N.D. Cent. Code § 41-09-43: (9-323) Future advances

1.Except as otherwise provided in subsection 3, for purposes of determining the priority of a perfected security interest under subdivision a of subsection 1 of section 41-09-42, perfection of the security interest dates from the time an advance is made to the extent that the security interest secures an advance that:

a.Is made while the security interest is perfected only:

(1)Under section 41-09-29 when it attaches; or

(2)Temporarily under subsection 5, 6, or 7 of section 41-09-32; and

b.Is not made pursuant to a commitment entered into before or while the security interest is perfected by a method other than under section 41-09-29 or subsection 5, 6, or 7 of section 41-09-32.

2.Except as otherwise provided in subsection 3, a security interest is subordinate to the rights of a person that becomes a lien creditor to the extent that the security interest secures an advance made more than forty-five days after the person becomes a lien creditor unless the advance is made:

a.Without knowledge of the lien; or

b.Pursuant to a commitment entered into without knowledge of the lien.

3.Subsections 1 and 2 do not apply to a security interest held by a secured party that is a buyer of accounts, chattel paper, payment intangibles, or promissory notes or a consignor.

4.Except as otherwise provided in subsection 5, a buyer of goods takes free of a security interest to the extent that it secures advances made after the earlier of:

a.The time the secured party acquires knowledge of the buyer's purchase; or

b.Forty-five days after the purchase.

5.Subsection 4 does not apply if the advance is made pursuant to a commitment entered into without knowledge of the buyer's purchase and before the expiration of the forty-five-day period.

6.Except as otherwise provided in subsection 7, a lessee of goods takes the leasehold interest free of a security interest to the extent that it secures advances made after the earlier of:

a.The time the secured party acquires knowledge of the lease; or

b.Forty-five days after the lease contract becomes enforceable.

7.Subsection 6 does not apply if the advance is made pursuant to a commitment entered into without knowledge of the lease and before the expiration of the forty-five-day period.