§ 9:2150 — Obligation to pay money

Louisiana § 9:2150

• Jurisdiction: Louisiana
• Title 9: Civil Code-Ancillaries

Text

§2150. Obligation to pay money
A. An amount received as interest, whether determined at a fixed, variable, or
floating rate, on an obligation to pay money to the trustee, including an amount received in
return for prepaying principal, shall be allocated to income without any provision for
amortization of premium.
B. A trustee shall allocate to principal an amount received from the sale, redemption,
or other disposition of an obligation to pay money to the trustee more than one year after it
is purchased or acquired by the trustee, including an obligation whose purchase price or value
when it is acquired is less than its value at maturity. If the obligation matures within one year
after it is purchased or acquired by the trustee, an amount received in excess of its purchase
price or its value when acquired by the trust shall be allocated to income.
C. This Section does not apply to an obligation to which R.S. 9:2151.2, 2152, 2153,
or 2154 applies.

Legislative History

Acts 2020, No. 17, §1, eff. Jan. 1, 2021.