[Document title]
LOUISIANA TITLE INSURANCE EXAM ACTUAL 2025/2026
QUESTIONS AND 100% CORRECT ANSWERS
Section 1: Louisiana Civil Law & Property Concepts (Questions 1–20)
1. Under Louisiana law, which ownership interest is unique due to the state's
civil law heritage?
A. Tenancy in common
B. Joint tenancy
C. Ownership in Indivision and Usufruct
D. Fee simple absolute
Answer: C. Ownership in Indivision and Usufruct.
Rationale: Louisiana's civil law system, derived from the Napoleonic Code,
recognizes "Ownership in Indivision" and "Usufruct" as unique legal concepts not
found in common law states. These reflect the state's French and Spanish colonial
heritage.
2. In Louisiana, what is the civil law equivalent of "consideration" in common
law contracts?
A. Acceptance
B. Cause
C. Offer
D. Obligation
Answer: B. Cause.
Rationale: In Louisiana's civil law system, "cause" is the reason why a party
obligates themselves in a contract, which is analogous to "consideration" in
common law jurisdictions.
3. Death of a usufructuary, or destruction of the object of the usufruct, will have
what effect on a usufruct?
A. It will continue with the heirs
,[Document title]
B. It will terminate
C. It will convert to full ownership
D. It will require court approval to continue
Answer: B. It will terminate.
Rationale: A usufruct is a personal right that terminates upon the death of the
usufructuary or destruction of the property subject to the usufruct. The naked
owner then obtains full ownership rights.
4. Lack of legal capacity makes a contract:
A. Absolutely null
B. Relatively null
C. Void
D. Unenforceable
Answer: B. Relatively null.
Rationale: In Louisiana civil law, contracts entered into by persons lacking legal
capacity (unemancipated minors, interdicts, persons deprived of reason) are
relatively null—meaning they are voidable, not automatically void.
5. All persons have legal capacity to contract EXCEPT:
A. Persons over 65
B. Persons deprived of reason at the time of the contract, interdicts, and
unemancipated minors
C. Married persons
D. Non-residents of Louisiana
Answer: B. Persons deprived of reason at the time of contract, interdicts, and
unemancipated minors.
Rationale: These three categories—persons deprived of reason, interdicts (those
under legal guardianship), and unemancipated minors—lack legal capacity and
their contracts are relatively null.
,[Document title]
6. A contract in which the party who accepts an obligation of the other does not
assume a reciprocal obligation is called a(n):
A. Bilateral contract
B. Unilateral contract
C. Aleatory contract
D. Commutative contract
Answer: B. Unilateral contract.
Rationale: A unilateral contract is one where only one party makes a promise or
undertakes an obligation without receiving a reciprocal obligation in return.
7. An offer with a termination date for the offer in Louisiana is said to be:
A. Revocable
B. Irrevocable
C. Conditional
D. Expired
Answer: B. Irrevocable.
Rationale: Under Louisiana law, when an offer includes a specified time for
acceptance, it is considered irrevocable during that period. The offeror cannot
withdraw the offer before the expiration date.
8. Acceptance of an irrevocable offer occurs:
A. When the offer is mailed
B. When the offer is signed and received by the offeror
C. When the offer is drafted
D. When the offer is notarized
Answer: B. When the offer is signed and received by the offeror.
Rationale: Acceptance is effective when the offeree signs the offer and it is
actually received by the offeror. This aligns with Louisiana's civil law approach to
contract formation.
, [Document title]
9. If two or more persons own the same piece of property, each has an
undivided share. This is referred to as a(n):
A. Joint tenancy
B. Tenancy by the entirety
C. Undivided interest (Ownership in Indivision)
D. Separate property
Answer: C. Undivided interest (Ownership in Indivision).
Rationale: In Louisiana, when multiple persons own property together with
undivided shares, this is called ownership in indivision, which is similar to tenancy
in common in common law states.
10. A contract to sell real property that requires the purchase price to be paid in
installments and title to be delivered to the buyer only after a stipulated sum
has been paid or the term is met is called a:
A. Lease-purchase
B. Bond for Deed
C. Option contract
D. Installment sale
Answer: B. Bond for Deed.
Rationale: A Bond for Deed is a specific Louisiana instrument where the buyer
makes installment payments and receives title only after full payment. It is an
important concept for title professionals to understand.
11. For a lessee to get a security deposit back, they must:
A. File a formal demand letter
B. Do nothing; the lessor is required to return the deposit within 30 days
C. File suit in small claims court
D. Provide a forwarding address within 10 days
Answer: B. Do nothing; the lessor is required to return the deposit within 30
days of the end of the lease.
Rationale: Under Louisiana law, the lessor has an affirmative obligation to return
LOUISIANA TITLE INSURANCE EXAM ACTUAL 2025/2026
QUESTIONS AND 100% CORRECT ANSWERS
Section 1: Louisiana Civil Law & Property Concepts (Questions 1–20)
1. Under Louisiana law, which ownership interest is unique due to the state's
civil law heritage?
A. Tenancy in common
B. Joint tenancy
C. Ownership in Indivision and Usufruct
D. Fee simple absolute
Answer: C. Ownership in Indivision and Usufruct.
Rationale: Louisiana's civil law system, derived from the Napoleonic Code,
recognizes "Ownership in Indivision" and "Usufruct" as unique legal concepts not
found in common law states. These reflect the state's French and Spanish colonial
heritage.
2. In Louisiana, what is the civil law equivalent of "consideration" in common
law contracts?
A. Acceptance
B. Cause
C. Offer
D. Obligation
Answer: B. Cause.
Rationale: In Louisiana's civil law system, "cause" is the reason why a party
obligates themselves in a contract, which is analogous to "consideration" in
common law jurisdictions.
3. Death of a usufructuary, or destruction of the object of the usufruct, will have
what effect on a usufruct?
A. It will continue with the heirs
,[Document title]
B. It will terminate
C. It will convert to full ownership
D. It will require court approval to continue
Answer: B. It will terminate.
Rationale: A usufruct is a personal right that terminates upon the death of the
usufructuary or destruction of the property subject to the usufruct. The naked
owner then obtains full ownership rights.
4. Lack of legal capacity makes a contract:
A. Absolutely null
B. Relatively null
C. Void
D. Unenforceable
Answer: B. Relatively null.
Rationale: In Louisiana civil law, contracts entered into by persons lacking legal
capacity (unemancipated minors, interdicts, persons deprived of reason) are
relatively null—meaning they are voidable, not automatically void.
5. All persons have legal capacity to contract EXCEPT:
A. Persons over 65
B. Persons deprived of reason at the time of the contract, interdicts, and
unemancipated minors
C. Married persons
D. Non-residents of Louisiana
Answer: B. Persons deprived of reason at the time of contract, interdicts, and
unemancipated minors.
Rationale: These three categories—persons deprived of reason, interdicts (those
under legal guardianship), and unemancipated minors—lack legal capacity and
their contracts are relatively null.
,[Document title]
6. A contract in which the party who accepts an obligation of the other does not
assume a reciprocal obligation is called a(n):
A. Bilateral contract
B. Unilateral contract
C. Aleatory contract
D. Commutative contract
Answer: B. Unilateral contract.
Rationale: A unilateral contract is one where only one party makes a promise or
undertakes an obligation without receiving a reciprocal obligation in return.
7. An offer with a termination date for the offer in Louisiana is said to be:
A. Revocable
B. Irrevocable
C. Conditional
D. Expired
Answer: B. Irrevocable.
Rationale: Under Louisiana law, when an offer includes a specified time for
acceptance, it is considered irrevocable during that period. The offeror cannot
withdraw the offer before the expiration date.
8. Acceptance of an irrevocable offer occurs:
A. When the offer is mailed
B. When the offer is signed and received by the offeror
C. When the offer is drafted
D. When the offer is notarized
Answer: B. When the offer is signed and received by the offeror.
Rationale: Acceptance is effective when the offeree signs the offer and it is
actually received by the offeror. This aligns with Louisiana's civil law approach to
contract formation.
, [Document title]
9. If two or more persons own the same piece of property, each has an
undivided share. This is referred to as a(n):
A. Joint tenancy
B. Tenancy by the entirety
C. Undivided interest (Ownership in Indivision)
D. Separate property
Answer: C. Undivided interest (Ownership in Indivision).
Rationale: In Louisiana, when multiple persons own property together with
undivided shares, this is called ownership in indivision, which is similar to tenancy
in common in common law states.
10. A contract to sell real property that requires the purchase price to be paid in
installments and title to be delivered to the buyer only after a stipulated sum
has been paid or the term is met is called a:
A. Lease-purchase
B. Bond for Deed
C. Option contract
D. Installment sale
Answer: B. Bond for Deed.
Rationale: A Bond for Deed is a specific Louisiana instrument where the buyer
makes installment payments and receives title only after full payment. It is an
important concept for title professionals to understand.
11. For a lessee to get a security deposit back, they must:
A. File a formal demand letter
B. Do nothing; the lessor is required to return the deposit within 30 days
C. File suit in small claims court
D. Provide a forwarding address within 10 days
Answer: B. Do nothing; the lessor is required to return the deposit within 30
days of the end of the lease.
Rationale: Under Louisiana law, the lessor has an affirmative obligation to return
