In 1991, the Nevada Legislature enacted the Uniform Common-Interest Ownership Act (UCIOA) which had been promulgated by the National Conference of Commissioners on Uniform State Laws (NCCUSL) (the Statute).[1] This law provides that a homeowners association (HOA) may record a lien on each home in the community it governs and in enacting this law, the Legislature authorized an HOA to foreclose its lien through a nonjudicial foreclosure process.   ‘

In Senate Bill No. 306 of the 2015 Session of the Nevada Legislature (S.B. 306), the Legislature sought to revise the statute to improve the fairness of the HOA foreclosure process for lenders who face the extinguishment of their liens by an HOA foreclosure. Unlike the prior version of this law, S.B. 306 makes clear that lenders are required to receive actual notice of an HOA foreclosure sale. Read the article