Louisiana 2015 Regular Session

Louisiana House Bill HB504 Latest Draft

Bill / Engrossed Version

                            HLS 15RS-1137	REENGROSSED
2015 Regular Session
HOUSE BILL NO. 504
BY REPRESENTATIVE JAY MORRIS
Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana.
PROPERTY:  Provides relative to donations inter vivos
1	AN ACT
2To enact R.S. 9:2371.1, relative to donations inter vivos; to provide for the effect of
3 donations in authentic form as to certain third persons; to provide for applicability
4 of donations inter vivos recorded during certain time periods; to provide for
5 legislative intent; and to provide for related matters.
6Be it enacted by the Legislature of Louisiana:
7 Section 1.  R.S. 9:2371.1 is hereby enacted to read as follows: 
8 ยง2371.1.  Form required for donation inter vivos; effect
9	No party may contradict on the basis of lack of authentic form a donation
10 inter vivos that on its face is in authentic form to the prejudice of a bona fide third
11 party in good faith who after its recordation acquires an interest in or over the
12 immovable property to which the donation relates. The provisions of this Section
13 shall apply to all donations of immovable property made prior to and on or after July
14 1, 2015, and any cause of action to assert the nullity of such a donation for lack of
15 authentic form against a bona fide third party in good faith who acquired an interest
16 after its recordation shall be brought no later than July 1, 2016, or one year from the
17 recordation of the act of donation, whichever is later, or be forever barred.
18 Section 2.  The provisions of this Act are intended to legislatively address the ruling
19of the court in the case of Eschete v. Eschete, 2012-CA-2059 (La. App. 1
st
 Cir. 2/27/2014),
20142 So.3d 985, in order to reemphasize the policy of enforcing the public records doctrine
Page 1 of 2
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions. HLS 15RS-1137	REENGROSSED
HB NO. 504
1and to protect the rights of a bona fide third party who relies in good faith on recorded acts
2of donation which appear to be in authentic form as filed in the mortgage or conveyance
3records.
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 504 Reengrossed 2015 Regular Session	Jay Morris
Abstract:  Prohibits the contradiction, under certain circumstances, of a donation inter vivos
made in authentic form.
Proposed law provides that a donation inter vivos in authentic form may not be contradicted
on the basis of lack of authentic form to the prejudice of a bona fide third party in good faith
who after its recordation acquires an interest in or over the immovable property to which the
donation relates.
Provides that proposed law shall apply to all donations of immovable property made prior
to and on or after July 1, 2015, and any cause of action to assert the nullity of such a
donation shall be brought no later than July 1, 2016, or one year from the recordation of the
act of donation, whichever is later.
Proposed law emphasizes the intent of the legislature in response to the case of Eschete v.
Eschete, 2012-CA-2059 (La. App. 1
st
 Cir. 2/27/2014), 142 So.3d 985, in order to enforce the
public records doctrine and to protect bona fide third parties who rely on such records in
good faith.
(Adds R.S. 9:2371.1)
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Civil Law and
Procedure to the original bill:
1. Add a technical amendment.
The House Floor Amendments to the engrossed bill:
1. Prohibit a party from contradicting a donation inter vivos on the basis of lack of
authentic form. 
2. Require the action to assert a nullity to be brought no later than July 1, 2016, or
one year from the recordation of the act of donation, whichever is later.
Page 2 of 2
CODING:  Words in struck through type are deletions from existing law; words underscored
are additions.