§ 5113. Disaster Relief- Limitations of Chapter. [repealed]
TITLE 4: ECONOMIC RESOURCES DIVISION 5: BUSINESS REGULATION § 5113. Non-Negotiability of Consumer Paper. (a) If any contract for sale or lease of consumer goods or services on credit entered into between a retail seller and a retail buyer requires or involves the execution of a promissory note or instrument or other evidence of indebtedness of the buyer, such note, instrument or evidence of indebtedness shall have printed on the face of it the words “consumer paper,” and such note, instrument or evidence of indebtedness with the words “consumer paper” printed thereon shall not be a negotiable instrument. (b) Notwithstanding the absence of such notice on a note, instrument or evi- dence of indebtedness arising out of a consumer credit sale or consumer lease as described in this section, an assignee of the rights of the seller or lessor is subject to all claims and defenses of the buyer or lessee against the seller or lessor arising out of the sale or lease. Any agreement to the contrary shall be of no force or effect in limiting the rights of a consumer under this section. The assignee’s liability under this section may not exceed the amount owing to the assignee at the time the claim or defense is asserted against the assignee. Failure to imprint the words “consumer paper” on the note, instrument or evidence of indebtedness shall subject the seller or other responsible person to appropriate civil and criminal sanctions as provided in this article. Source: 33 TTC § 357; amended by PL 6-46, § 10, modified. Commission Comment: See the comment to 4 CMC § 5101.
Source: CNMI Law Revision Commission