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Franchise law guide

North Dakota Franchise Law Guide: NDCC 51-19 Registration & the Securities Department

What a prospective franchisee should know about North Dakota franchise registration and disclosure before signing.

Last reviewed: May 26, 2026 by the BizLeaseCheck Editorial Team

General information, not legal advice.

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Overview

North Dakota regulates the offer and sale of franchises under the Franchise Investment Law (NDCC Chapter 51-19), administered by the North Dakota Securities Department.

Before offering or selling a franchise in North Dakota or to a North Dakota resident, a franchisor must register the franchise offering, and the federal 14-day disclosure rule still applies.

What to check

North Dakota law is NDCC Chapter 51-19High confidence

The North Dakota Franchise Investment Law (NDCC Chapter 51-19) requires franchisors to register the FDD before offering or selling in the state — North Dakota treats the FDD much like a security.

The Securities Department administers and enforces the law; administrative rules are in North Dakota Administrative Code Title 73-03.

North Dakota Securities Department — Franchise registration
The statute and formsHigh confidence

Franchise filings are prepared under the North Dakota Century Code Chapter 51-19.

North Dakota accepts the NASAA-adopted format consistent with the FTC Amended Franchise Rule (16 CFR Part 436).

North Dakota Century Code — Chapter 51-19
What this means for a franchiseeNeeds lawyer verification

Confirm the franchisor’s North Dakota registration is effective and that you received the FDD at least 14 days before signing.

North Dakota’s relationship and exemption provisions are technical; confirm specifics with a franchise attorney.

North Dakota Securities Department — laws and rules

Key takeaways

  • North Dakota regulates franchises under NDCC Chapter 51-19.
  • The Securities Department requires FDD registration before sale.
  • North Dakota treats the FDD much like a security.
  • Filings follow the NASAA / FTC Amended Franchise Rule format.
  • You should receive the FDD at least 14 days before signing (federal rule).

Official resources

FTC Franchise Rule (16 CFR Part 436) 16 CFR Part 436 — full rule (eCFR) North Dakota Securities Department — Franchise North Dakota Century Code — Chapter 51-19

Legal-review notes

Guide confidence marker: High confidence.

  • Confirm current North Dakota registration fees and procedures with the Securities Department.
  • Verify NDCC Chapter 51-19 relationship and exemption provisions before relying on them.

Frequently asked questions

Does North Dakota require franchise registration?

Yes. Under NDCC Chapter 51-19, a franchisor must register the franchise offering with the Securities Department before offering or selling in North Dakota or to a North Dakota resident, unless an exemption applies.

Which agency regulates franchises in North Dakota?

The North Dakota Securities Department.

What format does North Dakota use for filings?

North Dakota accepts the NASAA-adopted format consistent with the FTC Amended Franchise Rule (16 CFR Part 436).