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ND HB1188

Bill

Status

Passed

3/23/2023

Primary Sponsor

Scott Louser

Click for details

Origin

House of Representatives

68th Legislative Assembly

AI Summary

  • Creates a new chapter to Title 47 of the North Dakota Century Code establishing definitions and prohibitions related to service agreements for residential real estate.

  • Defines "service agreement" as a contract for services related to maintenance, purchase, or sale of residential real estate (1-4 dwelling units), and declares agreements unfair if service obligations extend beyond one year after execution and include provisions running with the land, binding future owners, allowing assignment without notice, or creating liens.

  • Exempts home warranties, insurance contracts, purchase options, rights of refusal, homeowners' association maintenance agreements, and agreements under Chapter 35-27 from the unfair service agreement prohibition.

  • Allows persons subject to unfair service agreements to bring termination actions in district court; declares unfair agreements void and requires certified court orders be filed for recording along with copies of the original agreement.

  • Requires district courts to award actual damages, proven attorney's fees, and costs to the prevailing party when a service agreement is found unfair.

Legislative Description

The prohibition of unfair service agreements.

Last Action

Filed with Secretary Of State 03/23

3/24/2023

Committee Referrals

Industry and Business2/13/2023
Industry, Business and Labor1/9/2023

Full Bill Text

No bill text available