Rule 23.Class Actions
Group IV: Parties · Last amended March 1, 2011 · Last verified July 15, 2026
Full Text of Rule 23
Explanatory Note
Rule 23 was amended, effective February 15, 1977; January 1, 1995; March 1, 1999; March 1, 2003; March 1, 2011.
Rule 23 is substantially the same as the Model Class Actions Rule as drafted by the National Conference of Commissioners on Uniform State Laws. Prior to February 15, 1977, the effective date of this rule, Rule 23 was the same as Fed.R.Civ.P. 23.
Rule 23 was revised, effective March 1, 2003. A new subdivision (t) was added to clarify that an appeal under paragraphs (d)(3) or (e)(4) does not stay district court proceedings unless a stay is ordered by the district court or the supreme court. It is expected that a stay will be sought first from the district court.
Rule 23 was amended, effective March 1, 2011. The language and organization of the rule were changed to make the rule more easily understood and to make style and terminology consistent throughout the rules.
The following comments are based on the official Comments to the Model Rule.
Subdivision (a):
This subdivision sets forth the requirements that must be satisfied to authorize the bringing of a class action. Subdivision (b) authorizes the maintenance of a class action.
Subdivision (b):
In connection with the finding under subparagraphs (2)(B) and (C), see paragraphs (c)(1) and (2).
Subdivision (c):
After an action has been brought as a class action, if the court determines that there is an action pending in another court which encompasses the pending class action both as to general class and claim, the court hearing the class action may refuse to certify the action against or on behalf of the class if it concludes that this form is not the most appropriate one. In making this decision, the court must consider the sequence of the suits, the residence of the members of the class, where the transaction or occurrence involved took place, where the relevant evidence is available, and other pertinent facts.
Subdivision (d):
Paragraph (4) presupposes the existence of rules of civil procedure which will allow the action to proceed on behalf of the representative parties as properly joined parties.
Denial of certification and the allowance of a personal action under paragraph (4) does not affect any possible intervention or joinder of class members who are not representative parties under the applicable state laws.
Subdivision (f):
The jurisdictional provisions for multi-state classes were repealed, effective January 1, 1995, to conform with the Uniform Law Commissioners' Model Class Actions Rule, to allow application of the analysis found in Phillips Petroleum Company v. Shutts, 472 U.S. 797, 105 S.Ct. 2965, 86 L.Ed.2d 628 (1985), and to eliminate application of the more stringent "minimum contacts" test to class action plaintiffs.
Subdivision (g):
The hearing required by paragraph (1), if the court wishes, can be combined with the hearing required by paragraph (b)(1).
Subdivision (g) was amended, effective March 1, 1999, to allow notice via third-party commercial carrier as an alternative to mail.
Personal mailed notice to all class members is not required by this Rule. See Grant v. City of Lincoln, 225 N.W.2d 549 (Neb. 1975); Cartt v. Superior Court in and for County of Los Angeles, 50 Cal. App.3d 960, 124 Cal. Rptr. 376 (Ct. App. 1975).
The type of notice to be given may vary as to the persons to be notified, the form of notice, and, to some extent, the content. Paragraph (3) indicates that the court must consider a number of factors in deciding what type of notice to give.
Paragraph (7) would allow the court to order a defendant who has a mailing list of class members to cooperate with the representative parties in notifying the class members. Use of a computer or enclosing notice in a regular mailing are possibilities.
Subdivision (h):
Under some circumstances, members of a plaintiff class cannot elect to be excluded and subdivision (h) is drafted to cover that situation. Such situations might arise in actions comparable to those under Federal Rule 23(b)(1); see 5 James Moore, Moore's Federal Practice § 23.41 (3rd Ed. 2010). In most situations, members of a plaintiff class will be permitted to elect to be excluded.
Subdivision (i):
The rules governing civil procedure in the courts of the State will normally govern procedures in class actions. Subdivision (i) covers certain matters that are found only in class actions and deserve special consideration. Subparagraph (1)(D) does not limit the power of the attorney general to participate in litigation under other provisions of applicable law.
Subdivision (j):
Discovery against representative parties includes the representative parties' fee arrangement with counsel. Disclosure of this arrangement is required under subdivision (q).
Subdivision (k):
The expense of notification of actions involving counterclaims is determined as provided in paragraph (g)(7).
Subdivision (n):
The nature of other costs and assessments against parties in a class action is left to the law generally applicable in the state. Subdivision (n) merely specifies the liability of class members if costs are assessed against the class and provides for assessment of the expense of notification under subdivision (g).
Subdivision (o):
This section incorporates the idea of "fluid recovery," to benefit the class as a whole when distribution of damage awards to individual members is impracticable or a residue remains after distribution. See State of West Virginia v. Charles Pfizer & Co., 314 F.Supp. 710 (S.D. N.Y. 1970); Bebchick v. Public Utilities Commission, 318 F.2d 187 (D.C. Cir.1963), cert. denied 83 S.Ct. 1304 (1963); Daar v. Yellow Cab Co., 433 P.2d 732, 63 Cal. Rptr. 724 (1967).
Subdivision (p):
Courts under this rule have discretion to award attorney's fees in class actions when the class failed to win damages or equitable relief, but the court finds the class action "prevailed" because the suit performed a valuable public service. See Perham v. Southwestern Bell Telephone Co., 433 F.2d 421 (8th Cir. 1970).
Most of the factors listed in paragraph (5) derive from Lindy Bros. Builders, Inc. of Phila. v. American Radiator & Standard Sanitary Corp., 487 F.2d 161 (3rd Cir. 1973).
Subdivision (q):
Subdivision (q) requires information regarding the arrangements for attorney's fees and expenses to be disclosed in order to assist the court in making determinations as to adequacy of representation by the representative parties and by the attorney for the class, as to any possible collusion between the representative parties and the attorney for the class, and as to any possible conflict of interests among the representative parties and the class members.
Subdivision (r):
American Pipe and Construction Co. v. Utah, 414 U.S. 538, 94 S.Ct. 756, 38 L.Ed.2d 713 (1974), held that the commencement of a class action under Federal Rule 23 suspends the applicable statute of limitations to all members of the class pending a determination of class action status. Subdivision (r) codifies the American Pipe case.
Plain-English Summary
North Dakota's class-action rule has a different pedigree than most states' — the official notes explain that, before March 1977, Rule 23 tracked the federal rule, but North Dakota then adopted the Model Class Actions Rule drafted by the National Conference of Commissioners on Uniform State Laws, and it has been amended several times since (1990, 1999, 2003, and 2011) to refine that model. Two threshold requirements open the door under Rule 23(a): the class must be numerous or otherwise structured so that joining every member is impracticable, and a question of law or fact must be common to the class. From there, Rule 23(b) requires the court to hold a hearing and certify or refuse to certify the action, and it may certify with respect to particular claims or issues, for particular forms of relief, or by dividing the class into subclasses.
Certification itself turns on more than the two threshold requirements. Rule 23(c) lists thirteen factors the court must weigh and give appropriate weight to in deciding whether a class action serves the fair and efficient adjudication of the controversy — among them, whether separate suits risk inconsistent results, whether common questions predominate over individual ones, whether a class action is the most appropriate way to handle the claims, and whether individual class members' stakes are too small to justify separate suits given the cost of litigating them. The court must also find that the class's attorney will adequately represent the class, that the representative parties have no conflict of interest with the class, and that adequate financial resources exist to protect the class's interests. The certification order itself must describe the class, state the relief sought, and note whether it is limited to certain claims or subclasses; both a certification order and a refusal to certify are appealable, though refusal does not end the underlying action — it only forecloses class treatment. The court may amend a certification order at any time before judgment on the merits.
Once a class is certified, Rule 23(g) requires notice describing the action, the relief sought, and each member's right to opt out by a stated date; any member whose potential recovery or liability tops $100 and who can be located with reasonable diligence must get personal notice, while other members need only a reasonable means of notice under the circumstances. Members who opt out under Rule 23(h) are excluded from and not bound by the judgment, except representative parties and certain members bound by specific certification findings. A judgment in a certified action binds every member who did not opt out. Rules 23(i) through (k) give the court broad authority to manage the action, regulate discovery against absent class members, and handle counterclaims for or against the class. Dismissal or compromise of a certified class action requires court approval after a hearing and notice to the class describing the terms and reasoning behind the proposed resolution.
The rule's money provisions reflect its Model Rule roots. Rule 23(o) lets the court order relief consistent with the certification order, including a version of what the notes call “fluid recovery” — when funds cannot be distributed to class members who cannot be identified or located, the court may direct that money to one or more states as unclaimed property or to the defendant, after weighing factors like unjust enrichment and the defendant's willfulness. Rule 23(p) lists factors for setting attorney's fees for a prevailing class, and Rule 23(q) requires representative parties and class counsel to disclose their fee arrangements to the court. Rule 23(r) tolls the statute of limitations for class members from the time the class action is filed until they opt out, are excluded by a certification order, are dropped from the class by an order refusing to certify the action (except for representative parties), or the action ends without a merits decision — codifying the rule from American Pipe and Construction Co. v. Utah cited in the official notes. Finally, Rule 23(t) means an appeal from a certification ruling does not automatically pause the case in district court; a stay requires a court order.
Frequently Asked Questions
What does a group have to show to bring a class action in North Dakota?
Rule 23(a) requires that the class be so numerous, or otherwise structured, that joining every member would be impracticable, and that a question of law or fact be common to the class. Beyond that, the court must find under Rule 23(b) that a class action serves the fair and efficient adjudication of the controversy and that the representative parties will adequately protect the class's interests, weighing the many factors listed in Rule 23(c).
Is North Dakota's class-action rule the same as the federal class-action rule?
No. The official notes to Rule 23 explain that North Dakota's rule tracked the federal rule only until February 1977, when the state adopted the Uniform Law Commissioners' Model Class Actions Rule instead. The result is a rule with its own certification factors, notice provisions, and money-distribution scheme rather than a copy of the federal approach.
Can I opt out of a class action if I'm a class member?
Generally yes. Rule 23(h) lets a member of a plaintiff class elect to be excluded, unless the member is a representative party, the certification order contains certain specific findings under Rule 23(c)(1)(A)-(C), or a counterclaim is pending against the member's class or subclass. Members of a defendant class may not elect to be excluded.
What happens to class-action money that can't be given to class members who can't be found?
Rule 23(o) directs the court to determine what portion of a money judgment cannot be distributed because class members could not be identified or located, and, after a hearing, to distribute that amount to one or more states as unclaimed property or to the defendant, considering factors such as unjust enrichment and the defendant's willfulness.
Does filing a class action stop the statute of limitations from running for everyone in the class?
Yes, while the class action is pending. Rule 23(r) tolls the statute of limitations for all class members once the action is commenced, and it resumes running for a given member only when that member opts out, is eliminated from the class by a certification order or amendment of one, is dropped from the class by an order refusing to certify the action (except for representative parties), or when the action is dismissed without an adjudication on the merits.