Permitting, Zoning, or Statutory Basis
Landlords in North Dakota are governed by state law regarding security deposits. The primary statutory basis for these rules is found in North Dakota Century Code (NDCC) Section 47-10.2 and Section 47-10.3, which outline the requirements for landlords to accept, keep, and return security deposits.
Lease Clauses, Notice Periods, and Timing Requirements
Security Deposit Clause
Under NDCC Section 47-10.2, landlords must include a security deposit clause in their lease agreement that specifies the amount of the deposit, how it will be used, and when it will be returned. The clause must also outline the conditions under which the landlord may retain the deposit as damages.
Notice Periods
NDCC Section 47-10.3 mandates that landlords provide tenants with a notice of eviction or repair within 24 hours after entering the property. If repairs are necessary, landlords must give tenants a written notice of the work to be done and an estimated cost. Tenants have 7 days to either approve or reject the work.
Timing Requirements
Landlords must return security deposits within 30 days of receiving a written request from the tenant. If the landlord retains any portion of the deposit as damages, they must provide an itemized list of deductions within 30 days of returning the remaining funds. Failure to comply with these timing requirements can result in penalties and legal action.
Defensible Record-Keeping & Compliance Checklist
To ensure compliance with North Dakota security deposit laws, landlords should maintain the following records:
- Lease Agreement: A copy of the lease agreement that includes the security deposit clause.
- Security Deposit Receipts: Documentation of all payments received from tenants, including the date and amount.
- Damage Reports: Any written reports or photos documenting any damages to the property during the tenancy.
- Itemized Deduction List: If retaining any portion of the deposit as damages, an itemized list detailing each deduction.
- Return Notices: Written notices sent to tenants requesting the return of their security deposit or providing an itemized list of deductions.
By following these guidelines and maintaining thorough records, landlords can avoid legal disputes and ensure compliance with North Dakota’s security deposit laws.
For more information on managing properties in North Dakota, including abandoned tenant property hold periods and storage notice rules, please refer to the Abandoned Tenant Property Hold Periods and Storage Notice Rules by State (LawAtlas SEL_DisposeProperty) guide.