law
Real Estate Recovery Fund (Louisiana)
Louisiana's last-resort fund under R.S. 37:1460 and following for consumers who win a court judgment against a licensee and cannot collect it. It pays actual damages only, not attorney fees, court costs or punitive damages. Limits are the lesser of the unpaid judgment or $20,000 per claim, $20,000 total per transaction, and $50,000 lifetime per licensee. The claimant must apply within 180 days after the judgment becomes final. Any payment automatically revokes the licensee's license.
- Exam tip
- Read whether the question asks per claim, per transaction or per licensee. Attorney fees and punitive damages are never paid, and payment means automatic revocation.
- Example
- A buyer ($18,000) and a lender ($12,000) are both harmed in one sale; together they can recover only $20,000 from the fund, for example $12,000 and $8,000.
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Last verified: 2026-10-23