N.D. Cent. Code § 4.1-27-04

4.1-27-04. Bond to accompany application for license - Amount - Approval -

Conditions - Exemptions.

1. An applicant for a license to operate a livestock auction market shall file a surety bond

of at least ten thousand dollars with the application for license or renewal of a license.

The bond must be approved by the commissioner as to the amount, form, and surety.

The commissioner must be named the obligee in the bond. The bond must be for the

benefit of, and for the purpose of protecting, any person selling to or through the

licensed livestock auction market, or buying livestock through or from the licensed

livestock auction market or the licensee's agent. The commissioner may require an

additional bond of the licensee when the commissioner deems the volume of the

business of the licensee warrants the additional bond. The bond must be conditioned

for:

a. The payment of all money received by the licensee and the operator of the

livestock auction market, less reasonable expenses and agreed commissions;

b. The faithful performance by the licensee of the duties of a livestock auction

market operator; and

c. The faithful performance by the licensee of all duties imposed by law relating to

the purchase, sale, or holding of livestock.

2. The bond must cover the entire license period. If the commissioner is the trustee or

obligee of a surety bond in which the auction market operator is the principal and is

operating and is bonded under the Packers and Stockyards Act, 1921 [Pub. L. 67-51;

42 Stat. 159; 7 U.S.C. 181 et seq.], the commissioner may accept that bond in lieu of

the one required under this section, except that the minimum bond requirements of ten

thousand dollars will be continued.