What is maximum paid from Nevada Recovery Fund per judgment?
Question & Answer
Review the question and all answer choices
$10,000
$10,000 is too low and does not reflect the statutory maximum established under Nevada law; this figure may be confused with recovery fund limits in other states or with other consumer protection caps.
$25,000
$50,000
$50,000 exceeds the per-judgment maximum set by Nevada statute; while this amount might seem reasonable for consumer protection purposes, NRS 645.842 specifically establishes $25,000 as the cap per judgment.
$100,000
$100,000 is the aggregate maximum that can be paid from the Nevada Recovery Fund arising from transactions involving a single licensee, not the per-judgment maximum — confusing these two figures is a common and important distinction to master.
Why is this correct?
Under NRS 645.842, the Nevada Real Estate Recovery Fund limits payouts to a maximum of $25,000 per judgment against a licensee, making option B the correct answer. This statutory cap ensures that the Fund remains solvent and available to compensate multiple victims across many cases over time.
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