HLS 12RS-756 ORIGINAL
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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. 765
BY REPRESENTATIVE ABRAMSON
MORTGAGES: Provides with respect to the cancellation of mortgages
AN ACT1
To enact R.S. 9:5165.1, relative to cancellations of mortgages; to provide for cancellation2
of mortgages recorded prior to January 1, 2012; to extend applicability of procedures3
to all mortgages regardless of the date of recordation; to provide relative to4
mortgagee requiring additional costs; and to provide for related matters.5
Be it enacted by the Legislature of Louisiana:6
Section 1. R.S. 9:5165.1 is hereby enacted to read as follows: 7
ยง5165.1. Cancellations of mortgages recorded prior to January 1, 20128
A. On or after January 1, 2012, a mortgagor or settlement agent may, by9
written request, direct the mortgagee or his servicing agent to comply with the10
procedures mandated by R.S. 9:5165 in order to effect cancellation of any mortgage,11
regardless of the date of the mortgage or the date of its recordation.12
B. Upon receipt of a written request from mortgagor or a settlement agent,13
and after payment of the fees and costs authorized by R.S. 9:5165, the mortgagee or14
his servicing agent shall comply with the requirements of R.S. 9:5165 or be liable for15
the costs, reasonable attorney fees, statutory damages, and actual damages provided16
for in R.S. 9:5165(E).17
C. A mortgagee may not collect additional costs and fees if the mortgage that18
is satisfied provides that, upon payment, the mortgagee is obligated to cancel the19
mortgage at his own expense.20 HLS 12RS-756 ORIGINAL
HB NO. 765
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
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)]
Abramson HB No. 765
Abstract: Provides for the procedure of cancellation of mortgages and provides that a
mortgagee shall not require additional costs to cancel a mortgage when the mortgage
being cancelled specifically states the mortgagee is obligated to cancel the mortgage
at his own expense.
Present law provides for the procedures by which a mortgagor may request cancellation of
a mortgage recorded on or after Jan. 1, 2012.
Proposed law extends application of present law to all mortgages regardless of date of
recordation. Further provides that a mortgagee shall not require additional costs to cancel
a mortgage when the mortgage being cancelled specifically states the mortgagee is obligated
to cancel the mortgage at his own expense.
(Adds R.S. 9:5165.1)