1.    A lender may not require a person to install or maintain a global tracking or positioning system or device on a motor vehicle for the purpose of locating or tracking the vehicle to repossess the vehicle in case of loan default, unless:

Terms Used In North Dakota Code 51-07-28.1

  • Contract: A legal written agreement that becomes binding when signed.
  • Person: means an individual, organization, government, political subdivision, or government agency or instrumentality. See North Dakota Code 1-01-49

a.    The lender includes within the financing contract, in a clear and conspicuous manner, information on the installation or placement of the system or device; b.    The system or device is installed at no cost to the buyer; and

c.    The system or device is removed within sixty days of the loan for the motor vehicle being paid in full at:

(1) The expense of the seller or lender; and

(2) A location agreed upon by the seller or lender and buyer.

2.    A lender that violates this section is subject to a fine of not more than five hundred dollars. In the case of a second or subsequent violation of this section, the lender is subject to a fine of not less than one thousand dollars nor more than two thousand dollars.

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