Title 6, Banks and Banking
0 chapters · 809 sections in this title.
La. Rev. Stat. § 6:241 General corporate powers
2.5K chars
§241. General corporate powers A. A state bank may be organized to exercise the powers provided in this law and such other general powers as are appropriate to its purpose. B. A state bank shall, without specific mention thereof in its articles of incorporation, have all the powe…
La. Rev. Stat. § 6:242 Banking powers
12.1K chars
§242. Banking powers A. In addition to the general corporate powers conferred in R.S. 6:241 and the powers conferred by other provisions of the laws of this state, a state bank shall have the following banking powers and those incidental to the exercise of these powers: (1) To re…
La. Rev. Stat. § 6:243 Immovable property; dealings
6.6K chars
§243. Immovable property; dealings A. A state bank may lawfully purchase, hold, and convey any immovable property: (1) Which is necessary for the proper transaction of its business. (2) Which has been mortgaged to it in good faith as security for loans. (3) Which has been conveye…
La. Rev. Stat. § 6:244 Transfers by bank and other acts in contemplation of insolvency
1.0K chars
§244. Transfers by bank and other acts in contemplation of insolvency A. The following, when made with a view to prevent the application of the assets of any state bank in the preference of one creditor to another, shall be utterly null and void: (1) All transfers of the notes, b…
La. Rev. Stat. § 6:245 Changes in core business
0.9K chars
§245. Changes in core business A. Whenever a state-chartered financial institution, or holding company thereof, intends to materially change its core business as conducted at the time of its last safety and soundness examination or filing pursuant to this Section, whichever is la…
La. Rev. Stat. § 6:246 Bank operating subsidiaries
0.7K chars
§246. Bank operating subsidiaries A. A state bank may, through a wholly-owned operating subsidiary, conduct any activity or make any investment that the state bank is authorized to conduct or make under state or federal law. A state bank that establishes a subsidiary in accordanc…
La. Rev. Stat. § 6:251 Classes of shares; fractional shares
1.8K chars
§251. Classes of shares; fractional shares A. The shares of a state bank may be divided into classes with such designations, voting powers, preferences, dividend or other relative rights or restrictions, limitations, or qualifications as may be provided in the articles, with the …
La. Rev. Stat. § 6:252 Issuance of shares; consideration
1.0K chars
§252. Issuance of shares; consideration A. Shares shall be issued initially for such consideration expressed in dollars, not less than the par value thereof, as shall be fixed in the articles as approved by the commissioner. All fully paid shares shall be nonassessable except as …
La. Rev. Stat. § 6:253 Reservation of shares
0.3K chars
§253. Reservation of shares A state bank shall reserve from its authorized but unissued shares sufficient shares to meet its issuance obligations under subscription rights, warrants, options, and conversion privileges. Acts 1984, No. 719, §1, eff. Jan. 1, 1985.
La. Rev. Stat. § 6:254 Convertible securities and stock-purchase rights
1.6K chars
§254. Convertible securities and stock-purchase rights A. Unless the articles provide otherwise and with prior notice to the commissioner, the board of directors of a state bank shall have authority, whether or not in connection with the issuance and sale of any of its shares or …
La. Rev. Stat. § 6:255 Certificates of stock
2.6K chars
§255. Certificates of stock A. Shares must be represented by certificates of stock unless the issuing corporation is a participant in the Direct Registration System, or its successor, of the Depository Trust & Clearing Corporation, then shares need not be represented by certifica…
La. Rev. Stat. § 6:256 Transfer of shares
0.5K chars
§256. Transfer of shares A. The transfer of certificates of stock and the shares represented thereby may be regulated by bylaws not inconsistent with the provisions of the articles or other provisions of the law. B. A state bank may employ a transfer agent to keep a share registe…
La. Rev. Stat. § 6:257 Restriction on transfer of shares and other securities
2.2K chars
§257. Restriction on transfer of shares and other securities A. For purposes of this Section, "share" includes a security convertible into or carrying a right to subscribe or acquire shares. B. A corporation's articles of incorporation or bylaws, an agreement among shareholders o…
La. Rev. Stat. § 6:261 Accounting procedures
0.6K chars
§261. Accounting procedures A. Upon initial issuance of shares, that part of the consideration received therefor which is equal to the par value thereof shall be allocated to capital stock, and the remainder shall be allocated to surplus. B. Except as otherwise provided in R.S. 6…
La. Rev. Stat. § 6:262 Impairment of capital; special meeting; notice to restore capital; assessments against stockholders; voluntary restoration
2.1K chars
§262. Impairment of capital; special meeting; notice to restore capital; assessments against stockholders; voluntary restoration A. If the commissioner believes after examination that the capital of any bank is impaired, he shall immediately call a special meeting of its board of…
La. Rev. Stat. § 6:263 Dividends; stock purchased or redeemed; capital surplus required
3.1K chars
§263. Dividends; stock purchased or redeemed; capital surplus required A. The board of directors of a state bank may not declare or pay any dividends in cash or property for a period of two years from the issuance of its certificate of authority or as the commissioner may prescri…
La. Rev. Stat. § 6:271 Stockholders' preemptive rights
1.6K chars
§271. Stockholders' preemptive rights A. Stockholders shall have only such preemptive rights as may be provided in the articles. If the articles provide simply that "stockholders shall have preemptive rights", then: (1) Each holder of shares having voting rights shall, upon issua…
La. Rev. Stat. § 6:272 Stockholders' meetings
4.6K chars
§272. Stockholders' meetings A.(1) Unless otherwise provided in the articles or bylaws, stockholders' meetings may be held anywhere in this state or by remote communication as provided in R.S. 12:1-709. (2) At least one meeting of the stockholders shall be held in each calendar y…
La. Rev. Stat. § 6:273 Quorum
1.5K chars
§273. Quorum A. A stockholders' meeting properly called on due notice, if notice is required, may be organized for the transaction of business whenever a quorum is present. B. Except as otherwise provided in this Chapter or in the articles or bylaws: (1) The presence, in person, …
La. Rev. Stat. § 6:274 Voting of stockholders
4.3K chars
§274. Voting of stockholders A. Except as otherwise provided in the articles, each stockholder of record shall have the right at every stockholders' meeting to one vote for each share standing in his name on the books of the state bank. B. Cumulative voting is prohibited. C.(1) A…
La. Rev. Stat. § 6:275 Consent of stockholders
1.3K chars
§275. Consent of stockholders A. Whenever by any provision of law, the articles, or the bylaws the affirmative vote of stockholders is required to authorize or constitute corporate action, the consent in writing to such corporate action signed by all of the stockholders having vo…
La. Rev. Stat. § 6:276 Fixing record date
1.5K chars
§276. Fixing record date A. For the purpose of determining stockholders entitled to notice of and to vote at a meeting, to receive a dividend, to receive or exercise subscription or other rights, or to participate in a reclassification of stock, or in order to make a determinatio…
La. Rev. Stat. § 6:277 Voting trusts
3.6K chars
§277. Voting trusts A.(1) Two or more stockholders of a state bank may, pursuant to an agreement in writing, transfer their shares to any one or more natural persons having authority to act as trustees for the purpose of vesting in the transferees, as trustees, for a period not e…
La. Rev. Stat. § 6:278 Registered holder of shares
0.6K chars
§278. Registered holder of shares Except as otherwise provided in the articles or bylaws, a state bank and its directors, officers, and agents may recognize and treat a person registered on its records as the owner of shares, as the owner in fact thereof for all purposes, and as …
La. Rev. Stat. § 6:279 Inspection of books and records of state banks; annual report to stockholders
3.0K chars
§279. Inspection of books and records of state banks; annual report to stockholders A. Every stockholder, except a business competitor of the state bank as described in Subsection C, who has been the holder of record of at least two percent of all outstanding shares of a state ba…
La. Rev. Stat. § 6:281 Board of directors; powers, number, term
2.0K chars
§281. Board of directors; powers, number, term A.(1) Subject to the provisions of its articles of incorporation and bylaws, all of the powers and duties of a state bank shall be vested in, and the business and affairs of the bank shall be managed by, a board of directors of not l…
La. Rev. Stat. § 6:282 Board of directors; eligibility, election, oath
2.8K chars
§282. Board of directors; eligibility, election, oath A. At least a majority of the board of directors shall be domiciliaries of Louisiana. B. Before entering upon his duties, each director elected or appointed shall take an oath that he will administer the affairs of the bank ho…
La. Rev. Stat. § 6:283 Meetings of the board; quorum, written consent
4.5K chars
§283. Meetings of the board; quorum, written consent A. The meetings of the board of directors may be held at such place, whether in this state or elsewhere, as a majority of the directors may from time to time appoint or as may be fixed in the call of the meeting. B.(1) Such not…
La. Rev. Stat. § 6:284 Committees of the board of directors
1.0K chars
§284. Committees of the board of directors The board of directors may designate one or more committees, each committee to consist of two or more of the directors of the bank, which to the extent provided by resolution or in the articles or bylaws shall have the powers of the boar…
La. Rev. Stat. § 6:284.1 Compliance review committees; privilege created
1.2K chars
§284.1. Compliance review committees; privilege created A. A board of directors may create a compliance review committee for the purpose of establishing procedures for and engaging in self-evaluations, self-assessments, self-testing, and self-corrections with respect to complianc…
La. Rev. Stat. § 6:285 Officers and agents; election, powers, duties
3.0K chars
§285. Officers and agents; election, powers, duties A. The board of directors shall elect a president or chief executive officer, a cashier or chief financial officer, and a secretary, who shall each be a different person, and shall elect a chairman of the board. One or more vice…
La. Rev. Stat. § 6:286 Indemnification of officers, directors, employees, and agents
7.9K chars
§286. Indemnification of officers, directors, employees, and agents A.(1) Except as provided in Paragraph (4), a state bank may indemnify an individual made a party to a proceeding because he is or was a director against liability incurred in the proceeding if: (a) He conducted h…
La. Rev. Stat. § 6:287 Bond of officers and employees; insurance fund
1.7K chars
§287. Bond of officers and employees; insurance fund A. Every state bank shall obtain and maintain a fidelity bond given by a surety company authorized to do business in Louisiana covering each officer and employee who has charge of or who handles cash or securities of the bank, …
La. Rev. Stat. § 6:288 Interested directors; quorum
1.4K chars
§288. Interested directors; quorum A. No contract or transaction between a state bank and one or more of its directors or officers, or between a state bank and any other person in which one or more of its directors or officers are directors or officers or have a financial interes…
La. Rev. Stat. § 6:289 Loans to executive officers and employees
3.3K chars
§289. Loans to executive officers and employees A. No executive officer, director, or principal shareholder of any state bank shall borrow any of its funds, which term includes a line of credit, directly or indirectly for himself or for any corporation or other entity of which he…
La. Rev. Stat. § 6:290 Directors' examinations
0.4K chars
§290. Directors' examinations Every twelve months the board of directors of every state bank shall examine or cause a committee of its members to examine said bank in accordance with the provisions prescribed by rule promulgated by the commissioner of financial institutions. Acts…
La. Rev. Stat. § 6:291 Relation and liability of directors and officers to bank and bank holding company
2.9K chars
§291. Relation and liability of directors and officers to bank and bank holding company stockholders A. Bank and bank holding company officers and directors shall be deemed to stand in a fiduciary relation to their bank or bank holding company and its stockholders and shall disch…
La. Rev. Stat. § 6:292 Directors or stockholders not participating in unlawful act
0.5K chars
§292. Directors or stockholders not participating in unlawful act A director or stockholder shall not be liable for the commission of a prohibited act if he was absent from the meeting of directors or stockholders, as the case may be, at which the action was authorized or if he w…
La. Rev. Stat. § 6:293 Actions against directors and officers of banks and bank holding companies
2.1K chars
§293. Actions against directors and officers of banks and bank holding companies A. No action for damages against any director or officer of a bank or bank holding company for breach of the director's or officer's contract with the bank or bank holding company in the capacity of …
La. Rev. Stat. § 6:3 Effect on existing banks
0.5K chars
§3. Effect on existing banks The certificates of authority of state banks existing at the time of the effective date of this law shall continue in full force and effect, but all state banks and to the extent applicable all banks shall thereafter be operated in accordance with the…
La. Rev. Stat. § 6:301 Cash reserves
4.4K chars
§301. Cash reserves A. For the purpose of the reserve requirements provided in this Section, the terms: (1) "Demand deposits" means the aggregate of deposits which can be required to be paid on demand or within less than fourteen days of demand; however, deposits made in the savi…
La. Rev. Stat. § 6:302 Depleted reserve; notice, penalty
0.9K chars
§302. Depleted reserve; notice, penalty A. Every state bank shall give written notice to the commissioner, in the manner prescribed by the commissioner for such notice, of any deficiency in the reserve fund required under the provisions of this Title within three business days af…
La. Rev. Stat. § 6:303 Sale and purchase of excess reserves; reports
1.4K chars
§303. Sale and purchase of excess reserves; reports A.(1) A state bank may sell any of its excess reserves to any other bank or banks in an amount to each bank that is equal to twice the sum of the capital stock and the surplus of the vendor bank. (2) Notwithstanding any other pr…
La. Rev. Stat. § 6:311 Types of accounts authorized to offer
0.7K chars
§311. Types of accounts authorized to offer State banks may offer any type of deposit accounts, interest-bearing or not, that are consistent with the provisions of this law, rules and regulations of the commissioner, or applicable rules and regulations of the Federal Deposit Insu…
La. Rev. Stat. § 6:311.1 Powers of attorney, procuration, and mandate; written notice of revocation
1.4K chars
§311.1. Powers of attorney, procuration, and mandate; written notice of revocation A.(1) Notwithstanding any provision of law to the contrary, any federally insured financial institution presented with an original or certified true copy of a power of attorney, procuration, or man…
La. Rev. Stat. § 6:312 Alternative deposits; payment
3.1K chars
§312. Alternative deposits; payment A. When a deposit is made in any bank under the names of two or more persons payable to any one of such depositors, that deposit or any part of it or any interest or dividend on it may be paid to any one of such depositors, whether the other de…
La. Rev. Stat. § 6:313 Withdrawal of money or property deposited by or for minors
0.4K chars
§313. Withdrawal of money or property deposited by or for minors Any money or other property deposited by a minor or other person in the name of a minor with a bank may be withdrawn by the minor or other person in the manner and under the terms of the written instructions given a…
La. Rev. Stat. § 6:314 Trust deposits; death of depositor; payment
2.7K chars
§314. Trust deposits; death of depositor; payment A. Upon the death of a depositor who has deposited a sum in any bank account evidencing by the depositor's signature an intention that upon the death of the depositor, the funds shall belong to one or more named beneficiaries of t…
La. Rev. Stat. § 6:315 Adverse claims to deposit; procedure, indemnifying bond
2.5K chars
§315. Adverse claims to deposit; procedure, indemnifying bond A. Notice to any bank of an adverse claim, including an adverse claim of ownership of, right to control, or access to funds, to a deposit standing on the books of the bank to the credit of any person does not require t…
La. Rev. Stat. § 6:315.1 Transfer of small deposits; death of depositor; affidavits required; penalties
1.8K chars
§315.1. Transfer of small deposits; death of depositor; affidavits required; penalties A. Upon the death of a depositor who dies intestate and who has deposits standing in his name alone or jointly with a surviving spouse and heirs, if any, in any depository financial institution…