2020 Regular Session ENROLLED SENATE BILL NO. 395 BY SENATORS CLOUD, FESI, HEWITT, JOHNS, MILLIGAN, ROBERT MILLS, MIZELL, REESE AND WHITE AND REPRESENTATIVES AMEDEE, BACALA, BUTLER, CARRIER, CREWS, DEVILLIER, EDMONDS, EMERSON, FIRMENT, FRIEMAN, GAROFALO, GOUDEAU, HARRIS, HORTON, MIKE JOHNSON, MCCORMICK, CHARLES OWEN, PRESSLY, ROMERO, SCHAMERHORN, SEABAUGH, STEFANSKI AND THOMAS 1 AN ACT 2 To enact R.S. 51:1407(F) and 1429, relative to unfair or deceptive acts or practices; to allow 3 the attorney general to be awarded certain costs and fees; to provide relative to 4 advertisement for services; to provide relative to a false, misleading, and deceptive 5 statement in an advertisement; to provide for violations, actions, and penalties; to 6 provide for definitions, terms, conditions, and procedures; and to provide for related 7 matters. 8 Be it enacted by the Legislature of Louisiana: 9 Section 1. R.S. 51:1407(F) and 1429 are hereby enacted to read as follows: 10 §1407. Restraining prohibited acts 11 * * * 12 F. In any action brought by the attorney general, wherein the state 13 prevails, the court shall, in addition to the relief granted pursuant to this 14 Chapter, award reasonable costs, investigative expenses, and attorney fees to the 15 attorney general. 16 * * * 17 §1429. Unfair or deceptive trade practice or act; misleading assertion of 18 monetary result obtained Page 1 of 4 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 395 ENROLLED 1 A. As used in this Section, the following words and phrases shall have the 2 following meanings: 3 (1) "Actually received" means the net amount of money received by a 4 person, calculated by deducting from the person's gross recovery all expenses 5 including but not limited to attorney fees, broker fees, expert witness fees, 6 interest, court costs, costs of collection or recovery, and all other expenses 7 related to litigation. 8 (2) "Advertisement" means any communication to the public regarding 9 services provided for a fee including but not limited to a communication 10 transmitted through any of the following: 11 (a) Print media, such as a telephone directory, legal directory, 12 newspaper, magazine, or other periodical publication. 13 (b) Outdoor advertising, such as billboards and other signs. 14 (c) Radio and television commercials. 15 (d) Any communication accessed by a computer, tablet, or handheld 16 device, such as a text message, instant message, or digital advertisement of any 17 kind. 18 (e) A recorded message the public may access by telephone. 19 (3) "False, misleading, or deceptive statement" means any 20 communication that states or infers that a person actually received an amount 21 of money that they did not actually receive. 22 (4) "Media entity" means a radio broadcast station, television broadcast 23 station, cable television company, newspaper company, periodical company, 24 billboard company, advertisement agency, media platform, or bona fide news 25 or public interest website operator. 26 (5) "Monetary result obtained" means any amount claimed to have been 27 recovered on behalf of a client through a legal judgment or settlement. 28 (6) "Person" means an individual, partnership, unincorporated 29 association of individuals, joint stock company, corporation, limited liability 30 company, or other legal entity of any kind. "Person" shall not include a media Page 2 of 4 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 395 ENROLLED 1 entity. 2 B. No person in any advertisement shall make, or permit to be made, a 3 false, misleading, or deceptive statement about a monetary result obtained on 4 behalf of a client or fail to disclose information necessary to prevent the 5 information supplied in an advertisement from being false, misleading, or 6 deceptive. 7 C.(1) Any violation of this Section shall be an unfair or deceptive trade 8 practice declared unlawful by this Chapter and shall subject the violator to any 9 and all actions and penalties provided for in this Chapter. 10 (2) For the purpose of this Section, each iteration of an advertisement 11 constitutes an unfair or deceptive trade practice. 12 (3)(a) The provisions of this Section shall not apply to any media entity 13 responsible for the production or publication of any advertisement found to be 14 in violation of this Section. 15 (b) The carriage, distribution, transmission, or display of any 16 advertisement, including but not limited to those for legal services, by a media 17 entity shall not be considered a violation of this Section. 18 D. In addition to all other remedies provided for in this Chapter, any 19 person who is found to have made, or to have permitted to be made on his 20 behalf, a false, misleading, or deceptive statement under the provisions of this 21 Section shall be liable to the attorney general for all costs, expenses, and fees 22 related to investigations and proceedings associated with the violation, including 23 attorney fees. An action to recover costs, expenses, fees, and attorney fees shall 24 be ancillary to and shall be filed and heard in the same court as a civil action 25 filed under the provisions of this Section. 26 E. The remedies and rights provided for in this Section are in addition 27 to and shall not preclude any right or remedy otherwise authorized by law, 28 including the enforcement of professional rules against the person by any 29 licensing board or court. If a licensing board or court adopts a comparable rule 30 and a process for approval of advertisements, then the approval of an Page 3 of 4 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 395 ENROLLED 1 advertisement under that rule and process shall constitute prima facie evidence 2 of compliance with the provisions of this Section. PRESIDENT OF THE SENATE SPEAKER OF THE HOUSE OF REPRESENTATIVES GOVERNOR OF THE STATE OF LOUISIANA APPROVED: Page 4 of 4 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions.