Title 13, Debtor and Creditor Relationship

1. The commissioner of financial institutions may issue upon a current or former residential mortgage loan servicer officer or employee and upon the licensee involved an order stating: a. The current or former officer or employee is engaging or has engaged in any of the following…

It is a violation of this chapter for a person subject to this chapter to: 1. Make or cause to be made any materially false statement or representation in any document or statement required to be filed under any provision of this chapter, or to omit any material statement or fact…

Whenever it appears to the department of financial institutions either upon complaint or otherwise, that any person has engaged in, is engaging in, or is about to engage in any act or practice or transaction which is prohibited by this chapter, or by any order of the department i…

In addition to any authority allowed under this chapter, the commissioner may conduct investigations and examinations as follows: 1. The department of financial institutions may: a. Make a public or private investigation or examination within or outside this state as it deems nec…

An applicant, licensee, or other person subject to the provisions of this chapter shall comply with requests for information, documents, or other requests from the department of financial institutions within the time specified in the request, which must be a minimum of ten days, …

The remedies provided for in this chapter are in addition to and not exclusive of any other remedies provided by law.

Any person violating any of the provisions of this chapter or any rule or order of the department of financial institutions made pursuant to the provisions of this chapter or who engages in any act, practice, or transaction declared by any provision of this chapter to be unlawful…

To promote more effective regulation and reduce regulatory burden through supervisory information sharing: 1. Except as otherwise provided in Public Law 110-289, section 1512, the requirements under any federal law, chapter 44-04, or section 6-01-07.1, regarding the privacy or co…

A licensee is required to submit within twenty business days of the date of change notification of a change of name or change of address. The notification must be in the form prescribed by the commissioner.

Each licensee shall submit to the nationwide multistate licensing system and registry reports of condition which must be in the prescribed form and must contain the information as the nationwide multistate licensing system and registry may require. Failure to accurately report in…

Notwithstanding state privacy law, the commissioner shall regularly report violations of this chapter, as well as enforcement actions and other relevant information, to the nationwide multistate licensing system and registry subject to the provisions contained in section 13-12-15…

Except for provisions of chapter 6-08.1 which are inconsistent with this chapter, chapter 6-08.1 applies to all residential mortgage loan servicers licensed under this chapter.

Every state agency, political subdivision, or school district, which acquires property or services pursuant to a contract with a business shall pay for each complete delivered item of property or service on the date required by contract between such business and agency or, if no …

Interest must accrue and be made on payments overdue under section 13-01.1-01 at the rate of one and three-fourths percent per month, unless a different rate is specified within the contract upon which the claim is based. Interest must accrue beginning on the day after payment is…

Any interest which remains unpaid at the end of any forty-five-day period or which remains unpaid at the end of any specified period provided by contract must be added to the principal amount of the debt and must thereafter accumulate interest.

An agency of the state is prohibited from seeking additional appropriations to pay interest which accrues as a result of the agency's failure to make payments as required by section 13-01.1-01.

If the agency or business fails to timely pay interest as required by sections 13-01.1-02 and 13-01.1-06 and the failure is the result of a dispute between the agency and the business, or a dispute between the business and a subcontractor or supplier, over the amount due or over …

Upon payment by a state agency, political subdivision, school district, or agency of the United States, a business which has acquired under contract, property or services in connection with its contract with such agency, political subdivision, or school district, from a subcontra…

For purposes of this chapter, the following definitions shall apply: 1. "Authorized user" means any employee, contractor, agent, or other person who: a. Participates in a financial corporation's business operations; and b. Is authorized to access and use any of the financial corp…

1. A financial corporation shall develop, implement, and maintain a comprehensive information security program. 2. The information security program must: a. Be written in one or more readily accessible parts; and b. Maintain administrative, technical, and physical safeguards that…

1. A financial corporation's information security program must denote a designation of a qualified individual responsible for overseeing and implementing the financial corporation's information security program and enforcing the financial corporation's information security progra…

Subsection 4, subdivision b of subsection 6, and subsections 10 and 11 of section 13-01.2-03 do not apply to financial institutions that maintain customer information concerning fewer than five thousand consumers.

As used in this chapter: 1. "Affiliate" means: a. A person that directly or indirectly owns, controls, or holds with power to vote, twenty percent or more of the outstanding voting securities of the debtor, other than a person that holds the securities; (1) As a fiduciary or agen…

1. A debtor is insolvent if, at a fair valuation, the sum of the debtor's debts is greater than the sum of the debtor's assets. 2. A debtor that is generally not paying the debtor's debts as they become due other than as a result of a bona fide dispute is presumed to be insolvent…

1. Value is given for a transfer or an obligation if, in exchange for the transfer or obligation, property is transferred or an antecedent debt is secured or satisfied, but value does not include an unperformed promise made otherwise than in the ordinary course of the promisor's …

1. A transfer made or obligation incurred by a debtor is voidable as to a creditor, whether the creditor's claim arose before or after the transfer was made or the obligation was incurred, if the debtor made the transfer or incurred the obligation: a. With actual intent to hinder…

1. A transfer made or obligation incurred by a debtor is voidable as to a creditor whose claim arose before the transfer was made or the obligation was incurred if the debtor made the transfer or incurred the obligation without receiving a reasonably equivalent value in exchange …

For the purposes of this chapter: 1. A transfer is made with respect to an asset that is real property other than a fixture, but including the interest of a seller or purchaser under a contract for the sale of the asset, when the transfer is so far perfected that a good-faith pur…

1. In an action for relief against a transfer or obligation under this chapter, a creditor, subject to the limitations in section 13-02.1-08, may obtain: a. Avoidance of the transfer or obligation to the extent necessary to satisfy the creditor's claim; b. Attachment or other pro…

1. A transfer or obligation is not voidable under subdivision a of subsection 1 of section 13-02.1-04 against a person that took in good faith and for a reasonably equivalent value given the debtor or against any subsequent transferee or obligee. 2. To the extent a transfer is av…

A claim for relief with respect to a transfer or obligation under this chapter is extinguished unless action is brought: 1. Under subdivision a of subsection 1 of section 13-02.1-04, not later than four years after the transfer was made or the obligation was incurred or, if later…

Unless displaced by the provisions of this chapter, the principles of law and equity, including the law merchant and the law relating to principal and agent, estoppel, laches, fraud, misrepresentation, duress, coercion, mistake, insolvency, or other validating or invalidating cau…

1. In this section, the following rules determine a debtor's location: a. A debtor who is an individual is located at the individual's principal residence. b. A debtor that is an organization and has only one place of business is located at its place of business. c. A debtor that…

1. In this section: a. "Protected series" means an arrangement, however denominated, created by a series organization that, pursuant to the law under which the series organization is organized, has the characteristics set forth in subdivision b. b. "Series organization" means an …

This chapter modified, limits, or supersedes the federal Electronic Signatures in Global and National Commerce Act [Pub. L. 106-229; 114 Stat. 464; 15 U.S.C. 7001 et seq.], but does not modify, limit, or supersede section 101(c) of that Act [15 U.S.C. 7001(c)], or authorize elect…

The department of financial institutions shall use its facilities to administer and enforce this chapter. The department has the power to promulgate rules and regulations having the force and effect of law, reasonably necessary to carry out the provisions of this chapter, in acco…

As used in this chapter, unless the context or subject matter otherwise requires: 1. "Borrower" means a person or entity that seeks out, or is solicited by a money broker for the purpose of money brokering. 2. "Commissioner" means the commissioner of financial institutions. 3. "L…

Except as otherwise provided, a person other than a money broker licensed and authorized under this chapter may not engage in money brokering in the state of North Dakota without a money broker license issued by the commissioner. A person engages in money brokering in North Dakot…

This chapter does not apply to: 1. Banks; 2. Credit unions; 3. Savings and loan associations; 4. Insurance companies; 5. Residential mortgage lenders licensed under chapter 13-12; 6. Individuals licensed under chapter 13-10 solely pursuant to the individual's official duties as a…

Every application for a money broker license or branch registration, or for a renewal thereof, must be made upon forms designed and furnished by the department of financial institutions and must contain any information which the department shall deem necessary and proper. A branc…

The application for license must be in writing, under oath, and in the form prescribed by the commissioner. The application must give the location where the business is to be conducted and must contain any further information the commissioner requires, including the names and add…

1. Each licensee shall maintain a surety bond in an amount not less than fifty thousand dollars. The surety bond must be in a form prescribed by the commissioner. 2. When an action is commenced on a licensee's bond, the commissioner may require the filing of a new bond. 3. Immedi…

A minimum net worth must be continuously maintained by every licensee in accordance with this section. 1. Minimum net worth must be maintained in the amount of twenty-five thousand dollars. 2. If the net worth of a licensee falls below the minimum net worth set forth in subsectio…

All licenses required herein expire on December thirty-first of each year and may be renewed. Renewals are effective the succeeding January first. Applications for renewal must be submitted thirty days before the expiration of the license and must be accompanied by the required a…

Insofar as consistent with the provisions of law, the department of financial institutions has the power to: 1. Determine the qualifications of all applicants based on financial responsibility, financial condition, business experience, character, and general fitness which must re…

Every money broker licensed under this chapter shall keep a record of all sums collected by them and of all loans and leases completed as a result of their efforts for a period of six years from the date of last entry thereon. The records of a licensee may be maintained electroni…