Louisiana Revised Statutes 47:9055 – Proceeds from ticket sales; retailers’ deposit of lottery proceeds; liability of lottery retailers; commingling of funds prohibited; priority of debt to corporation
Terms Used In Louisiana Revised Statutes 47:9055
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- Corporation: means the Louisiana Lottery Corporation. See Louisiana Revised Statutes 47:9002
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Electronic funds transfer: The transfer of money between accounts by consumer electronic systems-such as automated teller machines (ATMs) and electronic payment of bills-rather than by check or cash. (Wire transfers, checks, drafts, and paper instruments do not fall into this category.) Source: OCC
- Fiduciary: A trustee, executor, or administrator.
- Lottery: means any game of chance approved by the corporation and operated pursuant to this Chapter and shall not include sports wagering authorized pursuant to this Subtitle. See Louisiana Revised Statutes 47:9002
- Person: means any individual, corporation, partnership, unincorporated association, or other legal entity. See Louisiana Revised Statutes 47:9002
- Retailer: means any person with whom the corporation has contracted to sell lottery tickets to the public. See Louisiana Revised Statutes 47:9002
A.(1) All proceeds from the sale of lottery tickets received by a lottery retailer shall constitute a trust fund until paid to the corporation either directly or through the corporation’s authorized collection representative. A lottery retailer shall have a fiduciary duty to preserve and account for lottery proceeds and lottery retailers shall be personally liable for all proceeds. Proceeds shall include unsold instant tickets received by a lottery retailer and cash proceeds of sale of any lottery products, net of allowable sales commissions and credit for lottery prizes to winners by lottery retailers. Sales proceeds and unused instant tickets shall be delivered to the corporation or its authorized collection representative upon demand.
(2) The corporation shall, by administrative regulation, require retailers to place all lottery proceeds due the corporation in accounts in institutions insured by the Federal Deposit Insurance Corporation not later than the close of the next banking day after the date of their collection by the retailer until the date they are paid over to the corporation. The corporation may require a retailer to establish a single separate electronic funds transfer account, where available, for the purpose of receiving monies from ticket sales, making payments to the corporation, and receiving payments from the corporation. Unless otherwise authorized in writing by the corporation, each lottery retailer shall establish a separate bank account for lottery proceeds which shall be kept separate and apart from all other funds and assets and shall not be commingled with any other funds or assets.
(3) This Section shall apply to all lottery tickets generated by computer terminal or other electronic devices and any other tickets delivered to lottery retailers.
B. Whenever any person who receives proceeds from the sale of lottery tickets in the capacity of a lottery retailer becomes insolvent, or dies insolvent, the proceeds due the corporation from such person or his estate shall have preference over all debts or demands.
Acts 1990, No. 1045, §1, eff. Nov. 7, 1990.