North Dakota Code 43-55-05 – Bond
1. A professional employer organization shall maintain a bond with a minimum value of the lesser amount of one hundred thousand dollars or five percent of the total wages reported on the employer’s quarterly contribution and wage report to job service North Dakota for the quarter ending immediately before the date submitted to the secretary of state.
Terms Used In North Dakota Code 43-55-05
- Entitlement: A Federal program or provision of law that requires payments to any person or unit of government that meets the eligibility criteria established by law. Entitlements constitute a binding obligation on the part of the Federal Government, and eligible recipients have legal recourse if the obligation is not fulfilled. Social Security and veterans' compensation and pensions are examples of entitlement programs.
- Organization: includes a foreign or domestic association, business trust, corporation, enterprise, estate, joint venture, limited liability company, limited liability partnership, limited partnership, partnership, trust, or any legal or commercial entity. See North Dakota Code 1-01-49
- State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See North Dakota Code 1-01-49
2. A professional employer organization that has not filed an employer’s quarterly contribution and wage report with job service North Dakota shall submit a bond in the amount of one hundred thousand dollars.
3. The bond must be held by the secretary of state and secure payment by the professional employer organization of any tax, wage, benefit, or other entitlement due to or with respect to a covered employee if the professional employer organization does not make the payment when due.
4. A professional employer organization shall provide the secretary of state notice of cancellation or nonrenewal of the bond required by this section at least forty-five days before cancellation or nonrenewal of the bond.
5. As used in this section, “bond” means a surety bond or an irrevocable letter of credit.