Unless otherwise provided by law, the creditor may obtain a judgment against the debtor for any deficiency due on the debt after the distribution of the proceeds of the judicial sale only if the property has been sold under the executory proceeding after appraisal in accordance with the provisions of Article 2723.
Art. 2771.When Deficiency Judgment Obtainable
Book V. Summary and Executory Proceedings · Title II. Executory Proceedings · Chapter 6. Deficiency Judgment · Enacted 1989 · no amendments on record · Last verified July 30, 2026
In one sentenceArticle 2771 lets a creditor sue the debtor for whatever balance remains unpaid after an executory-process sale only if the property was sold following an appraisal that complied with Article 2723, denying that right whenever the sale went forward without one.
Full Text of Art. 2771
Amendment History
Acts 1989, No. 137, §18, eff. 9/1/1989.
Plain-English Summary
A judicial sale does not always bring in enough to cover what the debtor owes. When the proceeds fall short, the creditor may want to go after the debtor personally for the difference -- a deficiency judgment. Article 2771 decides when Louisiana law lets a creditor do that.
The rule turns entirely on whether the property was appraised before the sale, as Article 2723 requires. If the sale went forward after a proper appraisal, the creditor can pursue the debtor for the deficiency. If the sale happened without an appraisal, the creditor cannot obtain a deficiency judgment at all, no matter how large the shortfall between the sale price and the debt.
This is a debtor-protection rule at its core. A sale without appraisal carries more risk that the property sells for less than its worth -- fewer bidders show up, or the price is set with no independent benchmark -- and a debtor should not be on the hook for the difference between a bargain sale price and the full debt when nothing tested whether that price reflected the property's value. Article 2723 lets a creditor waive appraisal to move faster, but Article 2771 makes clear that convenience comes at the price of giving up any deficiency claim.
Creditors weighing whether to waive appraisal face a real tradeoff because of this article: an unappraised sale can close faster, but it caps the creditor's recovery at whatever the property brings, however far short of the debt that turns out to be. Article 2771 opens with the qualifier 'unless otherwise provided by law,' leaving room for other statutes to set different rules for particular kinds of collateral, but for an ordinary executory-process sale, appraisal is the gateway to a deficiency judgment.
Frequently Asked Questions
Can a Louisiana creditor sue for the remaining balance after a foreclosure-style sale?
Yes, but only if the property was sold after an appraisal that complied with Article 2723.
What happens if the creditor waived appraisal to sell the property faster?
No deficiency judgment is available at all, regardless of how large the shortfall between the sale price and the debt turns out to be.
Why does Louisiana condition deficiency judgments on appraisal?
To protect the debtor from being personally liable for the gap between the debt and the price from an unappraised, potentially underpriced, sale.
Is the appraisal requirement for a deficiency judgment absolute?
Article 2771 opens with the phrase 'unless otherwise provided by law,' leaving room for other statutes to set different rules for particular kinds of collateral.
Source & verification. Article text is reproduced verbatim from
the Louisiana Code of Civil Procedure (legis.la.gov). Enacted by the Louisiana Legislature.
Last verified July 30, 2026.
· Official source
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