North Dakota Century Code Title 13. Debtor and Creditor Relationship § 13-12-01. Definitions

1. “Borrower” means an individual who seeks out, or is solicited by a residential mortgage lender for the purpose of residential mortgage lending.

2. “Commissioner” means the commissioner of the department of financial institutions.

3. “Net branch” means an office at which a licensed residential mortgage lender allows a separate person that does not hold a valid North Dakota residential mortgage lender license to originate loans under the license of the residential mortgage lender.

4. “Net branch arrangement” means an arrangement under which a licensed residential mortgage lender enters an agreement whereby its designated branch manager has the appearance of ownership of the licensee by, among other things, sharing in the profits or losses; establishing, leasing, or renting the branch premises; entering other contractual relationships with vendors such as for telephones, utilities, and advertising; having control of a corporate checkbook; or exercising control of personnel through the power to hire or fire such individuals. A person may be considered to be utilizing a net branch if the net branch agreement requires the branch manager to indemnify the licensee for damages from any apparent, express, or implied agency representation by or through the branch's actions or if the agreement requires the branch manager to issue a personal check to cover operating expenses whether or not funds are available from an operating account of the licensee.

5. “Precomputed loan” means a loan that is expressed as a sum comprising the principal and the amount of the loan finance charge computed in advance.

6. “Residential mortgage lender” means a person that, in the ordinary course of business, engages in residential mortgage lending.

7. “Residential mortgage lending” means the act of arranging or providing residential mortgage loans as a form of financing, or advertising or soliciting either in print, by letter, in person, or otherwise, the right to find lenders or provide residential mortgage loans for a person.

8. “Residential mortgage loan” means residential mortgage loan as defined in subsection 12 of section 13-10-02.

9. “Residential real estate” means residential real estate as defined in subsection 13 of section 13-10-02.