Detailed Answer
Under Louisiana law, you must formally include a decedent’s immovable property in the succession mass and, if necessary, sell it at public auction (licitation) to satisfy valid estate claims. Follow these steps:
Step 1: Open the Succession and Notify Creditors
File a petition to open succession in the district court of the parish where the decedent was domiciled. The court will issue notices to known creditors and publish a general notice. Creditors have six months from the date of notice to file claims. (See La. Civ. Code arts. 1019–1021.)
Step 2: Inventory and Appraisal of Assets
The court appoints two appraisers to conduct a judicial inventory of all estate assets, including real property. They itemize, value and describe each parcel. Once complete, the court homologates (approves) the inventory. (See La. Civ. Code Proc. arts. 3231–3232.)
Step 3: Determine the Need to Sell Immovable Property
After inventory, compare estate liabilities with movable assets. If movables are insufficient to satisfy debts and expenses, petition the court to authorize the sale of immovable property. The judge may order a sale at licitation per La. Civ. Code art. 815.
Step 4: Initiate Partition and Sale (Licitation)
File a petition for partition and sale with the district court. The court issues citations to interested parties and orders the property appraised for reserve price. It then sets a date for public auction. (See La. Civ. Code Proc. art. 3431.)
Step 5: Auction and Distribution of Proceeds
On auction day, the highest bidder wins, provided the bid meets or exceeds the court-set minimum. Sale proceeds go first to pay debts, administration costs, and homestead allowances in statutory priority. Any surplus distributes to heirs or legatees. (See La. Civ. Code arts. 3101–3102.)
Disclaimer: This article is for informational purposes only and does not constitute legal advice. Consult a licensed attorney for guidance on your specific situation.
Helpful Hints
- Gather detailed property records (deeds, surveys) before appraisal.
- Hire appraisers experienced in Louisiana immovable property.
- Track all creditor deadlines closely; late claims may be barred.
- Consider alternatives like private sale if heirs unanimously agree.
- Keep detailed records of all court filings, notices and auction results.