The bill enacted as R.S. 51:1429 addresses unfair and deceptive trade practices specifically related to real estate service agreements for residential properties. It prohibits individuals from securing obligations in these agreements through security interests, liens, or mortgages against residential immovable property, as well as from recording such agreements in mortgage or conveyance records. Violations of these provisions are classified as deceptive and unfair trade practices, subjecting violators to penalties outlined in the existing law. Additionally, any obligations arising from these agreements will not constitute real rights and will be deemed ineffective against third parties, regardless of whether the agreement is recorded.

The bill also establishes that any mortgage intended to secure obligations from a real estate service agreement is null and void. It allows interested parties to petition the court to cancel any unauthorized security interests or to remove recorded agreements from public records. Importantly, the bill clarifies that it does not authorize real estate brokers or salespersons to record liens against residential properties for commission payments. Exceptions to the bill include liens for commercial real estate commissions, options to purchase, and agreements to manage residential real estate.