reglab/statecodes huggingface dataset:
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:542. Definitions

RS 6:542 - Definitions
The following definitions shall apply for purposes of this Part:
(1) "Bank" means a banking or similar corporation organized under the banking or currency laws of the United States of America or of this state which:
(a) Makes commercial or consumer loans; or
(b) Accepts deposits; and
(c) Is eligible for insurance by the Federal Deposit Insurance Corporation.
(2) "Bank holding company" means "bank holding company" as defined in R.S. 6:512(A)(1) and includes bank holding companies domiciled in other states.
(3) "Financial service center bank" means a bank organized and operating in accordance with the provisions of this Part.
(4)(a) "Louisiana borrower" or "Louisiana customer" means any of the following:
(i) A person domiciled in Louisiana.
(ii) A corporation, partnership, or trust organized under Louisiana law.
(iii) A corporation, partnership, or trust organized under the laws of another state which has its principal offices in Louisiana.
(iv) A Louisiana governmental agency or instrumentality.
(b) "Louisiana borrower" does not include a Louisiana guarantor of a loan to a borrower domiciled outside of Louisiana or an employee of the financial service center bank.
(5) "Resident" means anyone living in Louisiana at the time of acquiring a license of institution.
Acts 1987, No. 808, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:543. Limited exception to bank holding company acts

RS 6:543 - Limited exception to bank holding company acts
A. Notwithstanding any other law to the contrary, a bank holding company, including a bank holding company domiciled in another state, may establish one or more financial service center banks in Louisiana, provided that each financial service center bank limits its activities to those authorized under this Part and complies with the applicable requirements of R.S. 6:547.
B. Nothing in this Section or in this Part shall be construed to permit a bank holding company with principal offices outside of Louisiana to acquire, own, or control a bank in this state which is not a financial service center bank organized under this Part.
Acts 1987, No. 808, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:544. Organization of financial service center banks

RS 6:544 - Organization of financial service center banks
A. Financial service center banks shall be organized in the manner provided in Subchapter A of Chapter 3 of this Title, except that:
(1) The articles of incorporation of a financial service center bank shall expressly provide that such bank shall limit its activities to only those authorized in this Part.
(2) At least one of the organizers or directors of a financial service center bank must be a resident of Louisiana.
(3) A financial service center bank shall include the phrase "financial service center bank" in its corporate name.
(4) A financial service center bank organized under this Part shall have a minimum initial capital of five million dollars.
(5) A financial service center bank may not merge with or acquire another financial institution domiciled in this state, nor may a financial service center bank convert into another type of financial institution.
B. In addition to the criteria provided in R.S. 6:214, to the extent applicable, the commissioner shall consider the unemployment figures for the community in which the proposed financial service center bank is to be located when granting a charter for such an institution.
Acts 1987, No. 808, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:545. Powers and functions

RS 6:545 - Powers and functions
A. Financial service center banks shall have all of the powers and functions authorized in Part IV of Subchapter A of Chapter 3 of this Title, except that a financial service center bank or any subsidiary thereof may not:
(1) Make or purchase a loan or other extension of credit to a Louisiana borrower.
(2) Accept deposits from a Louisiana customer.
(3) Be the lessor of movable property to be initially located in this state.
(4) Perform trust services for a Louisiana customer.
(5) Perform discount brokerage services for a Louisiana customer.
(6) Advertise for loans, deposits, leases of movable property, trust or discount brokerage services, where such advertisements are primarily directed to Louisiana customers.
(7) Advertise in any manner, directly or indirectly, as being engaged in the business of banking in this state, unless such advertisements are primarily directed towards non-Louisiana residents or companies.
(8) Maintain teller windows or drive-up facilities at any location within this state.
(9) Own or operate electronic funds terminals at any location within this state.
B. Notwithstanding the provisions of R.S. 6:545(A)(1), a financial service center bank may purchase a participation interest in a loan or other extension of credit to a Louisiana borrower where such a participation interest is purchased from a bank or other lender domiciled outside of Louisiana or from a non-affiliated bank or savings and loan association with its principal offices in this state.
C. A financial service center bank may make a loan or other extension of credit to a non-Louisiana borrower that is secured by immovable or movable property located in Louisiana.
D. A financial service center bank may enter into agreements for sharing electronic funds terminals with financial institutions domiciled in this state, subject to the restrictions contained in R.S. 6:545(A)(9).
Acts 1987, No. 808, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:546. Additional powers; rate export

RS 6:546 - Additional powers; rate export
A. Financial service center banks shall have the following additional powers:
(1) To engage in permissible activities authorized under this Part in other states, including but not limited to the making of loans to non-Louisiana borrowers, without such activities being considered or criticized as being extra-territorial.
(2) To establish loan production offices at locations outside of Louisiana. All loans arranged by such loan production offices shall be approved in advance by the financial service center bank at its main office in Louisiana. While such loans may be closed in other states, the loan proceeds must be disbursed from Louisiana.
(3) To lease movable property to be initially located outside of Louisiana without limitation or restrictions. Financial service center banks may establish wholly-owned leasing subsidiaries for such purposes, which may have offices outside of Louisiana. Loans by financial service center banks to their wholly-owned leasing subsidiaries shall be exempt from the lending limit restrictions of R.S. 6:415.
(4) To provide discount brokerage services to non-Louisiana customers without limitation or restrictions and to establish wholly-owned discount brokerage subsidiaries for such purposes, which may have offices outside of Louisiana.
(5) To perform such additional activities as may be approved by regulations of the commissioner.
B.(1) Notwithstanding any other law to the contrary, there shall be no limitation on the amount or rates of interest that may be assessed by a financial service center bank in connection with any loan or other extension of credit.
(2) There shall be no limitation on the amount of additional fees and charges that may be assessed by a financial service center bank in connection with any loan or other extension of credit. Such additional fees and charges shall be deemed to be material to the determination of the interest rate for purposes of this Subsection and for purposes of the most favored lender doctrine of federal law.
(3) Financial service banks entering into loans and other extensions of credit may provide in their promissory notes or credit agreements that such transactions will be subject to the substantive laws of this state.
Acts 1987, No. 808, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:547. Additional requirements

RS 6:547 - Additional requirements
A. Except as provided in R.S. 6:547(B), a financial service center bank shall have:
(1) A minimum of twenty-five full-time employees in Louisiana of whom twenty shall be residents of Louisiana within twelve weeks from the time of commencement of business and continuously thereafter throughout its first year of operation.
(2) A minimum of fifty full-time employees in Louisiana of whom forty shall be residents of Louisiana by the end of the first full year of operation and continuously for one year thereafter.
(3) A minimum of seventy-five full-time employees in Louisiana of whom sixty shall be residents of Louisiana by the end of the second full year of operation and continuously for one year thereafter.
(4) A minimum of one hundred full-time employees in Louisiana of whom seventy-five shall be residents of Louisiana by the end of the third full year of operation and at all times thereafter.
B. All data processing activities of financial service center banks shall be performed in Louisiana by the financial service center bank, its Louisiana subsidiary, or by a bank holding company domiciled in Louisiana or by a subsidiary thereof. If the financial service center bank's data processing activities are performed by a bank holding company domiciled in Louisiana or a subsidiary thereof, such activity shall not be considered to constitute branch banking prohibited by R.S. 6:501, et seq. For financial service center banks whose data processing activities are performed by a Louisiana bank holding company or a subsidiary thereof, the employee requirements established in R.S. 6:547(A) shall be reduced to (1) twelve, (2) twenty-five, (3) thirty-seven, and (4) fifty full-time employees, respectively.
C. All credit related decisions by a financial service center bank shall be made in Louisiana.
D. All books and records and all loan documentation of a financial service center bank shall be maintained at its principal office in Louisiana and shall be available for inspection and examination by the office of financial institutions.
E. Financial service center banks shall be subject to taxation by the state in the same manner as state banks.
F. Unless otherwise provided in this Part or in regulations issued by the commissioner, financial service center banks shall be subject to all applicable laws of the state of Louisiana.
Acts 1987, No. 808, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.2. Foreign banking activities; authorized

RS 6:551.2 - Foreign banking activities; authorized
A foreign bank may open and operate a representative office, administrative office, agency, branch, subsidiary bank, or an Edge Act or agreement corporation or operate as an international banking facility in this state subject to the provisions of this Chapter and applicable federal law.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.3. Subsidiary bank; authorization

RS 6:551.3 - Subsidiary bank; authorization
A. A foreign bank may establish a subsidiary bank in this state subject to the provisions of this Chapter and applicable federal law.
B. A foreign bank may acquire a subsidiary bank in this state in accordance with the federal Bank Holding Company Act and other applicable federal and state law.
C.(1) A foreign bank may operate a subsidiary bank in this state by organizing a new bank in this state either under a charter issued by the office of the comptroller of the currency under the National Bank Act or a state charter issued by the commissioner of financial institutions.
(2) An application for a state-chartered subsidiary bank shall be submitted to the commissioner of financial institutions and shall comply with all applicable provisions of state law.
D. All deposits in the subsidiary bank shall be insured by the Federal Deposit Insurance Corporation.
E. A subsidiary bank of a foreign bank shall have the same banking powers, subject to the same restrictions, limitations, reporting, and other requirements as domestic banks and may engage in the same banking activities as other domestic banks.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.4. Edge Act or agreement corporation; authorization

RS 6:551.4 - Edge Act or agreement corporation; authorization
A. Any United States bank or foreign bank may organize or acquire a subsidiary to engage in international banking activities specifically authorized in the Edge Act. This subsidiary may be an Edge Act corporation chartered pursuant to federal law or an agreement corporation chartered under state law.
B. An agreement corporation is a corporation chartered under the provisions of this Chapter subject to the approval by the commissioner of financial institutions in which the corporation agreed with the board of governors of the federal reserve system to limit its activities to those permitted to an Edge Act corporation.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.6. Filing requirements

RS 6:551.6 - Filing requirements
Before transacting business in this state through a state agency, branch, or office a foreign bank shall file with the commissioner:
(1) A duly authenticated copy of its articles of incorporation and bylaws or other constitutive documents, and if a copy is in a language other than English, a translation of the document, under the oath of the translator, must be attached.
(2) A duly executed instrument, by its terms of indefinite duration and irrevocable, appointing the commissioner as its agent for service of process on whom a notice or process issued by a court in this state may be served in an action or proceeding relating to the business of the foreign bank in this state.
(3) A written certificate of designation, which may be changed from time to time by the filing of a new certificate of designation, specifying the name and address of the officer, agent, or other person to whom such notice or process shall be forwarded by the commissioner.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.7. Requirements to operate; fees

RS 6:551.7 - Requirements to operate; fees
A foreign bank may not maintain and operate a state agency, branch, or office in this state unless the foreign bank:
(1) Is authorized by its charter to carry on such a business and the foreign bank has complied with the laws of the country under which it is chartered.
(2) Has furnished to the commissioner proof of the nature and character of its business and of its financial condition that the commissioner requires.
(3) Has filed with the commissioner a certified copy of the information required by R.S. 6:551.6.
(4) Has paid an application fee to be determined by the commissioner as reasonable, fair, and sufficient for the management and oversight required by this Chapter.
(5) Has been issued a certificate of authority by the commissioner.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.8. Application required; contents

RS 6:551.8 - Application required; contents
A. To obtain a certificate of authority for, or authority to operate, a state agency, branch, or office, a foreign bank must submit to the commissioner an application which shall set forth:
(1) The name of the foreign bank, together with the country under the laws of which it was organized.
(2) The date of its incorporation and the period of its duration.
(3) The address of its principal office in the country under the laws of which it was organized.
(4) The name of other states and countries in which it is admitted or qualified to transact business.
(5) The names and addresses of its directors and principal officers.
(6) A complete and detailed statement of its financial condition including the actual value of its assets.
(7) A copy of any applications it is required to file with any federal agencies to establish the agency, branch, or office.
(8) Such additional information as may be necessary and appropriate or as may be required by the commissioner.
B. The approval of the Office of Financial Institutions shall be required to establish any subsequent state branches, agency offices, or other offices. The Office of Financial Institutions shall be authorized to promulgate any necessary rules and fees in order to provide for these additional locations.
C. Any applications or notifications filed under this Section shall also be filed with the Louisiana Tax Commission.
D. All applications, notifications, and correspondence filed with the Office of Financial Institutions shall be in English.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.9. Approval or disapproval of application

RS 6:551.9 - Approval or disapproval of application
A. The commissioner may approve or disapprove an application but may not approve an application unless the requirements of this Part relating to the foreign banks are met.
B. The commissioner may disapprove an application if he determines that:
(1) The foreign bank is organized in a country that does not permit banks organized under the laws of this state to undertake activities similar to those described in this Part; or
(2) Granting an application of a foreign bank would be detrimental to the public interest.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.10. Certificate of authority; transfer prohibited; display required

RS 6:551.10 - Certificate of authority; transfer prohibited; display required
A foreign bank may engage in the business authorized by the provisions of this Part for not more than one year after the date of the certificate of authority or until the certificate of authority is suspended or revoked. No such certificate of authority shall be transferable or assignable. Every such certificate of authority shall be, at all times, conspicuously displayed in the place of business specified in the certificate of authority.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.11. Renewal

RS 6:551.11 - Renewal
A certificate of authority may be renewed annually within thirty days before the expiration of such certificate of authority upon application to the commissioner. Such certificate of authority may be renewed upon a determination that the foreign bank is in a safe and satisfactory condition, that it has complied with the requirements of law with respect to the branch, agency, or office, that such renewal is duly authorized by proper corporate action, and that a renewal fee of one thousand dollars has been paid.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.12. Revocation and surrender

RS 6:551.12 - Revocation and surrender
A. A certificate of authority may be revoked by the commissioner at any time upon a determination that the foreign bank has not met the criteria established by R.S. 6:551.11 for the renewal of a certificate of authority.
B. In the event that a certificate of authority is revoked or a renewal refused by the commissioner, all rights and privileges of the foreign bank to transact the business thus granted through the certificate of authority shall cease, and such certificate of authority shall be surrendered to the commissioner within twenty-four hours after the licensee has received written notice of such decision.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.13. State agency; authorized actions

RS 6:551.13 - State agency; authorized actions
A foreign bank granted a certificate of authority to transact business in this state through a state agency may:
(1) Borrow and lend money with or without real or personal security.
(2) Purchase, sell, and make loans whether or not secured by bonds or mortgages on immovable property.
(3) Engage in foreign exchange transactions.
(4) Issue, advise, confirm, and otherwise deal with letters of credit and pay, accept, or negotiate drafts drawn thereunder.
(5) Accept bills of exchange or drafts.
(6) Buy or acquire and sell or dispose of but not discount bills of exchange, drafts, notes, acceptances, and other obligations for the payment of money.
(7) Maintain credit balances.
(8) Receive money for transmission and transmit the money from its authorized office in this state to any other place.
(9) Perform such other activities as the commissioner may from time to time determine are analogous or incidental to the foregoing; provided that the foreign bank corporation may not exercise fiduciary powers or receive deposits in this state and may not otherwise exercise banking or discounting privileges in this state.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.14. State representative office; authorization; permitted activities

RS 6:551.14 - State representative office; authorization; permitted activities
A. With the authorization of the commissioner of financial institutions, a foreign bank may, subject to approval from the Federal Reserve Board, establish a representative office in this state subject to the provisions of this Chapter and applicable federal law.
B. A representative office may engage in the following activities in this state:
(1) Promote and assist the deposit-taking, lending, or other financial or banking activities of a foreign bank.
(2) Serve as liaison in this state between a foreign bank and its existing or potential customers.
(3) Solicit business for the foreign bank and its subsidiaries and affiliates.
(4) Provide information to foreign bank customers concerning their accounts, answer questions, and receive applications for extensions of credit and other banking services, and transmit documents on behalf of customers.
(5) Make arrangements for customers to transact business on their accounts.
C. A representative office may not receive deposits, pay checks or other instruments, or make loans.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.15. State administrative office; authorization; permitted activities

RS 6:551.15 - State administrative office; authorization; permitted activities
A. With the authorization of the commissioner of financial institutions, a foreign bank may, subject to approval from the Federal Reserve Board, establish a state administrative office in this state subject to the provisions of this Chapter and applicable federal law.
B. An administrative office may engage only in the following activities:
(1) Administration of personnel and operations.
(2) Engage in data processing or recordkeeping activities.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.16. Branch banks and agencies

RS 6:551.16 - Branch banks and agencies
A. A federal agency or branch may engage in activities in this state as authorized under the International Banking Act of 1978, as amended, and any other applicable federal law.
B. A foreign bank may establish a state-authorized branch or agency in this state pursuant to a certificate of authority issued by the commissioner.
C. A state branch may establish one or more branches in this state to the same extent permitted banks from other states and shall have the same rights and privileges as federally licensed foreign branch banks. A federal branch shall maintain accounts and records separate from those of its parent foreign bank of which it is a branch.
D. A branch of a foreign bank operating in this state may not accept public deposits.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.17. State international banking facilities

RS 6:551.17 - State international banking facilities
A. Any branch or agency of a foreign bank, domestic bank, and any Edge Act or agreement corporation may establish and maintain a state international banking facility, subject to the authorization of the commissioner of financial institutions.
B. A state international banking facility is a separate set of accounts segregated on the books and records of such financial entity which includes only international time deposits and international loans, as well as income and expense accounts relating to its international loans and accounts.
C. An entity establishing a state international banking facility may accept deposits only in such facility from foreign residents, other international banking facilities, and other offices of the institution which created the state international banking facility. Deposits and extensions of credit shall be used only to support customer operations outside the United States.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.19. Paid-in capital; surplus; undivided profits

RS 6:551.19 - Paid-in capital; surplus; undivided profits
Before opening a branch, agency, or office in this state and annually thereafter so long as a branch, agency, or office is maintained in this state, a foreign bank granted a certificate of authority pursuant to this Part shall certify to the commissioner the amount of its paid-in capital, its surplus, and its undivided profits, each expressed in the currency of the country of its incorporations; the dollar equivalent of which amount, as determined by the commissioner, shall be deemed to be the amount of its capital, surplus, and undivided profits.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.20. Capital requirements

RS 6:551.20 - Capital requirements
Every foreign bank issued a certificate of authority to transact business in this state under the provisions of this Chapter shall comply with the following requirements, in addition to other requirements specifically provided in this Chapter:
(1) Except as provided in Paragraph (2) of this Subsection, a foreign bank shall have total capital accounts in the following minimum amounts:
(a) Twenty-five million dollars for the establishment of an agency, a branch, administrative office, agreement corporation, or international bank facility.
(b) Ten million dollars for the establishment of an international representative office.
(2) The commissioner of financial institutions may approve an application for a certificate of authority to establish an agency, branch, or office if:
(a) The foreign bank is licensed to receive deposits from the general public in the country where it is organized and licensed to engage in such other activities as are usual in connection with the business of banking in such country;
(b) The commissioner receives a certificate that is issued by the banking or supervisory authority of the country in which the foreign bank is organized and licensed which states that the foreign bank is duly organized and licensed and lawfully existing in good standing, and is empowered to conduct a banking business; and
(c) The foreign bank has been in the business of banking for at least ten years. However, the commissioner shall not approve any application under this Section for a foreign bank having capital accounts of less than ten million dollars.
(3) The commissioner may specify such other conditions as he determines appropriate, considering the public interest, the need to maintain a sound and competitive banking system, and the preservation of an environment conducive to the conduct of an international banking business in this state. In translating the capital accounts of a foreign bank, the commissioner may consider monetary corrections accounts that reflect results consistent with the requirements of generally accepted accounting principles in the United States.
(4) For the purpose of this Chapter, the capital accounts of a foreign bank shall be determined in accordance with rules adopted by the commissioner. In adopting such rules, the commissioner shall consider similar rules adopted by bank regulatory agencies in the United States and the need to provide reasonably consistent regulatory requirements for international banking corporations which will maintain the safe and sound condition of international banking corporations doing business in this state.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.21. Purchase of credit instruments

RS 6:551.21 - Purchase of credit instruments
Purchases and discounts of bills of exchange, bonds, debentures, and other obligations and extensions of credit and acceptances by an agency or branch within this state shall be subject to the same limitations as to amount in relation to capital, surplus, and undivided profits as are applicable to banks organized under the laws of this state; provided that with the prior approval of the commissioner, the capital notes and capital debentures of such foreign banks may be treated as capital in computing such limitations.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.22. Annual report and periodic reporting requirements

RS 6:551.22 - Annual report and periodic reporting requirements
A. Every foreign bank doing business in this state and subject to this Chapter shall, at such times and in such form as the commissioner shall prescribe, make written reports in the English language to the commissioner under the oath of one of its officers, managers, or agents transacting business in this state, showing the amount of its assets and liabilities and containing such other matters as the commissioner shall prescribe. If any foreign bank shall fail to make any such report, as directed by the commissioner, or if any such report shall contain any false statement knowingly made, the same shall be grounds for revocation of the certificate of authority of the foreign bank.
B. Every foreign bank operating in this state and subject to this Chapter shall file with the Office of Financial Institutions all periodic reports it is required to file with any federal agency.
C. The commissioner of the Office of Financial Institutions shall have the authority to require any foreign bank operating within Louisiana, which is subject to this Chapter, to provide to the Office of Financial Institutions annual audited financial statements of its total operations, as well as an audited special purpose financial presentation of its Louisiana operations detailed on a separate basis.
D. The commissioner of the Office of Financial Institutions is authorized to assess fees regarding the late filing of any required filings or reports.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.23. Termination

RS 6:551.23 - Termination
A. When a foreign bank which has been granted a certificate of authority to maintain an agency, branch, or office in this state is dissolved or its authority or existence is otherwise terminated or canceled in the jurisdiction of its incorporation, a certificate of the official responsible for records of banking corporations of the jurisdiction of incorporation of such foreign bank attesting to the occurrence of any such event or a certified copy of an order or decree of a court of such jurisdiction directing the dissolution of such foreign bank or the termination of its existence or the cancellation of its authority shall be delivered by the commissioner. The filing of the certificate, order, or decree shall have the same effect as the revocation of such foreign bank's certificate of authority.
B. The commissioner shall continue as agent of the foreign bank upon whom process against it may be served in any action based upon any liability or obligation incurred by the foreign bank within this state prior to the filing of such certificate, order, or decree; and the commissioner shall promptly cause a copy of such process to be mailed by registered or certified mail, return receipt requested, to such foreign bank at the post office address specified for such purpose on file with the commissioner.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:551.24. Rules and regulations

RS 6:551.24 - Rules and regulations
The commissioner may promulgate rules and regulations in accordance with the Administrative Procedure Act to provide for the regulation of bank agencies, branches, and representative offices and any other authorized offices of foreign banks operating in this state. Additionally, the commissioner may promulgate any necessary rules and regulations regarding fees and assessments to ensure that the costs of regulation of these entities are adequately recaptured.
Acts 2004, No. 420, §1.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:571. General authority

RS 6:571 - General authority
When authorized by the commissioner, a corporation may be chartered pursuant to the provisions of Chapter 3 of this Title for the purpose of becoming a trust company. The commissioner may apply the provisions of Chapter 3 of this Title, regarding state banks, and Chapters 1 and 22 of Title 12, the Business Corporations Law, and the law regarding limited liability companies, respectively, for purposes of administering and regulating the activities of trust companies and for purposes of voluntary and involuntary dissolution.
Acts 2003, No. 573, §1, eff. June 27, 2003.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:572. Definitions

RS 6:572 - Definitions
As used in this Chapter:
(1) "Trust business" means the holding out by a person to the public by advertising, solicitation, or other means that the person is available to perform any service of a fiduciary in this state or another state.
(2) "Trust company" means a corporation or a limited liability trust company organized under this Chapter, including a trust company organized under the laws of this state before June 27, 2003, or an entity chartered to act as a fiduciary that is neither a depository institution nor a foreign bank.
(3) "Trust office" means an office, other than the principal office, at which a trust company is licensed by the commissioner to act as a fiduciary.
(4) "Trust representative office" means an office of an out-of-state trust company at which the company has been authorized by the commissioner to engage in a trust business other than acting as a fiduciary. At these offices, a trust company is permitted to market and solicit trust services and provide office and administrative support to their trust operations, but may not act as a fiduciary at these offices, or anywhere in this state. Any account originated at such office shall be governed by the laws of the state in which the trust company is domiciled.
Acts 2003, No. 573, §1, eff. June 27, 2003.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:573. Organization

RS 6:573 - Organization
A. A trust company shall be organized pursuant to this Title and shall be managed and governed pursuant to this Chapter. The organizational documents of a trust company must contain the following statement: "This corporation, limited liability company, limited partnership or limited liability partnership is subject to Chapter 7-A of Title 6 of the Louisiana Revised Statutes of 1950, and does not have the power to solicit, receive, or accept money or its equivalent on deposit or to lend money, except for lending reasonably related to and derived from its service as fiduciary or its conduct of trust business." This organizational document must be submitted to the commissioner. Upon approval by the commissioner, organizational documents shall be submitted for filing in the same manner as provided by in R.S. 6:213.
B. Any charter which has been issued to a trust company becomes automatically canceled and must be returned to the commissioner immediately in the event the trust company becomes inactive or ceases to do the business for which it was chartered.
Acts 2003, No. 573, §1, eff. June 27, 2003.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:574. Capital

RS 6:574 - Capital
A. The commissioner shall not issue a charter to a trust company having required capital of less than two million dollars. Any trust company chartered pursuant to this Chapter shall maintain a minimum of two million dollars in capital at all times.
B. The commissioner may require additional capital for a proposed or existing trust company if he finds the condition and operations of an existing trust company or the proposed scope or type of operations of a proposed trust company requires additional capital. The safety and soundness factors to be considered by the commissioner in the exercise of such discretion include but are not limited to the following:
(1) The nature and type of business conducted.
(2) The nature and degree of liquidity in assets held in a corporate capacity.
(3) The amount of fiduciary assets under management.
(4) The type of fiduciary assets held and the depository of such assets.
(5) The complexity of fiduciary duties and degree of discretion undertaken.
(6) The competence and experience of management.
(7) The extent and adequacy of internal controls.
(8) The presence or absence of annual unqualified audits by an independent certified public accountant.
(9) The reasonableness of business plans for retaining or acquiring additional capital.
(10) The existence and adequacy of insurance obtained or held by the trust company for the purpose of protecting its clients, beneficiaries, and grantors.
C. The proposed effective date of an order requiring an existing trust company to increase its capital must be stated in the order. Unless the trust company requests a hearing before the commissioner in writing before the effective date of the proposed order, the order becomes effective and is final and nonappealable.
D. Any institution that fails to maintain capital in accordance with this Section may be subject to enforcement action. The course of action taken shall be determined by the commissioner and governed by this Title.
Acts 2003, No. 573, §1, eff. June 27, 2003.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:575. Powers

RS 6:575 - Powers
A. A trust company shall have all powers necessary to conduct fiduciary and trust functions. However, a trust company does not have the power to solicit, receive, or accept money or its equivalent on deposit, or to lend money, except in transactions reasonably related to and derived from its service as fiduciary.
B. A trust company may deposit cash, whether constituting principal or income, in any financial institution whether in Louisiana or any other state, if the account is held either in the name of the trust to which the cash belongs or in the name of the trust company, and is composed entirely of cash belonging to trust accounts, the respective contributions of which are reflected in the books and records of the trust company.
C. A trust company may not use as a part of the name or title under which its business is conducted or in designating its business the word or words "bank", "banker", or "banking" or the plural of or any abbreviation of those words. A trust company shall include as a part of its name the word "trust" unless otherwise approved by the commissioner for good cause shown.
Acts 2003, No. 573, §1, eff. June 27, 2003.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:576. New application, supervision, regulation, and examination of trust bank

RS 6:576 - New application, supervision, regulation, and examination of trust bank
A. One or more natural persons, the majority of whom must be domiciled in this state, desiring to incorporate and operate a trust company shall file with the commissioner an application for a certificate of authority to operate a trust company upon such form as the commissioner may prescribe. At the time the application is filed, the commissioner shall also collect a nonrefundable filing fee as prescribed by rules or regulations.
B. All trust companies organized under this Chapter shall be subject to the supervision, regulation, and examination of the commissioner, and the Office of Financial Institutions shall have all enforcement powers with respect thereto as provided in this Chapter. Fees for performing examinations and other administrative functions of the trust company shall be governed by rules and regulations promulgated by the commissioner.
C. The commissioner shall have the power to promulgate rules and regulations implementing the provisions of this Chapter.
D. A trust company may establish additional offices with the commissioner's approval. Application for such offices shall be submitted on a form prescribed by the commissioner and shall be accompanied by any applicable fee.
Acts 2003, No. 573, §1, eff. June 27, 2003.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:577. Trust companies chartered under prior law

RS 6:577 - Trust companies chartered under prior law
A. All provisions of this Chapter are applicable to all state-chartered trust companies domiciled in Louisiana, including existing trust companies.
B. The charter of a state-chartered trust company issued before the effective date of this Chapter shall be presented to the commissioner prior to December 31, 2003, for substitution.
Acts 2003, No. 573, §1, eff. June 27, 2003.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:578. Affiliates

RS 6:578 - Affiliates
A. Any person acting as a trustee or in any other fiduciary capacity under this Section may hire and compensate, as a delegate, an affiliate of such person if authorized by any of the following:
(1) A trust or fiduciary instrument.
(2) A court order.
(3) A written document signed by each affected client.
B. Fees paid to an affiliate shall be competitive with fees charged by non-affiliates that provide substantially similar services.
C. An affiliate shall include any of the following:
(1) A company that controls the trust company.
(2) A company that is controlled by the company that controls the trust company.
(3) A subsidiary of the trust company.
(4) A company controlled by a common shareholder who beneficially or otherwise controls the trust company or any company that controls the trust company.
(5) A company in which a majority of its directors are also a majority of the directors of the trust company or the company that controls the trust company.
(6) A company that is sponsored or advised on a contractual basis by the trust company or any subsidiary or affiliate of the trust company.
(7) An investment company in which the trust company or any affiliate of the trust company is an investment advisor.
D. An affiliate shall be subject to examination and visitation by the commissioner in the same manner as provided for by R.S. 6:123.
Acts 2003, No. 573, §1, eff. June 27, 2003.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:579. Self-dealing

RS 6:579 - Self-dealing
A. No contract or transaction between a trust company and one or more of its directors or officers, or between a trust company and any other person in which one or more of its directors or officers have a financial interest, shall be void or voidable solely for this reason or solely because his or their votes were counted for such purpose if either of the following occurs:
(1) The material facts as to his interest and as to the contract or transaction were disclosed or known to the board of directors or the committee, and the board or committee in good faith authorized the contract or transaction by a vote sufficient for such purpose without counting the vote of the interested director or directors, and the material facts as to his interest and as to the contract or transaction were disclosed or known to the stockholders entitled to vote thereon, and the contract or transaction was approved in good faith by vote of the stockholders.
(2) The contract was fair to the trust company as determined by the commissioner as of the time it was authorized, approved, or ratified by the board of directors, committee, or stockholders.
B. Common or interested directors may be counted in determining the presence of a quorum at a meeting of the board of directors or of a committee which authorized the contract or transaction.
Acts 2003, No. 573, §1, eff. June 27, 2003.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:580. Insurance coverage

RS 6:580 - Insurance coverage
A. A trust company shall obtain and maintain adequate insurance against loss, expense, and liability resulting from errors, omissions, or neglect in the performance of any trust which may be lawfully imposed upon and accepted by the trust company.
B. The board of a trust company shall require protection and indemnity for clients, in reasonable amounts, against dishonesty, fraud, defalcation, forgery, theft, and other similar insurable losses, with a corporate insurance or surety company that is authorized to do business in this state, and that is acceptable to the commissioner. The policy shall cover each executive officer, trust officer, or other employee who handles cash or securities of the trust company. No employee shall be permitted to enter upon the duties of their offices or employment until fidelity bond coverage has been secured. The bond shall be in an amount determined by the board of directors of the trust company and may be required to be within guidelines set forth by the commissioner.
C. Except as otherwise provided herein, coverage required under this Section must include each director, manager, managing participant, officer, and employee of the trust company without regard to whether the person receives salary or other compensation.
D. A trust company may apply to the commissioner for permission to eliminate the bonding requirement of this Section for a particular individual.
Acts 2003, No. 573, §1, eff. June 27, 2003.
2023 Louisiana Laws › Revised Statutes › Title 6 - Banks and Banking › §6:581. Capital notes or debentures

RS 6:581 - Capital notes or debentures
A. With the prior written approval of the commissioner, any trust company may at any time, through action of its board, and without requiring action of its shareholders or participants, issue and sell its capital notes or debentures, which shall be subordinate to the claims of depositories and may be subordinate to other claims, including the claims of other creditors or classes of creditors or the shareholders or participants. Capital notes or debentures may be convertible into shares or participation shares of any class or series. The issuance and sale of convertible capital notes or debentures are subject to satisfaction of preemptive rights, if any, to the extent provided by law.
B. The commissioner's prior approval shall be required to pay interest due or principal repayable on outstanding capital notes or debentures when the trust company is insolvent or operating in an unsafe and unsound condition, or if the proposed payment will cause the trust company to be in an unsafe and unsound condition or insolvent.
C. As provided by rule or regulation, the commissioner may establish limitations on the amount of outstanding capital notes and debentures that meet the requirements of this Section that may be included in equity capital as required by R.S. 6:574. The amount of any outstanding capital notes or debentures that meet the requirements of this Section and that are subordinated to unsecured creditors of the trust company may be included in equity capital of the trust company for purposes of determining hazardous condition or insolvency, and for such other purposes deemed appropriate by the commissioner.
Acts 2003, No. 573, §1, eff. June 27, 2003.