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LouisianaSB 772026 Regular SessionSenateWALLET

LEASES: Provides for effects of leases of movable property. (8/1/26)

Sponsored By: Gregory A. Miller (Republican)

Signed by Governor

Civil Law and ProcedureJudiciary A

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Bill Overview

Analyzed Economic Effects

4 provisions identified: 0 benefits, 0 costs, 4 mixed.

Leased goods protected against owner claims

Beginning August 1, 2026, a merchant can lease tangible goods without owning them, and the lease binds the owner. The owner must have consented to the merchant possessing the goods. The merchant must regularly sell or lease similar goods and make the lease for fair value in regular business. The renter must act in good faith. The owner cannot evict a qualifying renter, but can sue the merchant for losses under contract or wrongdoing rules.

Renters gain protection with enforcement limits

Beginning August 1, 2026, delivery of tangible goods protects a good-faith renter's lease rights against other claimants. That protection ends when the goods return to the lessor or its successor. For land or buildings, protection against third parties starts when the lease is filed in the parish conveyance records. A sale does not end the lease between the original parties; renters can sue the original lessor for resulting losses. A breach of promised peaceful possession can support a court order, ending the lease, or damages. However, buyers do not automatically inherit the seller's lease rights or personally owe lease duties unless they expressly assume them.

Transferred lease rights come with limits

Beginning August 1, 2026, subrenters and people taking over a lease generally get no greater use rights than the original renter. Another law can provide an exception. Buyers or subrenters receiving leased goods get only the lease interest transferred that the renter held or could transfer. The existing lease still applies. The law preserves exceptions for good-faith dealings with merchants entrusted with goods by their owners.

Lease transfers allowed but contract limits remain

Beginning August 1, 2026, both sides can transfer lease rights or use them as security, and renters can sublease. A lease can expressly restrict these rights unless another law says otherwise. For land or buildings, restricting one renter activity generally blocks all three unless the lease shows a different intent. Courts read these restrictions narrowly against the lessor. Leases of tangible goods instead follow general contract rules, without these special interpretation rules.

Sponsors & Cosponsors

Sponsor

  • Gregory A. Miller

    Republican • Senate

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 141 • No: 0

House vote • 5/12/2026

Read third time by title, roll called on final passage, yeas 96, nays 0. Finally passed, ordered to the Senate.

Yes: 96 • No: 0

House vote • 5/5/2026

Reported favorably

Yes: 8 • No: 0

Senate vote • 3/24/2026

Read by title, passed by a vote of 37 yeas and 0 nays, and sent to the House. Motion to reconsider tabled.

Yes: 37 • No: 0

Actions Timeline

  1. Signed by the Governor. Becomes Act No. 240.

    5/15/2026Senate

  2. Effective date 8/1/2026.

    5/15/2026Senate

  3. Sent to the Governor by the Secretary of the Senate.

    5/14/2026Senate

  4. Enrolled. Signed by the President of the Senate.

    5/13/2026Senate

  5. Signed by the Speaker of the House.

    5/13/2026House

  6. Read third time by title, roll called on final passage, yeas 96, nays 0. Finally passed, ordered to the Senate.

    5/12/2026House

  7. Received from the House without amendments.

    5/12/2026Senate

  8. Scheduled for floor debate on 05/12/2026.

    5/11/2026House

  9. Read by title, passed to 3rd reading.

    5/7/2026House

  10. Reported without Legislative Bureau amendments.

    5/6/2026House

  11. Reported favorably (8-0). Referred to the Legislative Bureau.

    5/5/2026House

  12. Read by title, under the rules, referred to the Committee on Civil Law and Procedure.

    3/25/2026House

  13. Read by title, passed by a vote of 37 yeas and 0 nays, and sent to the House. Motion to reconsider tabled.

    3/24/2026Senate

  14. Received in the House from the Senate, read by title, lies over under the rules.

    3/24/2026House

  15. Read by title. Ordered engrossed and passed to third reading and final passage.

    3/18/2026Senate

  16. Reported favorably.

    3/17/2026Senate

  17. Introduced in the Senate; read by title. Rules suspended. Read second time and referred to the Committee on Judiciary A.

    3/9/2026Senate

  18. Prefiled and under the rules provisionally referred to the Committee on Judiciary A.

    2/20/2026Senate

Bill Text

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