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North Dakota · Article Updated May 26, 2026

The Refund (Repurchase) Remedy in North Dakota

How a North Dakota lemon-law refund is calculated — full purchase price plus collateral charges, minus a use offset capped at 10 cents per mile or 10% of the purchase price, whichever is less.

The refund (repurchase) is the remedy most North Dakota consumers choose — and the state’s use-offset cap makes it especially valuable. Under § 51-07-18, the manufacturer must accept return of the vehicle and refund the purchase price, less a strictly limited use allowance.

What’s included

  • Full purchase price of the vehicle.
  • All collateral charges — sales/excise tax, title, registration, and similar government and dealer charges paid at purchase.
  • (Pair with Consumer Fraud or Magnuson-Moss for incidental losses where available.)

The use offset — capped at 10% of price

Here’s what sets North Dakota apart. The use allowance is:

not exceeding ten cents per mile driven or ten percent of the purchase price, whichever is less (§ 51-07-18).

Two consumer-favorable rules combine:

  1. Only miles before first report count. Mileage you put on after you reported the defect doesn’t increase the offset.
  2. A hard 10%-of-price ceiling. Even at 10¢/mile, the deduction can never exceed 10% of the purchase price.

Worked example

A $45,000 truck, driven 55,000 miles before the defect was first reported:

  • 10¢/mile × 55,000 = $5,500.
  • 10% of $45,000 = $4,500.
  • Whichever is less → the offset is $4,500.

Refund ≈ $45,000 + collateral charges − $4,500. Most states would use a 100,000-mile formula or no cap at all; North Dakota caps it at 10% — a major advantage for high-mileage owners (think the Bakken oil patch).

Leased vehicles

For leases, § 51-07-18.1 governs the refund of lease payments and amounts paid — coordinate the lessor and lessee shares.

Why the cap matters in North Dakota

North Dakota drivers cover vast rural distances and oil-patch fleet miles. A mileage-based offset with no ceiling would gut the refund. The 10%-of-price cap protects exactly these high-mileage owners — provided they report the defect early (the offset counts pre-report miles).

Bottom line

A North Dakota refund returns your full price plus collateral charges, minus a use offset that can never exceed 10% of the purchase price — the most owner-friendly cap in the country. Get a free case review.

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