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)]
HB 467 Engrossed 2015 Regular Session Harris
Abstract: Requires all consideration for tobacco products be made in cash or on terms, and
provides relative to notification and penalties for default in payment.
Proposed law prohibits all manufacturers and wholesale dealers from selling, delivering, or offering
for sale, tobacco products to any retail dealer for any consideration other than cash or payment on
terms.
Proposed law requires the manufacturer and wholesaler to immediately notify the commissioner of
any payments that have not been made by the due date or returned for insufficient funds, and further
requires the commissioner to notify all manufacturers and wholesale dealers in the state that the retail
dealer has defaulted on payment.
Proposed law requires that upon notification all manufacturers and wholesale dealers in the state
shall accept only cash delivery for any tobacco products until otherwise authorized by the
commissioner. Proposed law requires that the retail dealer in default to pay the obligation in full
within 30 days of the due date.
Proposed law authorizes the commissioner to suspend the permit of any person who violates the
provisions of proposed law for not more than five days for the first offense and not more than 30
days for any subsequent offense, which includes each failure to make payment for any default during
the period of suspension.
Proposed law authorizes payment to be made in cash for all tobacco products subsequently sold or
delivered to the retail dealer.
Proposed law requires the commissioner to promulgate rules and regulations for the enforcement of
proposed law.
(Adds R.S. 26:909.1)
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Judiciary to the original bill:
1. Remove the commissioner's authority to order that no state or local permit can be issued
for the same premises where the permit for such premises is suspended or revoked until all debts are satisfied by the retail dealer.