North Dakota § 52-04-08 - Succession to predecessor's experience record - Impact of substantial

§ 52-04-08. Succession to predecessor's experience record - Impact of substantial

common ownership, management, or control. 1. An employing unit that in any manner acquires all or part of the organization, business, trade, workforce, or assets of another employer and continues essentially the same business activity of the whole or part transferred, may upon request be transferred in accordance with law and any relevant rules adopted by the agency, the whole or appropriate part of the experience record, reserve balance, and benefit experience of the predecessor employer, unless the agency finds that the employing unit acquired the business solely or primarily for the purpose of obtaining a lower unemployment insurance tax rate. If the predecessor files a written protest against such transfer within fifteen days of being notified of the successor's application, the transfer will not be made. 2. When an employing unit in any manner acquires all or part of the organization, business, trade, workforce, or assets of another employer, the agency shall transfer all or the appropriate part of the experience record, reserve balance, whether positive or negative, and benefit experience of such predecessor to the successor if it finds that 3. 4. there was, at the time of acquisition, substantially common ownership, management, or control of the predecessor and the successor. When a part of an employer's experience record reserve account and benefit experience is transferred under this section, the portion of the experience record and reserve account transferred must be in the same ratio to the total experience record and reserve account as the average annual payroll of the transferred organization, trade, business, workforce, or assets is to the total average annual payroll of the predecessor. An employing unit's experience record may not be transferred in an amount that results in the successor and predecessor portions totaling more than one hundred percent of the predecessor's history.