Key facts
- Civil damages ruleA drawer who fails to pay a dishonored check within the notice period is liable to the payee for twice the amount owing, or 100 dollars, whichever is greater, plus attorney fees and court costs.[1]
- Felony threshold amountChecks of more than 1,000 dollars move into the tier punishable by imprisonment with or without hard labor for up to 5 years; checks under 1,000 dollars carry up to 6 months ($1,000).[2]
- Misdemeanor penaltyUnder La. R.S. 14:71, a check under 1,000 dollars draws a fine up to 500 dollars or up to 6 months imprisonment; amounts over 1,000 dollars can draw imprisonment with or without hard labor, rising to up to 20 years and fines up to 50,000 dollars at 25,000 dollars or more.[2]
- Notice period15 working days after receipt of a written demand sent by certified or registered mail (15 days).[1]
- Prosecution notice requirementFailing to pay a check within 10 days after notice of nonpayment is sent by certified mail, or personally delivered, is presumptive evidence of intent to defraud.[2]
- Service fee maximum25 dollars, or 5 percent of the face amount of the check, whichever is greater.[1]
- Statute citationLa. Rev. Stat. Ann. Section 14:71[2]
Lending rules in Louisiana: Louisiana lending laws.
Sources
- Louisiana State Legislature. RS 9:2782 - Nonsufficient fund checks; damages, attorney fees.
- Louisiana State Legislature. RS 14:71 - Issuing worthless checks.