Louisiana debt statute of limitations

Louisiana limitation periods by type of debt

Louisiana uses civil-law prescription: open accounts are 3 years (art. 3494), promissory notes 5 years (art. 3498), and the general personal action 10 years (art. 3499).

What the Louisiana statute says

“Unless otherwise provided by legislation, a personal action is subject to a liberative prescription of ten years.”
La. Civ. Code art. 3499

“(2) An action for arrearages of rent and annuities; (3) An action on money lent; (4) An action on an open account; and (5) An action to recover underpayments or overpayments of royalties from the production of minerals”
La. Civ. Code art. 3494(3)-(4)

“Actions on instruments, whether negotiable or not, and on promissory notes, whether negotiable or not, are subject to a liberative prescription of five years. This prescription commences to run from the day payment is exigible.”
La. Civ. Code art. 3498

Does paying restart the clock in Louisiana?

Prescription is interrupted when the debtor acknowledges the creditor’s right (La. Civ. Code art. 3464).

“Prescription is interrupted when one acknowledges the right of the person against whom he had commenced to prescribe.”
La. Civ. Code art. 3464

Louisiana’s own debt collection law

Louisiana's collection-practices law (La. R.S. 9:3562) generally bars creditors, including consumer-credit creditors, from contacting third parties outside the debtor's household about the debt, subject to listed exceptions.

“the creditor, including, but not limited to the creditor in a consumer credit transaction, shall not contact any person other than an extender of credit or credit reporting agency who is not living, residing, or present in the household of the debtor regarding the debtor's obligation to pay a debt.”
La. R.S. 9:3562

If a creditor wins a judgment in Louisiana

The statute of limitations is a defense to the lawsuit. If the creditor sues within the deadline and wins — or wins by default because nobody answered — different Louisiana rules take over.

How long a judgment lasts

A Louisiana money judgment prescribes ten years after it is signed (or after it becomes final if appealed), but an interested party may revive it before it prescribes under Code of Civil Procedure art. 2031, and may do so as often as desired; each revived judgment is subject to a new ten-year period.

“Any party having an interest in a money judgment may have it revived before it prescribes, as provided in Article 2031 of the Code of Civil Procedure. A judgment so revived is subject to the prescription provided by the first paragraph of this Article.”
La. Civ. Code art. 3501

Wage garnishment

In Louisiana, 75% of a debtor's weekly disposable earnings is exempt from seizure, and the exemption is never less than 30 times the federal minimum hourly wage per week (prorated for other pay periods); support obligations are subject to a lower exemption.

“Seventy-five percent of his disposable earnings for any week, but in no case shall this exemption be less than an amount in disposable earnings which is equal to thirty times the federal minimum hourly wage in effect at the time the earnings are payable”
La. Rev. Stat. § 13:3881(A)(1)(a)

Small claims court

A Louisiana city court small claims division hears civil cases where the amount in dispute does not exceed $5,000, exclusive of interest, court costs, attorney fees, or penalties.

“A small claims division shall be a court not of record and shall have civil subject matter jurisdiction in cases where the amount in dispute does not exceed five thousand dollars, exclusive of interest, court costs, attorney fees, or penalties”
La. Rev. Stat. § 13:5202(A)

What to do next

1. Find the date of your last payment or account activity — that is usually when the clock started.
2. If a collector contacted you in the last 30 days, dispute in writing first: the validation letter generator asks the collector to verify the debt without admitting it.
3. Do not pay or sign anything on an old debt until you know how Louisiana treats a payment (above).
4. If you are sued, respond by the deadline on the summons and raise the statute of limitations as a defense.

Common questions

How long can a debt collector sue me in Louisiana?

3 years for credit-card debt and 10 years on a written contract, under La. Civ. Code art. 3494, 3498, 3499. The period usually runs from your last payment or the date of default.

Does a payment restart the clock in Louisiana?

Prescription is interrupted when the debtor acknowledges the creditor’s right (La. Civ. Code art. 3464).

Does Louisiana have its own debt collection law?

Louisiana's collection-practices law (La. R.S. 9:3562) generally bars creditors, including consumer-credit creditors, from contacting third parties outside the debtor's household about the debt, subject to listed exceptions. (La. R.S. 9:3562).

How long does a court judgment last in Louisiana?

A Louisiana money judgment prescribes ten years after it is signed (or after it becomes final if appealed), but an interested party may revive it before it prescribes under Code of Civil Procedure art. 2031, and may do so as often as desired; each revived judgment is subject to a new ten-year period. (La. Civ. Code art. 3501).

How much of my pay can be garnished in Louisiana?

In Louisiana, 75% of a debtor's weekly disposable earnings is exempt from seizure, and the exemption is never less than 30 times the federal minimum hourly wage per week (prorated for other pay periods); support obligations are subject to a lower exemption. (La. Rev. Stat. § 13:3881(A)(1)(a)).

What if I am sued on an old debt in Louisiana?

Respond by the deadline on the summons. An expired limitations period is a defense you generally have to raise yourself; a court that hears nothing from you can enter a default judgment.