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During an NSCB complaint investigation, what happens if the contractor and complainant reach a voluntary settlement agreement?

Correct Answer

A) The settlement must be approved by the NSCB

Settlement agreements in NSCB complaint cases must be approved by the Board to ensure they adequately address the violations.

Answer Options
A
The settlement must be approved by the NSCB
B
The case proceeds to formal hearing
C
The NSCB must still complete the full investigation
D
The complaint is automatically dismissed

Why This Is the Correct Answer

Even when parties reach a voluntary settlement, the NSCB retains oversight authority. The Board must approve the settlement to confirm it adequately remedies the violation and protects public interests. Settlements are not self-executing β€” Board approval is required.

Why the Other Options Are Wrong

Option B: The case proceeds to formal hearing

If a voluntary settlement is reached, the case does NOT automatically proceed to a formal hearing. A formal hearing is typically held when parties cannot resolve the matter, not when they have already agreed.

Option C: The NSCB must still complete the full investigation

The NSCB does not need to complete the full investigation once a settlement is reached. The settlement process can resolve the matter without a complete investigative process, subject to Board approval.

Option D: The complaint is automatically dismissed

The complaint is NOT automatically dismissed upon settlement. Without Board approval, the complaint remains open. Automatic dismissal would bypass the Board's oversight role, which contradicts NRS 624's regulatory intent.

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