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N.D. Cent. Code § 41-07-36

(7-507) Warranties on negotiation or delivery of document of title

Known as the Uniform Commercial Code

The act spans §§ 41–41 (597 sections).

If a person negotiates or delivers a document of title for value, otherwise than as a mere intermediary under section 41-07-37, unless otherwise agreed, the transferor, in addition to any warranty made in selling or leasing the goods, warrants to its immediate purchaser only that:

1. The document is genuine;

2. The transferor does not have knowledge of any fact that would impair the document's validity or worth; and 3. The negotiation or delivery is rightful and fully effective with respect to the title to the document and the goods it represents.

Official source: North Dakota Legislative Branch. Reproduced from public-domain North Dakota statutes; confirm against the official source for the current text. Not legal advice.