Louisiana 2023 2023 Regular Session

Louisiana House Bill HB539 Comm Sub / Analysis

                    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 539 Engrossed	2023 Regular Session	Mack
Abstract:  Authorizes the office of motor vehicles to impose fines in addition to suspension,
revocations, cancellations, or other restrictions on any contract.
Present law defines "auto title company" as any person, firm, association, or corporation which is
engaged in the transfer and recordation of sales, leases, or mortgages of vehicles. Specifies that the
term "auto title company" also means any person, or entity licensed pursuant to present law. Further
specifies that an auto title company does not mean an insurance company transferring titles to
wrecked vehicles or other enumerated parties unless it or he is doing business as an auto title
company.
Proposed law modifies present law by indicating that an "auto title company" also means a local
governmental subdivision, a political subdivision, or a state agency.  Changes present law from
applying to persons or entities who have been licensed to those who entered into a contract.
Present law requires each public license tag agent, other than a municipal governing authority,
execute a surety bond with a qualified La. surety company in a sum of $100,000  if the public tag
agent has only one office in this state and in a sum of $125,000 if the public tag agent has more than
one office in this state.
Present law clarifies that the exception in present law is also applicable to a local governmental
subdivision, a political subdivision, or a state agency.
Present law requires that the commissioner promulgate rules and regulations to adopt and levy fines
for failure to remit taxes and fees collected from applicants for title transfers, operating as a public
tag agent without a contract for each location, with an expired contract, or without a surety bond on
file with the office of motor vehicles (OMV).  Further specifies the OMV is empowered to issue an
order to any person engaged in any activity, conduct, or practice constituting a violation public tag
agents; causes for suspension or cease and desist order; injunctive relief or any rules or regulations
adopted pursuant to either.
Proposed law modifies present law by specifying that any violation of a contract between the
department and the public license agent, cannot exceed the sum of $500.
Present law provides requirements for suspension, revocation, cancellation, or restrictions, and
reinstatement of public tag agents. Proposed law adds fines to present law.
Present law establishes that any person whose contract has been suspended, canceled, or revoked
during the effective term of the contract may request an administrative hearing to review the actions
of the OMV.  Specifies that a request for administrative review will stay the action of the OMV.
Proposed law authorizes an administrative appeal for any public tag agent that has been assessed a
fine pursuant to rules promulgated by the department.
(Amends R.S. 32:702(4) and R.S. 47:532.1(A)(3)(a) and 532.2(A)(intro. para.) and (B); Adds R.S.
47:532.1(A)(3)(c))