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Nevada Document Preparation Service or Legal Document Assistant Bond


Nevada Document Preparation Service or Legal Document Assistant Bond Information

A Document Preparation Service Bond is a type of surety bond required in Nevada for registered Document Preparation Services and other legal document preparers. The surety bond is for those that have been registered or have applied to be registered by the Secretary of State of the State of Nevada as a Document Preparation Service pursuant to NRS Chapter 240A. The condition of the surety bond is that the registered Document Preparation Service perform and execute all specified duties in a faithful manner and ethical manner in compliance with all laws, rules and regulations established by the state. The bond serves the purpose of indemnifying those who suffer financial damages resulting from the bonded principal's non-compliance or violations of these terms.

How Much Does a Document Preparation Service Bond Cost in Nevada?

Document Preparation Service Bond

$50,000 Bond

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What does a Document Preparation Service Bond Protect Against?

The Document Preparation Service surety bond provides an indemnification or limited guarantee to a customer or any other person who files a valid action or proceeding related to financial damages caused by the bonded principal or related parties resulting from; acts or omission of the registrant, which violates a provision of law or a regulation, wrongful failure or refusal by the registrant to provide services in accordance with a contract, fraud, dishonesty, negligence or other wrongful conduct, acts or omissions of the registrant in violation of any federal or state law for which the return of fees, an award of damages or the imposition of sanctions have been awarded by a court, or payment to the Secretary of State for any civil penalty or award of attorney’s fees or costs of suit pursuant to the laws of the state.

Getting Your Nevada Business License or Registration

NRS Chapter 240A governs the registration and professional conduct of those who provide document preparation services in Nevada. A document preparation service is defined in Nevada as a person who, for compensation and under the direction of a client, provides assistance in certain legal matters and is required to be registered with the Nevada Secretary of State. The state law affords consumers protections and remedies for conduct violations by a document preparation service. One of these protections is the required surety bond. Learn more about Document Service Preparer licensing requirements from the Nevada Secretary of State.

Other Helpful Information and Links

Nevada Secretary of State

Effective July 2017, the Nevada Legislative Session through Assembly Bill 324 revised and expanded its definition of Document Preparation Services to include “A person who, for compensation, assists a client in preparing all or substantially all of a federal or state tax return or a claim for a tax refund”. In following, those meeting this definition are now obligated to furnish a $50,000 surety bond.

How Does the State of Nevada define Document Preparation Services?

"A document preparation service is a person who, for compensation and under the direction of a client, provides assistance in certain legal matters and is required to be registered with the Nevada Secretary of State." The Nevada state law provides consumers protections and remedies for violations of conduct by a document preparation service. NRS Chapter 240A governs the registration and conduct of persons who provide document preparation services. More specifically, the state's definition also includes the following activities:

  • Preparing or completing any pleading, application or other document for the client, 
  • Translating an answer to a question posed in such a document, 
  • Securing any supporting document, such as a birth certificate, required in connection with the legal matter, 
  • Submitting a completed document on behalf of the client to a court or administrative agency, or
  • Preparing or assisting in the preparation of all or substantially all of a federal or state tax return or claim for a tax refund
  • A paralegal who performs one or more of the actions described unless the paralegal works under the direction and supervision of an attorney authorized to practice law in this State,
  • A bankruptcy petition preparer as defined by section 110 of the United States Bankruptcy Code, 11 U.S.C. § 110, or
  • Holds himself or herself out as a person who provides such services.

A person acting as a document preparation service is precluded from providing legal advice unless he or she is a licensed attorney in the State of Nevada.