Terms Used In Louisiana Revised Statutes 38:2319.8

  • Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
  • Lessee: means the local governmental entity which is designated as lessee under an equipment-lease-purchase contract. See Louisiana Revised Statutes 38:2319.2
  • lessor: means a public corporation or public trust organized pursuant to state law having for its beneficiary the state, organized as a not-for-profit entity, no portion of the net earnings or other assets of which inure to the benefit of any private shareholder or individual, and which shall be authorized under state law to issue obligations for equipment acquisition the interest on which is exempt from calculation of gross income for federal income tax purposes. See Louisiana Revised Statutes 38:2319.2
  • Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
  • Selected equipment: means the equipment, as determined by the local governmental entity, which shall be the subject of a lease-purchase contract under the provisions of this Part. See Louisiana Revised Statutes 38:2319.2

Any equipment-lease-purchase contract entered into pursuant to this Part shall be treated as a lease for all legal purposes without regard to the rights and obligations of the lessee at lease termination or to any interest payment factor, and without necessity of filing a chattel mortgage.  The nonprofit lessor shall be deemed owner of the selected equipment during the term of the lease.  In addition, the selected equipment shall be deemed to be movable property for all purposes and shall not become a component part of any immovable property notwithstanding any provisions of law to the contrary, including but not limited to Civil Code Articles 465, 466, 467, 493.1, or 495.  

Acts 1985, No. 758, §1, eff. July 17, 1985.  

{{NOTE:  SEE ACTS 1985, NO. 758, §§5 AND 6.}}