NAC119A.365. Standards for sales techniques and tactics.

Sales techniques and tactics must conform to the following standards:

     1. Decoys or false buyers must not be used in a promotional meeting for any purpose.

     2. Each oral statement made to a prospective purchaser at a promotional meeting must be completely consistent with written advertising or other material filed with and approved by the Division.

     3. Any prospective purchaser who expresses a desire to leave a promotional meeting at any time during or after the sales presentation may not be impeded in any manner from departing or coerced or pressured to remain.

     4. Investigators and other employees of the Division must be allowed to attend any promotional meeting.

     5. Excessively loud music must not be played during a promotional meeting, and it must be turned off or down at the request of employees of the Division who are present at the meeting.

     6. Except for a speaker making a speech from a podium, after a salesperson initially meets with a prospective purchaser, the developer or project broker may allow only one additional salesperson to attempt a sale.

     7. If an employee of the Division is present at a sales presentation, he or she must not be identified, singled out or asked questions in such a way that a potential purchaser might hear the question or the employee’s remarks.

     8. If a project broker or developer at any time before, during or after a promotional meeting uses any electronic surveillance, recording, eavesdropping or listening device, he or she must disclose its use orally at the beginning of the meeting and also by means of a placard prominently displayed in the meeting room.

     9. Each gift advertised must be given to a prospective purchaser whether or not he or she purchases a time share. The advertisement must disclose, in writing, any condition or restriction of the offer of a gift.

     10. An employee of the developer shall not keep a prospective purchaser’s credit card for a period longer than is reasonably necessary to check the purchaser’s credit rating.

     11. The public offering statement and exchange information, the sales contract and other documents which the purchaser would be signing if a purchase were consummated must be reviewed by the sales agent, salesperson, broker-salesperson or project broker with the potential purchaser.

     12. Upon the purchaser’s request, the purchaser must be allowed time to discuss the documents with another person, review the documents and, if he or she so desires, consult an attorney before signing any document.

     13. Before signing an offer to purchase, the purchaser must be informed of his or her unconditional right to rescind the sales contract.

     14. The Division may not be mentioned in such a manner as to suggest that the Division has approved the project, documents or sales techniques of the project.

     15. No false or misleading statements may be made regarding the future economic success, any recreational facilities or the location of the project.

     (Added to NAC by Real Estate Div., eff. 12-3-84; A 5-2-86)