Alabama Statutes

§ 7-2A-307 — Priority Over Lease Contract

Alabama·Title 7 Commercial Code·Art. 2A Leases·Part 3 Effect of Lease Contract
(1)Except as otherwise provided in Section 7-2A-306, a creditor of a lessee takes subject to the lease contract.
(2)Except as otherwise provided in subsection (3) and in Sections 7-2A-306 and 7-2A-308, a creditor of a lessor takes subject to the lease contract unless the creditor holds a lien that attached to the goods before the lease contract became enforceable.
(3)Except as otherwise provided in Sections 7-9A-317, 7-9A-321, and 7-9A-323, a lessee takes a leasehold interest subject to a security interest held by a creditor of the lessor.

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Legislative History

(Acts 1992, 2nd Ex. Sess., No. 92-700, p. 92, §307; Act 2001-481, p. 647, §2.)

Nearby Sections

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