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ACT No. 702
Regular Session, 2012
HOUSE BILL NO. 274
BY REPRESENTATIVE FOIL
(On Recommendation of the Louisiana State Law Institute)
AN ACT1
To amend and reenact R.S. 19:2, 2.1(A)(2), 2.2(A)(introductory paragraph) and (2) and (B),2
5(B) and (C)(6), 6, 7, 8(A) and (B), 9, 12, 14(B), and 201, to enact R.S. 19:2.2(C),3
8(E), and 16, and to repeal R.S. 9:3176 through 3191, relative to expropriation; to4
provide notice, service, and filing requirements when property is sought to be5
acquired through expropriation; to provide additional requirements when property6
is sought to be acquired by expropriating authorities other than the state or its7
political subdivisions or corporations; to provide procedures for delay periods, trial,8
and burden of proof; to provide for determination of compensation and attorney fees;9
to repeal outdated or duplicative expropriation statutes; and to provide for related10
matters.11
Be it enacted by the Legislature of Louisiana:12
Section 1. R.S. 19:2, 2.1(A)(2), 2.2(A)(introductory paragraph) and (2) and (B), 5(B)13
and (C)(6), 6, 7, 8(A) and (B), 9, 12, 14(B), and 201 are hereby amended and reenacted and14
R.S. 19:2.2(C), 8(E), and 16 are hereby enacted to read as follows:15
§2. Expropriation by state or certain corporations, and limited liability companies ,16
or other legal entities17
Where a price cannot be agreed upon with the owner, Prior to filing an18
expropriation suit, an expropriating authority shall attempt in good faith to reach an19
agreement as to compensation with the owner of the property sought to be taken and20
comply with all of the requirements of R.S. 19:2.2. If unable to reach an agreement21 ENROLLEDHB NO. 274
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with the owner as to compensation, any of the following may expropriate needed1
property:2
(1) The state or its political corporations or subdivisions created for the3
purpose of exercising any state governmental powers ;.4
(2) Any domestic or foreign corporation, limited liability company, or other5
legal entity created for, or engaged in, the construction of railroads, toll roads, or6
navigation canals;.7
(3) Any domestic or foreign corporation, limited liability company, or other8
legal entity created for, or engaged in, the construction and or operation of street9
railways, urban railways, or inter-urban railways ;.10
(4) Any domestic or foreign corporation, limited liability company, or other11
legal entity created for, or engaged in, the construction or operation of waterworks,12
filtration and treating plants, or sewerage plants to supply the public with water and13
sewerage;.14
(5) Any domestic or foreign corporation, limited liability company, or other15
legal entity created for, or engaged in, the piping and marketing of natural gas for the16
purpose of supplying the public with natural gas as a common carrier or contract17
carrier or any partnership, domestic or foreign corporation, limited liability company,18
or other legal entity which is or will be a natural gas company or an intrastate natural19
gas transporter as defined by federal or state law, composed entirely of such20
corporations entities or composed of the wholly owned subsidiaries of such21
corporations entities. As used in this Paragraph, "contract carrier" means any legal22
entity that transports natural gas for compensation or hire pursuant to special contract23
or agreement with unaffiliated third parties.24
(6) Any domestic or foreign corporation, limited liability company, or other25
legal entity created for the purpose of, or engaged in, transmitting intelligence by26
telegraph or telephone;.27
(7) Any domestic or foreign corporation, limited liability company, or other28
legal entity created for the purpose of, or engaged in, generating, transmitting, and29
distributing or for transmitting or distributing electricity and steam for power,30 ENROLLEDHB NO. 274
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lighting, heating, or other such uses. The generating plants, buildings, transmission1
lines, stations, and substations expropriated or for which property was expropriated2
shall be so located, constructed, operated, and maintained as not to be dangerous to3
persons or property nor interfere with the use of the wires of other wire using4
companies or, more than is necessary, with the convenience of the landowners ;.5
(8) All persons included in the definition of common carrier pipelines as set6
forth in R.S. 45:251;.7
(9) Any domestic or foreign corporation, limited liability company, or other8
legal entity created for or engaged in piping and or marketing of coal or lignite in9
whatever form or mixture convenient for transportation within a pipeline as10
otherwise provided for in R.S. 30:721 through 30:723.11
(10) Any domestic or foreign corporation, limited liability company, or other12
legal entity or any partnership composed of such corporations or wholly owned13
subsidiaries thereof engaged in the piping or marketing of carbon dioxide for use in14
connection with a secondary or tertiary recovery project for the enhanced recovery15
of liquid or gaseous hydrocarbons approved by the commissioner of conservation.16
Property located in Louisiana may be so expropriated for the transportation of carbon17
dioxide for underground injection in connection with such projects located in18
Louisiana or in other states or jurisdictions.19
(11) Any domestic or foreign corporation, limited liability company, or other20
legal entity engaged in any of the activities otherwise provided for in this Section.21
(12) Any domestic or foreign corporation, limited liability company, or other22
legal entity or any partnership composed of such corporations or wholly owned23
subsidiaries thereof engaged in the injection of carbon dioxide for the underground24
storage of carbon dioxide approved by the commissioner of conservation. Property25
located in Louisiana may be so expropriated for the underground storage of carbon26
dioxide in connection with such storage facility projects located in Louisiana,27
including but not limited to surface and subsurface rights, mineral rights, and other28
property interests necessary or useful for the purpose of constructing, operating, or29
modifying a carbon dioxide facility. This Paragraph has shall have no effect on nor30 ENROLLEDHB NO. 274
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does it grant expropriation of the mineral rights or other property rights associated1
with the approvals required for injection of carbon dioxide into enhanced recovery2
projects approved by the commissioner under R.S. 30:4.3
§2.1. Petition for expropriation; place of filing; contents; claims for damages;4
prescription5
A. The rights of expropriation granted in R.S. 19:2 shall be exercised in the6
following manner: 7
* * *8
(2) The petition shall contain a statement of the purposes for which the9
property is to be expropriated, describing the property necessary therefor with a plan10
of the same, a description of the improvements thereon, if any, and the name of the11
owner if known and present in the state.12
* * *13
§2.2. Expropriation by state or its political corporations or subdivisions14
expropriating authorities referred to in R.S. 19:2 15
A. Before exercising the rights of expropriation provided for in by R.S. 19:2,16
the state or its political corporations or subdivisions any expropriating authority17
referred to in R.S. 19:2 shall comply with the following: 18
* * *19
(2) Offer to compensate the owner an a specific amount equal to at least not20
less than the lowest appraisal or evaluation.21
B. In addition to the requirements of Subsection A of this Section, each22
expropriating authority other than the state or its political corporations or23
subdivisions shall, at least thirty days prior to the filing of a petition for24
expropriation, send a letter by certified mail, return receipt requested, to the owner25
at his last known address setting forth in detail or attaching the following:26
(1) The basis on which the expropriating authority exercises its power.27
(2) The purpose, terms, and conditions of the proposed acquisition.28
(3) The compensation to be paid for the rights sought to be acquired.29 ENROLLEDHB NO. 274
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(4) A complete copy of all appraisals of, or including, the subject property1
previously obtained by the expropriating authority.2
(5) A plat of survey signed by a Louisiana licensed surveyor illustrating the3
proposed location and boundary of the proposed acquisition, and any temporary4
servitudes or work spaces. If the expropriating authority is unable to obtain access5
to the property for formal surveying, a plat that fairly identifies the proposed6
boundary and servitudes may be utilized.7
(6) A description and proposed location of any proposed above-ground8
facilities to be located on the property.9
(7) A statement by the entity of considerations for the proposed route or area10
to be acquired.11
B.C. Before Prior to exercising the rights of expropriation provided for in by12
R.S. 19:2, the state or any of its departments, except the Department of13
Transportation and Development, offices, boards, commissions, agencies, or14
instrumentalities, except the Department of Transportation and Development, and15
except political subdivisions, but specifically including levee districts and their16
boards, shall, upon request of the owner whose property is to be taken, provide the17
owner with the results of tests by the Louisiana Geological Survey that show whether18
or not sand or gravel is present in the property. The test shall be done at no cost to19
the property owner.20
* * *21
§5. Time of trial; notice to defendant 22
* * *23
B. The clerk of court shall issue to the defendant, at least sixty days before24
the time fixed for the trial, a notice signed by the clerk in his official capacity and25
under the seal of his office, accompanied by a certified copy of the petition,26
exclusive of exhibits, even if made a part thereof, copies of all exhibits, and a27
certified copy of the order for trial.28
C. The notice shall contain the following: 29
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(6) A statement that the person cited defendant must file an answer,1
exception, or other responsive pleading within the fifteen day thirty-day period after2
service of citation and that failure to file an answer do so within the fifteen day3
thirty-day period constitutes a waiver by the defendant of all defenses to the suit4
except claims for money as compensation for the property sought to be expropriated5
and claims for money as damages to other property.6
§6. Service of answer on plaintiff 7
The defendant shall file an any answer, exceptions, or other responsive8
pleadings within fifteen thirty days after the service upon the defendant of the notice9
of the time fixed for the trial. The answer, exceptions, or other responsive pleadings10
shall be served personally or by mail on either the plaintiff or his its attorney of11
record in the suit. 12
§7. Laches Failure to timely file by defendant; forfeits forfeiture of defenses13
Failure of the defendant in any such suit to timely file his any answer,14
exceptions, or other responsive pleadings timely constitutes a waiver by the15
defendant of all defenses to the suit except claims for money as compensation for the16
property sought to be expropriated and claims for money as damages to other17
property.18
§8. Trial in or out of term with dispatch; judgment; appraisals; payment in court19
registry 20
A.(1) Expropriation suits shall be tried in term time or in vacation by21
preference and shall be conducted with preference and with the greatest possible22
dispatch. Judgments may be signed in term time or in vacation. All issues shall be23
decided by the trial judge, except compensation when either party has demanded a24
trial by jury to determine compensation. However, when a jury trial has been25
demanded, the judge shall hear the evidence on all issues, other than the measure of26
compensation and shall render a decision within five days. If the trial judge decides27
in favor of the expropriating authority, then within thirty days after such decision,28
a jury shall be impaneled to determine the measure of compensation.29 ENROLLEDHB NO. 274
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(2) Notwithstanding the provisions of R.S. 19:5, if the defendant files a1
timely answer, exception, or other responsive pleading challenging any issue other2
than compensation, the court shall set the matter for hearing within thirty days after3
filing of the pleading and shall render a decision within five days after the case is4
submitted, which time periods may be extended for good cause shown. If the court5
rules in favor of the expropriating authority, upon motion of either party, the trial on6
compensation shall be set within forty-five days thereafter, which time period may7
be extended for good cause shown.8
(3) Immediately after compensation has been determined, the plaintiff shall,9
upon motion of the defendant, present evidence as to the highest amount it offered10
the defendant for the property prior to trial on the merits. After the defendant for the11
property and severance damages, if any, prior to the trial on the merits. After hearing12
evidence on the issue, the court shall determine the highest amount offered. If the13
highest amount offered is less than the compensation awarded for the property and14
severance damages, if any, the court may award reasonable attorney fees to the15
defendant. The expropriating authority shall not be entitled to possession or16
ownership of the property until a final judgment has been rendered and payment has17
been made to the owner or paid into the registry of the court, except as may18
otherwise be stipulated by the parties. 19
B. If either party has demanded a trial by jury to determine compensation,20
the trial shall be in accordance with the general laws regulating trial by jury, except21
as provided in this part Part and except that in order to render any verdict, five of the22
jurors must concur therein. The jury shall consist of six jurors. The judge may allow23
the jurors to take a concise summary into the jury room as provided in R.S.24
48:451.18. The number of peremptory challenges is as provided for in R.S.25
48:451.9.26
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E. Absent an express stipulation by the parties, the plaintiff shall present a28
prima facie case of the public and necessary purpose of the proposed acquisition.29 ENROLLEDHB NO. 274
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§9. Measure of compensation; "extent of loss" 1
A. In estimating determining the value of the property to be expropriated,2
and any damages caused to the defendant by the expropriation, the basis of3
assessment compensation shall be the value which the property possessed before the4
contemplated improvement was proposed, without deducting therefrom any amount5
for the benefit general or specific benefits derived by the owner from the6
contemplated improvement or work.7
B. The owner defendant shall be compensated to the full extent of his loss.8
The court shall include in its consideration the difference between the rate of interest9
of any existing mortgage on an owner-occupied residence and the prevailing rate of10
interest required to secure obtain a mortgage on another owner-occupied residence11
of equal value. 12
* * *13
§12. Tender of true value refused; costs 14
If a tender is made of the true value of the property to the owner thereof,15
before proceeding to a forced expropriation, the costs of the expropriation16
proceedings shall be paid by the owner. If the highest amount offered prior to the17
filing of the expropriation suit is equal to or more than the final award, the court18
may, in its discretion, order the defendant to pay all or a portion of the costs of the19
expropriation proceedings.20
* * *21
§14. Possession of property; removal of facilities; objection; waiver22
* * *23
B. In the case where any corporation expropriating authority referred to in24
R.S. 19:2, other than the state or its political corporations or subdivisions, has25
actually, in good faith believing it had the authority to do so, taken possession of26
privately owned immovable property of another and constructed facilities upon,27
under, or over such property with the consent or acquiescence of the owner of the28
property, it will shall be presumed that the owner of the property has waived his right29
to receive just compensation prior to the taking, and he shall be entitled only to bring30 ENROLLEDHB NO. 274
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an action for judicial determination of whether the taking was for a public and1
necessary purpose and for just compensation to be determined in accordance with2
R.S. 19:9, as of the time of the taking of the property, or right or interest therein, and3
such action shall proceed as nearly as may be as if the corporation expropriating4
authority had filed a petition for expropriation as provided for in R.S. 19:2.1.5
* * *6
§16. Expropriation by public entity; authority7
Nothing in this Part shall alter or amend the authority of or the procedure for8
the state or its political corporations or subdivisions to expropriate property as9
otherwise provided by law.10
* * *11
§201. Attorney fees; unsuccessful or abandoned expropriation suits12
A. A court of Louisiana having jurisdiction of a proceeding instituted by a13
public or private entity vested with the power of expropriation, to acquire immovable14
property by expropriation, any expropriating authority referred to in R.S. 19:2 shall15
award the owner of any right, or title to, or interest in such immovable the property16
sought to be expropriated such sum as will, in the opinion of the court, reimburse17
such owner for his reasonable attorney fees, and court costs, actually incurred18
because of the expropriation proceeding, if the final judgment is that the plaintiff19
does not acquire at least fifty percent of the immovable property requested in the20
petition for expropriation or if the proceeding is abandoned by the plaintiff. If the21
expropriating authority is the state or its political corporations or subdivisions, Any22
any such award shall be paid from the same funds from which the purchase price of23
the property would have been paid.24 ENROLLEDHB NO. 274
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B. The rights of the landowner owner herein fixed are in addition to any1
other rights he may have under the Constitution of Louisiana.2
Section 2. R.S. 9:3176 through 3191 are hereby repealed in their entirety.3
SPEAKER OF THE HOUSE OF REPRESENTATI VES
PRESIDENT OF THE SENATE
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED: