LouisianaLouisiana law requires home wholesalers to disclose plans to sellers
Louisiana law requires home wholesalers to explain their plans to sellers and gives sellers at least five days to cancel covered agreements without penalty.
What it does
Before each related agreement, wholesalers must tell sellers in writing if they plan to sell or market their purchase rights for gain. The agreement must explain how to cancel and include a free state cancellation form.
Wholesalers may not claim to represent sellers, falsely claim a professional license, place liens on the property, or use deceptive practices. Each agreement must include a deposit of at least one percent of the purchase price, held in escrow.
A seller may cancel before title transfers if required disclosures are missing or another rule is violated. Sellers who cancel under the law are entitled to the deposit, and wholesalers may face enforcement and penalties of up to $5,000 per violation.
Argument forSellers could have more time to reconsider because they may cancel a covered agreement without penalty for at least five days after it is signed.
Argument againstWholesalers may need to set aside more money because each covered agreement requires a deposit of at least one percent of the purchase price.
More detail
Wholesalers must give sellers written disclosures before each related contract or agreement. These rules cover wholesaling agreements for homes with one to four residential units. The disclosure must say the wholesaler plans to sell or market their purchase rights for financial gain and advise the seller to seek legal advice. The agreement must show the cancellation deadline near the seller's signature and include the state's cancellation form at no cost. Sellers may cancel for any reason without penalty for at least five calendar days after the later of the seller's or wholesaler's signing date.
Wholesalers must follow conduct rules and include a deposit in each covered agreement. These rules apply to wholesalers and agreements involving homes with one to four residential units. Wholesalers may not claim to advise or represent the seller, falsely claim a license, place a lien on the property, or use deceptive or unfair practices. The deposit must be at least one percent of the purchase price and held in escrow under the law's rules.
Sellers may cancel agreements in specified cases, and violations may lead to enforcement and penalties. These remedies apply to wholesaling agreements for residential real property. Missing required disclosures or another violation makes the agreement voidable at the seller's choice before title transfers. A seller who cancels under the law is entitled to the deposit; a wholesaler who violates the law may face enforcement and a civil penalty of up to $5,000 per violation. The law does not apply to wholesaling agreements completed before its effective date.
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Where it stands
- Introduced
- Passed House
- Passed Senate
- To Governor
- Became Law
Looking ahead
No hearings or votes scheduled.
History
- 2026
- Jun 9Signed by the Governor Jeff Landry. Becomes Act No. 807.Became Law
- Jun 9Effective date: 08/01/2026.
- Jun 2Sent to the Governor for executive approval.To Governor
- Jun 1Enrolled and signed by the Speaker of the House.Minor
- Jun 1Signed by the President of the Senate.
- May 31Conference Committee Report read, roll called, yeas 94, nays 0. Having received two-thirds vote of the elected members, the Conference Committee Report was adopted.
- Vote recorded ADOPT (#1600). Result: pass.Upper
- Vote recorded ADOPT CONFERENCE REPORT (#1784). Result: pass.Lower
- May 31Notice House adopted the Conference Committee Report.
- May 31Conference Committee Report read; adopted by a vote of 35 yeas and 0 nays.
- May 31Notice of Senate adoption of Conference Committee Report.
- May 27Conference Committee report received. Lies over under the rules.
- May 27Conference committee report received.
- May 27Scheduled for floor debate on 05/31/2026.
- May 26Notice of Senate conferees appointed.
- May 25House conferees appointed: Hebert, Deshotel, and Jacob Landry.
- May 25Senate conference committee members appointed: Miller, Allain, and Connick.
- May 25Notice House Conference Committee members appointed.
- May 20Read by title, roll called, yeas 91, nays 0. The Senate amendments, not having received two-thirds vote of the elected members, were rejected. Conference committee appointment pending.
- Vote recorded REJECT SENATE AMENDMENTS (#1429). Result: pass.Lower
- May 20Notice House rejected the Senate amendments.
- May 19Scheduled for concurrence on 05/20/2026.
- May 13Received from the Senate with amendments.Minor
- May 12Rules suspended. The amended bill was read by title, passed by a vote of 34 yeas and 0 nays, and ordered returned to the House. Motion to reconsider tabled.Passed Senate
- Vote recorded FINAL PASSAGE (#775). Result: pass.Upper
- May 4Reported without Legislative Bureau amendments. Read by title and passed to third reading and final passage.Minor
- Apr 29Committee amendments read and adopted. Read by title and referred to the Legislative Bureau.
- Apr 28Reported with amendments.Minor
- Apr 13Read second time by title and referred to the Committee on Commerce, Consumer Protection and International Affairs.Minor
- Apr 8Received in the Senate. Read first time by title and placed on the Calendar for a second reading.Minor
- Apr 7Called from the calendar.
- Vote recorded FINAL PASSAGE (#329). Result: pass.Lower
- Apr 7Read third time by title, amended, roll called on final passage, yeas 96, nays 0. The bill, having received two-thirds vote of the elected members, was finally passed, title adopted, ordered to the Senate.Passed House
- Mar 30Notice given.
- Mar 30Scheduled for floor debate on 04/07/2026.
- Mar 26Read by title, returned to the calendar.
- Mar 25Scheduled for floor debate on 03/26/2026.
- Mar 24Read by title, amended, ordered engrossed, passed to 3rd reading.Minor
- Mar 23Reported with amendments (13-0).Minor
- Mar 9Read by title, under the rules, referred to the Committee on Commerce.Minor
- Feb 27First appeared in the Interim Calendar on 2/27/2026.
- Feb 26Prefiled.Minor
- Feb 26Under the rules, provisionally referred to the Committee on Commerce.Introduced
Consumer Protection