North Dakota HOA Laws Explained: Homeowner Rights & Board Obligations

North Dakota does not have a comprehensive planned community act. Instead, HOAs are governed by a combination of the Condominium Act, the Nonprofit Corporation Act, CC&Rs, and general property law under the Century Code.

Condominium Act (N.D.C.C. §47-04.1-01 to §47-04.1-36)

North Dakota's primary HOA-related statute governs condominiums:

• §47-04.1-01 to §47-04.1-05 — Definitions and creation of condominiums
• §47-04.1-06 to §47-04.1-12 — Unit owners' rights and obligations
• §47-04.1-13 to §47-04.1-20 — Association governance and powers
• §47-04.1-21 — Assessment liens and enforcement
• §47-04.1-22 to §47-04.1-36 — Insurance, amendments, and miscellaneous provisions
• This act applies only to condominiums, not all planned communities

Nonprofit Corporation Act (N.D.C.C. §10-33)

Critical for all nonprofit-organized HOAs:

• §10-33-27 to §10-33-40 — Member rights including meetings and voting
• §10-33-41 to §10-33-65 — Directors and officers duties
• §10-33-125 to §10-33-131 — Records and reporting requirements
• Provides baseline governance protections for all nonprofit HOAs

Century Code Property Provisions

General property law applies to HOA covenants and enforcement:

• N.D.C.C. Title 47 — Property law including covenants, restrictions, and easements
• N.D.C.C. §9-07-19 — Good faith obligation in all contracts (including CC&Rs)
• Courts interpret restrictive covenants strictly, favoring the free use of property

North Dakota homeowners have rights under the Nonprofit Corporation Act, the Condominium Act (for condo owners), contract law, and their governing documents.

Record Access Rights (N.D.C.C. §10-33-125 et seq.)

Under the Nonprofit Corporation Act, members can inspect:

• Articles of incorporation and amendments
• Bylaws and amendments
• Board meeting minutes
• Financial statements and records
• Membership records
• Make requests in writing with reasonable specificity

Meeting and Voting Rights

• Annual meeting — Association must hold regular membership meetings
• Notice — Members must receive advance notice of meetings
• Right to vote — On elections, amendments, and special assessments
• Proxy voting — Generally allowed unless bylaws prohibit
• Special meetings — Members can petition for special meetings as allowed by bylaws

Condominium Owner Rights (§47-04.1)

If you own a condominium in North Dakota, you have additional statutory protections:

• Voting rights proportional to your ownership interest
• Common element access — Right to use common areas
• Assessment protections — Assessments must follow statutory requirements
• Lien protections — Lien procedures must comply with §47-04.1-21

Fair Enforcement Rights

• Good faith (N.D.C.C. §9-07-19) — Enforcement must be in good faith
• CC&R procedures — You are entitled to whatever procedures your CC&Rs specify
• Uniform application — Rules cannot be selectively enforced
• Strict construction — Ambiguous restrictions are interpreted in your favor

North Dakota HOA board members owe fiduciary duties under the Nonprofit Corporation Act and common law. These duties protect homeowners even in the absence of detailed HOA-specific legislation.

Director Duties (N.D.C.C. §10-33-43 to §10-33-49)

Each director must:

• Act in good faith
• Act with reasonable care — The care of an ordinarily prudent person in a like position
• Act in the best interests of the corporation
• Be reasonably informed before making decisions
• Disclose conflicts of interest (§10-33-48)

Governance Requirements

• Hold regular meetings with proper notice
• Maintain corporate records and provide member access
• Manage finances prudently
• Follow articles, bylaws, and CC&Rs
• Conduct fair elections

Enforcement Obligations

• Follow governing document procedures
• Enforce uniformly — Cannot target specific homeowners
• Act within authority — Can only impose penalties authorized by CC&Rs
• Be reasonable — Fines must be proportionate
• No retaliation — Cannot punish homeowners for exercising legal rights

What the Board CANNOT Do

• Cannot impose unauthorized fines
• Cannot skip CC&R procedures
• Cannot selectively enforce
• Cannot deny record access (violates Nonprofit Corporation Act)
• Cannot self-deal without disclosure
• Cannot discriminate (Fair Housing Act)