North Dakota Lien: A Complete Guide to Liens in the State

A lien is a formal claim made against real estate to ensure that a debt or other commitment is paid back. It stops property owners from selling, refinancing, or transferring ownership until the lien is settled and grants creditors enforceable rights after it is recorded. Since each state has different lien laws, it's critical to understand North Dakota's regulations.

What Is a Lien in North Dakota?

A lien is a creditor's legal right to retain ownership of a debtor's property in North Dakota until the obligation is paid off. Title 35 of the North Dakota Century Code is the main statute that governs liens in North Dakota.

Both personal property (cars, machinery, and other assets) and real property (houses, farms, and business buildings) are subject to liens. Liens notify buyers, lenders, and title firms of unpaid debts once they are filed and become public record.

Liens can prevent property owners from selling or refinancing until they are removed. Lien checks are essential for buyers to guarantee a sound title. Liens give creditors legally binding security for payment.

Types of Liens in North Dakota

The most common liens filed in North Dakota include:

1. Construction Liens

This statutory claim, which is frequently referred to as a mechanic's lien, ensures payment for anybody who contributes supplies, labor, or expertise for the development of real land. This covers suppliers, subcontractors, and contractors. Both the improvement and the land it is located on are covered by the lien.

1. Oil and Gas Liens

For individuals who supply materials or services associated with oil and gas exploration and production, the law establishes a special lien. The mineral rights, together with any related machinery and wells, are subject to these liens.

1. Vendor’s and Purchaser’s Liens

If the seller defaults, the buyer has a lien to recoup any money they have paid, and the vendor (seller) has a lien on the property for the outstanding purchase price.

1. Mortgage Liens

A typical contractual lien on real estate is a mortgage. In order to obtain a loan, a lender grants a security interest in the property.

1. Judgment Liens

By submitting the judgment to the county recorder, a creditor who prevails in a case may impose a lien on a debtor's real estate. This gives the property a claim to pay up the judgment.

1. Repairmen’s Liens

For mechanics, garage keepers, and others who fix or maintain personal property like cars, farm equipment, or aircraft, the repairman's lien is crucial. Payment for the supplies and labor required for the repair is guaranteed by the lien.

1. Agister’s Liens

This lien enables people who feed, herd, or otherwise care for cattle to keep the animals until their costs are settled.

1. Innkeeper’s Liens

To collect money for a guest's accommodation and other services, a hotel or innkeeper may seize the guest's personal belongings.

1. Agricultural Liens

Liens for agricultural processors (on the crops they process) and providers of agricultural goods are included in this category.

1. Portable Storage Unit Liens

These liens enable the owner of a portable storage unit to keep the belongings inside the unit to collect outstanding fees.

How to Search for Liens in North Dakota

Lien records in North Dakota are public and may be accessed through:

• County Recorder’s Offices: Property and lien files are kept up to date in each of North Dakota's 53 counties. You can search by property address, parcel number, or name.
• North Dakota Recorders Information Network (NDRIN): A unified online database of property and debt records from participating counties is made available via the North Dakota Recorders Information Network (NDRIN).
• North Dakota Court Records Inquiry (NDCRI): The state judiciary's online case system allows users to search judgment liens.
• Title Companies and Third-Party Services: Complete lien searches are typically carried out in real estate transactions by title companies and third-party services.

Lien filings generally include creditor details, debt amounts, filing dates, and property descriptions.

Lien Records in Major North Dakota Cities

Since lien records are county-based, searches must be conducted in the county where the property is located:

• Fargo (Cass County): The Cass County Recorder maintains property and lien filings, with online access via NDRIN.
• Bismarck (Burleigh County): The Burleigh County Recorder in Bismarck, Burleigh County, offers both in-person and online lien and deed searches.
• Grand Forks (Grand Forks County): Property and lien filings are handled by the Grand Forks County Recorder's Office.
• Minot (Ward County): Ward County Recorder maintains lien records and property filings.
• West Fargo (Cass County): Cass County's West Fargo is covered by the county's recording system.

Each county may charge fees for certified copies or extended online access.

How Long Does a Lien Stay on Property in North Dakota?

Lien duration in North Dakota depends on the type:

• Property Tax Liens: Property tax liens remain valid until taxes are paid or the property is foreclosed. The redemption periods usually last 3 years.
• Mechanic’s Liens: Mechanic’s liens must generally be enforced within 3 years of filing, or they expire.
• Judgment Liens: These are valid for 10 years in North Dakota, with renewal possible.
• Mortgage Liens: Mortgage liens remain valid until the mortgage is fully satisfied and a release is recorded.
• Tax Liens (IRS/State): Federal liens typically last 10 years, while state tax liens follow statutory collection rules.

If not formally released, liens may remain on record even after debts are resolved.

How to Remove a Lien in North Dakota

If you want to get rid of a lien in North Dakota, you can do so by paying the underlying debt or challenging the lien’s validity. You may do this in the following ways:

1. Paying the Debt in Full: The lienholder has to issue a release and record it with the county recorder after the debt has been completely paid.
2. Negotiating a Settlement: Creditors may accept reduced repayment, followed by recording a lien release.
3. Court Petition: Property owners may seek removal of fraudulent, invalid, or improperly filed liens through court action.
4. Recording a Release or Satisfaction: Owners should make sure that the lienholder files the release so that the title is officially and legally cleared.

If there is no record of your lien being resolved, it can affect property transfers even when you have settled the liens on that property.

In North Dakota, liens are a crucial component of debt and property enforcement, safeguarding creditors and making property owners pay their debts. Owners, purchasers, and lenders must be aware of the several kinds of liens in North Dakota, how to look for them, how long they last, and how to get rid of them.

Working with a county recorder, title firm, or attorney helps guarantee liens are properly addressed because North Dakota has stringent deadlines and employs county-based recording systems. Property owners can preserve clean titles and steer clear of issues in real estate transactions with the right management.