

Not paying back a casino marker gambling debt is a crime in Nevada under NRS 205.130 if the defendant had an "intent to defraud." However, the law presumes defendants have an "intent to defraud" if there are insufficient funds in their bank account when the casino attempts to redeem the marker.

The penalty for not paying back a marker of at least $650 is a felony in Nevada, carrying:

1 - 4 years in Nevada State Prison,

up to $5,000 in fines plus administrative fees,

full restitution in Nevada, and

a 5-year waiting period to get a Nevada record seal after the case ends

People facing felony casino marker charges who leave the state may face extradition to Nevada. And non-U.S. citizens convicted of unpaid markers face deportation from the U.S.

Common defenses to casino marker charges are:

the marker was invalid, or the defendant had no intent to defraud

Casino marker debts may not be discharged through bankruptcy unless the D.A. drops the charges.

In this article, our Las Vegas criminal defense attorneys discuss the Nevada crime of not paying casino markers. Click on a topic to jump to that section:

Nevada casino marker laws are very biased towards the casinos.

1. Definition of casino markers in Nevada

Casino markers are zero-interest loans that Nevada casinos extend to patrons as an incentive to gamble. Legally, these lines of credit are treated like checks that patrons are expected to redeem -- usually within thirty (30) days.

Practically speaking, casino markers make gambling more convenient. Without them, patrons would have to carry large amounts of cash on their person or rely on ATMs and pay extra fees.

Customers who want to take out markers from a casino must fill out a credit line application first. For examples, see the Venetian credit application, the Mandalay Bay marker limit application, and the MGM marker limit application.

2. Not paying back casino markers is a crime in Nevada

The legal definition of the Nevada crime of "unpaid casino markers" consists of the following two (2) elements:

the defendant willfully and with an "intent to defraud" took out a casino marker, and the defendant had insufficient money in his/her bank account to pay for it

Nevada law automatically presumes the defendant had the intent to defraud if there were insufficient funds in his/her bank account when the casinos tried to redeem the markers. So if a person's bank account overdrafts, the defendant is guilty until proven innocent.

The only evidence that Nevada courts require a prosecutor to produce in order to convict someone of unpaid casino markers are the following two (2) slips of paper:

a copy of the original marker, and a copy of the marker once the casino tried unsuccessfully to redeem it (stamped NSF for "not sufficient funds")

Nevada is the only state where allegedly not making good on casino markers subjects the person to criminal penalties.

2.1. Procedures leading up to casino marker charges

Casinos try to get their money back on their own before contacting the D.A.

Before the state can prosecute someone for allegedly not paying casino markers in Nevada, the casino and D.A. must first take the following steps:

If a casino believes a patron has not paid back a marker in time, then the casino may go directly to the patron's bank and take the money from his/her account. If the patron's account has insufficient funds ("NSF"), the casino then sends the patron a certified letter giving him/her ten (10) days since the mailing date to pay. See an example of 10-day notice letter for unpaid casino markers in Nevada. If the patron does not make good on the alleged debt, the casino submits a bad check complaint to the D.A. See an example of Nevada bad check complaint form. At this point, the patron may no longer pay any outstanding debt to the casinos directly. From now on, the D.A. serves as the middleman between the patron and the casinos and receives any payments he/she may later make. Note that as soon as the case is in the D.A.'s hands, the D.A. tacks on collection fees to the debt amount. If the D.A. decides to prosecute the patron for allegedly defaulting on casino markers, the D.A. will send him/her another notice by certified mail giving him/her another ten (10) days from the date of the letter to pay. Any restitution must be paid by money order, cashier's check, or wire transfer and made payable to the appropriate District Attorney's office. If the ten (10) days pass with no payment, an arrest warrant in Nevada will issue.

2.2. Arrest warrants in casino marker cases

Once an arrest warrant is issued for a Nevada casino marker defendant, the police probably will not go searching for him/her to execute the warrant. (However, if the defendant has a long criminal history or is a flight risk, the police might then decide to try to find him/her right away to make an arrest.)

In most cases, the D.A. will mail the defendant a summons notifying him/her of the warrant. The summons will contain instructions to appear in the appropriate Nevada court on a specified date. But note that during this time while the warrant is outstanding, the defendant is vulnerable to arrest if he/she gets pulled over for a traffic violation in Nevada, and the police officer runs a warrant check.

It is important that the defendant arrives at court on the summons date with an attorney. An attorney may be able to persuade the judge to waive bail in Nevada -- called an O.R. (own recognizance) release. Otherwise, defendants who show up without an attorney are more likely to get booked at jail with bail set to the total sum of the alleged casino marker debt.

If the defendant misses the scheduled court date on the summons, the police might then make more of an effort to locate and arrest the defendant. And because the defendant missed a court appearance, the judge would be less likely to grant the defendant an O.R. release later on.

3. Fighting Nevada charges of unpaid casino markers

Two common defenses to Nevada casino marker charges are that:

the marker was facially invalid, or there was no intent to defraud

3.1. Invalid marker

Sometimes casinos issue markers that do not qualify as "checks" under Nevada law. In those instances, courts should not convict people for neglecting to pay them. Markers are invalid if they:

Fighting casino marker charges can be tricky because the law presumes the defendant has an "intent to defraud."

do not show the payee (the casino), the date, the amount of money, or the defendant's signature,

are pre-dated, post-dated, or where an agreement was made to hold the check for later payment,

are unclear as to the identities of the defendant or the casino,

have been altered or look like forgeries, and/or

are for pre-existing debt and if the casino suffered no monetary injury

If the defense attorney can show that the markers in question fall outside of Nevada's bad check laws, then the D.A. should dismiss the case.

3.2. No intent to defraud

A Nevada court should not convict defendants of unpaid casino markers if they had no intent to defraud. However, this is a difficult defense strategy: The law presumes that defendants had the intent to defraud if their bank accounts had insufficient funds when the casino tried to redeem the markers.

But it may still be possible to overcome the presumption of "intent to defraud" depending on the facts of the case. The following circumstances may help chip away at the state's argument that a defendant intended to defraud the casino:

the defendant had a long, harmonious history of reimbursing casino markers;

the defendant fell ill after having taken out the markers and was physically unable to repay them;

the casino intoxicated the defendant with alcohol, thereby compromising his/her judgment when taking out the casino marker;

the defendant's bank records show that the defendant did have sufficient funds to pay the marker at the time he/she took them out; and/or

the casino knew the defendant had insufficient funds

Various defendants in past casino marker cases have challenged whether markers are indeed "checks" and argued that NRS 205.130 violates equal protection and creates an unconstitutional debtor's prison. So far Nevada courts have rejected these positions.

4. Penalties for not paying back casino markers in Nevada

Not paying casino markers of $650 or more is charged as a felony in Nevada.

Incarceration is a penalty for not paying back markers, but Nevada prosecutors may agree to negotiate a payment plan and eventually dismiss the charges. This is especially true if it is the defendant's first offense, and the amount of money at issue is low.

4.1 Penalties for defaulting on Nevada casino markers

Defaulting on casino markers less than $650 is a misdemeanor in Nevada, carrying:

up to six (6) months in jail, and/or

up to $1,000 in fines

Defaulting on casino markers of $650 or more is a category D felony in Nevada, carrying:

one to four (1 - 4) years in Nevada State Prison,

full restitution of the outstanding casino marker debt,

administrative fees (an extra 5% of each marker of $10,000 or less, and an extra 10% of each marker of more than $10,000), and

a $5,000 fine (at the judge's discretion)

Note that suspects face separate charges for each individual unpaid casino marker, not just one charge for the entire debt. Las Vegas criminal defense attorney Michael Becker illustrates how this works:

Example: John defaults on a $5,000 marker and a $20,000 marker from the Venetian. Since neither marker is for less than $650, the D.A. prosecutes John for two felonies. If John gets convicted, a judge in Clark County District Court may sentence him to: up to eight (8) years in Nevada State Prison (up to four (4) years for each marker),

$25,000 in restitution (the total value of both markers),

$2,250 in administrative fines (5% of the smaller marker plus 10% of the larger), and

up to $10,000 in fines (up to $5,000 for each marker)

Also, note that casino marker defendants may face civil prosecution as well as criminal. In practice however, Las Vegas casinos rely on the Clark County District Attorney's Office to recover their money and never bring civil lawsuits.

But if the D.A. decides not to prosecute -- or if the criminal case is taking too long -- casinos might resort to suing the defendant in civil court. Their typical causes of actions are "breach of contract" and "unjust enrichment."

4.2. Plea bargains for defaulting on Nevada casino markers

The D.A. usually tries to negotiate a deal in casino marker cases.

Nevada prosecutors are well aware that defaulted casino markers are non-violent offenses, and that incarcerated defendants cannot earn money to pay back the casinos. Therefore, prosecutors are usually willing to resolve casino marker cases.

If the defendant has no prior casino marker cases and behaves cooperatively, prosecutors may be willing to set up a monthly payment plan. Once the casinos get reimbursed in full, the D.A. may dismiss the charges.

However, repeat casino marker offenders may not be able to escape prosecution even if they pay everything back. The D.A. may request that the defendant remains on probation for a few years and be barred from entering Nevada casinos to gamble.

4.2.1 Civil confessions of judgment



Another option the D.A. may consider is for the defendant to plead guilty to a Nevada gross misdemeanor in exchange for signing a civil confession of judgment. This is a legal admission that the defendant owes the casinos money. This way, the only way casinos can pursue their money is through suing the defendant in civil court.

The advantage of this approach is that the defendant forgoes prison by being on probation. And the casino may decide not to take the trouble and expense of suing the defendant after all, especially if he/she is judgment-proof.

5. Sealing Nevada criminal records for unpaid casino markers

The waiting period to seal a felony casino marker conviction in Nevada is five (5) years after the case ends. For misdemeanor casino marker convictions, the record seal waiting period is one (1) year after the case ends.

If the casino marker case gets dismissed (which means the defendant never gets convicted), the case may be sealed right away.

6. Extradition to Nevada for unpaid casino markers

Nevada prosecutors may try to extradite alleged fugitives suspected of not paying back markers.

A Nevada arrest warrant will issue for casino marker defendants who leave the state. Other states are required to execute Nevada arrest warrants even though they do not treat unpaid casino markers as a crime.

Note that every state has its own extradition laws and procedures. Some states like Florida and Hawaii may allow a suspected fugitive to be released on bail pending extradition, but others like California do not.

Therefore it is important that suspects retain counsel before being arrested out-of-state so they can try to prevent an arrest in the first place. Negotiating casino marker cases is much easier if the suspect is not in custody. Learn more about Nevada extradition laws.

7. Deportation for unpaid casino markers in Nevada

A non-U.S. citizen can get deported for not paying back a marker if the charge is for a felony. Not paying back casino markers is considered a crime involving moral turpitude because it involves "intent to defraud." Therefore, non-U.S. citizens convicted of a felony casino marker crime face deportation.

Aliens charged with violating NRS 205.130 should hire an experienced criminal defense attorney as soon as possible. If the D.A. agrees to dismiss the charges in exchange for a financial settlement, the immigrant should be able to avoid removal. Learn more about the criminal defense of immigrants in Nevada.

8. Discharging a Nevada casino marker debt in bankruptcy

A debt for unpaid casino markers may not be discharged in bankruptcy unless the criminal charges get dismissed.

Bankruptcy does not protect Nevada casino marker debtors from criminal prosecution. Therefore, anyone charged with or convicted of unpaid casino markers are not permitted to discharge the restitution in bankruptcy.

But if the D.A. decides not to prosecute a defendant for unpaid casino markers, he/she should be able to discharge the casino debts in bankruptcy.

9. Related offenses

9.1. Gaming fraud (NRS 465.070)

The Nevada crime of gaming fraud is an extremely broad offense. It can include using insider information to get an advantage while gambling, or manipulate a gaming device with the intent to cheat. A first-time offense is a category B felony in Nevada, carrying:

1 - 6 years prison, and/or

up to $10,000 in fines, and

restitution

9.2. Cheating at Gambling (NRS 465.083)

The Nevada crime of cheating at gambling occurs when a person tries to alter the elements of chance in a game. A first-time offense is a category B felony, carrying:

1 - 6 years prison, and/or

up to $10,000 in fines, and

restitution

9.3. Forgery (NRS 205.090)

The Nevada crime of forgery occurs when someone intentionally attempts to defraud another by means of falsified documents. Like unpaid casino markers of $650 or more, forgery is prosecuted as a category D felony. The penalties include:

1 - 4 years in prison, and

up to $5,000 in fines (at the judge's discretion), and

restitution

Call our Las Vegas criminal defense attorneys at 702-DEFENSE for a FREE consultation today.

Accused of unpaid casino markers in Nevada?

No matter whether you have been falsely accused or are just going through a tough time financially, our Las Vegas casino marker attorneys will draw on our extensive experience to try to win you a dismissal or reduction in your casino marker case.

We are devoted to negotiating with prosecutors in an effort to resolve your criminal charges so you walk away with no jail or criminal record. Phone us at 702-DEFENSE (702-333-3673) for a free phone consultation.

People struggling with a gambling addiction may want to look into joining Gamblers Anonymous.

Our attorneys serve our clients' criminal defense needs throughout Clark County and Washoe County, Nevada, including Las Vegas, Henderson, North Las Vegas, Mesquite, Boulder City, Laughlin, Searchlight, Moapa, Carson City, Reno, Pahrump, and elsewhere in Nye County.

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