1. An informal merchant shall not offer for sale or knowingly allow the sale of any new product that he or she knows or reasonably should have known is stolen, has been recalled by the manufacturer, has been adulterated, has not been maintained at the proper temperature, has an expiration date that has passed, has been discarded by the manufacturer or a retailer, is an inferior product if he or she does not clearly indicate such inferiority, or has any other defect that makes the product ineffective for the use for which it is purchased or that makes the product below the quality expected by the consumer.

2. An informal merchant who violates the provisions of subsection 1 shall be punished:

(a) If the sale of the product does not cause substantial bodily harm to another person, for a gross misdemeanor.

(b) If the sale of the product causes substantial bodily harm to another person, for a category C felony as provided in NRS 193.130.

3. Upon request of a peace officer, an informal merchant shall provide reliable evidence of the legal acquisition of a new product that the merchant is offering for sale. If it is determined that the product was stolen and the informal merchant fails to provide such evidence, an inference is created that the informal merchant knew or should have known that the product was stolen.

4. As used in this section:

(a) “Informal market” means:

(1) A gathering at which:

(I) Two or more persons offer personal property for sale or exchange;

(II) A fee is charged for the sale or exchange of personal property; or

(III) A fee is charged for admission to the area in which personal property is offered for sale or exchange; or

(2) A place at which personal property is offered or displayed for sale or exchange on more than six occasions in a period of 12 months,

whether held in a building, under cover or in the open air.

(b) “Informal merchant” means a person who does not have an established retail store in the county and who transports an inventory of goods to an informal market and displays the goods for sale, offers them for sale at retail or sells them at retail.

(c) “New product” means any tangible good which has never been used or which is in its original, unopened package or container.

(d) “Stolen” means taken unlawfully from or without the permission of the owner, whether or not the person who took the item is or has been prosecuted or convicted for the taking of the item.

(Added to NRS by 1999, 2543)