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, and also forbids the recording of 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 relevant chapter of Louisiana law. Additionally, any obligations arising from these agreements are deemed ineffective against third parties, and any related mortgages are declared null.

The bill also allows interested parties to petition the court for a writ of mandamus to cancel any unauthorized security interests or to remove recorded real estate service agreements from public records. Importantly, the legislation clarifies that it does not authorize real estate brokers or salespersons to record liens against residential properties for commission payments. Certain exceptions are noted, including liens for commercial real estate commissions and agreements related to property management or purchase options. The act will take effect upon the governor's signature or after the designated period for bills to become law without a signature.