Priority in Vested Water Rights Survives Nevada Statutory Conflict

The Nevada Supreme Court has ruled that the cancellation and later reinstatement of a permit modifying an entity's prestatutory vested water rights cannot result in the entity losing its priority to use that water, despite a seemingly contrary statutory provision that strips an entity of its priority upon the cancellation of a water‐use modification permit. This case arose when one owner of water rights challenged the Nevada state engineer's reinstatement of the permit of another water rights owner, a permit that allowed the owner to modify water use. The state engineer upheld the permit holder's priority under a Nevada statute.