HLS 23RS-84 ORIGINAL
2023 Regular Session
HOUSE BILL NO. 125
BY REPRESENTATIVE ECHOLS
Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana.
AGRICULTURE: Provides relative to agriculture land protection against foreign
adversaries
1 AN ACT
2To enact R.S. 3:3613, relative to protection of agricultural lands from foreign adversaries;
3 to restrict a foreign adversary with an ownership interest in a corporately formed
4 business from owning or having an interest in agricultural land; to provide for
5 exceptions; to provide for reporting requirements; to provide for forfeiture and civil
6 penalties; and to provide for related matters.
7Be it enacted by the Legislature of Louisiana:
8 Section 1. R.S. 3:3613 is hereby enacted to read as follows:
9 ยง3613. Ownership of agricultural lands by foreign adversaries restricted; exceptions;
10 reporting requirements; civil penalty
11 A.(1) No foreign adversary with an ownership interest in a corporation,
12 limited liability company, pension or investment fund, trust, or limited partnership
13 shall directly or indirectly, own, acquire, lease, or otherwise obtain any interest in
14 agricultural land as defined by R.S. 3:3602.
15 (2) A foreign adversary may sell or convey an ownership interest in
16 agricultural land in this state that was acquired prior to July 30, 2023, but shall not
17 sell or otherwise convey such ownership interest to any other foreign business entity
18 that qualifies as a foreign adversary after August 1, 2023, in violation of Paragraph
19 (A)(1) of this Section.
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HB NO. 125
1 (3) For purposes of this Section, the term "foreign adversary" means any
2 foreign government or nongovernmental person determined by the United States
3 Secretary of Commerce to have engaged in a long-term pattern or serious instances
4 of conduct significantly adverse to the national security of the United States or
5 security and safety of United States persons; specifically, including China and Iran.
6 B. The provisions of this Section shall not apply to foreign business entities,
7 that might otherwise qualify as a foreign adversary, owning agricultural lands; under
8 the following circumstances:
9 (1) If the right is guaranteed by a treaty or if the person's country of origin
10 affords certain real estate rights to United States citizens.
11 (2) A title to agricultural land held as a security to indebtedness or real estate
12 acquired upon collection of a debt.
13 (3) Religious, educational, charitable, and scientific corporations.
14 (4) Inherited land or land received as payment for a debt that is sold or
15 transferred within five years.
16 C.(1) Any foreign business entity that acquires, sells, or transfers agricultural
17 land located in this state after July 30, 2023, shall report the acquisition, sale, or
18 transfer to the secretary of state and the attorney general no later than thirty days
19 after the acquisition, sale, or transfer of the agricultural land is finalized. The report
20 shall be made in a form and manner prescribed by the secretary of state. The
21 attorney general shall review the reports received pursuant to this Subsection and
22 investigate the acquisition, sale, or transfer of agricultural land if the attorney general
23 believes the acquisition, sale, or transfer of agricultural land violates Subsection A
24 of this Section.
25 (2) Any corporation, limited liability company, pension or investment fund,
26 trust, or limited partnership in which a foreign adversary has an ownership interest
27 that violates the provisions of this Section shall be subject to a civil penalty of fifty
28 thousand dollars and forfeiture if such entity does not divest itself of agricultural land
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HB NO. 125
1 acquired in violation of this Section within one year after judgment is entered in this
2 action.
3 (3) A district court with jurisdiction may prevent or restrain violations of this
4 Section through the issuance of an injunction. The attorney general or district
5 attorney shall institute suits on behalf of the state to enforce the provisions of this
6 Section.
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 125 Original 2023 Regular Session Echols
Abstract: Restricts ownership of agricultural lands by foreign adversaries.
Proposed law restricts any foreign adversary with an ownership interest in a corporation,
limited liability company, pension or investment fund, trust, or limited partnership from
directly or indirectly, owning, acquiring, leasing, or otherwise obtaining any interest, in
agricultural land as defined by present law (R.S. 3:3602).
Proposed law authorizes a foreign adversary to sell or convey ownership interest in
agricultural land in this state that was acquired prior to July 30, 2023, but prohibits the sale
or other conveyance of such ownership interest to any other foreign business entity that
qualifies as a foreign adversary after Aug. 1, 2023.
Proposed law exempts foreign business entities that might otherwise qualify as a foreign
adversary from the ownership restrictions applicable to agricultural lands; under the
following circumstances:
(1)If the right is guaranteed by a treaty or if the person's country of origin affords
certain real estate rights to United States citizens.
(2) A title to agricultural land held as a security to indebtedness or real estate acquired
upon collection of a debt.
(3) Religious, educational, charitable, and scientific corporations.
(4) Inherited land or land received as payment for a debt that is sold or transferred within
five years.
Proposed law requires any foreign business entity that acquires, sells, or transfers
agricultural land located in the state after July 30, 2023, to report that conveyance to the
secretary of state and the attorney general no later than 30 days after the acquisition, sale,
or transfer of the agricultural land is finalized. Specifies that the report must be made in the
form and manner prescribed by the secretary of state. Requires the attorney general to review
the reports that he receives and investigate the conveyance of agricultural land if the attorney
general believes it violates proposed law.
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HB NO. 125
Proposed law requires any corporation, limited liability company, pension or investment
fund, trust, or limited partnership in which a foreign entity has an ownership interest that
violates proposed law be subject to a civil penalty of $50,000 and forfeiture of said
agricultural land if such entity does not divest itself of land acquired in violation of proposed
law within one year after judgment is entered in this action. Authorizes a district court with
jurisdiction to prevent or restrain violations of proposed law through the issuance of an
injunction. Requires the attorney general or district attorney to institute suits on behalf of
the state to enforce the provisions of proposed law.
(Adds R.S. 3:3613)
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