N.D.C.C. §§ 47-16-01 through 47-16-30.1, 47-16-31 through 47-16-35, 47-16-42 § 47-16-07.4
Fraudulent misrepresentations - Receipt of security deposit.
Operative Text
47-16-07.4. Fraudulent misrepresentations - Receipt of security deposit.
A lease or rental agreement for real property or a dwelling unit which is entered into upon
partial or total reliance of fraudulent misrepresentations may be terminated by the party
fraudulently induced into the lease or rental agreement and that party shall receive any security
deposit made pursuant to the lease or rental agreement together with any accrued interest on
the deposit.Under N.D.C.C. § 47-16-07.4, when a lease or rental agreement is entered into based in whole or in part on fraudulent misrepresentations, the party who was deceived into signing has the right to terminate that agreement. Upon termination under these circumstances, the deceived party is entitled to the return of any security deposit they paid, along with any interest that has accrued on that deposit. This provision applies to agreements covering real property or dwelling units in North Dakota.
Plain English — not legal advice.
Property owners and managers operating under N.D.C.C. § 47-16-07.4 generally ensure that all representations made during the leasing process — about the property's condition, amenities, terms, or any other material facts — are accurate and complete before a prospective tenant signs. A compliant operator maintains documentation supporting the truthfulness of statements made during marketing and lease negotiations. When a security deposit is collected, keeping clear records of the deposit amount and any accrued interest helps demonstrate readiness to comply with the statute's return requirements if a dispute arises.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Under N.D.C.C. § 47-16-07.4, a tenant who was induced into signing a lease through fraudulent misrepresentations may have the right to terminate that lease and recover their full security deposit plus any accrued interest. Tenants who believe they were misled into a rental agreement can document the misrepresentations made before or at signing, as this evidence may be relevant to asserting rights under this provision. General enforcement paths include raising this provision as a defense in a landlord-initiated proceeding, consulting a tenant-rights organization in North Dakota, or seeking guidance from a licensed attorney familiar with state landlord-tenant law.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated October 28, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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