N.D. Cent. Code § 10-32.1-84
This is the official text of N.D. Cent. Code § 10-32.1-84, part of North Dakota’s Cent. Code — part of the compiled statutory law of North Dakota, published by the state as "Cent. Code." Browse the sections below, each linked to its official government source.
Not legal advice. This page reproduces the official text of a government statute for reference only. Laws change, and how a statute applies depends on your specific facts. For advice about your situation, consult a licensed attorney in your state.
10-32.1-84. Foreign limited liability company - Effect of failure to have a certificate of authority
Official statutory text
10-32.1-84. Foreign limited liability company - Effect of failure to have a certificate of
authority.
1. A foreign limited liability company transacting business in this state may not maintain
an action or proceeding in this state unless it has a certificate of authority to transact
business in this state.
2. The failure of a foreign limited liability company to have a certificate of authority to
transact business in this state does not impair the validity of a contract or act of the
company or prevent the company from defending an action or proceeding in this state.
3. A member, manager, or governor of a foreign limited liability company is not liable for
the debts, obligations, or other liabilities of the company solely because the company
transacted business in this state without a certificate of authority.
4. If a foreign limited liability company transacts business in this state without a certificate
of authority or cancels its certificate of authority, then it appoints the secretary of state
as its agent for service of process for rights of action arising out of the transaction of
business in this state.
5. A foreign limited liability company that transacts business in this state without a valid
certificate of authority is subject to a civil penalty, payable to the state, not to exceed
five thousand dollars. Each governor or, in the absence of governors, each member or
agent who authorizes, directs, or participates in the transaction of business in this
state on behalf of a foreign limited liability company that does not have a certificate is
subject to a civil penalty, payable to the state, not to exceed one thousand dollars.
6. The civil penalties set forth in subsection 5 may be recovered in an action brought
within the district court of Burleigh County by the attorney general. Upon a finding by
the court that a foreign limited liability company or any of its members, governors, or
agents have transacted business in this state in violation of this chapter, the court shall
issue, in addition to the imposition of a civil penalty, an injunction restraining the further
transaction of the business of the foreign limited liability company and the further
exercise of the rights and privileges of the foreign limited liability company in this state.
The foreign limited liability company must be enjoined from transacting business in this
state until all civil penalties plus any interest and court costs that the court may assess
have been paid and until the foreign limited liability company has otherwise complied
with the provisions of this chapter.
authority.
1. A foreign limited liability company transacting business in this state may not maintain
an action or proceeding in this state unless it has a certificate of authority to transact
business in this state.
2. The failure of a foreign limited liability company to have a certificate of authority to
transact business in this state does not impair the validity of a contract or act of the
company or prevent the company from defending an action or proceeding in this state.
3. A member, manager, or governor of a foreign limited liability company is not liable for
the debts, obligations, or other liabilities of the company solely because the company
transacted business in this state without a certificate of authority.
4. If a foreign limited liability company transacts business in this state without a certificate
of authority or cancels its certificate of authority, then it appoints the secretary of state
as its agent for service of process for rights of action arising out of the transaction of
business in this state.
5. A foreign limited liability company that transacts business in this state without a valid
certificate of authority is subject to a civil penalty, payable to the state, not to exceed
five thousand dollars. Each governor or, in the absence of governors, each member or
agent who authorizes, directs, or participates in the transaction of business in this
state on behalf of a foreign limited liability company that does not have a certificate is
subject to a civil penalty, payable to the state, not to exceed one thousand dollars.
6. The civil penalties set forth in subsection 5 may be recovered in an action brought
within the district court of Burleigh County by the attorney general. Upon a finding by
the court that a foreign limited liability company or any of its members, governors, or
agents have transacted business in this state in violation of this chapter, the court shall
issue, in addition to the imposition of a civil penalty, an injunction restraining the further
transaction of the business of the foreign limited liability company and the further
exercise of the rights and privileges of the foreign limited liability company in this state.
The foreign limited liability company must be enjoined from transacting business in this
state until all civil penalties plus any interest and court costs that the court may assess
have been paid and until the foreign limited liability company has otherwise complied
with the provisions of this chapter.
Status: in_force · Read it on the official government site
Need a lawyer in North Dakota?
Find a North Dakota lawyer
About this page: Statute text is reproduced from official government publishers via the
Open US Law dataset
(Vaquill AI, snapshot v2026.08, CC BY 4.0). Primary legislative text like this is public domain under the government-edicts doctrine
(Georgia v. Public.Resource.Org, 2020). We link every section back to its official source so you can verify it independently.