§ 51:3143 — Requirements for doing business

Louisiana § 51:3143

• Jurisdiction: Louisiana
• Title 51: Trade and Commerce

Text

§3143. Requirements for doing business
A. Home service contracts shall not be issued, sold, or offered for sale in this state
unless the provider has done each of the following:
(1) Registered with the secretary of state and remains in good standing.
(2) Provided a receipt for, or other written evidence of, the purchase of the home
service contract to the contract holder.
(3) Provided a copy of the home service contract to the service contract holder within
a reasonable period of time from the date of purchase.
(4)-(5) Repealed by Acts 2016, No. 327, §1.
B. Each provider of a home service contract sold in this state shall file an application
for an initial registration with the secretary of state consisting of his name, address, and
contact person, designating a person in this state for service of process, and providing a
listing of all officers, all directors, and all owners of ten percent or more of the business.
Additionally, the provider shall file a copy of its basic organizational documents, including
articles of incorporation, articles of organization, articles of association, or a partnership
agreement.
C. A registration shall be effective for two years unless the registration is denied or
revoked. Ninety days prior to the expiration of a registration, a provider shall submit a
renewal application on a form prescribed by the secretary of state.
D. Each registrant shall notify the secretary of state of any material change in the
registration information within sixty days of the effective date of such change. The notice
shall be accompanied by supporting documentation.
E. In order to assure the faithful performance of a provider's obligations to its
contract holders and to insure its outstanding obligations, each provider shall obtain and file
with the secretary of state a surety bond issued by a company licensed to do business in
Louisiana in the amount of fifty thousand dollars. The term of the surety bond shall coincide
with the years the registration is effective as provided in Subsection C of this Section.
F. Except for the registration requirements of this Section, providers, administrators,
and persons marketing, selling, or offering to sell home service contracts are exempt from
any licensing requirements of this state and shall not be subject to other registration
information or security requirements.
G. The marketing, sale, offering for sale, issuance, making, proposing to make, and
administration of home service contracts by providers and related service contract sellers,
administrators, and other persons is not insurance and shall be exempt from all provisions
of the Louisiana Insurance Code.

Legislative History

Acts 2015, No. 161, §§1, 3(A), eff. Jan. 11, 2015; Acts 2015, No. 161, §§1, 3(B), eff. Jan. 15, 2016; Acts 2016, No. 243, §1, eff. May 26, 2016; Acts 2016, No. 327, §1; Acts 2018, No. 560, §5, eff. May 28, 2018; Acts 2020, No. 51, §1, eff. June 5, 2020; Acts 2022, No. 193, §5.