Nev. Admin. Code § 612.053

Current through November 8, 2024

Section 612.053 - Determination of substantially common ownership, management or control of business entities

In determining whether substantially common ownership, management or control exists between two or more business entities, the Administrator will consider objective factors which may include, without limitation:

1. In determining common ownership:

(a) Whether one business entity has ownership or control over a substantial interest of another business entity;

(b) The existence of common ownership of assets necessary to conduct a business enterprise; or

(c) The existence of common security or lease arrangements covering assets necessary to conduct a business enterprise, including its workforce.

2. In determining common management, control by the business entities over:

(a) Central accounting;

(b) Personnel policies;

(c) Operating procedures;

(d) The financing of business operations;

(e) Purchasing;

(f) Pricing; or

(g) Collections.

3. In determining common control:

(a) Whether one or more natural or other persons that control a business enterprise remain in control of the business enterprise after its:

(1) Acquisition;

(2) Change in form, including, without limitation:

(I) Its change from an individual proprietorship to an association, corporation, estate, limited-liability entity or partnership;

(II) Its change from a partnership to an association, corporation, estate, individual proprietorship or limited-liability entity;

(III) The addition, deletion or change of partners;

(IV) Its change from a limited-liability entity to an association, corporation, estate, individual proprietorship, partnership or to another type of limited-liability entity;

(V) Its change from a corporation to an association, estate, individual proprietorship, limited-liability entity, partnership or to another type of corporation; or

(VI) Any other change from one type of business organization to another type of business organization; or

(3) Transfer to a person with any familial relationship to the transferor; or

(b) Whether there exists a contract pursuant to which the ownership or the stated arrangement of the business enterprise allows or provides for the direction of the internal affairs or conduct of the business enterprise.

Nev. Admin. Code § 612.053

Added to NAC by Employm't Security Div. by R200-05, eff. 2-23-2006

NRS 612.220, 612.245, 612.732