Louisiana Revised Statutes 6:506 – Certificate of authority for branch office
Terms Used In Louisiana Revised Statutes 6:506
- Contract: A legal written agreement that becomes binding when signed.
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
A. Repealed by Acts 1988, No. 39, §2, eff. June 10, 1988.
B. An application for a certificate of authority to open a branch office shall be in the manner and in the form required by the commissioner.
C.(1) To determine whether to grant a certificate of authority for the establishment of a proposed branch office the commissioner shall consider:
(a) The financial history and condition of the applicant.
(b) The distribution and adequacy of the capital structure of the applicant.
(c) The future earning prospects of the applicant.
(d) The management of the applicant.
(e) The convenience and needs of the community or area in which the proposed branch office is to be located and the ability of that community or area to support additional facilities.
(f) The corporate powers of the applicant.
(g) Any other factors required by rule to be considered.
(2) If the commissioner finds, after considering the above factors, that the public interest will not be served by permitting the establishment of the proposed branch office, he shall refuse to issue the certificate of authority.
D. A bank may acquire a business engaging in any of the banking powers described in La. Rev. Stat. 6:242(A) and operate the facility as a branch upon submission of an application for a certificate of authority to the commissioner and approval thereof as provided herein. The facility may be operated as a branch even if the bank does not lend money, receive deposits, or pay checks at that location.
E. No bank, savings bank, or savings and loan association shall lease a branch office unless such lease contract contains provisions that allow the bank, savings bank, or savings and loan association to comply with La. Rev. Stat. 6:507.
Acts 1986, No. 8, §1; Acts 1988, No. 39, §2, eff. June 10, 1988; Acts 1997, No. 606, §1; Acts 2003, No. 53, §1, eff. May 23, 2003.