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ACT No. 526
Regular Session, 2010
HOUSE BILL NO. 729
BY REPRESENTATIVES CARMODY AND KATZ
AN ACT1
To amend and reenact R.S. 41:892(C), (D), and (E) and to enact R.S. 41:892(F), relative to2
surplus property of school boards; to provide relative to the minimum bid which may3
be accepted when a school board attempts to sell such property; and to provide for4
related matters.5
Be it enacted by the Legislature of Louisiana:6
Section 1. R.S. 41:892(C), (D), and (E) are hereby amended and reenacted and R.S.7
41:892(F) is hereby enacted to read as follows:8
ยง892. Procedure; deed of sale9
* * *10
C. On the day named in the advertisement, the property shall be sold at11
public auction at the school board office, between the hours of eleven o'clock A.M.12
a.m. and four o'clock P.M. p.m., with appraisement, to the last and highest bidder,13
upon such terms and conditions as the school board shall determine. The deeds shall14
contain the usual security clauses and a stipulation to pay ten per cent percent15
attorney's attorney fees in the event it becomes necessary to secure the services of16
an attorney for the purpose of collection. In the event If the highest bid received is17
not equal to or greater than the appraisement of the property minimum bid as18
provided in Subsection E of this Section, the sale shall be cancelled and no bid shall19
be accepted.20
D. On the date named in the advertisement if the property is to be sold under21
sealed bids, the bids shall be opened in the offices of the school board at the hour22
designated in the advertisement. The property shall be sold to the highest bidder23
upon such terms and conditions as the school board shall determine. The deed shall24 ENROLLEDHB NO. 729
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contain the usual security clauses and a stipulation to pay ten per cent percent1
attorney's attorney fees in the event it becomes necessary to secure the services of2
an attorney for the purpose of collection. The school board shall reserve the right to3
reject any and all bids, and all bids shall be rejected in the event if the highest bid4
received is not equal to or greater than the appraised value of the property to be sold5
minimum bid as provided in Subsection E of this Section.6
E.(1) The first time a school board offers a particular property for sale7
pursuant to this Section, the minimum bid shall be eighty-five percent of the8
appraised value of the property.9
(2) If the school board fails to sell the property because the maximum bid10
received was not equal to or greater than the minimum bid established in Paragraph11
(1) of this Subsection, the school board may make a second effort to sell the property12
following the procedures outlined in this Section. The minimum bid for a second13
effort to sell the same property shall be eighty percent of the appraised value.14
(3) If the school board has twice failed to sell property because the maximum15
bid received was not equal to or greater than the minimum bid otherwise provided16
in this Subsection, there shall be no minimum bid at the third effort to sell the17
property, and the school board may sell the property to the highest bidder as18
otherwise provided by this Section.19
F. The deed of the president of the school board shall be full and complete20
evidence of the sale, shall convey a good and valid title to the property sold , and21
shall have the force and effect of a notarial act.22
Section 2. This Act shall be applied prospectively only. No sale attempted prior to23
the effective date of this Act or for which notice as required by R.S. 41:892(B) has been24
given at least once prior to the effective date of this Act constitutes an effort to sell as25
contemplated by R.S. 41:892(E) as amended by this Act.26
Section 3. This Act shall become effective upon signature by the governor or, if not27
signed by the governor, upon expiration of the time for bills to become law without signature28
by the governor, as provided in Article III, Section 18 of the Constitution of Louisiana. If29 ENROLLEDHB NO. 729
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vetoed by the governor and subsequently approved by the legislature, this Act shall become1
effective on the day following such approval.2
SPEAKER OF THE HOUSE OF REPRESENTATI VES
PRESIDENT OF THE SENATE
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED: