§ 47-15.1-03 — Disclosure of information

North Dakota § 47-15.1-03

• Jurisdiction: North Dakota
• Title 47: Property
• Ch. 47-15.1: Consumer Rental Purchase Agreement

Text

1. A lessor shall include in a consumer rental purchase agreement:
a. The total number, total amount, and timing of all payments necessary to acquire
ownership of the property.
b. A statement that the consumer does not own the property until the consumer has
made the total payments necessary to acquire ownership.
c. A statement that the consumer is responsible for the fair market value of the
property at the time it is lost, stolen, damaged, or destroyed, if that is the intent of
the lessor.
d. A description of the leased property sufficient to identify the property to the
consumer and the lessor, including any identification numbers, if applicable, in a

statement indicating whether the property is new or used. A statement indicating
that the property is used when in fact it is new is not a violation of this chapter.
e. A statement of the cash price of the property. If the agreement includes a lease of
two or more items as a set, in one agreement, a statement of the aggregate cash
price of all the items is sufficient.
f. The total of initial payments paid or required to be paid at or before
consummation of the agreement or delivery of the property, whichever is later.
g. A statement that the total amount of a payment does not include other charges
such as late payment penalties; default, pickup, or reinstatement fees; and other
fees which must be separately disclosed in the contract.
h. A statement clearly summarizing the terms of the consumer's option to purchase,
including a statement that the consumer has the right to exercise any early
purchase options and the price or formula or method for determining the price at
which the property may be purchased at any given time.
i. A statement identifying the party responsible for maintaining or servicing the
property while the property is being leased, together with a description of that
responsibility, and a statement that if any part of the manufacturer's express
warranty covers the leased property at the time the consumer acquires ownership
of the property, the warranty is transferred to the consumer, if allowed by the
terms of the warranty.
j. The date of the transaction, the identification of the lessor and consumer, and the
address where the property will be primarily located during the possession of the
consumer under the consumer rental purchase agreement.
k. A statement that the consumer may terminate the agreement at any time without
penalty by voluntarily surrendering or returning the property in good repair,
ordinary wear and tear excepted, along with any payment of any past-due rent.
l. Notice of the right to reinstate an agreement as provided in this chapter.
m. A statement that the lessor is required by law to provide the consumer a written
receipt, upon request by the consumer at the lessor's place of business, for each
payment made by cash or money order.
2. A consumer rental purchase agreement must contain, immediately above or adjacent
to the place for the signature of the consumer, a clear, conspicuous, printed or
typewritten notice, in boldface, ten-point type, substantially the following language:
NOTICE TO CONSUMER - READ BEFORE SIGNING
a. DO NOT SIGN THIS BEFORE YOU READ THE ENTIRE AGREEMENT,
INCLUDING ANY WRITING ON THE REVERSE SIDE, EVEN IF TOLD YOU DO
NOT NEED TO.
b. DO NOT SIGN THIS IF IT CONTAINS ANY BLANK SPACES.
c. YOU ARE ENTITLED TO AN EXACT COPY OF ANY AGREEMENT YOU SIGN.
3. In a transaction involving more than one lessor, only one lessor is required to make the
disclosures, but all lessors are bound by the disclosures. The disclosures must be
made before the consumer rental purchase agreement is executed. The disclosures
must be made clearly and conspicuously in writing in at least eight-point type and a
copy of the disclosures and the consumer rental purchase agreement must be
provided to the consumer. If a disclosure becomes inaccurate as a result of any act or
occurrence caused by the consumer or by an agreement or consent entered into after
delivery of the required disclosures, the resulting inaccuracy is not a violation of this
chapter.
4. Compliance with the Federal Consumer Leasing Act of 1976 [Pub. L. 94-240; 90 Stat.
257; 15 U.S.C. 1601, 1640, 1667-1667e] regarding disclosures in consumer rental
purchase agreements satisfies the requirements of this section.