Terms Used In Louisiana Revised Statutes 3:568

  • Encumbrance: means any lien, privilege, judgment, mortgage, pledge, pawn, claim, charge, or any other encumbrance of like nature. See Louisiana Revised Statutes 3:1
  • Livestock: means cattle, buffalo, bison, oxen, and other bovine; horses, mules, donkeys, and other equine; sheep; goats; swine; domestic rabbits; fish, turtles, and other animals identified with aquaculture that are located in artificial reservoirs or enclosures that are both on privately owned property and constructed so as to prevent, at all times, the ingress and egress of fish life from public waters; imported exotic deer and antelope, elk, farm-raised white-tailed deer, farm-raised ratites, and other farm-raised exotic animals; chickens, turkeys, and other poultry; and animals placed under the jurisdiction of the commissioner of agriculture and forestry and any hybrid, mixture, or mutation of any such animal. See Louisiana Revised Statutes 3:561
  • Market agency: means any persons, firm, or corporation engaged in the business of buying or selling livestock in commerce on a commission basis, either at a public stockyard or at a privately owned and operated sales pen or concentration point, or any persons engaged in the furnishing of services for the conduct of such business, including but not limited to livestock video auctions. See Louisiana Revised Statutes 3:561
  • Person: means an individual, partnership, corporation, or association of such persons acting as a unit. See Louisiana Revised Statutes 3:561
  • Security device: means any lien, mortgage, pawn, pledge, privilege, or other instrument by which an interest in livestock is used to secure the performance or payment of any obligation. See Louisiana Revised Statutes 3:561

A.  Notwithstanding any provision of law to the contrary, no owner or operator of a market agency shall be liable to any person who holds a security device affecting livestock that are sold through the market agency on a commission or consignment basis unless the owner or operator receives notice as provided in this Section.

B.  The following provisions shall apply to notices to market agencies concerning security devices:

(1)  The notice shall be in writing.

(2)  The notice shall be mailed by certified or registered mail, return receipt requested, or shall be actually delivered.

(3)  The notice shall contain the name and address of the person holding the security device.

(4)  The notice shall contain the name and address of the person who has granted the security device as shown on the instrument which evidences the security device.

(5)  The notice shall contain the parish of residence of the person who has granted the security device as shown on the instrument which evidences the security device.

(6)  The notice may contain the nickname, initials, or other appellation by which the person who has granted the security device is sometimes or commonly known.

(7)  The notice may contain information concerning more than one person who has granted a security device.

(8)  The notice shall be limited to information concerning security devices on livestock.

(9)  The notice of the existence of the security device shall be valid until the person who holds the security device cancels the notice by written notice mailed or actually delivered to the market agency.

(10)  The person who holds the security device shall cancel the notice of the existence of the security device within ten calendar days after the date the person who has granted or who is affected by the security device authorizes cancellation of the security device, provided the security device is then no longer in effect.

C.  If a person who holds a security device provides notice of the existence of the security device to the market agency, the market agency shall make the remittance or check for the livestock affected by the security device jointly or payable jointly to the owner of the livestock and the person who holds the security device.

D.  If a person who sells livestock on a commission or consignment basis through a market agency provides false or misleading information concerning the name of the owner of the livestock, or concerning the existence of a security device affecting the livestock, the owner or operator of the market agency shall not be liable to the person who holds the security device if the owner or operator, using due diligence, could not have determined that the information was false or misleading.

E.  Each person who holds a security device on livestock shall have immediate access, for inspection and recording purposes only, to the sale records of any market agency upon request and presentation of a copy of a recorded security device affecting the livestock that are the object of the inspection.  Inspection shall be made only during normal working hours and shall not be made on sale days.

F.  No person shall provide any false or misleading information concerning the name of the owner of any livestock or concerning the existence of any security device affecting the livestock with intent to deprive the holder of any of his security under the security device.  No person shall take any action with respect to the alienation, encumbrance, or other disposition of livestock which are subject to the security device with intent to deprive the holder of any of his security under a security device. Whoever violates the provisions of this Subsection shall be fined not more than five thousand dollars, or imprisoned, with or without hard labor, for not more than ten years, or both.

G.  The provisions of this Section shall be construed in pari materia with the provisions of La. Rev. Stat. 10:9-101 et seq., La. Rev. Stat. 3:3651 et seq., and La. Rev. Stat. 9:4341 et seq.

Added by Acts 1983, No. 348, §1; Acts 1995, No. 1087, §2.