Nevada’s Clarification Regarding a HOA’s Representational Standing

On September 27, 2017, the Nevada Supreme Court issued a decision clarifying the prior version of NRS 116.3102(1)(d)1, under which numerous construction defect cases are pending in Nevada. NRS 116.3102(1)(d), at the time the Complaint was filed, allowed homeowners associations to pursue construction defect claims on behalf of their members. In High Noon2, the Nevada Supreme Court considered whether a homeowners’ association has such standing to represent (1) unit owners who purchase their units after the commencement of litigation, and (2) unit owners that sell their units after the commencement of the litigation.

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