Louisiana Senate passes proposed bill that would let the state create business courts
Nov 15, 2024
BATON ROUGE, La. (BRPROUD) -- The Louisiana Senate approved a proposed constitutional amendment in a 30-6 vote Thursday that would allow lawmakers to create new specialized courts. It still requires House approval before being put on the ballot for voters statewide.
Senate Bill 1, authored by State Sen. Jay Morris, R-West Monroe, proposes creating new courts like business courts to handle business-related cases.
"Twenty-seven states have business courts to handle complex or highly specialized cases, including Texas recently enacted one, and right now under our constitution we can only create a court that had parish-wide jurisdiction, nothing beyond that," said Morris.
Examples given by Morris about the types of cases business courts would handle included tax cases, shareholder derivative suits and cases involving $10 million or more.
State Sen. Gary Carter, D-New Orleans, said concerns he's heard about was that this proposed constitutional amendment could be a way to create a court made up of multiple jurisdictions to take power from current judges serving in New Orleans.
"If it complies with the law and you can get two-thirds vote, I can't say that would never happen, but I don't contemplate it happening," said Morris.
Morris said the governor wanted lawmakers to have the ability to create veterans courts, mental health courts and business courts.
In response, Carter said the Louisiana Supreme Court website shows that veterans and drugs courts already exist, adding, "There's nothing prohibiting anyone from trying to create a business court in the state of Louisiana, and doing so under current law will requires a simple majority vote, granted it would be limited to a parish, but isn't it true that any one of us can introduce legislation with a simple majority and create a business court just like they've created veterans courts, drugs courts and so forth?"
Morris told Carter that could happen but "it wouldn't be particularly effective" for rural areas of the state that couldn't afford a business court.
"There are only a handful of parishes that could, and even then we don't want to create a court whose territorial jurisdiction is so limited that it can't hear cases from across the state," he said.
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An amendment to the bill suggested by Sen. Jay Luneau, D-Pineville, was accepted to give the Supreme Court the power to discipline lawyers from out of state.
The latest version of the bill shows a change in the potential election date the proposed constitutional amendment could appear on ballots from Nov. 15, 2025, to March 29, 2025, or another statewide election.
The proposed constitutional amendment would need a two-thirds vote from state House and Senate lawmakers. If approved by lawmakers, voters would decide on the proposal in a statewide election.
Right before the vote, Morris clarified that the proposed constitutional amendment does not contemplate nor allow the appointment of judges.
The House Committee on Judiciary is scheduled to take up the bill on Monday, Nov. 18.
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