N.D. Cent. Code § 41-09-109
(9-612) Timeliness of notification before disposition of collateral
Redline — December 1, 2021 → current.View current text →
Current — January 1, 2022
As of December 1, 2021
(1) Except as otherwise provided in subsection 2, whether a notification is sent within a reasonable time is a question of fact.
(1) Except as otherwise provided in subsection 2, whether a notification is sent within a reasonable time is a question of fact.
(2) A notification of disposition sent after default and ten days before the earliest time of disposition set forth in the notification is sent within a reasonable time before the disposition.
(2) A notification of disposition sent after default and ten days before the earliest time of disposition set forth in the notification is sent within a reasonable time before the disposition.
(3) Timeliness of Notification: Safe Harbor. The 10-day notice period in subsection (b) is intended to be a “safe harbor” and not a minimum requirement. To qualify for the “safe harbor” the notification must be sent after default. A notification also must be sent in a commercially reasonable manner. See Section 9-611(b) (“reasonable authenticated notification”). These requirements prevent a secured party from taking advantage of the “safe harbor” by, for example, giving the debtor a notification at the time of the original extension of credit or sending the notice by surface mail to a debtor overseas.
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.