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North Dakota Century Code Title 32. Judicial Remedies § 32-40.1-02. Third-party liability--Environmental damage

Current as of January 01, 2024 | Updated by Findlaw Staff

1. Except as preempted by federal law, a person may not be deemed to be an owner or operator of property who, without participating in the management of the property, holds indicia of ownership primarily to protect a security or lien hold interest in the property or in property in which the property is located.

2. A lender-owner or representative is not by virtue of becoming the owner of property liable for any third-party liability arising from contamination or pollution emanating from the property before the date the title vests in the lender-owner or representative. For the purposes of this section, the issuance of a sheriff's certificate of sale is not sufficient to vest title in the lender-owner or representative.

3. A lender-owner or representative is not by virtue of becoming the owner of property liable for any third-party liability arising from contamination or pollution emanating from the property during the period of ownership so long as, and to the extent that:

a. The lender-owner or representative does not knowingly cause new contamination or pollution or does not knowingly allow others to cause new contamination or pollution;

b. The lender-owner has, in good faith, caused an individual, including an officer or employee of the lender-owner, possessing the requisite knowledge and experience to conduct a visual inspection of the property to determine the presence and condition of hazardous wastes or substances and obvious contamination or pollution; and

c. The lender-owner found by the enforcing agency to be in noncompliance with federal or state laws takes steps to assure compliance with applicable laws.

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Cite this article: FindLaw.com - North Dakota Century Code Title 32. Judicial Remedies § 32-40.1-02. Third-party liability--Environmental damage - last updated January 01, 2024 | https://codes.findlaw.com/nd/title-32-judicial-remedies/nd-cent-code-sect-32-40-1-02/

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