HLS 12RS-827 ENGROSSED
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
Regular Session, 2012
HOUSE BILL NO. 445
BY REPRESENTATIVE LOPINTO
GAMBLING/VIDEO POKER: Authorizes video draw poker device owners to hold
franchise payments in trust until franchise payment is remitted to the state
AN ACT1
To enact R.S. 27:311(D)(5) and (6), relative to video draw poker; to provide for the holding2
of franchise payments until remitted to the state; to provide for liability of device3
owners and shareholders, officers, directors, partners, managers, and managing4
members for payment of the franchise payment to the state of Louisiana; to provide5
for rulemaking; and to provide for related matters.6
Be it enacted by the Legislature of Louisiana:7
Section 1. R.S. 27:311(D)(5) and (6) are hereby enacted to read as follows: 8
ยง311. Licensing by division; fees; franchise payments; enforcement activities9
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D.11
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(5) The franchise payment authorized by the provisions of this Section shall13
be securely held by the device owner on behalf of the state of Louisiana, until such14
time as the franchise payment is remitted to and received by the division. Any15
franchise payment held in accordance with the provisions of this Paragraph shall be16
deemed to be held in trust for the state of Louisiana. Upon the failure of a device17
owner to remit any portion of the franchise payment to the division, the device owner18
and its shareholders, officers, and directors if a corporation, its partners if a19
partnership, and its members, managers, and managing members if a limited liability20 HLS 12RS-827 ENGROSSED
HB NO. 445
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
company, shall be jointly and severally liable to the state of Louisiana for the1
franchise payment until it is remitted to and received by the division.2
(6) The Louisiana Gaming Control Board shall adopt rules to provide for the3
collection of franchise payments as provided for in this Section. Such rules shall be4
adopted pursuant to the provisions of the Administrative Procedure Act and R.S.5
27:15(B)(8).6
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DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
Lopinto HB No. 445
Abstract: Authorizes the holding of franchise payments in trust and establishes liability of
device owner business associates to remit franchise payments.
Present law authorizes the operation of video draw poker devices and provides for the
remission of franchise payments to the state for the operation of those devices.
Proposed law retains present law and provides that the franchise payment authorized by
present law shall be held by the device owner on behalf of the state of La., until such time
as the franchise payment is remitted to and received by the division. Any franchise payment
held in accordance with proposed law shall be deemed to be held in trust for the state of La.
Proposed law further provides that upon failure of a device owner to remit any portion of the
franchise payment to the division, the device owner and its shareholders, officers, and
directors if a corporation, its partners if a partnership, and its members, managers, and
managing members if a limited liability company, shall be jointly and severally liable to the
state of La. for the franchise payment until it is remitted to and received by the division.
Further provides that the gaming control board shall adopt rules to implement proposed law.
(Adds R.S. 27:311(D)(5) and (6))
Summary of Amendments Adopted by House
Committee Amendments Proposed by House Committee on Administration of Criminal
Justice to the original bill.
1. Removed references to a constructive trust from proposed law.
2. Provided for joint or several liability for certain individuals and business entities
which fail to remit required franchise payments.