§ 52-04-08 — Succession to predecessor's experience record - Impact of substantial common ownership, management, or control

North Dakota § 52-04-08

• Jurisdiction: North Dakota
• Title 52: Social Security
• Ch. 52-04: Contributions

Text

common ownership, management, or control.
1. An employing unit that in any manner acquires all or part of the organization, business,
trade, workforce, or assets of another employer and continues essentially the same
business activity of the whole or part transferred, may upon request be transferred in
accordance with law and any relevant rules adopted by the agency, the whole or
appropriate part of the experience record, reserve balance, and benefit experience of
the predecessor employer, unless the agency finds that the employing unit acquired
the business solely or primarily for the purpose of obtaining a lower unemployment
insurance tax rate. If the predecessor files a written protest against such transfer within
fifteen days of being notified of the successor's application, the transfer will not be
made.
2. When an employing unit in any manner acquires all or part of the organization,
business, trade, workforce, or assets of another employer, the agency shall transfer all
or the appropriate part of the experience record, reserve balance, whether positive or
negative, and benefit experience of such predecessor to the successor if it finds that

there was, at the time of acquisition, substantially common ownership, management,
or control of the predecessor and the successor.
3. When a part of an employer's experience record reserve account and benefit
experience is transferred under this section, the portion of the experience record and
reserve account transferred must be in the same ratio to the total experience record
and reserve account as the average annual payroll of the transferred organization,
trade, business, workforce, or assets is to the total average annual payroll of the
predecessor.
4. An employing unit's experience record may not be transferred in an amount that
results in the successor and predecessor portions totaling more than one hundred
percent of the predecessor's history.