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TITLE 13DEBTOR AND CREDITOR RELATIONSHIPCHAPTER 13-01GENERAL PROVISIONS13-01-01. Definitions of creditor and debtor. In this chapter, unless the context orsubject matter otherwise requires:1.&quot;Creditor&quot; means one in whose favor an obligation exists by reason of which the<br>person is or may become entitled to the payment of money.2.&quot;Debtor&quot; means one who, by reason of an existing obligation, is or may become<br>liable to pay money to another, whether such liability is certain or contingent.13-01-02. Debtor's contract valid in absence of fraud. In the absence of fraud, everycontract of a debtor is valid against all of the debtor's creditors, existing or subsequent, who have<br>not acquired a lien on the property affected by the contract.13-01-03.Creditors may be preferred.Except as otherwise provided in section13-02.1-05, a debtor may pay one creditor in preference to another, or may give to one creditor<br>security for the payment of that creditor's demand in preference to another.13-01-04. Marshalling funds - Rights of creditors. When a creditor is entitled to resortto each of several funds for the satisfaction of the creditor's claim and another person has an<br>interest in, or is entitled as a creditor to resort to, some but not all of them, the latter may require<br>the former to seek satisfaction from those funds to which the latter has no such claim so far as it<br>can be done without impairing the right of the former to complete satisfaction and without doing<br>injustice to third persons. This section does not apply to execution sales of real estate mortgage<br>foreclosures.13-01-05. Transfers with intent to defraud or delay creditors are void. Repealed byS.L. 1985, ch. 186, <meta property="og:url" content="https://statutes.laws.com/test/" /> <meta property="og:site_name" content="Statutes" /> <meta property="article:modified_time" content="2019-12-27T23:25:16+00:00" /> <meta name="twitter:card" content="summary" /> <h2>State Codes and Statutes</h2> <a href='https://statutes.laws.com/'>Statutes</a> > <a href='https://statutes.laws.com/north-dakota'>North-dakota</a> > <a href='https://statutes.laws.com/north-dakota/t13'>T13</a> > <a href='https://statutes.laws.com/north-dakota/t13/t13c01'>T13c01</a><br><br><a href="https://law.justia.com/codes/north-dakota/2009/t13/pdf/t13c01.pdf">Download pdf</a><br><div id="embed_document" style="width:625px; height:815px; text-align:center;">Loading PDF...</div><script type="text/javascript"> var pdf_url = 'https://law.justia.com/codes/north-dakota/2009/t13/pdf/t13c01.pdf'; $(document).ready(function() { var embedwindow = $("#embed_document"); if ($.browser.msie){ embedwindow.html('<embed src="'+pdf_url+'" width="100%" height="100%"></embed>'); } else { embedwindow.html('<iframe style="width:100%; height:100%;" src="https://docs.google.com/gview?url='+window.escape(pdf_url)+'&embedded=true" frameborder="0"></iframe>'); } });</script><br><br><noframes>TITLE 13DEBTOR AND CREDITOR RELATIONSHIPCHAPTER 13-01GENERAL PROVISIONS13-01-01. Definitions of creditor and debtor. In this chapter, unless the context orsubject matter otherwise requires:1.&quot;Creditor&quot; means one in whose favor an obligation exists by reason of which the<br>person is or may become entitled to the payment of money.2.&quot;Debtor&quot; means one who, by reason of an existing obligation, is or may become<br>liable to pay money to another, whether such liability is certain or contingent.13-01-02. Debtor's contract valid in absence of fraud. In the absence of fraud, everycontract of a debtor is valid against all of the debtor's creditors, existing or subsequent, who have<br>not acquired a lien on the property affected by the contract.13-01-03.Creditors may be preferred.Except as otherwise provided in section13-02.1-05, a debtor may pay one creditor in preference to another, or may give to one creditor<br>security for the payment of that creditor's demand in preference to another.13-01-04. Marshalling funds - Rights of creditors. When a creditor is entitled to resortto each of several funds for the satisfaction of the creditor's claim and another person has an<br>interest in, or is entitled as a creditor to resort to, some but not all of them, the latter may require<br>the former to seek satisfaction from those funds to which the latter has no such claim so far as it<br>can be done without impairing the right of the former to complete satisfaction and without doing<br>injustice to third persons. This section does not apply to execution sales of real estate mortgage<br>foreclosures.13-01-05. Transfers with intent to defraud or delay creditors are void. 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href='https://statutes.laws.com/north-dakota'>North-dakota</a> > <a href='https://statutes.laws.com/north-dakota/t13'>T13</a> > <a href='https://statutes.laws.com/north-dakota/t13/t13c01'>T13c01</a><br><br><a href="https://law.justia.com/codes/north-dakota/2009/t13/pdf/t13c01.pdf">Download pdf</a><br><div id="embed_document" style="width:625px; height:815px; text-align:center;">Loading PDF...</div><script type="text/javascript"> var pdf_url = 'https://law.justia.com/codes/north-dakota/2009/t13/pdf/t13c01.pdf'; $(document).ready(function() { var embedwindow = $("#embed_document"); if ($.browser.msie){ embedwindow.html('<embed src="'+pdf_url+'" width="100%" height="100%"></embed>'); } else { embedwindow.html('<iframe style="width:100%; height:100%;" src="https://docs.google.com/gview?url='+window.escape(pdf_url)+'&embedded=true" frameborder="0"></iframe>'); } });</script><br><br><noframes>TITLE 13DEBTOR AND CREDITOR RELATIONSHIPCHAPTER 13-01GENERAL PROVISIONS13-01-01. Definitions of creditor and debtor. In this chapter, unless the context orsubject matter otherwise requires:1.&quot;Creditor&quot; means one in whose favor an obligation exists by reason of which the<br>person is or may become entitled to the payment of money.2.&quot;Debtor&quot; means one who, by reason of an existing obligation, is or may become<br>liable to pay money to another, whether such liability is certain or contingent.13-01-02. Debtor's contract valid in absence of fraud. In the absence of fraud, everycontract of a debtor is valid against all of the debtor's creditors, existing or subsequent, who have<br>not acquired a lien on the property affected by the contract.13-01-03.Creditors may be preferred.Except as otherwise provided in section13-02.1-05, a debtor may pay one creditor in preference to another, or may give to one creditor<br>security for the payment of that creditor's demand in preference to another.13-01-04. Marshalling funds - Rights of creditors. When a creditor is entitled to resortto each of several funds for the satisfaction of the creditor's claim and another person has an<br>interest in, or is entitled as a creditor to resort to, some but not all of them, the latter may require<br>the former to seek satisfaction from those funds to which the latter has no such claim so far as it<br>can be done without impairing the right of the former to complete satisfaction and without doing<br>injustice to third persons. This section does not apply to execution sales of real estate mortgage<br>foreclosures.13-01-05. Transfers with intent to defraud or delay creditors are void. 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