Nonprofit Corporation Membership Exit and Termination in North Dakota

Short answer North Dakota members may resign at any time, but resignation does not erase dues, assessments, fees, or charges already owed. Membership and related rights cannot be transferred unless the articles or bylaws allow it. Involuntary suspension, expulsion, or termination must use a fair, reasonable, good-faith procedure; a challenge must begin within one year after the effective date.
State
North Dakota
Statute checked
October 3, 2026
Sources
11 statutes

At a glance

Governing law and covered membersN.D.C.C. ch. 10-33; corporation may have classes or no members; no member provision means no members (§ 10-33-57(1))
Documents, classes, and decision makerArticles/bylaws may set classes, qualifications, withdrawal and expulsion procedure; authorized decision maker hears response (§§ 10-33-26(1), 10-33-62(2))
Transfer of membership rightsNeither membership nor rights transfer unless articles/bylaws allow; later restriction needs members’ and affected member’s approval (§ 10-33-59)
Voluntary resignationMember may resign at any time; § 10-33-61 sets no required notice form; existing obligations survive
Expulsion, suspension, and terminationFair, reasonable, good-faith procedure; fixed-term expiration excepted; dues nonpayment cancellation may be provided on reasonable notice (§§ 10-33-60(3), -62(1))
Notice and opportunity to respondOne fair-procedure route: written reasons at least 15 days ahead; oral/written response to authorized decider at least 5 days ahead; contextual fairness alternative (§ 10-33-62(2))
Rights and records after exitMember inspection right applies while a member; corporation may buy resigned/terminated membership only if articles/bylaws authorize (§§ 10-33-63, -80(2))
Dues and prior commitmentsResignation or involuntary exit does not erase dues, assessments, fees, or goods/services charges (§§ 10-33-61, -62(4))
Challenge period and remedyChallenge, including defective-notice claim, within 1 year after effective exit date (§ 10-33-62(3))

Requirements one by one

Under § 10-33-57(1), a corporation without a member provision in its articles or bylaws has no members. The following exit rules apply when it has members.

Transfer and voluntary exit

Under § 10-33-59, a member cannot transfer a membership or a right arising from it unless the articles or bylaws provide otherwise. A later transfer restriction cannot bind a preexisting member without both member approval and that affected member's approval. Under § 10-33-61, a member may resign at any time, while existing dues and other listed charges remain owed.

Involuntary exit and notice

§ 10-33-62(1) requires a fair, reasonable procedure carried out in good faith for expulsion, suspension, or termination. § 10-33-62(2) recognizes a procedure as fair if it gives written notice with reasons at least 15 days beforehand and a chance to be heard orally or in writing before an authorized decision maker at least 5 days before the effective date. It separately allows a procedure fair and reasonable in light of all relevant circumstances, so the 15/5-day schedule is not the only statutory route.

What trips people up

§ 10-33-62(1) excludes the end of a fixed membership term from its involuntary-exit procedure. Under § 10-33-60(3), the articles or bylaws may also provide for cancellation on reasonable notice for nonpayment of dues, assessments, or fees. These are different from a blanket power to expel without the statutory fair-procedure rule.

Under § 10-33-62(4), involuntary exit does not erase the listed obligations, just as § 10-33-61 preserves them after resignation. § 10-33-63 permits a buyout of a resigned or terminated membership only when authorized in the articles or bylaws, for the amount and conditions those documents set. § 10-33-80(2) describes inspection as a member or director right; a claimed former member must first resolve status under the governing documents and law.

Common questions

Does a member have exactly one year from notice to challenge an expulsion?

No. § 10-33-62(3) runs the one-year period from the effective date of the expulsion, suspension, or termination, including when defective notice is alleged.

Can bylaws spell out a different withdrawal or expulsion process?

§ 10-33-26(1) permits bylaws to address admission, withdrawal, suspension, and expulsion. An involuntary procedure still must satisfy § 10-33-62's fair, reasonable, good-faith standard.

Statutes and sources

  • N.D.C.C. §§ 10-33-26, -57, -59 to -63, and -80: nonprofit membership, transfer, resignation, fair exit procedure, obligations, purchase, and member inspection. Current official chapter 10-33 PDF, accessed 2026-10-03; each source entry above links the section search within the PDF.

Source links

Every statute quoted above, linked, with the date we checked it.

N.D.C.C. § 10-33-26(1) · accessed 2026-10-03
N.D.C.C. § 10-33-57(1) · accessed 2026-10-03
N.D.C.C. § 10-33-59 · accessed 2026-10-03
N.D.C.C. § 10-33-60(3) · accessed 2026-10-03
N.D.C.C. § 10-33-61 · accessed 2026-10-03
N.D.C.C. § 10-33-62(1) · accessed 2026-10-03
N.D.C.C. § 10-33-62(2) · accessed 2026-10-03
N.D.C.C. § 10-33-62(3) · accessed 2026-10-03
N.D.C.C. § 10-33-62(4) · accessed 2026-10-03
N.D.C.C. § 10-33-63 · accessed 2026-10-03
N.D.C.C. § 10-33-80(2) · accessed 2026-10-03
This page gives general information about ordinary nonprofit corporation membership law, not advice about a specific resignation, suspension, expulsion, or termination. Articles, bylaws, member class, specialized association law, and the facts of a particular decision may affect the result. A statutory procedure does not decide whether a particular decision was fair or lawful. Check current governing documents and official law with a licensed adviser before acting.

What does North Dakota law mean for your facts?

You just read the general rule. Ask your own question and see which parts of current North Dakota law apply to your situation, with citations you can check.

Opens in Ezel Pro.

  • Starts from the statutes this survey is built on
  • Cites every source it relies on, so you can verify it
  • Chat, drafting and research in one workspace