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.
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))