§ 9:4841 — Enforcement of claims and privileges; concursus

Louisiana § 9:4841

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

Text

§4841. Enforcement of claims and privileges; concursus
A. After the period provided by R.S. 9:4822 for the filing of statements of claims or
privileges has expired, the owner or any other interested person may convoke a concursus
and shall cite all persons who have preserved their claims against the owner or their
privileges on the immovable to establish the validity and rank of their claims and privileges.
The owner, the contractor, and the surety shall also be cited if they are not otherwise parties
to the concursus.
B. The owner who convokes or is made a party to the concursus may deposit into the
registry of the court the amounts he owes to the contractor.
C. Upon motion of the owner, the court shall order the other parties to the concursus
to show cause why a judgment should not be entered discharging and cancelling their claims
and privileges or discharging the owner from further responsibility to them. The motion
shall be tried as a summary proceeding and shall be limited to a consideration of the
following matters:
(1) Whether the proper amounts have been deposited by the owner into the registry
of the court.
(2) Whether the asserted claims or privileges have been properly preserved.
(3) Whether a notice of the contract and a bond for the work were properly and
timely filed as required by R.S. 9:4811 and 4812.
(4) Whether the bond complies with the requirements of this Part.
D.(1) If the court determines that the owner has properly deposited all sums he owes
to the contractor; that the owner has complied with this Part by properly and timely filing
notice of a contract and bond as required by R.S. 9:4811 and 4812; and that the bond
complies with the requirements of this Part, it shall render a judgment on the motion
directing the cancellation of all statements of claim or privilege and declaring the owner
discharged from further liability. If the court finds that any of the claims or privileges have
not been preserved, it shall render a judgment on the motion directing the cancellation of
such claims or privileges and declaring the owner discharged from further liability for such
claims. The court may also render judgment on the motion limiting the claims and privileges
to the amounts as may be owed by the owner or otherwise granting such relief to the owner
as may be proper.
(2) A suspensive or devolutive appeal may be taken as a matter of right from an
order or judgment issued under Paragraph (1) of this Subsection.
E.(1) The surety who convokes a concursus proceeding shall deposit into the registry
of the court an amount equal to the lesser of:
(a) The full amount of the bond.
(b) One hundred and twenty-five percent of the total amount claimed by persons who
have filed timely statements of claim or privilege for work arising out of the contract for
which the bond is given.
(2) After all claimants have answered, or, if any claimant has failed to answer, after
expiration of the delay for answering fixed by the court in an order issued under Code of
Civil Procedure Article 4657, the surety, upon motion and order may withdraw from the
registry of the court any sums so deposited to the extent they exceed one hundred twenty-five
percent of the aggregate amount of the claims then asserted against the contractor and surety
by such claimants.
F. The attorney for the owner who convokes a concursus under this Section, or the
attorney for a claimant or privilege holder who convokes the concursus when no other person
has done so within ninety days after expiration of the time given by R.S. 9:4822 for claimants
or privilege holders to file statements of their claims or privileges, shall be entitled to recover
from the contractor and his surety a reasonable fee for his services in convoking the
concursus. The fees awarded may be paid out of the funds deposited into the registry of the
court but only after satisfaction of all valid claims and privileges.
G. The costs of the concursus taxable to the person who convokes it shall be paid in
preference to other claims asserted.
NOTE: See Acts 2019, No. 325, §§6, 7, and 10, regarding applicability.

Legislative History

Acts 1981, No. 724, §1, eff. Jan. 1, 1982; Acts 2019, No. 325, §1.