Any claim for any labor, material, or supply furnished for an improvement, upon which a suit is not commenced within one year after completion and acceptance of the project, is barred as a lien or claim against the contractor and the contractor’s surety and any right of setoff or counterclaim may be enforced in any court in this state against the governing body, the contractor, or the contractor’s surety. This chapter does not bar the right of any person who has furnished any labor, supply, or material to any subcontractor to enforce the claim against the subcontractor.

Terms Used In North Dakota Code 48-01.2-12

  • Counterclaim: A claim that a defendant makes against a plaintiff.
  • Lien: A claim against real or personal property in satisfaction of a debt.
  • Person: means an individual, organization, government, political subdivision, or government agency or instrumentality. See North Dakota Code 1-01-49
  • State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See North Dakota Code 1-01-49
  • year: means twelve consecutive months. See North Dakota Code 1-01-33