Louisiana 2014 Regular Session

Louisiana Senate Bill SB607 Latest Draft

Bill / Engrossed Version

                            SLS 14RS-1622	ENGROSSED
Page 1 of 3
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Regular Session, 2014
SENATE BILL NO. 607
BY SENATOR GALLOT 
DIVORCE. Provides relative to effects of divorce and death upon an individual's
designation of former spouse as beneficiary in certain agreements. (8/1/14)
AN ACT1
To enact R.S. 9:314, relative to divorce; to provide for the effect of divorce on the2
designation by an individual of the individual's former spouse as beneficiary in3
certain agreements or documents upon the death of the individual; to provide certain4
terms, conditions, and exceptions; and to provide for related matters.5
Be it enacted by the Legislature of Louisiana:6
Section 1.  R.S. 9:314 is hereby enacted to read as follows: 7
ยง314.  Effect of divorce on designation of beneficiary8
A. If an individual domiciled in this state was divorced at the time of his9
death, then any designation of the individual's former spouse as beneficiary of10
the individual's life insurance policy, annuity contract, pension or profit-sharing11
plan, or other contractual arrangement providing for payment to the former12
spouse, which designation was revocable by the individual but was not revoked13
prior to the individual's death, is ineffective and shall be construed as if the14
former spouse had predeceased the individual except as provided in Subsection15
B of this Section.16
B. The provisions of Subsection A of this Section shall not apply if the17 SB NO. 607
SLS 14RS-1622	ENGROSSED
Page 2 of 3
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
designation was intended to survive the divorce based on at least one of the1
following:2
(1)  The wording of the designation.3
(2)  A court order.4
(3)  A written contract between the individual and the former spouse.5
(4) A designation of a former spouse as a beneficiary after the divorce6
decree has been issued.7
C.(1) Unless restrained by court order, no insurance company, pension8
or profit-sharing plan trustee or other obligor shall be liable for making9
payment to a former spouse that would have been proper in the absence of this10
Section.11
(2) Any former spouse to whom payment is made shall be answerable12
to anyone prejudiced by the payment.13
D. The provisions of this Section shall not apply to any retirement14
system for public employees as referenced in Article X, Section 29(C) of the15
Constitution of Louisiana.16
The original instrument was prepared by Jerry J. Guillot. The following
digest, which does not constitute a part of the legislative instrument, was
prepared by Jerry G. Jones.
DIGEST
Gallot (SB 607)
Proposed law provides that if an individual domiciled in this state was divorced at the time
of his death, then any designation of the individual's former spouse as beneficiary of the
individual's life insurance policy, annuity contract, pension or profit-sharing plan, or other
contractual arrangement providing for payment to the former spouse, which designation was
revocable by the individual but was not revoked prior to the individual's death, is ineffective
and shall be construed as if the former spouse had predeceased the individual except as
provided in proposed law.
Provides that proposed law shall not apply if the designation was intended to survive the
divorce based on at least one of the following:
(1)The wording of the designation.
(2)A court order. 
(3)A written contract between the individual and the former spouse.
(4)A designation of a former spouse as a beneficiary after the divorce decree has been SB NO. 607
SLS 14RS-1622	ENGROSSED
Page 3 of 3
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
issued.
Proposed law provides that unless restrained by court order, no insurance company, pension
or profit-sharing plan trustee or other obligor shall be liable for making payments to a former
spouse that would have been proper in the absence of proposed law.  Further provides that
any former spouse to whom payment is made shall be answerable to anyone prejudiced by
the payment.
Proposed law does not apply to any retirement system for public employees.
Effective August 1, 2014.
(Adds R.S. 9:314)
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Judiciary A to the
original bill
1. Deleted application to spouse in a pending divorce.