If the obligor is insolvent

La. Civ. Code art. 1782

La. Civ. Code art. 1782

Art. 1782. If the obligor is insolvent When the obligation is such that its performance requires the solvency of the obligor, the term is regarded as nonexistent if the obligor is found to be insolvent. Acts 1984, No. 331, §1, eff. Jan. 1, 1985.