Wordsinstruckthroughtypearedeletionsfromexistinglaw;wordsunderscored are additions.

HLS 26RS-563 ENGROSSED HB NO.

489 dividends earned or declared on a securityin an account, a reinvestment account, or abrokerageaccount,whetherornotcreditedtotheaccountbeforetheowner'sdeath.

(b) A cash balance or other property held for or due to the owner of a security as a replacement for or product of an account security, whether or not credited to the account before the owner's death.

(6) "State" includes anystate of the United States, the District of Columbia, the Commonwealth of Puerto Rico, and any territory or possession subject to the legislative authority of the United States.

* * * §1711.2.

Registration in beneficiary form;

applicable law A.

Notwithstanding anyprovisions of law to the contrary, A a securitymay shall be registered in beneficiary form if the form is authorized by this or a similar statute of the state of organization of the issuer or registering entity, the location of the registering entity's principal office, the office of its transfer agent or its office making the registration, or bythis or a similar statute of the law of the state listed as the owner's address at the time of registration.

A registration governed bythe law of a jurisdiction in which this or similar legislation is not in force or was not in force when a registration in beneficiary form was made is nevertheless presumed to be valid and authorized as a matter of contract law.

* * * §1711.4.

Effect of registration in beneficiary form Aregistrationofasecurityinbeneficiaryformdoesnotconstituteadonation inter vivos or mortis causa.

A registration of a security in beneficiary form acts as a method of transfer subject to existing law and does not alter substantive rights related to community property or forced heirship.

A registration of a security in beneficiary form may be canceled or changed at any time by the sole owner or by any of the surviving owners without the consent of the beneficiary.

* * * Page 3 of 6 CODING:

Wordsinstruckthroughtypearedeletionsfromexistinglaw;wordsunderscored are additions.

HLS 26RS-563 ENGROSSED HB NO.

489 §1711.6.

Registering entity * * * C.(1) A registering entity shall not be held liable and is discharged from all claims to a security by the estate, surviving spouse, creditors, heirs, legatees, or forcedheirsofadeceasedownerifitregistersatransferofthesecurityinaccordance withthisChapteranddoesso in goodfaithrelianceontheregistrationinbeneficiary form, on this Chapter, and on information provided to it by affidavit of the succession representative of the deceased owner, or by the surviving beneficiary or by the surviving beneficiary's representatives.

(2) A registering entity shall not be held liable for failure to do any of the following:

(a) Investigate succession disputes.

(b) Determine heirship or forced heirship rights.

(c) Resolve community property claims.

(3) TheprotectionsofthisChapterdonotextendtoaregistrationorpayment made after a registering entity has received written notice from any claimant to any interest in the security objecting to implementation of a registration in beneficiary form.

No other notice or information available to the registering entity affects its right to protection under this Chapter.

* * * Section 2.

It is the intent of this legislature that Chapter 4 of Code Title I of Code Book III of Title 9 of the Louisiana Revised Statutes of 1950 be interpreted in the same manner as and in accordance with similar transfer-on-death provisions of the Louisiana Revised Statutes of 1950, including but not limited to accounts with banks as provided in R.S.

6:314, with savings associations as provided in R.S.

6:766.1, and with credit unions as provided in R.S.

6:653.1.

Page 4 of 6 CODING:

Wordsinstruckthroughtypearedeletionsfromexistinglaw;wordsunderscored are additions.

HLS 26RS-563 ENGROSSED HB NO.

489 Section 3.

This Act shall become effective upon signature bythe governor or, if not signedbythegovernor,uponexpirationofthetimeforbillstobecomelawwithoutsignature by the governor, as provided in Article III, Section 18 of the Constitution of Louisiana.

If vetoed bythe governorand subsequentlyapprovedbythe legislature, this Act shall become effective on the dayfollowing such approval.

DIGEST ThedigestprintedbelowwaspreparedbyHouseLegislative Services.

It constitutes nopart of the legislative instrument.

The keyword, one-liner, abstract, and digest do not constitute part of the law or proof or indicia of legislative intent.

[R.S.

1:13(B) and 24:177(E)] HB 489 Engrossed 2026 Regular Session Gadberry Abstract:

Provides with respectto "Transferof Death"(TOD) beneficiarydesignations for investment accounts.

Proposed law provides for legislative findings and purpose.

Present law defines "registering entity".

Proposed law amends this definition to include a custodian, financial advisor, or similarly- situated fiduciary maintaining security accounts for customers.

Present law provides the legal basis for the registration of a security in beneficiary form.

Proposed law clarifies that this legal basis applies notwithstanding any law to the contrary.

Present law provides that a security may be registered in beneficiary form if the form is authorized bythis or a similar statute of the state of organization of the issuer or registering entity, the location of the registering entity's principal office, the office of its transfer agent or its office making the registration, or by this or a similar statute of the law of the state listed as the owner's address at the time of registration.

Proposedlawamendspresentlawtoprovidethatasecurityshallberegisteredinbeneficiary form if the form is authorized by the above.

Present law provides for the effect of registering a security in beneficiary form.

Proposedlawclarifiesthatthisregistrationisamethodoftransfersubjecttoexistinglawand does not alter substantive rights related to community property and forced heirship.

Present law provides for when a registering entity may not be held liable for a transfer of a security to the authorized beneficiary.

Proposed law adds that the registering entityshall not be held liable for failure to do anyof the following:

(1) Investigate succession disputes.

(2) Determine heirship or forced heirship rights.

(3) Resolve community property claims.

Page 5 of 6 CODING:

Wordsinstruckthroughtypearedeletionsfromexistinglaw;wordsunderscored are additions.

HLS 26RS-563 ENGROSSED HB NO.

489 Proposed law provides for legislative intent.

Effective upon signature of governor or lapse of time for gubernatorial action.

(Amends R.S.

9:1711, 1711.2(A), 1711.4, and 1711.6(C)) Summary of Amendments Adopted by House The Committee Amendments Proposed by House Committee on Commerce to the original bill:

1.

Make technical changes.

2.

Require a security to be registered in beneficiaryform if the form is authorized by proposed law or a similar statute of the state of organization of the issuer or registering entity, the location of the registering entity's principal office, the office of its transfer agent or its office making the registration, or by proposed law or a similar statute of the law of the state listed as the owner's address at the time of registration.

3.

Remove proposed law that a registering entityshall not be held liable for failure to delay an authorized transfer-on-death unless pursuant to a court order or injunction.

Page 6 of 6 CODING: