HLS 17RS-999 ORIGINAL
2017 Regular Session
HOUSE BILL NO. 432
BY REPRESENTATIVE SHADOIN
Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana.
MTR VEHICLE/REGISTRATION: Imposes certain requirements on transactions executing
the transfer of certificates of title of certain movable property
1 AN ACT
2To amend and reenact R.S. 34:852.6(A), and to enact R.S. 32:702(17) and 705(B)(4),
3 relative to transactions executing the transfer of certificates of title of certain
4 movable property; to provide for definitions; to regulate certain transactions
5 transferring certificates of title of movable property; to impose certain procedural
6 requirements; and to provide for related matters.
7Be it enacted by the Legislature of Louisiana:
8 Section 1. R.S. 32:702(17) and 705(B)(4) are hereby enacted to read as follows:
9 §702. Definitions
10 As used in this Chapter:
11 * * *
12 (17) "Authorized signer" means any officer of a federally insured financial
13 institution operating in Louisiana who is designated to witness the endorsement of
14 a seller, on behalf of a federally insured financial institution, for the purpose of
15 executing the transfer of a titled motor vehicle or titled vehicle in accordance with
16 the requirements of this Chapter. A federally insured financial institution may
17 designate one or more officers to serve as authorized signers.
18 * * *
19 §705. Delivery of certificate to purchaser of vehicle
20 * * *
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HB NO. 432
1 B. For purposes of this Section, an "endorsement" means one of the
2 following:
3 * * *
4 (4)(a) The signature of the seller witnessed by an authorized signer when the
5 seller is transferring ownership to a purchaser who is granting a security interest in
6 the vehicle to the federally insured financial institution that is making a secured loan
7 to the purchaser.
8 (b) The federally insured financial institution shall provide the Department
9 of Public Safety and Corrections, office of motor vehicles, with a separate document
10 identifying the name and job title of the authorized signer for the purpose of
11 verifying that the person signing as a witness is an authorized signer of that
12 particular financial institution.
13 Section 2. R.S. 34:852.6(A) is hereby amended and reenacted to read as follows:
14 §852.6. Prohibition of vessel or outboard motor sale, assignment, or transfer without
15 certificate of title or documentation
16 A.(1) No person shall sell, assign, or transfer a vessel or outboard motor
17 titled by the department or documented with the United States Coast Guard without
18 delivering to the new owner or the new owner's designee a certificate of title or a
19 certificate of documentation with an assignment in the new owner's name.
20 (2)(a) Notwithstanding the requirements of Paragraph (1) of this Subsection
21 or any other law to the contrary, if a person sells, assigns, or transfers a vessel or
22 outboard motor titled by the department to a purchaser who obtains a secured loan
23 from a federally insured financial institution that takes a security interest in the
24 vessel or outboard motor, the endorsement or assignment of the certificate of title
25 shall be signed by the seller and witnessed by an authorized signer.
26 (b) The federally insured financial institution shall provide the department
27 with a separate document identifying the name and job title of the authorized signer
28 for the purpose of verifying that the person signing as a witness is an authorized
29 signer of that particular financial institution.
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CODING: Words in struck through type are deletions from existing law; words underscored
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HB NO. 432
1 (c)(i) For the purposes of this Section, "authorized signer" shall mean any
2 officer of a federally insured financial institution operating in Louisiana who is
3 designated to witness the endorsement or assignment of a certificate of title of a
4 seller, on behalf of a federally insured financial institution, for the purpose of
5 executing the transfer of either a vessel or an outboard motor.
6 (ii) A federally insured financial institution may designate one or more
7 officers to serve as authorized signers.
8 * * *
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 432 Original 2017 Regular Session Shadoin
Abstract: Requires that certain transactions transferring the certificate of title of certain
movable property be witnessed by an authorized signer of a federally insured
financial institution.
Present law provides for definitions. Proposed law defines the term "authorized signer".
Present law enumerates certain circumstances that are deemed "endorsements" for the
purposes of present law regarding the delivery of certificates of title to the purchaser of a
vehicle. Proposed law adds another circumstance to be deemed an "endorsement" for the
purposes of present law.
Proposed law provides that the signature of the seller witnessed by an authorized signer
when the seller is transferring ownership to a purchaser who is granting a security interest
in the vehicle to the federally insured financial institution that is making a secured loan to
the purchaser shall be considered an "endorsement" for the purposes of present law.
Proposed law requires the federally insured financial institution to provide to the DPS&C,
office of motor vehicles, with a separate document identifying the name and job title of the
authorized signer for the purpose of verifying that the person signing as a witness is an
authorized signer of that particular financial institution.
Present law provides that no person shall sell, assign, or transfer a vessel or outboard motor
titled by the DWF or documented with the U. S. Coast Guard without delivering to the new
owner or the new owner's designee a certificate of title or a certificate of documentation with
an assignment in the new owner's name.
Proposed law maintains present law. Proposed law further provides that, notwithstanding
the requirements of present law or any other law to the contrary, if a person sells, assigns,
or transfers a vessel or outboard motor titled by the DWF to a purchaser who obtains a
secured loan from a federally insured financial institution that takes a security interest in the
vessel or outboard motor, the endorsement or assignment of the certificate of title shall be
signed by the seller and witnessed by an authorized signer.
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HB NO. 432
Proposed law requires the federally insured financial institution to provide the DWF with
a separate document identifying the name and job title of the authorized signer for the
purpose of verifying that the person signing as a witness is an authorized signer of that
particular financial institution.
Proposed law provides that for the purposes of proposed law, "authorized signer" shall mean
any officer of a federally insured financial institution operating in La. who is designated to
witness the endorsement or assignment of a certificate of title of a seller, on behalf of a
federally insured financial institution, for the purpose of executing the transfer of either a
vessel or an outboard motor. Proposed law provides that a federally insured financial
institution may designate one or more officers to serve as authorized signers.
(Amends 34:852.6(A); Adds R.S. 32:702(17) and 705(B)(4))
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.