Bill aims to rein in rampant construction-defect lawsuits

CARSON CITY -- Rampant construction defect lawsuits are the target of a bill introduced in the Nevada Assembly to limit attorney's fees.

Republican Assemblyman Ira Hansen of Sparks introduced AB 285 Wednesday, which scratches a provision in Nevada law allowing attorneys to collect "any reasonable fees" in lawsuits alleging faulty workmanship in homes.

Hansen said the existing statute provides an incentive for law firms to file construction defect lawsuits because it allows them to collect attorney's fees even in a losing case. AB 285 would limit fee awards to only prevailing parties in certain circumstances.

Observers say the lawsuits bring in hundreds of millions of dollars for lawyers and have put construction companies out of business.