Louisiana 2024 2024 Regular Session

Louisiana Senate Bill SB35 Introduced / Bill

                    SLS 24RS-278	ORIGINAL
2024 Regular Session
SENATE BILL NO. 35
BY SENATOR MORRIS 
LIABILITY. Provides for sale of litigious rights. (8/1/24)
1	AN ACT
2 To amend and reenact Civil Code Art. 2652, relative to liability; to provide relative to
3 litigious rights; to provide with respect to the sale and assignment of litigious rights;
4 to provide relative to the assignment of a promissory note or other debt instrument;
5 and to provide for related matters.
6 Be it enacted by the Legislature of Louisiana:
7 Section 1. Civil Code Art. 2652 is hereby amended and reenacted to read as follows:
8 Art. 2652. Sale of litigious rights
9	When a litigious right is assigned, the debtor may extinguish his obligation
10 by paying to the assignee the price the assignee paid for the assignment, with interest
11 from the time of the assignment.
12	A right is litigious, for that purpose, when it is contested in a suit already
13 filed.
14	Nevertheless, the debtor may not thus extinguish his obligation when the
15 assignment is of a promissory note or other debt instrument, or has been made
16 to a co-owner of the assigned right, or to a possessor of the thing subject to the
17 litigious right.
Page 1 of 2
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions. SB NO. 35
SLS 24RS-278	ORIGINAL
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Hanna Gettys.
DIGEST
SB 35 Original	2024 Regular Session	Morris
Present law provides that when a litigious right is assigned, the debtor may extinguish his
obligation by paying to the assignee the price the assignee paid for the assignment, with
interest from the time of the assignment. 
Present law provides that a right is litigious, for that purpose, when it is contested in a suit
already filed. 
Present law provides that the debtor may not thus extinguish his obligation when the
assignment has been made to a co-owner of the assigned right, or to a possessor of the thing
subject to the litigious right.
Proposed law retains present law but includes extinguishing an obligation when the
assignment is of a promissory note or other debt instrument. 
Effective August 1, 2024.
(Amends C.C. Art. 2652)
Page 2 of 2
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.