Louisiana Auction Law

Louisiana is a state in the Deep South and South Central regions of the United States. It is the 19th-smallest by area and the 25th most populous of the 50 U.S. states. Louisiana is bordered by the state of Texas to the west, Arkansas to the north, Mississippi to the east, and the Gulf of Mexico to the south. A large part of its eastern boundary is demarcated by the Mississippi River. Louisiana is the only U.S. state with political subdivisions termed parishes, which are equivalent to counties, making it one of only two U.S. states not subdivided into counties. The state’s capital is Baton Rouge, and its largest city is New Orleans.

Much of the state’s lands were formed from sediment washed down the Mississippi River, leaving enormous deltas and vast areas of coastal marsh and swamp. These contain a rich southern biota; typical examples include birds such as ibises and egrets.

Auction regulations generally

  1. No person, firm, auction house, or corporation, or combination thereof shall sell, dispose of, or offer for sale at public auction or cause or permit to be sold, disposed of, or offered for sale at any public auction any property of whatsoever nature unless said auction is conducted by a duly licensed auctioneer and if such sale takes place at an auction house, by a duly licensed auction house, if the owner of the auction house is not a licensed auctioneer.
  2.  Notwithstanding any other provision of law to the contrary, a person, firm or corporation, or combination thereof, may sell, dispose of, or offer for sale at any public auction any property of whatever nature without the necessity of any other license, provided that the auction is conducted by a person who is a duly licensed Louisiana auctioneer or Louisiana livestock auctioneer or Louisiana apprentice auctioneer working under the supervision of a Louisiana licensed auctioneer, whichever is applicable, or otherwise meets the exceptions in accordance with the provisions of this Chapter.

Auction sales regulated.

It shall hereafter be unlawful for any person, firm, corporation, auctioneer, and others as well to sell, dispose of or offer for sale in the city-parish, at public auction, or cause or permit to be sold, disposed of, or offered for sale at public auction within the city-parish, any and all types of goods, wares, merchandise, antique furniture, equipment, machinery, or any other type property, movable or immovable, regardless of the kind or description, except livestock, whether the same shall be his own property or whether the sale of the same shall be made by or through him as agent or employee of the owner thereof, or in any capacity, without first complying with the provisions of this chapter and obtaining and having a license issued by the director of finance of the parish, provided however, that this chapter shall not apply to judicial sales, sales made by executors or administrators under the administration of a court, to sales by trustees, mortgages or assignees under the terms of any instrument given to secure bona fide indebtedness under which he exercises the power of sale, nor to sales made by or on behalf of licensed pawn-brokers or bona fide unredeemed pledges, nor to sales of unclaimed freight or express as provided by law, nor to sales by sheriffs, constables, or other officers as provided by law, nor to sales conducted by an employee of the United States or the State of Louisiana or its political subdivisions in the course and scope of his employment, nor to sales conducted by a charitable or non-profit organization, nor to sales conducted by an individual of his own property if such individual is not engaged in the business of selling such property as an auctioneer on a regular basis, nor to sales conducted by sealed bids, nor to any other particular kind of auction sales expressly authorized by the laws of Louisiana or by the laws of the United States. 

License required

Any auctioneer desiring to conduct an auction sale or sales for the purpose of the sale of any of the goods hereinabove described, shall make application to the director of finance of the parish as herein provided for a license therefor, and the said director of finance shall issue to any such person a non-transferable license upon his complying with the terms of this chapter, such license to be made for a period of time to be designated therein, provided that no license shall be issued for a longer period than one (1) year from date thereof. 

Bond

Any person desiring a license shall in addition to complying with the provisions of this chapter and before a license shall be issued, furnish a bond to the city-parish, duly executed by such applicant as principal in the sum of five thousand dollars ($5,000.00) or in lieu of said cash bond, a bond in the same amount issued by a surety company authorized to do business in the State of Louisiana, which shall be payable to the city-parish, to be approved by the director of finance of the parish, and conditioned that the said principal shall pay all loss and damage which may lawfully be claimed against him on account of any material misrepresentation of fact or any material suppression of fact concerning the goods to be auctioned at such sale or auction at any sale, or which may grow out of violation of any of the provisions of this chapter. Such bond shall be valid for a period of time not less than the period for which the license shall be issued. Such bond shall inure to the benefit of any and all persons who sustain any loss or damage on account of any such misrepresentation or violation of this chapter and any such person sustaining any such loss or damage may bring suit in any court of competent jurisdiction in the parish to recover the same, and the provisions of said bond shall be construed liberally in favor of all such persons sustaining such loss or damage. All remedies upon or under such bond herein provided, shall be in addition to and cumulative of all other remedies the parties may have at law or in equity for recovery of any such losses or damages. Cumulative recoveries may be had on said bond to the full amount thereof. If this bond is cancelled or otherwise becomes invalid in the opinion of the director of finance, then and in that event the license issued in connection therewith on the basis thereof shall be terminated and invalid. 

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