for our borrowers. Oh, let’s not forget the market investors. Think of that group as a third imaginary head to our ‘Pushmi-pullyu”. What do investors think about rising interest rates? Well, investments and investors tied to interest rates may like the rising rates as it helps the investment yield increase. Last week you got 2 percent. This week you get 3 percent. The extra 1 percent is a bonus. Let’s do the math—wow, 1 percent more, great! But not all investments are happy with rising interest rates by any means. Stocks and bonds tied to growth may hate the rising rates

as ascending interest rates equate to higher costs that could put the proverbial brakes on growth or could curb the viability of a bond. So let’s call our market investors somewhere in between and ‘on the fence’ about rising interest rates. Some love it. Some don’t. As Yoda might be heard to say if there were banks on the planet Dagobah, “Conflicted they are.” So can a bank or credit union ever get these ‘heads’ moving in the same direction or are they inherently destined to move apart? Well, it may depend on the focus of your bank and the decision at the Federal Reserve to help savers, borrowers or investors. Your bank may have little need for deposits because they have little demand for loans in a rising interest rate market. So they may attempt to discourage your deposit (or renewal at maturity) in that bank by lagging in their paying higher interest even in an environment of rising rates of interest. Or, the opposite may be true. Your bank may need your deposits to fund loan growth or other activities and be willing to pay a premium for deposits as it may still be a cheap form of capital for the bank to grow. The Fed’s involvement is more complicated. It is a Fed balancing act that looks at factors such as inflation, unemployment and the potential creation of a bubble. The Fed in helping one side of banking may badly hurt the other sides. It’s Good Fed-Bad Fed based upon your vantage point. So now you know why Fed chairmen all seem to have that tired look. So what can we do about this ‘Push Me-Pull You’ situation if rising rates positively impact one side and falling rates negatively impact the other? Is this a fool’s errand—like herding cats? Maybe not so much. For starters you can plan your side of the financial horizon better right now. If you are a saver and sense higher rates are in the wind, you can reduce the term of your deposits to a shorter horizon and not allow a deposit to auto-renew for a longer term. If you are a borrower, your focus is different. You can start to lock in low-interest borrowed money now and for a long term at fixed rates of interest. What about investors—what can they do? Well, if you can stand the bumpy ride, maybe you ride that ‘coaster through the cyclical changes in rates and hopefully into the next positive market position. “That’s lots of work, Alan, for small returns.” Yes, you are probably right. But it’s the new world of retail banking. Of course, if you ever grow tired of chasing interest rate changes up and down you can always buy a llama farm. ●

The ‘Push Me - Pull You’ ofRising Interest Rates and Yields

Alan B. Rabkin is Of Counsel at Holland & Hart LLP and a financial services attorney. He advises banks and

other financial institutions, trust companies, payment systems and processors throughout the firm’s 15-office

system. In addition to being a licensed lawyer in Nevada, Alan is licensed in five other jurisdictions and holds a

certification in bank regulatory compliance known as a CRCM issued by the American Bankers Association as

well as a Ph.D.(Law) in a bank-related topic.


as ascending interest rates equate to higher costs that could put the proverbial brakes on growth or could curb the viability of a bond. So let’s call our market investors somewhere in between and ‘on the fence’ about rising interest rates. Some love it. Some don’t. As Yoda might be heard to say if there were banks on the planet Dagobah, “Conflicted they are.” So can a bank or credit union ever get these ‘heads’ moving in the same direction or are they inherently destined to move apart? Well, it may depend on the focus of your bank and the decision at the Federal Reserve to help savers, borrowers or investors. Your bank may have little need for deposits because they have little demand for loans in a rising interest rate market. So they may attempt to discourage your deposit (or renewal at maturity) in that bank by lagging in their paying higher interest even in an environment of rising rates of interest. Or, the opposite may be true. Your bank may need your deposits to fund loan growth or other activities and be willing to pay a premium for deposits as it may still be a cheap form of capital for the bank to grow. The Fed’s involvement is more complicated. It is a Fed balancing act that looks at factors such as inflation, unemployment and the potential creation of a bubble. The Fed in helping one side of banking may badly hurt the other sides. It’s Good Fed-Bad Fed based upon your vantage point. So now you know why Fed chairmen all seem to have that tired look. So what can we do about this ‘Push Me-Pull You’ situation if rising rates positively impact one side and falling rates negatively impact the other? Is this a fool’s errand—like herding cats? Maybe not so much. For starters you can plan your side of the financial horizon better right now. If you are a saver and sense higher rates are in the wind, you can reduce the term of your deposits to a shorter horizon and not allow a deposit to auto-renew for a longer term. If you are a borrower, your focus is different. You can start to lock in low-interest borrowed money now and for a long term at fixed rates of interest. What about investors—what can they do? Well, if you can stand the bumpy ride, maybe you ride that ‘coaster through the cyclical changes in rates and hopefully into the next positive market position. “That’s lots of work, Alan, for small returns.” Yes, you are probably right. But it’s the new world of retail banking. Of course, if you ever grow tired of chasing interest rate changes up and down you can always buy a llama farm. ●

The ‘Push Me - Pull You’ ofRising Interest Rates and Yields

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By Shannon Pierce

In today’s digital age, employers have a world of information at their fingertips through which they can learn about current and prospective employees. A quick online search can yield

information far beyond what an individual includes in his or her resume or employment application. Out of a desire to make sure a candidate is qualified and will otherwise be a “good fit” for an organization, companies may be tempted to search for information concerning job applicants through social media sites such as Facebook or LinkedIn. Yet this could result in unintended liability if not properly used. Recently, a federal district court in California was faced with the issue of whether LinkedIn’s Reference Search product, which allows companies to search for people who have previously worked with a particular individual, violated the federal Fair Credit Reporting Act. Ultimately, LinkedIn prevailed by demonstrating that since the information it supplies about an individual is input by that individual, the Reference Search tool cannot violate the FCRA. Despite this victory for LinkedIn, employers should exercise caution before using LinkedIn, Facebook or any other form of social media to learn information about current or prospective employees. Before a company begins accessing the social media profiles of prospective employees, the company should question why it is doing so. What information does the company hope to gain that is not available through the candidate’s resume or employment application? Is that information directly related to the hiring process? If not, the company may be infusing unnecessary risk into the hiring process by checking up on prospective employees through social media. As a general rule, employers are free to assess publicly available information about potential candidates, which includes information that is made publicly available through an individual’s social media profile(s). That being said, where businesses use any form of social media to gather intel concerning prospective employees, they run the risk of being accused of unlawful discrimination if they learn information upon which they are prohibited from basing the hiring decision. For example, if a prospective employer were to look up my LinkedIn profile, he or she would be able to learn about my professional experience, but they would also be able to see my photograph and would therefore learn my gender, race, and approximate age — information which may not be immediately apparent from the resume that I submitted. Since LinkedIn allows users to post information about their interests and languages spoken, a LinkedIn user’s profile could also contain information about their country of origin, interest groups with which they are associated, and so on. Thus, if a company accesses a candidate’s LinkedIn profile and thereafter does not hire that candidate, the rejected job seeker could assume that the company based its decision on a protected classification (such as race, sex, age, sexual orientation, or union activity) and thereafter file a claim of discrimination. While the rejected candidate bears the burden of proving that discrimination occurred, and while there are certainly defenses that

companies can raise when accused of discrimination, the point is, a company which takes it upon itself to access the social media profiles of a prospective employee may face additional hurdles in litigation than if it relied on the applicant’s resume alone. If, notwithstanding the risks, a company elects to use social media to research prospective candidates, it should carefully plan out its social media strategy to try to minimize risk. Among other things, businesses should consider the following.

• Choose your social media carefully. More often than not, LinkedIn users tend to tailor their profiles to include only information that is helpful to advancing their career in their chosen profession. In contrast, Facebook users and those who maintain personal blogs often include significant personal information on those sites, such as information about their family status, sexual orientation, and other information that companies generally should not consider in the hiring process. If a company is determined to use some form of social media to evaluate candidates, LinkedIn may be a less risky alternative to viewing a candidate’s public Facebook profile or personal blog. Among other reasons, if a company is later accused of discrimination because it accessed a candidate’s public LinkedIn profile during the hiring process, the company could argue that the fact that it researched the candidate through LinkedIn rather than other social media sites is indicative of an intent to obtain and consider only job-related information.

• Develop a social media policy. If a company elects to use LinkedIn or other social media to assess potential candidates for employment, it should develop a policy outlining which information can and cannot be considered within the LinkedIn user’s profile. The company may even want to implement a double blind system, where one person retrieves the candidate’s LinkedIn profile and then redacts all personal, non-job related information before disclosing the contents of the profile to the individual responsible for making the hiring decision.

• Do not request log-in credentials. If businesses elect to use social media, they should stick to only information that is publicly available. Under almost no circumstances should a company require candidates or employees to disclose the user names, password or other log-in credentials associated with their personal social media accounts. ●

Social Media in Hiring:To Use or Not to Use?

Shannon S. Pierce is an attorney with Fennemore Craig in Reno. Ms. Pierce has been representing management in the field of employment law and

commercial litigation for more than a decade. She can be reached at [email protected].

By Thoran Towler

I finally figured out how to stay in compliance with the latest employment laws and now you’re telling me they’re changing again?” Over the years I’ve had dozens of business owners

ask me that question. I understand the frustration. You, as a business owner, manager, or HR professional, spend countless hours trying to understand a new statute or regulation relating to overtime, independent contractor status, or your other obligations as an employer. Once you believe you finally know what to do and how to stay within the boundaries of the law, you get an email or see a news blurb that tells you things are about to change. By now we have all seen the changes to Nevada’s independent contractor law. The struggle to create a set of guidelines to help determine whether a worker is truly an independent contractor or an employee has been an ongoing process in Nevada as well as other states for many years. During the last legislative session, the Nevada Legislature passed a bill (SB 224) that, among other things, attempts to create a uniform formula to determine whether a worker is an independent contractor or employee. Some of the factors that now must be considered include whether the worker: is free to establish the days and hours of his/her schedule; is substantially free from the control and direction of the principal; is not required to work exclusively for one principal; holds the appropriate business licenses; and whether the worker leases space or equipment. At the federal level, the Department of Labor’s Wage and Hour Division recently issued some guidance on how to identify employees who are misclassified as independent contractors. In a 15-page “Administrator’s Interpretation,” the Department of Labor addressed what it perceives as a “serious problem” regarding the misclassification of employees as independent contractors, and explained that most workers qualify as employees under the Fair Labor Standards Act’s broad definition of employment regardless of any attempt to label them independent contractors. The Administrator’s Interpretation emphasized that the key to determining whether a worker is an employee or independent contractor under federal law is whether the worker is economically dependent on the employer or is in business for himself or herself. If the worker is economically dependent on the employer, then the worker is an employee. If the worker is in business for him or herself, then the worker is an independent

contractor. However, the analysis does not stop there.

Change Happens


companies can raise when accused of discrimination, the point is, a company which takes it upon itself to access the social media profiles of a prospective employee may face additional hurdles in litigation than if it relied on the applicant’s resume alone. If, notwithstanding the risks, a company elects to use social media to research prospective candidates, it should carefully plan out its social media strategy to try to minimize risk. Among other things, businesses should consider the following.

• Choose your social media carefully. More often than not, LinkedIn users tend to tailor their profiles to include only information that is helpful to advancing their career in their chosen profession. In contrast, Facebook users and those who maintain personal blogs often include significant personal information on those sites, such as information about their family status, sexual orientation, and other information that companies generally should not consider in the hiring process. If a company is determined to use some form of social media to evaluate candidates, LinkedIn may be a less risky alternative to viewing a candidate’s public Facebook profile or personal blog. Among other reasons, if a company is later accused of discrimination because it accessed a candidate’s public LinkedIn profile during the hiring process, the company could argue that the fact that it researched the candidate through LinkedIn rather than other social media sites is indicative of an intent to obtain and consider only job-related information.

• Develop a social media policy. If a company elects to use LinkedIn or other social media to assess potential candidates for employment, it should develop a policy outlining which information can and cannot be considered within the LinkedIn user’s profile. The company may even want to implement a double blind system, where one person retrieves the candidate’s LinkedIn profile and then redacts all personal, non-job related information before disclosing the contents of the profile to the individual responsible for making the hiring decision.

• Do not request log-in credentials. If businesses elect to use social media, they should stick to only information that is publicly available. Under almost no circumstances should a company require candidates or employees to disclose the user names, password or other log-in credentials associated with their personal social media accounts. ●

Social Media in Hiring:To Use or Not to Use?

By Thoran Towler

I finally figured out how to stay in compliance with the latest employment laws and now you’re telling me they’re changing again?” Over the years I’ve had dozens of business owners

ask me that question. I understand the frustration. You, as a business owner, manager, or HR professional, spend countless hours trying to understand a new statute or regulation relating to overtime, independent contractor status, or your other obligations as an employer. Once you believe you finally know what to do and how to stay within the boundaries of the law, you get an email or see a news blurb that tells you things are about to change. By now we have all seen the changes to Nevada’s independent contractor law. The struggle to create a set of guidelines to help determine whether a worker is truly an independent contractor or an employee has been an ongoing process in Nevada as well as other states for many years. During the last legislative session, the Nevada Legislature passed a bill (SB 224) that, among other things, attempts to create a uniform formula to determine whether a worker is an independent contractor or employee. Some of the factors that now must be considered include whether the worker: is free to establish the days and hours of his/her schedule; is substantially free from the control and direction of the principal; is not required to work exclusively for one principal; holds the appropriate business licenses; and whether the worker leases space or equipment. At the federal level, the Department of Labor’s Wage and Hour Division recently issued some guidance on how to identify employees who are misclassified as independent contractors. In a 15-page “Administrator’s Interpretation,” the Department of Labor addressed what it perceives as a “serious problem” regarding the misclassification of employees as independent contractors, and explained that most workers qualify as employees under the Fair Labor Standards Act’s broad definition of employment regardless of any attempt to label them independent contractors. The Administrator’s Interpretation emphasized that the key to determining whether a worker is an employee or independent contractor under federal law is whether the worker is economically dependent on the employer or is in business for himself or herself. If the worker is economically dependent on the employer, then the worker is an employee. If the worker is in business for him or herself, then the worker is an independent

contractor. However, the analysis does not stop there.

The Administrator’s Interpretation also stated that a multi-factor “economic realities” test should be used to guide the classification of workers. These factors typically will include: the extent to which the work performed is an integral part of the employer’s business; whether the worker’s opportunity for profit or loss is dependent on his or her managerial skill; the extent of the relative investments of the employer and the worker; whether the work performed requires special skill and initiative; the permanency of the relationship; and, the degree of control exercised or retained by the employer. The Administrator’s Interpretation explains that all of the factors should be given equal weight and should not be “analyzed mechanically or in a vacuum.” While the economic realities test is not new, the Department of Labor’s emphasis on all factors being equal is certainly a new way the federal government is applying the test. Pending any further independent contractor rules or court decisions, Nevada’s employers will need to continually assess all their working relationships to ensure compliance with the law. While it may be tempting to classify workers as independent contractors because of habit or industry practice, there is a lot to consider. To do a proper analysis, you need to have a working knowledge of all of the above referenced nuances of both Nevada law and federal law. You also need to know how to apply those factors to each independent contractor relationship you have. The above highlights some monumental changes to independent contractor law, but wait, there’s more! The Department of Labor recently announced a proposed rule that would extend overtime protections to approximately 5 million white-collar workers. Under the proposed rule, employees who earn as much as $970 a week, or $50,440 a year, would have to be paid overtime even if they’re classified as a manager or professional, and were previously exempt from overtime. Under current regulations, the salary threshold remains at $455 per week, or $23,660 a year, which is below the poverty level for a family of four. According to a fact sheet issued by the Obama administration, only 8 percent of full-time salaried workers fall below this threshold. The Department of Labor intends to increase the threshold annually to keep pace with inflation. As you can see, there are a lot of nuances and changes that employers are expected to follow. Instead of trying to be an expert on all areas of labor and employment law, an employer, manager, or HR professional may consider seeking out attorneys who understand complex federal and state employment laws and are able to keep up-to-date on any changes. You should develop your professional resources and utilize those resources to meet your needs. Don’t be afraid to say “I’m not an expert on labor and employment law, but I know the right people to call.” ●

Change Happens

Thoran Towler practices labor and employment law at Allison MacKenzie Law Firm. Prior to joining Allison MacKenzie, Thoran served as the State of Nevada Labor Commissioner from 2011 through 2014. Thoran brings an expertise in the areas of wage and hour, labor and employment law, union issues, prevailing wage and public works. Thoran can be reached by email at [email protected] or by calling 775-687-0202.


By Paul Georgeson

Nevada’s construction industry endured a few nail-biting moments during the 2015 legislative session. Many proposed laws could have affected the entire industry

and construction projects throughout the State. However, when the dust settled, there were a relatively small number of bills that will have an impact on construction projects in Nevada. One of the most important of those bills, AB 125, focused on reforming residential construction defect statutes. However, that bill will only affect residential construction and does not make changes that apply to commercial construction projects – at least those without a residential component. There were a few commercial construction project bills that were passed into law, though none of them will have a dramatic effect on those types of projects. However, there are some bills that commercial owners, developers, and contractors should know. SB254 addresses the amount of retention that can be held from payments to contractors. Under current law, an owner is permitted to withhold up to 10 percent retention on payments to the general contractor. Then, the same 10 percent cap applies to payments from general contractors to subcontractors. Pursuant to SB254, that retention amount has been reduced to a maximum of 5 percent. The new law takes effect on January 1, 2016. Therefore, for any construction contract entered into after the date, the maximum retention amount is 5 percent. AB159 limits Project Labor Agreements. Traditionally, state and local government agencies had the ability to require project labor agreements on certain private construction projects. A project labor agreement requires that all contractors on the project have to pay prevailing wages (i.e., the same wages required on a public works project) to all construction workers. This typically means that either a union contractor must be used for the project or non-union contractors must enter into temporary agreements with the unions. Project labor agreements were commonly imposed when there is a public aspect of the project, such as when the government gives the developer tax rebates or other similar incentives. In northern Nevada, project labor agreements were used for projects such as the Aces Ballpark, one of the towers at the Sparks Nugget, and the Chalk Bluff Water Treatment Plant. AB159 prohibits public agencies from requiring project labor agreements on private projects. Under the new law, a public body is not permitted to require a contractor to adhere to a union agreement or project that is not paid for with public funds. Furthermore, the public body is not permitted to award any grant or tax abatement, a tax credit, or tax exemption that is conditioned upon a requirement that the recipient use a project labor agreement for constructing the project.

Existing law requires the owner of a project to obtain a permit from the director of the Department of Transportation before disturbing or digging up any state highway or right of way. Under SB324, there are additional requirements for discharges onto state highways or public right of ways. Now, the director of the Department of Transportation now has the authority to come onto the project to investigate the source of a discharge. The director can also issue an order of compliance to enforce the requirements of the discharge permit, seek injunctive relief in a court to enforce the requirements, and finally, impose a civil penalty of up to $25,000 per day for violations of the statute. While not technically a construction law bill, AB 160 will affect construction projects. Under the current Nevada law, an owner of a property has a general duty of reasonable care to people who may come on that property, even if they may be trespassing. The current law applies to construction sites, which can be both dangerous and are often attractive to children and others. Under AB 160, the owner of real property now owes no duty of care to a trespasser and is not liable to a trespasser for injury. This is true even if the owner failed to exercise reasonable care to make the premises reasonably safe. There are, however, some exceptions to this new standard. For instance, the property owner holder is still liable if it willfully or wantonly causes harm to a trespasser or fails to exercise reasonable care to prevent harm to the trespasser after they discover the trespasser’s presence. The owner may also be liable if the trespasser is a child who is injured by an “artificial condition” on the premises and if the owner knew or should have known that the property is dangerous to children, or that children are likely to trespass. The result is that there were no laws passed by the 2015 legislature that will significantly or fundamentally affect commercial construction projects. However, it is important to keep the new laws in mind when planning and moving forward on future projects. ●

When the Dust Settled, Few Changes were Made to the Construction Industry in Nevada

Paul Georgeson is a partner at the Nevada law firm of McDonald Carano Wilson LLP. He is chairman of the firm’s construction law practice group and has been

practicing construction law for over 20 years.


Existing law requires the owner of a project to obtain a permit from the director of the Department of Transportation before disturbing or digging up any state highway or right of way. Under SB324, there are additional requirements for discharges onto state highways or public right of ways. Now, the director of the Department of Transportation now has the authority to come onto the project to investigate the source of a discharge. The director can also issue an order of compliance to enforce the requirements of the discharge permit, seek injunctive relief in a court to enforce the requirements, and finally, impose a civil penalty of up to $25,000 per day for violations of the statute. While not technically a construction law bill, AB 160 will affect construction projects. Under the current Nevada law, an owner of a property has a general duty of reasonable care to people who may come on that property, even if they may be trespassing. The current law applies to construction sites, which can be both dangerous and are often attractive to children and others. Under AB 160, the owner of real property now owes no duty of care to a trespasser and is not liable to a trespasser for injury. This is true even if the owner failed to exercise reasonable care to make the premises reasonably safe. There are, however, some exceptions to this new standard. For instance, the property owner holder is still liable if it willfully or wantonly causes harm to a trespasser or fails to exercise reasonable care to prevent harm to the trespasser after they discover the trespasser’s presence. The owner may also be liable if the trespasser is a child who is injured by an “artificial condition” on the premises and if the owner knew or should have known that the property is dangerous to children, or that children are likely to trespass. The result is that there were no laws passed by the 2015 legislature that will significantly or fundamentally affect commercial construction projects. However, it is important to keep the new laws in mind when planning and moving forward on future projects. ●

When the Dust Settled, Few Changes were Made to the Construction Industry in Nevada

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By John Tennert

Contractors often invest significant time, labor and materials into a project before being paid and face considerable risk of not being paid. Nevada recognizes this vulnerability and to help ensure

payment has created a sophisticated Mechanic’s Lien Law that grants contractors a lien on the real estate they have worked on. Establishing and enforcing a mechanic’s lien can be a complex exercise however. This article provides contractors, suppliers and property owners a brief introduction and high-level overview of Nevada’s mechanic’s lien law.

1. What is a mechanic’s lien? A mechanic’s lien may be acquired by someone who has provided work, material or services for construction or improvement to land. These special, statutory liens are in addition to any remedies that a contractor may seek on the underlying construction contract. Because mechanic’s liens are purely statutory, contractors and suppliers must strictly follow the requirements and comply with the deadlines set forth in the statute or risk losing their right to secure payment.

2. Who has a right to lien? Anyone who provides labor, services, materials or equipment with a value of $500 or more to be used in or for the construction, alteration or improvement of real estate has a potential mechanic’s lien on that property for the unpaid balance due under a contract or the value of the work performed. This includes artisans, builders, contractors, laborers, lessors of equipment and anyone who performs services as an architect, engineer, land surveyor or geologist. Although generally referred to as a “mechanic’s lien,” they are also commonly referred to as “construction liens” or “materialman’s liens.” If a license is required to perform the work, an unlicensed contractor or professional may not assert a mechanic’s lien, but may have other equitable or contractual remedies.

3. Creating and perfecting a mechanic’s lien. Under Nevada law, a potential mechanic’s lien arises as soon as the work is commenced on a project, but cannot be enforced until it is completed. To create a lien, a claimant must record a notice of lien in the County Recorder’s office of the county where the property is located within 90 days after the completion of the work or last delivery of materials or equipment — or 40 days after the property owner files a notice of completion in the county records. The notice of lien is prescribed by statute and must contain all the required information to be valid. The first thing that the owner’s counsel will do upon receiving notice of a recorded lien is examine whether the lien is timely. If not, the lien may be invalidated. The best practice for contractors and suppliers is to carefully monitor the deadline to record the lien. A properly recorded mechanic’s lien binds the property for six months.

4. What property does the mechanic’s lien attach to? A mechanic’s lien binds the property, any improvements for which the work, materials and equipment were furnished or to be furnished and any construction disbursement account.

The statutory definition of property is expansive and includes not only the land, but all buildings, improvements and fixtures as well as a “convenient space” around the property necessary for the use and occupation of the land. Once created, a mechanic’s lien has priority over all other liens, mortgages and other encumbrances that may have attached to the property after commencement of the construction. Because each mechanic’s lien that relates to a scheme of improvement relates back to the date that the work was first commenced and holds priority over subsequently recorded deeds of trust, construction lenders risk substantially impairing their security interests in the property if contractors go unpaid.

5. Contesting a frivolous or excessive mechanic’s lien. A recorded mechanic’s lien places a cloud on title and may trigger a default under the project owner’s agreements with its lender. If a property owner has reason to believe that a recorded notice of lien is frivolous or that the amount of the lien is excessive, the owner may apply to the district court for an order directing the lien claimant to appear before the court and prove the validity of its claim. If the court determines that the lien is frivolous or made without reasonable cause, the court will order the lien to be released and award the owner its fees and costs for bringing the action. If the court finds that the lien is excessive, the court may reduce the lien to an appropriate amount.

6. Enforcing a mechanic’s lien. The lien claimant may file an action to foreclose its mechanic’s lien within six months from the date that the notice of lien was recorded by filing a complaint in the proper court. Upon filing the complaint, the lien claimant must prepare a notice of foreclosure to be published in the newspaper in the county where the property is located and file a notice of the pending action with the county recorder. The court will adjudicate the liens on the property and order the property sold in satisfaction of all liens.The proceeds of the sale will be distributed to the lien claimants according to their priority. A prevailing lien claimant is entitled to its attorney’s fees, costs and interest on the lien amount. Enforcement of a mechanic’s lien does not affect the claimant’s right to maintain a separate action against the contracting party individually for breach of contract or other remedies. Nevada’s mechanic’s lien statutes are complex, can be confusing and, at times, subject to inconsistent interpretation. Whether you are negotiating a complex construction contract, seeking construction financing, or faced with a notice of lien on your property, it is wise to familiarize yourself with the relevant statutes or seek guidance from legal counsel. ●

Understanding the Complexitiesof a Mechanic’s Lien

John Tennert is an attorney in Fennemore Craig’s Reno office and a member of the firm’s Business Litigation

Practice. He has represented clients in a variety of complex civil litigation, financial service and real estate

matters. Reach him at [email protected].



The statutory definition of property is expansive and includes not only the land, but all buildings, improvements and fixtures as well as a “convenient space” around the property necessary for the use and occupation of the land. Once created, a mechanic’s lien has priority over all other liens, mortgages and other encumbrances that may have attached to the property after commencement of the construction. Because each mechanic’s lien that relates to a scheme of improvement relates back to the date that the work was first commenced and holds priority over subsequently recorded deeds of trust, construction lenders risk substantially impairing their security interests in the property if contractors go unpaid.

5. Contesting a frivolous or excessive mechanic’s lien. A recorded mechanic’s lien places a cloud on title and may trigger a default under the project owner’s agreements with its lender. If a property owner has reason to believe that a recorded notice of lien is frivolous or that the amount of the lien is excessive, the owner may apply to the district court for an order directing the lien claimant to appear before the court and prove the validity of its claim. If the court determines that the lien is frivolous or made without reasonable cause, the court will order the lien to be released and award the owner its fees and costs for bringing the action. If the court finds that the lien is excessive, the court may reduce the lien to an appropriate amount.

6. Enforcing a mechanic’s lien. The lien claimant may file an action to foreclose its mechanic’s lien within six months from the date that the notice of lien was recorded by filing a complaint in the proper court. Upon filing the complaint, the lien claimant must prepare a notice of foreclosure to be published in the newspaper in the county where the property is located and file a notice of the pending action with the county recorder. The court will adjudicate the liens on the property and order the property sold in satisfaction of all liens.The proceeds of the sale will be distributed to the lien claimants according to their priority. A prevailing lien claimant is entitled to its attorney’s fees, costs and interest on the lien amount. Enforcement of a mechanic’s lien does not affect the claimant’s right to maintain a separate action against the contracting party individually for breach of contract or other remedies. Nevada’s mechanic’s lien statutes are complex, can be confusing and, at times, subject to inconsistent interpretation. Whether you are negotiating a complex construction contract, seeking construction financing, or faced with a notice of lien on your property, it is wise to familiarize yourself with the relevant statutes or seek guidance from legal counsel. ●

Understanding the Complexitiesof a Mechanic’s Lien

Tim Lukas“Lawyer of the Year”

Bankruptcy and Creditor Debtor Rights/ Insolvency and Reorganization Law

� Litigation - Bankruptcy

Jim Newman, Administrative Partner 775.327.3000 | [email protected] Kietzke Lane, Second FloorReno, NV 89511

Soraya Tabibi Aguirre Trusts and Estates

Fritz Battcher Corporate Law

Bryce Alstead Real Estate Law

Karen Dennison Real Estate Law

Alex Flangas Commercial Litigation

Rick Elmore Commercial Litigation

Megan Moschetti FogartyReal Estate Law

Anthony Hall � Labor Law - Management � Labor Law - Union

David Garcia � Corporate Law � Venture Capital Law

Craig HowardReal Estate Law

Jim Newman � Corporate Law � Mergers & Acquisitions

Law

Jeremy Nork � Litigation - Construction � Litigation - Real Estate

Bob RyanLitigation - Intellectual Property

Steve NovacekReal Estate Law

Doug Flowers Real Estate Law

Congratulations to our 16 Reno lawyers selected by their peers for The Best

Lawyers in America© 2016


Law FirmsRanked by number of local attorneys

RANK Firm Name Address WebsiteOffice phone

No. LocalAttorneysNo. LocalEmployees

States allowed topractice lawYear founded locally

Legal Practice Areas

1 McDonald CaranoWilson LLP

100 W. Liberty Street,Ste. 1200Reno, NV 89501

mcdonaldcarano.com775-788-2000

3240

AZ, CA, NV, NY, TX, UT1949

administrative/regulatory, appellate, bankruptcy, buisness, business transactions,commercial and complex, construction, corporate, employee benefits/ERISA,employment and labor, energy, environmental, estate planning, gaming,government relations, intellectual property, large scale litigation, legislative/lobbying, litigation, real estate, tax, water rights

2 Holland & Hart LLP5441 Kietzke Ln., 2nFl.Reno, NV 89511

hollandhart.com775-327-3000

2647

Attorneys licensed inevery state except for:AL, AR, CT, DE, GA, IN,KY, LA, ME, MI, MS, NH,RI, SC, VT, WV1971

administrative/regulatory, antitrust, appellate, bankruptcy, buisness, businesstransactions, class action, commercial and complex, construction, corporate,employee benefits/ERISA, employment and labor, energy, entertainment/sports/media and communications, environmental, estate planning, finance, governmentrelations, insurance, intellectual property, legislative/lobbying, litigation, mergersand acquisitions, patent, real estate, securities, tax, water rights

3 Maupin Cox & LeGoy 4785 Caughlin Pkwy.Reno, NV 89519

mclrenolaw.com775-827-2000

2445

CA, NV1972

administrative/regulatory, bankruptcy, buisness, business transactions,commercial and complex, construction, corporate, employee benefits/ERISA,employment and labor, estate planning, family, finance, government relations,health care, insurance, litigation, mergers and acquisitions, personal injury, realestate, tax, water rights

4 Woodburn & Wedge6100 Neil Rd., Ste.500Reno, NV 89511

woodburnandwedge.com775-688-3000

1840

CA, NV1918

appellate, bankruptcy, buisness, business transactions, commercial and complex,construction, corporate, employee benefits/ERISA, employment and labor, energy,environmental, estate planning, family, finance, intellectual property, large scalelitigation, litigation, mergers and acquisitions, real estate, tax, water rights, trustsand trust administration; probate and probate litigation; transportation law

5 Fennemore Craig300 E. Second St., Ste.1510Reno, NV 89501

fennemorecraig.com775-788-2200

1728

NV, AR, CO, CT, CA, UT,FL, GA, HI, IL, IN, KS,MA, MI, MN, MO, MT,NE, NY, OH, OR, SC, TX,UT, VT, WA, DC, WY1938

administrative/regulatory, appellate, bankruptcy, buisness, business transactions,class action, commercial and complex, construction, corporate, employee benefits/ERISA, employment and labor, energy, environmental, estate planning, finance,gaming, government relations, health care, immigration, insurance, intellectualproperty, large scale litigation, legislative/lobbying, litigation, mergers andacquisitions, personal injury, patent, real estate, securities, tax, water rights,emerging businesses and technology, aviation aerospace and autonomoussystems

6 Allison MacKenzie, Ltd. 402 N. Division St.Carson City, NV 89703

allisonmackenzie.com775-687-0202

1527 1978

administrative/regulatory, buisness, business transactions, construction, corporate,employment and labor, energy, environmental, estate planning, family, governmentrelations, health care, legislative/lobbying, real estate, water rights

Snell & Wilmer50 W. Liberty St., Ste.510Reno, NV 89501

swlaw.com775-785-5440

1520

AZ, CA, CO, D.C., IL, KS,LA, MD, Michigan, MN,MO, NV, NY, OR, PA,TX, UT, VA, WI2010

administrative/regulatory, antitrust, appellate, bankruptcy, buisness, businesstransactions, commercial and complex, construction, corporate, criminal,employment and labor, energy, environmental, finance, gaming, governmentrelations, health care, insurance, international trade, large scale litigation,legislative/lobbying, litigation, mergers and acquisitions, personal injury, realestate, tax, water rights2

8 Laxalt & Nomura, Ltd. 9600 Gateway Dr.Reno, NV 89521

laxalt-nomura.com775-322-1170

1226

NV, CA, AZ, CO, KS,MO, IA1986

administrative/regulatory, appellate, buisness, commercial and complex,construction, employment and labor, insurance, large scale litigation, litigation,personal injury

9 Erickson Thorpe &Swainston, Ltd.

99 W. Arroyo St.Reno, NV 89509

etsreno.com775-786-3930

1111

CA1969

buisness, construction, employment and labor, insurance, litigation, personalinjury, real estate

10 Kaempfer Crowell50 West Liberty St.,Ste. 700Reno, NV 89501

kcnvlaw.com775-852-3900

1019

AZ, CA, CT, NV, OR2004

administrative/regulatory, appellate, bankruptcy, buisness, business transactions,class action, commercial and complex, construction, corporate, employment andlabor, energy, environmental, estate planning, gaming, government relations, largescale litigation, legislative/lobbying, litigation, mergers and acquisitions, realestate, water rights, land use/zoning

11 Parsons Behle &Latimer

50 W. Liberty, Ste. 750Reno, NV 89501

parsonsbehle.com775-323-1601

917

CA, NE, NV, UT2005

administrative/regulatory, appellate, bankruptcy, buisness, business transactions,commercial and complex, construction, corporate, energy, environmental, finance,insurance, large scale litigation, legislative/lobbying, litigation, mergers andacquisitions, personal injury, real estate, water rights

Fahrendorf ViloriaOliphant & Oster LLP

327 California Ave.Reno, NV 89509

renonvlaw.com775-348-9999

925

CA, NV1998

buisness, business transactions, construction, corporate, criminal, family,litigation, personal injury

13 Dyer Lawrence LawFirm

2805 Mountain St.Carson City, NV 89703

dyerlawrence.com775-885-1896

813

CA, GA, NV1979

administrative/regulatory, appellate, buisness, business transactions, corporate,criminal, employment and labor, estate planning, family, real estate, water rights

Brownstein Hyatt FarberSchreck LLP

5371 Kietzke Ln.Reno, NV 89511

bhfs.com775-622-9450

815

CA, NV2009

administrative/regulatory, business transactions, government relations, intellectualproperty, legislative/lobbying, litigation, patent, tax

15 Robertson, Johnson,Miller & Williamson

50 W. Liberty St., Ste.600Reno, NV 89501

nvlawyers.com775-329-5600

713

AZ, CA, CO, IL1995

buisness, business transactions, commercial and complex, corporate,environmental, large scale litigation, litigation, mergers and acquisitions, personalinjury, real estate, water rights

16 Alling & Jillson, Ltd.276 Kingsbury Grade,Ste. 2000Stateline, NV 89449

ajattorneys.com775-588-6676

612 2001

administrative/regulatory, buisness, business transactions, commercial andcomplex, entertainment/sports/media and communications, environmental, estateplanning, gaming, litigation, mergers and acquisitions, real estate

Incline Law Group LLP

264 Village Boulevard,Ste. 104Incline Village, NV89451

inclinelawgroup.com775-831-3666

611

CA, NV1973

administrative/regulatory, buisness, business transactions, commercial andcomplex, construction, corporate, estate planning, family, large scale litigation,litigation, mergers and acquisitions, real estate, water rights

Downey BrandAttorneys LLP

100 W. Liberty St.,Ste. 900Reno, NV 89501

downeybrand.com775-329-5900

69

CA, NV2005

administrative/regulatory, bankruptcy, buisness, business transactions,commercial and complex, construction, corporate, employee benefits/ERISA,employment and labor, environmental, finance, intellectual property, litigation,mergers and acquisitions, patent, real estate, securities, tax, water rights

1 In the first version of the survey, the question asking states in which at least one attorney from the firm is allowed to practice law was omitted. The question was added after some surveys werealready completed.2 Founded in 1938, Snell & Wilmer is a full-service business law firm with more than 400 attorneys practicing in nine locations throughout the western United States and in Mexico, including Las Vegasand Reno, Nevada; Phoenix and Tucson, Arizona; Los Angeles and Orange County, California; Denver, Colorado; Salt Lake City, Utah; and Los Cabos, Mexico. The firm represents clients ranging fromlarge, publicly traded corporations to small businesses, individuals and entrepreneurs. For more information, visit swlaw.com.”




States allowedto practice lawYear foundedlocally


19 Dickinson Wright, PLLC 100 W. Liberty St., Ste. 940Reno, NV 89501

dickinson-wright.com775-343-7500

611

AZ, CA, D.C., KY,KY, MI, NV, OH,TN2015

appellate, bankruptcy, buisness, business transactions, civil and humanrights, class action, commercial and complex, construction, corporate,criminal, intellectual property, large scale litigation, litigation, mergers andacquisitions, patent, real estate, securities

Guild Gallagher & Fuller,Ltd.

100 W. Liberty St., Ste. 800Reno, NV 89501

ggfltd.com775-786-2366

611

CA, NV1994

administrative/regulatory, bankruptcy, buisness, business transactions,corporate, employment and labor, environmental, estate planning, gaming,intellectual property, litigation, real estate

21 Georgeson Angaran 5450 Longley Ln.Reno, NV 89511

renotahoelaw.com775-827-6440

511

CA, NV1978 insurance, litigation

Gunderson Law Firm 3895 Warren WayReno, NV 89509

gundersonlaw.com775-829-1222

513

CA, NV1987 buisness, business transactions, corporate, litigation, real estate

23 Leverty & AssociatesLaw Chartered

832 Willow St.Reno, NV 89502

levertylaw.com775-322-6636

47

CA, NV, WA1979 class action, insurance, litigation, personal injury

Attorney Marilyn D. York 548 California Ave.Reno, NV 89509

marilynyork.net775-324-7979

410 2002 family

Kalicki Collier, PLLC 401 Ryland St., Ste. 200Reno, NV 89502

kalickicollier.com775-852-2600

49

CA, NV2005

bankruptcy, business transactions, corporate, estate planning, family,litigation, patent, real estate

Beckett Yott McCarty &Spann

555 Double Eagle Ct., Ste. 200Reno, NV 89521

bymslaw.com775-824-8833

410

CA, NV1978 personal injury, workers comp

Taggart & Taggart, Ltd. 108 N. Minnesota St.Carson City, NV 89703

nvwaterlaw.com775-882-9900

47

CA, NV2007

administrative/regulatory, appellate, buisness, government relations,litigation, real estate, water rights

Maddox, Segerblom &Canepa, LLP

10403 Double R BlvdReno, NV 89521

msclawyers.com775-322-3666

47

CA, NV2014

buisness, class action, construction, litigation, personal injury, real estate,medical marijuana law

29 Mackendon Erquiaga,P.C.

179 S. Laverne St., PO Box1203Fallon, NV 89406

fallonlegal.com775-423-2106

37

NV1985

buisness, business transactions, corporate, estate planning, real estate,water rights, probate and trust administration, municipal administration

Hawkins, Folsom & Muir 679 Sierra Rose Dr., Ste. AReno, NV 89511

hawkinsfolsommuirlaw.com775-786-4646

34

NV1903

estate planning, trust and estate litigation; probate; guardianships; trustand estate administration

Walsh Baker &Rosevear, PC

9468 Double R Blvd., Ste. AReno, NV 89521

wbrl.net775-853-0883

36

NV, CA, WA, OR2002

administrative/regulatory, buisness, business transactions, commercial andcomplex, construction, corporate, employment and labor, estate planning,large scale litigation, litigation, real estate

Cavanaugh-Bill LawOffices

401 Railroad St. Ste 307Elko, NV 89801

cblawoffices.org775-753-4357

35

NV2010

administrative/regulatory, appellate, civil and human rights, commercialand complex, criminal, employee benefits/ERISA, employment and labor,environmental, family, government relations, international human rights,legislative/lobbying, litigation, water rights

Thierman Buck LLP 7287 Lakeside Dr.Reno, NV 89511

thiermanbuck.com775-284-1500

37

CA, NV and DC,2nd, 8th, 9th &11th Circuit Ct ofAppeals2002

civil and human rights, class action, employee benefits/ERISA, employmentand labor, large scale litigation, almost $1 billion recovered for employeesnationwide; see Oct. 27, 2007 BusinessWeek cover story

Kern & Associates, Ltd. 5421 Kietzke Ln., Ste. 200Reno, NV 89511

kernltd.com775-324-5930

315 2003 bankruptcy, buisness, corporate, litigation, real estate, homeowners

associations, condominiums, commercial associations, collections

35 Darby Law Practice 4777 Caughlin Pkwy.Reno, NV 89519

darbylawpractice.com775-322-1237

22 2008 bankruptcy, individual and business chapter 7, 11 and 13 bankruptcy

Drinkwater Law Offices 5421 Kietzke Ln.Reno, NV 89511

drinkwaterlaw.com775-828-0800

29 2002

buisness, business transactions, corporate, employment and labor,intellectual property, mergers and acquisitions, Trademark, copyright, newentity formation, registered agent services and sm. business employment

Reno Law Group, LLC 595 Humboldt St.Reno, NV 89509

renolawnv.com775-329-8500

22

CA, NV2013 appellate, bankruptcy, civil and human rights, litigation, water rights

Dunlap & LaxaltAttorneys

537 Ralston St.Reno, NV 89503

dunlapandlaxaltattorneys.com775-323-7790

26

CA, NV1983

buisness, business transactions, civil and human rights, class action,construction, criminal, entertainment/sports/media and communications,health care, insurance, large scale litigation, litigation, personal injury

Rands, South & Gardner 9498 Double R Blvd., Ste. AReno, NV 89521

rsgnvlaw.com775-827-6464

24

NV, UT1997 employment and labor, insurance, personal injury

Smith and Harmer, Ltd. 502 N. Division StreetCarson City, NV 89703

smithandharmer.com7758833200

24

NV1975

corporate, estate planning, real estate, water rights, contracts, trusts,mining

Kent Law 201 Weat Liberty St., Ste. 320Reno, NV 89501

skentlaw.com775-324-9800

25 2010

administrative/regulatory, appellate, buisness, class action, construction,corporate, insurance, large scale litigation, litigation, personal injury, realestate, full service civil litigation law firm

Lee & High, Ltd. 448 Ridge StreetReno, NV 89501

lee-high.com775-324-1011

24

NV, OR, DC, MD2003 appellate, bankruptcy, buisness, family, immigration

Wayne A. Pederson,Esq.

107 N. Main StreetYerington, NV 89447

waynepedersonlaw775-463-3227

26

NV1994 criminal, estate planning, family, litigation, personal injury

Larry K. Dunn &Associates Attorneys atLaw

1188 California Ave.Reno , NV 89509

larrykdunnlaw.com775-322-5656

24

NV1986

criminal, DUI defense, drug offenses, felonies, misdemeanor, driver'slicense revocations, domestic battery

Kidwell & Gallagher,Ltd.

790 Commercial St.Elko, NV 89801

injuryhelpnv.com775-738-1000

26 1998 personal injury, workers' compensation

Law Office of Karen L.Winters

1594 Mono Ave., P.O. Box1987Minden, NV 89423

nevada-law.us775-782-7933

23

CA, NV1996

administrative/regulatory, buisness, employment and labor, estateplanning, family, elder law

Rosenauer & Wallace 510 W Plumb Ln., Ste. AReno, NV 89509

rw-nv.com775-324-3303

24

NV1992

buisness, estate planning, litigation, probate and trust administration;estate, trust, and fiduciary litigation

Erwin & Thompson LLP 241 Ridge Street, Ste. 210Reno, NV 89501

renolaw.com775-786-9494

24 2000

buisness, business transactions, commercial and complex, corporate,energy, environmental, litigation, personal injury, real estate, water rights,Mining, natural resources and geothermal





States allowed topractice lawYear founded locally


1 McDonald CaranoWilson LLP

100 W. Liberty Street,Ste. 1200Reno, NV 89501

mcdonaldcarano.com775-788-2000

3240

AZ, CA, NV, NY, TX, UT1949

administrative/regulatory, appellate, bankruptcy, buisness, business transactions,commercial and complex, construction, corporate, employee benefits/ERISA,employment and labor, energy, environmental, estate planning, gaming,government relations, intellectual property, large scale litigation, legislative/lobbying, litigation, real estate, tax, water rights

2 Holland & Hart LLP5441 Kietzke Ln., 2nFl.Reno, NV 89511

hollandhart.com775-327-3000

2647

Attorneys licensed inevery state except for:AL, AR, CT, DE, GA, IN,KY, LA, ME, MI, MS, NH,RI, SC, VT, WV1971

administrative/regulatory, antitrust, appellate, bankruptcy, buisness, businesstransactions, class action, commercial and complex, construction, corporate,employee benefits/ERISA, employment and labor, energy, entertainment/sports/media and communications, environmental, estate planning, finance, governmentrelations, insurance, intellectual property, legislative/lobbying, litigation, mergersand acquisitions, patent, real estate, securities, tax, water rights

3 Maupin Cox & LeGoy 4785 Caughlin Pkwy.Reno, NV 89519

mclrenolaw.com775-827-2000

2445

CA, NV1972

administrative/regulatory, bankruptcy, buisness, business transactions,commercial and complex, construction, corporate, employee benefits/ERISA,employment and labor, estate planning, family, finance, government relations,health care, insurance, litigation, mergers and acquisitions, personal injury, realestate, tax, water rights

4 Woodburn & Wedge6100 Neil Rd., Ste.500Reno, NV 89511

woodburnandwedge.com775-688-3000

1840

CA, NV1918

appellate, bankruptcy, buisness, business transactions, commercial and complex,construction, corporate, employee benefits/ERISA, employment and labor, energy,environmental, estate planning, family, finance, intellectual property, large scalelitigation, litigation, mergers and acquisitions, real estate, tax, water rights, trustsand trust administration; probate and probate litigation; transportation law

5 Fennemore Craig300 E. Second St., Ste.1510Reno, NV 89501

fennemorecraig.com775-788-2200

1728

NV, AR, CO, CT, CA, UT,FL, GA, HI, IL, IN, KS,MA, MI, MN, MO, MT,NE, NY, OH, OR, SC, TX,UT, VT, WA, DC, WY1938

administrative/regulatory, appellate, bankruptcy, buisness, business transactions,class action, commercial and complex, construction, corporate, employee benefits/ERISA, employment and labor, energy, environmental, estate planning, finance,gaming, government relations, health care, immigration, insurance, intellectualproperty, large scale litigation, legislative/lobbying, litigation, mergers andacquisitions, personal injury, patent, real estate, securities, tax, water rights,emerging businesses and technology, aviation aerospace and autonomoussystems

6 Allison MacKenzie, Ltd. 402 N. Division St.Carson City, NV 89703

allisonmackenzie.com775-687-0202

1527 1978

administrative/regulatory, buisness, business transactions, construction, corporate,employment and labor, energy, environmental, estate planning, family, governmentrelations, health care, legislative/lobbying, real estate, water rights

Snell & Wilmer50 W. Liberty St., Ste.510Reno, NV 89501

swlaw.com775-785-5440

1520

AZ, CA, CO, D.C., IL, KS,LA, MD, Michigan, MN,MO, NV, NY, OR, PA,TX, UT, VA, WI2010

administrative/regulatory, antitrust, appellate, bankruptcy, buisness, businesstransactions, commercial and complex, construction, corporate, criminal,employment and labor, energy, environmental, finance, gaming, governmentrelations, health care, insurance, international trade, large scale litigation,legislative/lobbying, litigation, mergers and acquisitions, personal injury, realestate, tax, water rights2

8 Laxalt & Nomura, Ltd. 9600 Gateway Dr.Reno, NV 89521

laxalt-nomura.com775-322-1170

1226

NV, CA, AZ, CO, KS,MO, IA1986

administrative/regulatory, appellate, buisness, commercial and complex,construction, employment and labor, insurance, large scale litigation, litigation,personal injury

9 Erickson Thorpe &Swainston, Ltd.

99 W. Arroyo St.Reno, NV 89509

etsreno.com775-786-3930

1111

CA1969

buisness, construction, employment and labor, insurance, litigation, personalinjury, real estate

10 Kaempfer Crowell50 West Liberty St.,Ste. 700Reno, NV 89501

kcnvlaw.com775-852-3900

1019

AZ, CA, CT, NV, OR2004

administrative/regulatory, appellate, bankruptcy, buisness, business transactions,class action, commercial and complex, construction, corporate, employment andlabor, energy, environmental, estate planning, gaming, government relations, largescale litigation, legislative/lobbying, litigation, mergers and acquisitions, realestate, water rights, land use/zoning

11 Parsons Behle &Latimer

50 W. Liberty, Ste. 750Reno, NV 89501

parsonsbehle.com775-323-1601

917

CA, NE, NV, UT2005

administrative/regulatory, appellate, bankruptcy, buisness, business transactions,commercial and complex, construction, corporate, energy, environmental, finance,insurance, large scale litigation, legislative/lobbying, litigation, mergers andacquisitions, personal injury, real estate, water rights

Fahrendorf ViloriaOliphant & Oster LLP


renonvlaw.com775-348-9999

925

CA, NV1998

buisness, business transactions, construction, corporate, criminal, family,litigation, personal injury

13 Dyer Lawrence LawFirm

2805 Mountain St.Carson City, NV 89703

dyerlawrence.com775-885-1896

813

CA, GA, NV1979

administrative/regulatory, appellate, buisness, business transactions, corporate,criminal, employment and labor, estate planning, family, real estate, water rights

Brownstein Hyatt FarberSchreck LLP

5371 Kietzke Ln.Reno, NV 89511

bhfs.com775-622-9450

815

CA, NV2009

administrative/regulatory, business transactions, government relations, intellectualproperty, legislative/lobbying, litigation, patent, tax

15 Robertson, Johnson,Miller & Williamson

50 W. Liberty St., Ste.600Reno, NV 89501

nvlawyers.com775-329-5600

713

AZ, CA, CO, IL1995

buisness, business transactions, commercial and complex, corporate,environmental, large scale litigation, litigation, mergers and acquisitions, personalinjury, real estate, water rights

16 Alling & Jillson, Ltd.276 Kingsbury Grade,Ste. 2000Stateline, NV 89449

ajattorneys.com775-588-6676

612 2001

administrative/regulatory, buisness, business transactions, commercial andcomplex, entertainment/sports/media and communications, environmental, estateplanning, gaming, litigation, mergers and acquisitions, real estate

Incline Law Group LLP

264 Village Boulevard,Ste. 104Incline Village, NV89451

inclinelawgroup.com775-831-3666

611

CA, NV1973

administrative/regulatory, buisness, business transactions, commercial andcomplex, construction, corporate, estate planning, family, large scale litigation,litigation, mergers and acquisitions, real estate, water rights

Downey BrandAttorneys LLP

100 W. Liberty St.,Ste. 900Reno, NV 89501

downeybrand.com775-329-5900

69

CA, NV2005

administrative/regulatory, bankruptcy, buisness, business transactions,commercial and complex, construction, corporate, employee benefits/ERISA,employment and labor, environmental, finance, intellectual property, litigation,mergers and acquisitions, patent, real estate, securities, tax, water rights

1 In the first version of the survey, the question asking states in which at least one attorney from the firm is allowed to practice law was omitted. The question was added after some surveys werealready completed.2 Founded in 1938, Snell & Wilmer is a full-service business law firm with more than 400 attorneys practicing in nine locations throughout the western United States and in Mexico, including Las Vegasand Reno, Nevada; Phoenix and Tucson, Arizona; Los Angeles and Orange County, California; Denver, Colorado; Salt Lake City, Utah; and Los Cabos, Mexico. The firm represents clients ranging fromlarge, publicly traded corporations to small businesses, individuals and entrepreneurs. For more information, visit swlaw.com.”






19 Dickinson Wright, PLLC 100 W. Liberty St., Ste. 940Reno, NV 89501

dickinson-wright.com775-343-7500

611

AZ, CA, D.C., KY,KY, MI, NV, OH,TN2015

appellate, bankruptcy, buisness, business transactions, civil and humanrights, class action, commercial and complex, construction, corporate,criminal, intellectual property, large scale litigation, litigation, mergers andacquisitions, patent, real estate, securities

Guild Gallagher & Fuller,Ltd.

100 W. Liberty St., Ste. 800Reno, NV 89501

ggfltd.com775-786-2366

611

CA, NV1994

administrative/regulatory, bankruptcy, buisness, business transactions,corporate, employment and labor, environmental, estate planning, gaming,intellectual property, litigation, real estate

21 Georgeson Angaran 5450 Longley Ln.Reno, NV 89511

renotahoelaw.com775-827-6440

511

CA, NV1978 insurance, litigation

Gunderson Law Firm 3895 Warren WayReno, NV 89509

gundersonlaw.com775-829-1222

513

CA, NV1987 buisness, business transactions, corporate, litigation, real estate

23 Leverty & AssociatesLaw Chartered

832 Willow St.Reno, NV 89502

levertylaw.com775-322-6636

47

CA, NV, WA1979 class action, insurance, litigation, personal injury

Attorney Marilyn D. York 548 California Ave.Reno, NV 89509

marilynyork.net775-324-7979

410 2002 family

Kalicki Collier, PLLC 401 Ryland St., Ste. 200Reno, NV 89502

kalickicollier.com775-852-2600

49

CA, NV2005

bankruptcy, business transactions, corporate, estate planning, family,litigation, patent, real estate

Beckett Yott McCarty &Spann

555 Double Eagle Ct., Ste. 200Reno, NV 89521

bymslaw.com775-824-8833

410

CA, NV1978 personal injury, workers comp

Taggart & Taggart, Ltd. 108 N. Minnesota St.Carson City, NV 89703

nvwaterlaw.com775-882-9900

47

CA, NV2007

administrative/regulatory, appellate, buisness, government relations,litigation, real estate, water rights

Maddox, Segerblom &Canepa, LLP

10403 Double R BlvdReno, NV 89521

msclawyers.com775-322-3666

47

CA, NV2014

buisness, class action, construction, litigation, personal injury, real estate,medical marijuana law

29 Mackendon Erquiaga,P.C.

179 S. Laverne St., PO Box1203Fallon, NV 89406

fallonlegal.com775-423-2106

37

NV1985

buisness, business transactions, corporate, estate planning, real estate,water rights, probate and trust administration, municipal administration

Hawkins, Folsom & Muir 679 Sierra Rose Dr., Ste. AReno, NV 89511

hawkinsfolsommuirlaw.com775-786-4646

34

NV1903

estate planning, trust and estate litigation; probate; guardianships; trustand estate administration

Walsh Baker &Rosevear, PC

9468 Double R Blvd., Ste. AReno, NV 89521

wbrl.net775-853-0883

36

NV, CA, WA, OR2002

administrative/regulatory, buisness, business transactions, commercial andcomplex, construction, corporate, employment and labor, estate planning,large scale litigation, litigation, real estate

Cavanaugh-Bill LawOffices

401 Railroad St. Ste 307Elko, NV 89801

cblawoffices.org775-753-4357

35

NV2010

administrative/regulatory, appellate, civil and human rights, commercialand complex, criminal, employee benefits/ERISA, employment and labor,environmental, family, government relations, international human rights,legislative/lobbying, litigation, water rights

Thierman Buck LLP 7287 Lakeside Dr.Reno, NV 89511

thiermanbuck.com775-284-1500

37

CA, NV and DC,2nd, 8th, 9th &11th Circuit Ct ofAppeals2002

civil and human rights, class action, employee benefits/ERISA, employmentand labor, large scale litigation, almost $1 billion recovered for employeesnationwide; see Oct. 27, 2007 BusinessWeek cover story

Kern & Associates, Ltd. 5421 Kietzke Ln., Ste. 200Reno, NV 89511

kernltd.com775-324-5930

315 2003 bankruptcy, buisness, corporate, litigation, real estate, homeowners

associations, condominiums, commercial associations, collections

35 Darby Law Practice 4777 Caughlin Pkwy.Reno, NV 89519

darbylawpractice.com775-322-1237

22 2008 bankruptcy, individual and business chapter 7, 11 and 13 bankruptcy

Drinkwater Law Offices 5421 Kietzke Ln.Reno, NV 89511

drinkwaterlaw.com775-828-0800

29 2002

buisness, business transactions, corporate, employment and labor,intellectual property, mergers and acquisitions, Trademark, copyright, newentity formation, registered agent services and sm. business employment

Reno Law Group, LLC 595 Humboldt St.Reno, NV 89509

renolawnv.com775-329-8500

22

CA, NV2013 appellate, bankruptcy, civil and human rights, litigation, water rights

Dunlap & LaxaltAttorneys

537 Ralston St.Reno, NV 89503

dunlapandlaxaltattorneys.com775-323-7790

26

CA, NV1983

buisness, business transactions, civil and human rights, class action,construction, criminal, entertainment/sports/media and communications,health care, insurance, large scale litigation, litigation, personal injury

Rands, South & Gardner 9498 Double R Blvd., Ste. AReno, NV 89521

rsgnvlaw.com775-827-6464

24

NV, UT1997 employment and labor, insurance, personal injury

Smith and Harmer, Ltd. 502 N. Division StreetCarson City, NV 89703

smithandharmer.com7758833200

24

NV1975

corporate, estate planning, real estate, water rights, contracts, trusts,mining

Kent Law 201 Weat Liberty St., Ste. 320Reno, NV 89501

skentlaw.com775-324-9800

25 2010

administrative/regulatory, appellate, buisness, class action, construction,corporate, insurance, large scale litigation, litigation, personal injury, realestate, full service civil litigation law firm

Lee & High, Ltd. 448 Ridge StreetReno, NV 89501

lee-high.com775-324-1011

24

NV, OR, DC, MD2003 appellate, bankruptcy, buisness, family, immigration

Wayne A. Pederson,Esq.

107 N. Main StreetYerington, NV 89447

waynepedersonlaw775-463-3227

26

NV1994 criminal, estate planning, family, litigation, personal injury

Larry K. Dunn &Associates Attorneys atLaw

1188 California Ave.Reno , NV 89509

larrykdunnlaw.com775-322-5656

24

NV1986

criminal, DUI defense, drug offenses, felonies, misdemeanor, driver'slicense revocations, domestic battery

Kidwell & Gallagher,Ltd.

790 Commercial St.Elko, NV 89801

injuryhelpnv.com775-738-1000

26 1998 personal injury, workers' compensation

Law Office of Karen L.Winters

1594 Mono Ave., P.O. Box1987Minden, NV 89423

nevada-law.us775-782-7933

23

CA, NV1996

administrative/regulatory, buisness, employment and labor, estateplanning, family, elder law

Rosenauer & Wallace 510 W Plumb Ln., Ste. AReno, NV 89509

rw-nv.com775-324-3303

24

NV1992

buisness, estate planning, litigation, probate and trust administration;estate, trust, and fiduciary litigation

Erwin & Thompson LLP 241 Ridge Street, Ste. 210Reno, NV 89501

renolaw.com775-786-9494

24 2000

buisness, business transactions, commercial and complex, corporate,energy, environmental, litigation, personal injury, real estate, water rights,Mining, natural resources and geothermal



RANK Company Address WebsiteOffice phone


States allowed topractice lawYear foundedlocally


44 Bradshaw Law LLC 974 5th St.Elko, NV 89801

bradshawlawnv.com775-738-7444

13

NV2013 litigation, personal injury

Eric A. Stovall, Ltd. 200 Ridge St., Ste. 222Reno, NV 89501

personalinjurynevada.com775-337-1444

13

NV1995 insurance, litigation, personal injury

Law Offices of Keith L.Lee

1941 Rolling BrookReno, NV 89519

Keithleepublicaffairs.com775-742-5058

12

NV10 gaming, government relations, legislative/lobbying

Sandra O. Wilson,Attorney at Law

611 Sierra Rose Dr., Ste. AReno, NV 89511

swilsonlaw.net775-322-8886

11

CA, NV1991 corporate, estate planning, real estate

Law Offices of John P.Springgate

203 S. Arlington Ave.Reno, NV 89501

springgatelaw.com775-323-8881

12

NV, US Dist. Ct.1990 criminal, family, personal injury

Hal Taylor - AttorneyAt Law

223 Marsh Ave.Reno, NV 89509

NevadaLicenseLawyer.com775-825-2223

11 1998 administrative/regulatory

Law Office of ThomasL Qualls, Ltd.

720 Tahoe St., Ste. BReno, NV 89509

tlqonline.com775-333-6633

12

NV2006

buisness, business transactions, class action, criminal,estate planning, personal injury, real estate

Law Offices of WilliamD. Cope LLP

595 Humboldt St.Reno, NV 89509

copebklaw.com775-333Ð0838

13

NV1990 bankruptcy, personal injury

Law Office of Harold C.Comanse

200 S. Virginia St., 8th Fl.Reno, NV 89501

comanselaw.com775-686-2442

13 2008 bankruptcy

Geoffrey RoullardAttorney At Law

321 N. Walsh St.Carson City, NV 89701

geoffreyroullardlaw775-883-1006

12 1980 estate planning, family, personal injury

Day Williams, Attorneyat Law

1601 Fairview Dr., Ste. CCarson City, NV 89701

carsontrialattorney.com775-885-8398

13 1993 civil and human rights, estate planning, personal injury

Fielder Law Ltd. 4320 Ross Dr.Reno, NV 89519

fielderlawltd.com775-224-2666

11

CA2015 business transactions, real estate

56 Telos Investigations 18197 Spruce Lake Ct.Reno, NV 89508

telos-investigations.com530-558-9650

01

CA, NV2015

civil and human rights, criminal, employment and labor,family, insurance, personal injury

Data shown was submitted via NNBW survey. Other companies were contacted but either declined to respond, provided inadequate information or did not respond by press time. Please send additions& corrections to [email protected]. Sign up for the NNBW Book of Lists Package to view each list in an excel format with additional information that we could not fit in on the print version. Visitwww.nnbw.com for more details.






49 Law Offices of Kenneth V. Ward 15 West Main St.Dayton, NV 89403

lawofficesofkennethvward775-246-7721

24

NV1989 bankruptcy, criminal, estate planning, family, personal injury

Bader & Ryan, Ltd. 232 Court St.Reno, NV 89501

BaderandRyan.com775-322-5000

26

NV1999

buisness, business transactions, corporate, estate planning,family, litigation, real estate

51 Law Office of Harold C. Comanse 200 S. Virginia St., 8th Fl.Reno, NV 89501

comanselaw.com775-686-2442

13 2008 bankruptcy

Malikowski Law Offices, Ltd. 4747 Caughlin Pkwy., Ste. 7Reno, NV 89519

nvlaw.com775-786-0758

12

CA, NV1979 estate planning, litigation, personal injury, real estate

Law Office of J. Robert Parke,LLC

6490 S. McCarran Blvd., Ste. B15Reno, NV 89509

RenoEstateAndTrustLawyer.com775-786-5046

11

NV2000

buisness, business transactions, corporate, estate planning, realestate, tax

Law Offices of Kurt A. Franke 575 Mill St.Reno, NV 89502

lokaf.com775-827-6100

13

CA, NVDND buisness, business transactions, corporate, personal injury

Law Offices of Richard W. Young 327 Marsh Ave.Reno, NV 89509

richardwyoung.com775-322-9477

12

CA, NV1975 criminal, family, personal injury

Steven J. Klearman & AssociatesAttorneys at Law

437 W. Plumb Ln.Reno, NV 89509

nevadainjuries.com775-600-0000

15

NV2005 personal injury

White Law Chartered 335 W. 1st St.Reno, NV 89503

whitelawchartered.com775-322-8000

13 1978 bankruptcy, probate

Jensen Law Group, LTD 10580 N. McCarran Blvd #115-382,Reno, NV 89503

jensenlawgroup-reno.com775-624-5751

11

NV2011 estate planning

Kevin Bertonneau, Attorney atLaw

675 Sierra Rose Dr., Ste. 110Reno, NV 89511

kbertlaw.com775-737-9123

11 2011 buisness, construction, corporate, estate planning, health care,

insurance, litigation, real estate

Law Offices of Allison W. Joffee 712 E. Musser StreetCarson city, NV 89701

allisonjoffee.com775-883-3300

14

NV1988 criminal, family

Thomas A Collins, Attorney atLaw


thomasacollins.com775-322-6648

12 1981 estate planning

Matuska Law Offices, Ltd. 2310 South Carson St., Ste. 6Carson City, NV 89701

matuskalawoffices.com775-350-7220

13 2011 corporate, litigation, real estate, water rights, HOAs, probate,

mediation and arbitration

The Law Offices of JonathanKing

429 Marsh Ave.Reno, NV 89509

kinglawreno.com775-322-2211

11

CA, NV1982

appellate, buisness, business transactions, construction,criminal, estate planning, family, litigation, personal injury, realestate

Debby Lumkes 226 Hill St.Reno, NV 89501

lumkeslaw.com775-324-4340

13

CA, NV1985 criminal, family, juvenile

Bradshaw Law LLC 974 5th St.Elko, NV 89801

bradshawlawnv.com775-738-7444

13

NV2013 litigation, personal injury

Eric A. Stovall, Ltd. 200 Ridge St., Ste. 222Reno, NV 89501

personalinjurynevada.com775-337-1444

13

NV1995 insurance, litigation, personal injury, adoption and surrogacy

Law Offices of Keith L. Lee 1941 Rolling BrookReno, NV 89519

Keithleepublicaffairs.com775-742-5058

12

NV10 gaming, government relations, legislative/lobbying

Sandra O. Wilson, Attorney atLaw

611 Sierra Rose Dr., Ste. AReno, NV 89511

swilsonlaw.net775-322-8886

11

CA, NV1991 corporate, estate planning, real estate, probate, trusts

J. Douglas Clark, Attorney atLaw, Ltd.

510 West Plumb Ln., Ste. BReno, NV 89509

jdouglasclark.com775-324-7822

12

NV2002 estate planning, trust and estate litigation, probate

Law Offices of John P.Springgate

203 S. Arlington Ave.Reno, NV 89501

springgatelaw.com775-323-8881

12

NV, US Dist. Ct.1990 criminal, family, personal injury

Hal Taylor - Attorney At Law 223 Marsh Ave.Reno, NV 89509

NevadaLicenseLawyer.com775-825-2223

11 1998 administrative/regulatory, Social Security disability

Law Offices of Nancy Gilbert 711 Jones St.Reno, NV 89503

ngilbertlaw.com775-322-1119

12

NV, OR, TX1986

buisness, business transactions, commercial and complex,construction, insurance, personal injury

Law Office of Thomas L Qualls,Ltd.

720 Tahoe St., Ste. BReno, NV 89509

tlqonline.com775-333-6633

12

NV2006

buisness, business transactions, class action, criminal, estateplanning, personal injury, real estate,

Law Offices of William D. CopeLLP

595 Humboldt St.Reno, NV 89509

copebklaw.com775-333Ð0838

13

NV1990 bankruptcy, personal injury, debt negotiations

The Law Office of Jamie C. HenryLaw, Prof. LLC

335 West First StreetReno, NV 89503

jamiehenrylaw.com775-324-0362

11

NV2012 criminal, family, mediation

Sutton Hague Law Corporation 9600 Gateway Dr., Ste. 100Reno, NV 89521

suttonhague.com775-284-2770

12

CA, NV, NY2011 buisness, class action, employment and labor, litigation

Geoffrey Roullard Attorney AtLaw

321 N. Walsh St.Carson City, NV 89701

geoffreyroullardlaw775-883-1006

12 1980 estate planning, family, personal injury, workman's comp, social

security disability

Day Williams, Attorney at Law 1601 Fairview Dr., Ste. CCarson City, NV 89701

carsontrialattorney.com775-885-8398

13 1993 civil and human rights, estate planning, personal injury

Fielder Law Ltd. 4320 Ross Dr.Reno, NV 89519

fielderlawltd.com775-224-2666

11

CA2015 business transactions, real estate

Petroni Law Group 555 South Center St.Reno, NV 89501

gloriapetronilaw.com775-420-4221

13

NV2013 estate planning, family

Law Office Of Nathan R. Zeltzer/Action Legal Services

12 W. Taylor St.Reno, NV 89509

actionlegal.com775-786-9993

12

CA, NV2003 bankruptcy, estate planning, personal injury, consumer law

82 Telos Investigations 18197 Spruce Lake Ct.Reno, NV 89508

telos-investigations.com530-558-9650

01

CA, NV2015

civil and human rights, criminal, employment and labor, family,insurance, personal injury, law investigations

Data shown was submitted via NNBW survey. Other companies were contacted but either declined to respond, provided inadequate information or did not respond by press time. Please send additions& corrections to [email protected]. Sign up for the NNBW Book of Lists Package to view each list in an excel format with additional information that we could not fit in on the print version. Visitnnbw.com for more details.


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