North Dakota Century Code Title 51. Sales and Exchanges § 51-16.1-01. Definitions

1. “Compensation” includes a payment based on a sale or distribution made to a person who either is a participant in a pyramid promotional scheme or has the right to become a participant upon payment.

2. “Consideration” means the payment of cash or the purchase of goods, services, or intangible property but does not include:

3. “Pyramid promotional scheme” means any plan or operation by which a participant gives consideration for the opportunity to receive compensation which is derived primarily from any person's introduction of other persons into participation in the plan or operation rather than from the sale of goods, services, or intangible property by the participant or other persons introduced into the plan or operation.