§ 47-33-05 — Notice requirements for existing transfer fee obligations

North Dakota § 47-33-05

• Jurisdiction: North Dakota
• Title 47: Property
• Ch. 47-33: Private Transfer Fee Obligation Prohibition

Text

1. For a private transfer fee obligation imposed before August 1, 2011, the receiver of the
fee shall record, before December 31, 2011, against the real property subject to the
private transfer fee obligation a separate document in the county records in which the
real property is located that meets all of the following requirements:
a. The title of the document must be "Notice of Private Transfer Fee Obligation" in at
least fourteen-point boldfaced type;
b. The amount, if the fee is a flat amount, or the percentage of the sales price
constituting the cost of the transfer fee, or the other basis by which the transfer
fee is to be calculated;
c. If the real property is residential property, actual dollar-cost examples of the
transfer fee for a home priced at one hundred thousand dollars, two hundred fifty
thousand dollars, and five hundred thousand dollars;
d. The date or circumstances under which the private transfer fee obligation expires,
if any;
e. The purpose for which the funds from the private transfer fee obligation will be
used;
f. The name of the person to which funds are to be paid and specific contact
information regarding where the funds are to be sent;
g. The acknowledged signature of the payee; and
h. The legal description of the real property burdened by the private transfer fee
obligation.

2. The person to which the transfer fee is to be paid may file an amendment to the notice
of transfer fee containing new contact information, but the amendment must contain
the recording information of the notice of transfer fee which it amends and the legal
description of the property burdened by the private transfer fee obligation.
3. If the payee fails to comply fully with subsection 1, the grantor of any real property
burdened by the private transfer fee obligation may proceed with the conveyance of
any interest in the real property to any grantee and is deemed to have acted in good
faith and is not subject to any obligations under the private transfer fee obligation. In
this event, the real property is conveyed free and clear of the transfer fee and private
transfer fee obligation.
4. If the payee fails to provide a written statement of the transfer fee payable within thirty
days of the date of a written request for the same sent to the address shown in the
notice of transfer fee, then the grantor, on recording of the affidavit required under
subsection 5, may convey any interest in the real property to any grantee without
payment of the transfer fee and is not subject to any further obligations under the
private transfer fee obligation. In this event, the real property is conveyed free and
clear of the transfer fee and private transfer fee obligation.
5. An affidavit stating the facts enumerated under subsection 6 must be recorded in the
office of the county recorder in the county in which the real property is situated before
or simultaneously with a conveyance under subsection 4 of real property unburdened
by a private transfer fee obligation. An affidavit filed under this subsection must state
that the affiant has actual knowledge of, and is competent to testify to, the facts in the
affidavit and must include the legal description of the real property burdened by the
private transfer fee obligation, the name of the person appearing by the record to be
the owner of such real property at the time of the signing of the affidavit, a reference
by recording information to the instrument of record containing the private transfer fee
obligation, and an acknowledgment that the affiant is testifying under penalty of
perjury.
6. When recorded, an affidavit as described in subsection 5 constitutes prima facie
evidence that:
a. A request for the written statement of the transfer fee payable in order to obtain a
release of the fee imposed by the private transfer fee obligation was sent to the
address shown in the notification; and
b. The person listed on the notice of transfer fee failed to provide the written
statement of the transfer fee payable within thirty days of the date of the notice
sent to the address shown in the notification.