North Dakota Senate Bill SB2236

North Dakota 2025-2026 Regular Session

• Introduced: 1/17/25
• Refer: 1/17/25
• Report DNP: 2/3/25

Caption

A BILL for an Act to amend and reenact section 47-16-20 of the North Dakota Century Code, relating to late fees on rents under a rental agreement.

Summary

SB 2236 would amend North Dakota Century Code section 47-16-20, which governs when rent is due and what late fees may be charged under a rental agreement. The bill keeps the existing rules on rent timing for agricultural and wild land, lodgings, and other leases, but adds a new late-fee provision specifically for lodging rentals. If a tenant does not pay lodging rent by the end of the month, or by another due date stated in the rental agreement, the landlord may charge a late fee of up to 8% of the overdue rent payment. In practical terms, the bill would create a clear statutory cap on late fees for lodging rentals and give landlords express authority to assess such fees within that limit. It would affect landlords and tenants in the residential lodging market by standardizing the maximum late charge and tying it either to the end-of-month due date or to a contractually specified payment date.

Impact

The bill would modify section 47-16-20 of the North Dakota Century Code by adding a late-fee rule for lodging rentals while leaving the broader rent-due framework intact. It would not change the timing rules for agricultural and wild land or other rent categories, but it would directly regulate landlord conduct in lodging leases by limiting late fees to no more than 8% of the overdue rent. This would affect rental agreements, tenant payment obligations, and landlord enforcement practices in North Dakota.

Sentiment

The bill appears to have faced strong opposition in the Senate. It failed on second reading by a wide margin, with 7 yeas and 39 nays on February 4, 2025. Because there are no committee transcripts provided, the available record suggests the bill did not generate enough support to advance, and the vote outcome indicates a generally unfavorable sentiment among senators.

Contention

The main point of contention appears to have been whether the state should authorize and cap late fees for lodging rentals at all, and whether an 8% cap was appropriate. Supporters likely viewed the bill as providing clarity and a predictable limit for landlords, while opponents may have objected to adding or formalizing late-fee authority in rental law or to the size of the permitted charge. With no committee discussion available, the specific arguments of each side are not documented in the provided record.