Nevada Administrative Code › Chapter 645F - Mortgage Lending and Related Professions › NEVADA COVERED SERVICE PROVIDER REGULATIONS › Licensing and Operation: Independent and Associated Licenses › Section 645F.325 - Supervision of associated licensees

Current through June 11, 2024
1. An independent
						licensee shall exercise reasonable and adequate supervision over the activities
						of the associated licensees, if any, who are employed by or otherwise
						associated with the independent licensee, including, without limitation, by
						establishing a system to review, oversee and inspect the activities of the
						associated licensees.
2. In
						determining whether an independent licensee has maintained reasonable and
						adequate supervision of an associated licensee, the Commissioner will consider
						whether:
(a) The independent licensee has
						made a reasonable effort to investigate the background and experience of a
						prospective associated licensee and hire only such associated licensees whose
						background and experience indicate that they are trustworthy and competent to
						conduct the business of a covered service provider, foreclosure consultant or
						loan modification consultant, as applicable;
(b) The independent licensee has adopted and
						followed policies and procedures, written or oral, relating to the supervision
						and training of associated licensees;
(c) The associated licensee has followed the
						policies and procedures of the independent licensee, written or oral, governing
						the activities of the associated licensee;
(d) The independent licensee has established
						and followed a system of review for compliance with the written or oral
						policies and procedures established by the independent licensee;
(e) The policies and procedures of the
						independent licensee require regular review of the work of the associated
						licensee, including, without limitation, communications between the associated
						licensee and other parties to a transaction;
(f) The independent licensee reviewed the
						work of the associated licensee in the case under examination by the
						Commissioner;
(g) The policies and
						procedures of the independent licensee include, without limitation, training in
						the requirements of the Nevada Covered Service Provider Regulations and
						NRS 645F.300 to
						645F.450,
						inclusive;
(h) The independent
						licensee makes copies of the Nevada Covered Service Provider Regulations and
						chapter 645F of NRS available to the associated licensee;
(i) The policies and procedures of the
						independent licensee include, without limitation, a provision for continuing
						education for associated licensees;
(j) The licensee or the applicable qualified
						employee of the licensee spends a sufficient amount of time in the office where
						the associated licensee is working;
(k) The independent licensee has received or
						acted on previous reports of alleged misconduct by the associated
						licensee;
(l) The independent
						licensee has reviewed the handling by the associated licensee of any fee,
						deposit or money paid to the independent licensee or an associated licensee who
						is employed by or otherwise associated with the independent licensee, or held
						in trust by the independent licensee or an associated licensee who is employed
						by or otherwise associated with the independent licensee, pursuant to the
						Nevada Covered Service Provider Regulations or chapter 645F of NRS;
						and
(m) The independent licensee's
						review of the previous work of the associated licensee would have disclosed a
						problem with the conduct or issue being examined by the Commissioner.