Do you need an attorney or notary to close in Louisiana?

What the law requires

The form of the sale. A sale or promise of sale of an immovable “must be made by authentic act or by act under private signature” (Art. 2440; Art. 1839). An authentic act is a writing executed before a notary public in the presence of two witnesses, signed by each party, each witness and the notary (Art. 1833). The sale affects third parties only once it is recorded in the conveyance records of the parish where the property sits (Arts. 1839, 3338). In Orleans Parish, acts of sale are first filed at the Clerk of Court’s Notarial Archives Division and then forwarded for indexing (Orleans Parish Clerk).

What a notary may do. Notaries may “receive wills, make protests, matrimonial contracts, conveyances, and generally, all contracts and instruments of writing” (R.S. 35:2(A)(1)(b)). An act a notary executes under Art. 1833 is an authentic act (R.S. 35:2(A)(2)). The Secretary of State commissions notaries. Applicants must pass a state exam unless they are licensed to practice law in Louisiana (Secretary of State; R.S. 35:191). So a Louisiana notary may or may not be a lawyer.

What counts as practicing law. R.S. 37:212(A)(2) says that, for pay, the following is the practice of law:

• advising someone about secular law;
• drawing a document “affecting or relating to secular rights” on another person’s behalf;
• giving a title opinion used for title insurance, and “the preparation of acts of sale, mortgages, credit sales or any acts or other documents passing titles to or encumbering immovable property.”

The statute says nothing in it prohibits a person from caring for his own business, or a notary from doing “any act necessary or incidental to the exercise of the powers and functions of the office of notary public” (R.S. 37:212(B)). Anyone not admitted to the bar who practices law commits an offense punishable by a fine of up to $1,000, up to two years in prison, or both (R.S. 37:213).

Title insurance. R.S. 37:212(B) adds that “every title insurance contract relating to immovable property must be based upon the certification or opinion of a licensed Louisiana attorney.” A buyer who wants an owner’s or lender’s policy therefore has an attorney review the title. See title insurance explained.

Who conducts the closing in practice

Putting these rules together:

In other words, the code does not say “you must hire a closing attorney.” But drafting the act and certifying title are legal work that only a licensed lawyer may do for pay, so a lawyer is built into a normal closing. The closing disclosure lists the title and settlement fees.

What does the attorney or notary cost?

I found no statute or official schedule that sets a fee for a Louisiana closing attorney or notary. The charge depends on the closing office, the complexity of the title and whether a title policy and a loan are involved. Ask each office for a written quote, and compare it to the title and settlement lines on your Loan Estimate. See closing costs in Louisiana.

When is your own attorney worth it?

The closing attorney is hired to complete the transaction. Consider your own counsel to advise you personally if:

• the title has liens, a succession (inheritance) or a community-property question (see community property);
• you are selling a home you inherited or hold with co-owners;
• the seller disclosed serious defects, or you want to waive redhibition rights (see seller disclosure);
• you are drafting a contract outside the standard forms.

A lawyer can advise on your specific facts.