SLS 24RS-490 ENGROSSED
2024 Regular Session
SENATE BILL NO. 333
BY SENATOR MORRIS
CIVIL PROCEDURE. Provides for methods of enforcing mortgages. (8/1/24)
1 AN ACT
2 To amend and reenact Code of Civil Procedure Art. 3721, relative to methods of enforcing
3 mortgages; to provide relative to civil actions; to provide with respect to provisions
4 of the judgment; to provide relative to specific amounts, costs, expenses, and fees;
5 to provide relative to terms, conditions, procedures, and requirements; to provide
6 relative to judicial process, collection proceedings, and sales under fieri facias; and
7 to provide for related matters.
8 Be it enacted by the Legislature of Louisiana:
9 Section 1. Code of Civil Procedure Art. 3721 is hereby amended and reenacted to
10 read as follows:
11 Art. 3721. Methods of enforcing mortgage
12 A. A conventional mortgage is enforced by ordinary or executory
13 proceedings.
14 B. In any ordinary or executory proceeding to enforce a promissory note
15 or other debt instrument combined with a mortgage or other security device,
16 the judgment or order of executory process granted may include any amounts
17 which accrue after the rendition of the judgment or order including until the
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions. SB NO. 333
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1 collateral is sold by judicial process pursuant to the provisions of the
2 promissory note, debt interest, or security device, including, without limitation,
3 obligations to reimburse advances for taxes and insurance, inspection or other
4 fees provided for by contract, reasonable attorney fees, and court costs. The
5 provisions of this Article shall be enforceable notwithstanding any other
6 provision of law requiring that a judgment or order specify a definite amount.
7 C. Prior to the date of the sheriff's sale, the seizing creditor or his counsel
8 shall file into the record the payoff amount of the obligation being enforced
9 including any amounts which have accrued after the filing of the petition, or
10 rendition of the judgment or order in the case of ordinary process.
11 D. Any party with an interest in the property seized, including but not
12 limited to mortgage and lien holders, may file a rule to show cause to traverse
13 the payoff amount filed in accordance with Subsection C of this Article. The
14 rule to show cause shall be filed before the sheriff disburses any funds from the
15 judicial sale pursuant to the writ being executed.
16 E. A sheriff's or other sale held pursuant to court order shall be valid
17 notwithstanding failure of an interested party to comply with the provisions of
18 this Article.
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Hanna Gettys.
DIGEST
SB 333 Engrossed 2024 Regular Session Morris
Present law (C.C.P. Art. 3721) provides that a conventional mortgage is enforced by
ordinary or executory proceedings.
Proposed law provides that in any ordinary or executory proceeding to enforce a promissory
note or other debt instrument combined with a mortgage or other security device, the
judgment or order of executory process granted may include any amounts which accrue after
the rendition of the judgment or order including until the collateral is sold by judicial process
pursuant to the provisions of the promissory note, debt interest, or security device, including,
without limitation, obligations to reimburse advances for taxes and insurance, inspection or
other fees provided for by contract, reasonable attorney fees, and court costs. Proposed law
provides that proposed law shall be enforceable notwithstanding any other provision of law
requiring that a judgment or order specify a definite amount.
Proposed law provides that prior to the date of the sheriff's sale, the seizing creditor or his
counsel shall file into the record the payoff amount of the obligation being enforced
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions. SB NO. 333
SLS 24RS-490 ENGROSSED
including any amounts which have accrued after the filing of the petition, or rendition of the
judgment or order in the case of ordinary process.
Proposed law provides that any party with an interest in the property seized, including but
not limited to mortgage and lien holders, may file a rule to show cause to traverse the payoff
amount filed in accordance with proposed law.
Proposed law provides that the rule to show cause shall be filed before the sheriff disburses
any funds from the judicial sale pursuant to the writ being executed.
Proposed law provides that a sheriff's or other sale held pursuant to court order shall be valid
notwithstanding failure of an interested party to comply with the provisions of proposed law.
Effective August 1, 2024.
(Amends C.C.P. Art. 3721)
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Judiciary A to the
original bill
1. Makes technical changes.
2. Requires the payoff amount of the obligation being enforced, including any
amounts which accrued after the filing of the petition or rendition of the
judgment or order, to be filed into the record prior to the date of the sheriff's
sale.
3. Allows any party with interest in the property seized to traverse the payoff
amount prior to the sheriff disbursing the funds from the judicial sale
pursuant to the writ being executed.
4. Provides that a sheriff's or other sale shall be valid notwithstanding failure
of a party to comply with the filing procedures.
Page 3 of 3
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.