North Dakota § 39-22.1-02 Bond required

North Dakota Statutes

§ 39-22.1-02 — Bond required

North Dakota § 39-22.1-02

Title 39Motor Vehicles

Ch. 39-22.1Trailer Dealer's Licensing and Bonding

This text of North Dakota § 39-22.1-02 (Bond required) is published on Counsel Stack Legal Research, covering North Dakota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

N.D. Cent. Code § 39-22.1-02 (2026).

Text

Before the issuance of or the renewal of a trailer dealer's license, as provided by law, the
applicant for the license shall furnish a continuous surety bond executed by the applicant as
principal and executed by a surety company licensed and qualified to do business within the
state of North Dakota, which must be in the amount of ten thousand dollars, and be conditioned
upon the faithful compliance by the applicant as a dealer, if the license be issued to the
applicant, that the dealer will comply with all the laws of this state pertaining to the business,
and regulating or being applicable to the business of the dealer as a dealer in trailers, and
indemnifying any person dealing or transacting business with the dealer in connection with any
trailer from any loss or damage occasioned by t

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Before the issuance of or the renewal of a trailer dealer's license, as provided by law, the
applicant for the license shall furnish a continuous surety bond executed by the applicant as
principal and executed by a surety company licensed and qualified to do business within the
state of North Dakota, which must be in the amount of ten thousand dollars, and be conditioned
upon the faithful compliance by the applicant as a dealer, if the license be issued to the
applicant, that the dealer will comply with all the laws of this state pertaining to the business,
and regulating or being applicable to the business of the dealer as a dealer in trailers, and
indemnifying any person dealing or transacting business with the dealer in connection with any
trailer from any loss or damage occasioned by the failure of the dealer to comply with the laws
of this state, including the furnishing of a proper and valid certificate of title to the vendee of a
trailer within fifteen days of the sale of the trailer, and that the bond shall be filed with the

director before the issuance of the license. However, the aggregate liability of the surety to all
persons for all losses or damages may not exceed the amount of the bond. Any third party
sustaining injury within the terms of the bond may proceed against the principal and surety
without making the state a party to any proceedings. Any applicant bonded under chapter 39-18
or 39-22 may not be required to furnish the surety bond provided for in this section if the bond
issued under chapter 39-18 or 39-22 is written to include the requirements of this section. The
bond may be canceled by the surety, as to future liability, by giving written notice by certified
mail, addressed to the principal at the address stated in the bond, and to the department. Thirty
days after the mailing of the notice, the bond is null and void as to any liability arising after that
thirty days. The surety remains liable, subject to the terms, conditions, and provisions of the
bond, until the effective date of the cancellation.