A North Dakota quitclaim deed transfers an interest in real estate property from a seller or grantor to a buyer or grantee. The primary difference between a quitclaim deed and a typical warranty deed is that the quitclaim deed does not provide any warranty or covenants about title or ownership.
They are typically used to modify a title or convey property between family members for little or no consideration. The following are situations where a North Dakota quitclaim deed may be useful:
- To add or remove someone from a property deed
- To remake a correction to an existing property deed
- To convey the title to a business owned by the grantor
- To transfer the title to a living trust in an estate plan
- To transfer title to a co-owner for a joint tenancy with right of survivorship
- To transfer real estate interest to an ex-spouse as part of a divorce decree
Legal Framework
North Dakota quitclaim deed laws outline the legal foundation, formatting requirements, and content guidelines for submitting quitclaim deeds. N.D. Cent. Code § 47-10-15 provides the legal framework for using a quitclaim deed to transfer real estate property.
Legal Description
Property transfers through North Dakota quitclaim deeds must include a description of the real property, per N.D. Cent. Code § 11-18-05. A property may be described using metes and bounds or township, range, and section.
Per N.D. Cent. Code § 47-19-03.1, properties described using metes and bounds must include a statement with the name and address of the person who created the legal description. If the information was obtained from a previously recorded deed or other instrument, the statement should reflect that.
Signing
N.D. Cent. Code § 47-19-03 requires all deeds to be signed by the grantor. The signature must be witnessed and acknowledged by a notary using an acknowledgment similar to that provided under N.D. Cent. Code § 47-19-27. Alternatively, the signature can be acknowledged by a subscribing witness who meets the requirements outlined under N.D. Cent. Code § 47-19-22.
Per N.D. Cent. Code § 47-18-05, both spouses must sign a deed conveying homestead property if the grantor is married, even if only one spouse is the property owner.
Terminology
N.D. Cent. Code § 47-10-06 provides a basic form for a deed granting real estate. However, certain terms should be modified to ensure the document acts as a quitclaim deed with no warranty of title.
N.D. Cent. Code § 47-10-15 offers guidance regarding terminology for quitclaim deeds in North Dakota. Use of the word “grant” in a quitclaim deed passes after-acquired title to the grantee, regardless of words used to describe the property interest.
N.D. Cent. Code § 47-10-19 further indicates that use of the word “grant” implies that the grantor has not conveyed the property to another grantee and the title is free of encumbrances. To avoid implying these covenants, the quitclaim deed should avoid the term “grant” and instead use phrases like “quitclaim and release” to transfer property without warranty of title.
N.D. Cent. Code § 11-18-02.2 requires that any deed presented to the county recorder for filing include a statement of consideration that indicates:
- The full consideration paid for the conveyed property OR
- A statement indicating the deed is exempt from this requirement, along with a reference to the exemption that applies under N.D. Cent. Code § 11-18-02.2 (6).
Additional Documents
Per N.D. Cent. Code § 11-18-02, the county recorder cannot record a deed transferring property unless it includes a certificate of the county auditor acknowledging the transfer and verifying that the taxes for the property are current. If the property is entitled to be recorded without regard to taxes, the auditor’s certificate can state this. The certificate or stamp is typically added by the auditor at the bottom of the deed.
Filing
According to N.D. Cent. Code § 11-18-11, a quitclaim deed is only valid when recorded with the county recorder in the county where the property exists. The recorder will record, number, and index the document consistent with N.D. Cent. Code §§ 11-18-07—09, inclusive.
Validity Requirements
N.D. Cent. Code § 11-18-05 provides formatting requirements for all deeds registered with the county recorder. They include:
- Each page must be no greater than 8 ½ in. x 14 in.
- The deed must be legibly printed, written, or typed in a 10-point Calibri font or larger
- The first page must include a space at the top of at least 3 in. for the recorder’s recording information
- All additional margins should be 1 in.
Documents are typically printed on white paper with black ink and signed in blue or black ink by the grantor and notary or witness.
Content Requirements
N.D. Cent. Code § 11-18-08 provides necessary indexing information that must be included in any quitclaim deed submitted for recording. Content requirements include:
- Names of grantor and grantee
- The mailing address of the grantee
- Legal property description
- Name and address of description preparer, if in metes and bounds
- Vesting clause and covenants
- Consideration for property exchange
- Statement of co-ownership if the property is owned by joint tenants or partners
Per N.D. Cent Code § 11-18-23, the quitclaim deed cannot include any social security numbers. If the document contains a social security number, the number must be redacted before the document can be recorded.
Quitclaim Deeds vs. Other Property Transfer Methods
Quitclaim Deed | Transfers property interest in real estate without warranty of title or covenants. The grantee cannot sue the grantor for title defects or other ownership issues. |
Special Warranty Deed | Conveys interest in real estate property with limited covenants. (N.D. Cent. Code § 47-10-06). Typically the grantor will warrant that the property has not been conveyed to another party, and was free of encumbrances during the time they owned it. The grantor retains liability for the period they warrant, but not for any title defects that arose before their tenure. |
General Warranty Deed | Transfers real estate interest with full warranty of title, per N.D. Cent. Code § 47-10-04. Grantor warrants that the title is free and clear of all liens and encumbrances, and that they have not conveyed the property to anyone else. The grantor retains full responsibility for title defects or ownership problems that may arise. |
Title Insurance | Grantees who receive property through a quitclaim or special warranty deed may purchase title insurance to reduce costs associated with title defects (N.D. Cent. Code § 26.1-20-01). |
Estate Planning Deeds | Estate planning deeds, such as transfer-on-death (TOD) deeds (N.D. Cent. Code § 30.1-32.1-02) and life estate deeds (N.D. Cent. Code § 47-04-21) allow the owner to transfer property to a beneficiary upon the owner’s death. |
Joint Tenancy | Under N.D. Cent. Code § 47-02-06, joint ownership with right of survivorship allows one property owner to convey their interest in a co-owned property to the other owner(s) in the event of their death. |