A Nevada contractor's license expires on March 31st. The contractor continues working until May 15th before renewing. What is the total late penalty fee?
Correct Answer
D) $600
Late renewal penalties are $200 for the first 30 days, plus $200 for each additional 30-day period. Working 45 days late = $200 + $400 = $600.
Why This Is the Correct Answer
Nevada assesses late renewal penalties in 30-day increments: $200 for the first 30-day period past expiration (April 1–April 30) and $200 for each additional 30-day period. The contractor worked until May 15th — that is 45 days past March 31st, which spans two 30-day penalty periods (days 1–30 and days 31–45). Total: $200 + $400 = $600.
Why the Other Options Are Wrong
Option A: $200
$200 covers only the first 30-day late period (April 1–April 30). Because the contractor was still unlicensed into a second 30-day period (May 1–May 15), an additional $400 penalty applies, bringing the total to $600.
Option B: $400
$400 would be correct only if the contractor renewed exactly at the 30-day mark (April 30). Since the contractor worked 45 days late — into a second penalty period — an additional $200 is owed, making the total $600.
Option C: $800
$800 would apply if the contractor worked into a third 30-day period (past May 30). Working until May 15th puts the contractor only into the second period, so the correct total is $600, not $800.
Memory Technique
Think of it as a hotel check-out: you're charged for each day you stay past checkout, but billed in 30-day blocks. Even one day into a new block means you owe for the full block. '$200 per month-block started.'
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Under NRS 108, a mechanics' lien must include specific information. Which of the following is NOT required to be included in the lien?
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