§ 48:256.7 — Filing of bond or other security; cancellation of statement of claim or privilege

Louisiana § 48:256.7

• Jurisdiction: Louisiana
• Title 48: Roads, Bridges and Ferries

Text

§256.7. Filing of bond or other security; cancellation of statement of claim or privilege
A. If a statement of claim or privilege is filed, any interested party may deposit with
the recorder of mortgages either a bond of a lawful surety company authorized to do business
in the state or cash, certified funds, or a federally insured certificate of deposit to guarantee
payment of the obligation secured by the privilege or that portion as may be lawfully due
together with interest, costs, and attorney fees to which the claimant may be entitled up to
a total amount of one hundred twenty-five percent of the principal amount of the claim as
asserted in the statement of claim or privilege. A surety shall not have the benefit of division
or discussion.
B. If the recorder of mortgages finds the amount of the cash, certified funds, or
certificate of deposit or the terms and amount of a bond deposited with him to be in
conformity with this Section, he shall note his approval on the bond and make note of either
the bond or of the cash, certified funds, or certificate of deposit in the margin of the statement
of claim or privilege as it is recorded in the mortgage records and cancel the statement of
claim or privilege from his records by making an appropriate notation in the margin of the
recorded statement. The bond shall not be recorded but shall be retained by the recorder of
mortgages as a part of his records.
C. Any party who files a bond or other security to guarantee payment of an obligation
secured by a privilege in accordance with the provisions of Subsection A of this Section shall
give notice to the department, the claimant, and the contractor by certified mail, and shall file
a certified copy of the cancellation of the statement of claim or privilege by the recorder of
mortgages, showing the recordation data, with the undersecretary of the department by
certified mail.

Legislative History

Acts 1997, No. 1112, §1, eff. July 14, 1997; Acts 2015, No. 29, §1, eff. May 29, 2015.