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N.D. Cent. Code § 41-08-20

(8-204) Effect of issuer's restriction on transfer

Known as the Uniform Commercial Code

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

A restriction on transfer of a security imposed by the issuer, even if otherwise lawful, is ineffective against a person without knowledge of the restriction unless:

1. The security is certificated and the restriction is noted conspicuously on the security certificate; or 2. The security is uncertificated and the registered owner has been notified of the restriction.

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.