Louisiana 2012 2012 Regular Session

Louisiana House Bill HB596 Chaptered / Bill

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ACT No. 753
Regular Session, 2012
HOUSE BILL NO. 596
BY REPRESENTATIVES ST. GERMAIN AND GAROFALO AND SENATOR WARD
AN ACT1
To amend and reenact R.S. 9:4781(8), 4783(B), 4784(B)(1)(c), (D), and (G), and R.S.2
39:2181(A) and to enact Part XVII of Chapter 1 of Title 9 of the Louisiana Revised3
Statutes of 1950, to be comprised of R.S. 9:4791 through 4798, relative to towed and4
stored vessels; to provide for sales of certain boats; to provide for definitions; to5
provide for a privilege on towed and stored vessels; to provide for notice and6
advertisement; to provide for the disposition of proceeds; to provide for the authority7
to promulgate rules and regulations; and to provide for related matters.8
Be it enacted by the Legislature of Louisiana:9
Section 1. R.S. 9:4781(8), 4783(B), and 4784(B)(1)(c), (D), and (G) are hereby10
amended and reenacted and Part XVII of Chapter 1 of Title 9 of the Louisiana Revised11
Statutes of 1950, comprised of R.S. 9:4791 through 4798, is hereby enacted to read as12
follows:13
§4781.  Definitions14
For the purposes of this Part, the following terms shall have the following15
meanings unless the context clearly requires otherwise:16
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(8)  "Rental agreement" means any written agreement or lease, entered into18
between the marina operator owner and a lessee that establishes or modifies the19
terms, conditions, rules, or any other provisions concerning use of the marina.20
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§4783.  Notice of privilege22
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B. A marina owner who does not have a written rental agreement that1
includes a notice of the privilege created by this Part may not initiate an enforcement2
action under R.S. 9:4785 R.S. 9:4784 until thirty days after the written notice of a3
privilege required by Paragraph (A)(2) of this Section is delivered to the property4
owner.5
§4784.  Enforcement of privilege6
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B. Advertisement; notice of default.  Before conducting a sale under this8
Section, the marina owner shall:9
(1) Send a notice of default to the property owner.  The marina owner shall10
provide a copy of the notice to each lienholder of record.  The notice must include:11
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(c) A demand for payment of the charges due within a specified time not less13
than thirty days after the date the notice is delivered to the property owner 	and all14
marina owners of record.15
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D. Purchasers.  A purchaser of property sold at a commercially reasonable17
sale pursuant to this Part takes the property free and clear of any rights of persons18
against whom the privilege was valid and all other lienholders of record.  The19
purchase of a boat sold pursuant to this Part shall require a notarized bill of sale20
signed by the buyer and a representative of the marina, clearly identifying the marina21
as the seller, and shall state that the boat was sold pursuant to the Marina and22
Boatyard Storage Act. The marina shall attach to the bill of sale the proof of notice23
and sale requirements, including proof of all publications.24
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G.  Notices.  Except as otherwise provided, all notices required by this Part26
must be sent by registered or certified mail, return receipt requested, or by27
commercial courier as defined by R.S. 13:3204(D). Notices sent to a marina owner28
must be sent to the owner's business address or to the address of the owner's29
designated representative. Notices to a property owner must be sent to the property30 ENROLLEDHB NO. 596
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owner at the property owner's last known address. Notices to a lienholder of record1
must be sent to the address of the lienholder as provided in the public record that2
serve serves to perfect the lienholder's interest in the property.  Notices are3
considered delivered on the either of the following dates:4
(1) The date the recipient of the notice signs the return receipt or, if the5
notice is undeliverable, the date the post office last attempts to deliver the notice.6
(2) The date of delivery as indicated on the signed receipt of delivery7
obtained by the commercial courier.8
PART XVII.  TOWED AND STORED VESSEL ACT9
§4791.  Short title10
This Act shall be known as the "Towed and Stored Vessel Act".11
§4792.  Definitions12
For the purposes of this Part, the following terms shall have the following13
meanings:14
(1)  "Department" means the Department of Wildlife and Fisheries.15
(2) "Licensed storage facility" means a lot, yard, or other storage, parking,16
or repair facility licensed by the Department of Public Safety and Corrections, office17
of state police, to store towed vehicles as provided by R.S. 32:1714.18
(3) "Tow truck" means any motor vehicle equipped with a boom or booms,19
winches, slings, tilt beds, or similar equipment designed for the towing or recovery20
of vehicles and other objects which cannot operate under their own power or for21
other reason is required to be transported by means of towing and licensed by the22
Department of Public Safety and Corrections pursuant to R.S. 32:1711 et seq.23
(4) "Towed vessel" means any vessel titled under the Vessel and Motor24
Titling Act, R.S. 34:852.1 et seq., or required to be registered pursuant to R.S.25
34:851.1 et seq., towed by a tow truck and being held at a licensed storage facility.26
"Towed vessel" does not include any vessel with a valid or expired registration27
number awarded pursuant to federal law or a federally approved numbering system28
of another state, unless subsequently registered in Louisiana.29 ENROLLEDHB NO. 596
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§4793.  Privilege1
A licensed storage facility has a privilege on a vessel, including any inboard2
or outboard motor attached to the vessel, towed and stored at that facility for the3
towing charges and storage fees. However, this Part shall not create a privilege on4
a documented vessel subject to a preferred ship mortgage or other preferred maritime5
privilege pursuant to 46 U.S.C. Chapter 313.6
§4794.  Vessel owner information7
The licensed storage facility shall provide the department or its authorized8
agent, within three business days of the vessel being towed and stored, the vessel's9
registration numbers, hull identification number (HIN), motor serial number, and any10
other identifying factors requested by the department.  The department or its11
authorized agent shall provide to a licensed storage facility holding a towed vessel12
the name and address of the last registered owner of the vessel and lienholders as13
listed in the official records of the agency.14
§4795. Notice of privilege and default15
A. The towed vessel owner and any lienholders shall be notified of the16
privilege created by this Part before enforcement of the privilege by the licensed17
storage facility.  Notification of the privilege created by this Part shall be satisfied18
by the following:19
(1) For owners and lienholders identified by the department pursuant to R.S.20
9:4794, written notification of the privilege sent by the licensed storage facility,21
using a certificate of mailing within ten business days from the date the department22
or its authorized agent sends the owner and lienholder information of the stored23
vessel to the licensed storage facility.  If the department or its authorized agent sends24
the information electronically, the licensed storage facility shall send notice within25
five business days.26
(2) After compliance with R.S. 9:4794, for those vessels for which no27
records exist in the official records of the department, publishing notification of the28
privilege in the official newspaper of the parish in which the towed vessel was towed29
on two separate occasions.30 ENROLLEDHB NO. 596
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B.  Notification shall include the following:1
(1) As applicable, registration numbers, a general description of the towed2
vessel, including the make, length, type of vessel, whether inboard or outboard3
motors, and make and horsepower, registration numbers, motor serial number, and4
hull identification number (HIN).5
(2) The date and location where the vessel was found, the present location,6
charges due on the date of the notice, and name, street address, and telephone7
number of the licensed storage facility, which the owner may contact to respond to8
the notice.9
(3) A statement that the vessel is subject to the privilege held by the licensed10
storage facility and that the vessel owner is in default.11
(4) A statement that unless the claim is paid within the time stated the12
property will be sold at a commercially reasonably public sale, and the location and13
date of the sale, which shall not be earlier than thirty days after the date notice is14
mailed to the owner or thirty days after the last date of notification as provided in15
this Section. As used in this Part, "commercially reasonably" has the same meaning16
as in the Commercial Laws, R.S. 10:1-101 through 9-710.17
§4796.  Advertisement: Enforcement of Privilege18
After the expiration of the thirty-day period set forth in R.S. 9:4795(B)(4),19
the licensed storage facility shall publish an advertisement of the sale once a week20
for two consecutive weeks in the official newspaper of the parish where the sale is21
to be held.  The date of the sale shall be more than fifteen days after the date of the22
first advertisement of the sale is published. The advertisement shall include the23
following:24
(1)  The name of the last registered owner of the vessel, if known.25
(2)  The date and location where the vessel was found.26
(3) As applicable, the registration numbers, a general description of the27
towed vessel, including the make, length, type of vessel, whether inboard or outboard28
motors, and make and horsepower, outboard motor serial number, and hull29
identification number (HIN).30 ENROLLEDHB NO. 596
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§4797.  Sale and purchasers1
A. A sale under this Part shall be held at the location of the licensed storage2
facility or at the nearest suitable location.3
B. The vessel shall be sold to the highest bidder and shall require a notarized4
bill of sale signed by the buyer and a representative of the licensed storage facility,5
clearly identifying the licensed storage facility as the seller, and shall state the boat6
was sold pursuant to the Towed and Stored Vessel Act. The licensed storage facility7
shall attach to the bill of sale the proof of notice and sale requirements, including8
proof of all publications, without which the bill of sale shall be null and void.9
C.  The proceeds of the sale shall be applied in the following order:10
(1)  To the reasonable expenses of the sale including, to the extent not11
prohibited by law, reasonable attorney fees and legal expenses.12
(2) To the satisfaction of all superior mortgages on the vessel held by holders13
of record to be paid in order of priority.14
(3)  To the satisfaction of the privilege created by this Part.15
(4) To the satisfaction of all other mortgages and privileges on the vessel16
held by all lienholders of record to be paid in the order of priority.17
(5)  To the extent the proceeds of the sale exceed the sum of the foregoing,18
the surplus shall be paid to the owner of the vessel.  However, if the funds so19
credited are not claimed by the owner within six months from the date of the sale,20
the funds shall be transferred to the administrator of the Uniform Unclaimed21
Property Act of 1997 as unclaimed property.22
(6) If proceeds of the sale are not sufficient to satisfy the vessel owner's23
outstanding obligations to the licensed storage facility or any lienholder of record,24
the vessel owner remains liable to the licensed storage facility for the deficiency.25
D. A purchaser of the vessel sold at a commercially reasonable sale pursuant26
to this Part takes the vessel free and clear of any rights of persons against whom the27
privilege was valid and all other lienholders of record.28 ENROLLEDHB NO. 596
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E. The vessel owner shall be entitled access to the licensed storage facility1
during normal business hours for the purpose of satisfying the privilege or viewing2
and verifying the condition of the vessel.3
F. Except as otherwise provided, all notices required by this Part shall be4
sent by certificate of mailing.  Notices sent to the licensed storage facility shall be5
sent to the business address or to the address of the designated representative.6
Notices to the vessel owner shall be sent to the vessel owner's address as identified7
in the official records of the department. Notices to a lienholder of record shall be8
sent to the address of the lienholder as provided in the public record that serves to9
perfect the lienholder's interest in the vessel.10
§4798.  Regulations11
The department may promulgate rules and regulations to implement the12
provisions of this Part.13
Section 2.  R.S. 39:2181(A) is hereby amended and reenacted to read as follows:14
§2181.  Applicability; definitions15
A. This Chapter shall apply to any contract or cooperative endeavor16
agreement that results from any bid or other award governed under Chapter 16 and17
Chapter 17 of this Title. However, provided that other applicable provisions of the18
Procurement Code are followed, this Chapter shall not apply to any purchase by a19
state agency directly from a vessel manufacturer or an outboard motor manufacturer.20
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SPEAKER OF THE HOUSE OF REPRESENTATI VES
PRESIDENT OF THE SENATE
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED: