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North Dakota · N.D.C.C. §43-23-24North Dakota wholesaling disclosure: what a wholesaler must tell the seller and buyer

North Dakota defines a wholesaler as a person that enters an agreement to make income or profit from the transfer of, or an equitable interest in, real property (N.D. Cent. Code §43-23-24(1)). The wholesaler must disclose in writing to all parties to the agreement that it holds an equitable interest in the property, may not be able to convey title, and intends to make a profit or income from transferring the equitable interest (§43-23-24(2)). If the wholesaler violates the section, the seller may cancel the contract at any time before the close of escrow without penalty and keep any earnest money the wholesaler paid, and the buyer may cancel before the close of escrow without penalty and must be refunded all earnest money it paid – notwithstanding anything in the contract (§43-23-24(3)–(4)).

The rules

  1. 1. Who (§43-23-24(1))

    Anyone contracting to profit from transferring an interest in real property.

  2. 2. Written disclosure (§43-23-24(2))

    Equitable interest only, may not convey title, intends to profit.

  3. 3. Seller's remedy (§43-23-24(3))

    Cancel before close of escrow; keep the wholesaler's earnest money.

  4. 4. Buyer's remedy (§43-23-24(4))

    Cancel before close of escrow; all earnest money refunded.

What the TC can do

  • If a contract will be assigned, ask for the wholesaler's written disclosure to every party.
  • Keep a signed copy in the file before closing is scheduled.
  • Flag a missing disclosure to the agent – both sides can cancel before closing.

Questions about North Dakota wholesaling

What must a North Dakota wholesaler disclose?

In writing to all parties: that it holds an equitable interest, may not be able to convey title, and intends to profit from the transfer (N.D. Cent. Code §43-23-24(2)).

What happens if a North Dakota wholesaler doesn't disclose?

The seller may cancel before the close of escrow and keep the wholesaler's earnest money; the buyer may cancel and get all earnest money back (§43-23-24(3)–(4)).

Related guides

Add a task in ClosingCode for the wholesaler's written disclosure, with an owner and a due date.

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Source: North Dakota Century Code §43-23-24 (ndlegis.gov, read October 26, 2026).

General information, not legal advice. ClosingCode is software; it is not a law firm. This guide is not a substitute for the advice or services of an attorney.