Search is not available for this dataset
url
stringlengths 42
388
| state
stringclasses 51
values | path
stringlengths 83
10.4k
| title
stringlengths 34
2.24k
| content
stringlengths 0
2.39M
|
|---|---|---|---|---|
https://law.justia.com/codes/alabama/title-6/chapter-11/article-3/section-6-11-50/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 11 - Damages.›Article 3 - Structural Settlement Protection Act.›Section 6-11-50 - Short Title.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 11 - Damages. › Article 3 - Structural Settlement Protection Act. › Section 6-11-50 - Short Title.
|
Section 6-11-50
Short title.
This article shall be known and referred to as the "Structured Settlement Protection Act."
(Act 2006-628, p. 1714, §1.)
|
https://law.justia.com/codes/alabama/title-6/chapter-11/article-3/section-6-11-51/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 11 - Damages.›Article 3 - Structural Settlement Protection Act.›Section 6-11-51 - Definitions.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 11 - Damages. › Article 3 - Structural Settlement Protection Act. › Section 6-11-51 - Definitions.
|
Section 6-11-51
Definitions.
As used in this article the following words and terms shall have the following meanings:
(1) ANNUITY ISSUER. An insurer that has issued a contract to fund periodic payments under a structured settlement.
(2) DEPENDENTS. A payee's spouse and minor children and all other persons for whom the payee is legally obligated to provide support, including alimony.
(3) DISCOUNTED PRESENT VALUE. The present value of future payments determined by discounting the payments to the present using the most recently published applicable federal rate for determining the present value of an annuity, as issued by the United States Internal Revenue Service.
(4) GROSS ADVANCE AMOUNT. The sum payable to the payee or for the payee's account as consideration for a transfer of structured settlement payment rights before any reductions for transfer expenses or other deductions to be made from the consideration.
(5) INDEPENDENT PROFESSIONAL ADVICE. Advice of an attorney, certified public accountant, actuary, or other licensed professional adviser.
(6) INTERESTED PARTIES. With respect to any structured settlement, the payee, any beneficiary irrevocably designated under the annuity contract to receive payments following the payee's death, the annuity issuer, the structured settlement obligor, and any other party that has continuing rights or obligations under such structured settlement.
(7) NET ADVANCE AMOUNT. The gross advance amount less the aggregate amount of the actual and estimated transfer expenses required to be disclosed under subdivision (5) of Section 6-11-52.
(8) PAYEE. An individual who is receiving tax free payments under a structured settlement and proposes to make a transfer of payment rights thereunder.
(9) PERIODIC PAYMENTS. Includes both recurring payments and scheduled future lump sum payments.
(10) QUALIFIED ASSIGNMENT AGREEMENT. An agreement providing for a qualified assignment within the meaning of Section 130 of the United States Internal Revenue Code, United States Code Title 26, as amended from time to time.
(11) RESPONSIBLE ADMINISTRATIVE AUTHORITY. With respect to a structured settlement, any government authority vested by law with exclusive jurisdiction over the settled claim resolved by such structured settlement.
(12) SETTLED CLAIM. The original tort claim resolved by a structured settlement.
(13) STRUCTURED SETTLEMENT. An arrangement for periodic payment of damages for personal injuries or sickness established by settlement or judgment in resolution of a tort claim.
(14) STRUCTURED SETTLEMENT AGREEMENT. The agreement, judgment, stipulation, or release embodying the terms of a structured settlement.
(15) STRUCTURED SETTLEMENT OBLIGOR. With respect to any structured settlement, the party that has the continuing obligation to make periodic payments to the payee under a structured settlement agreement or a qualified assignment agreement.
(16) STRUCTURED SETTLEMENT PAYMENT RIGHTS. Rights to receive periodic payments under a structured settlement, whether from the structured settlement obligor or the annuity issuer, where:
a. The payee is domiciled in, or the domicile or principal place of business of the structured settlement obligor or the annuity issuer is located in, this state.
b. The structured settlement agreement was approved by a court or responsible administrative authority in this state.
c. The structured settlement agreement is expressly governed by the laws of this state.
(17) TERMS OF THE STRUCTURED SETTLEMENT. Include, with respect to any structured settlement, the terms of the structured settlement agreement, the annuity contract, any qualified assignment agreement, and any order or other approval of any court or responsible administrative authority or other government authority that authorized or approved the structured settlement.
(18) TRANSFER. Any sale, assignment, pledge, hypothecation, or other alienation or encumbrance of structured settlement payment rights made by a payee for consideration; provided that the term does not include the creation or perfection of a security interest in structured settlement payment rights under a security agreement entered into with a bank or other insured depository institution or a subsidiary or affiliate of a bank or other insured depository institution (secured party) until and unless the secured party redirects the structured settlement payments to such secured party, or an agent or successor in interest thereof, or otherwise enforces the security interest against the structured settlement payment rights.
(19) TRANSFER AGREEMENT. The agreement providing for a transfer of structured settlement payment rights.
(20) TRANSFEREE. A party acquiring or proposing to acquire structured settlement payment rights through a transfer; provided that the term does not include a secured party who has not received a transfer of the structured settlement payment rights as the term "transfer" is defined in subdivision (18).
(21) TRANSFER EXPENSES. All expenses of a transfer that are required under the transfer agreement to be paid by the payee or deducted from the gross advance amount, including, without limitation, court filing fees, attorneys' fees, escrow fees, lien recordation fees, judgment and lien search fees, finders' fees, commissions, and other payments to a broker or other intermediary. The term does not include preexisting obligations of the payee payable for the payee's account from the proceeds of a transfer.
(Act 2006-628, p. 1714, §2.)
|
https://law.justia.com/codes/alabama/title-6/chapter-11/article-3/section-6-11-52/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 11 - Damages.›Article 3 - Structural Settlement Protection Act.›Section 6-11-52 - Disclosure Statement.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 11 - Damages. › Article 3 - Structural Settlement Protection Act. › Section 6-11-52 - Disclosure Statement.
|
Section 6-11-52
Disclosure statement.
Not less than three days prior to the date on which a payee signs a transfer agreement, the transferee shall provide to the payee a separate disclosure statement, in bold type no smaller than 14 points, setting forth all of the following:
(1) The amounts and due dates of the structured settlement payments to be transferred.
(2) The aggregate amount of the payments.
(3) The discounted present value of the payments to be transferred, which shall be identified as the "calculation of current value of the transferred structured settlement payments under federal standards for valuing annuities," and the amount of the applicable federal rate used in calculating the discounted present value.
(4) The gross advance amount.
(5) An itemized listing of all applicable transfer expenses, other than attorneys' fees and related disbursements payable in connection with the transferee's application for approval of the transfer, and the transferee's best estimate of the amount of the fees and disbursements.
(6) The net advance amount.
(7) The amount of any penalties or liquidated damages payable by the payee in the event of any breach of the transfer agreement by the payee.
(8) A statement that the payee has the right to cancel the transfer agreement, without penalty or further obligation, not later than the third business day after the date the agreement is signed by the payee.
(Act 2006-628, p. 1714, §3.)
|
https://law.justia.com/codes/alabama/title-6/chapter-11/article-3/section-6-11-53/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 11 - Damages.›Article 3 - Structural Settlement Protection Act.›Section 6-11-53 - Advanced Approval by Court Required; Hearing.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 11 - Damages. › Article 3 - Structural Settlement Protection Act. › Section 6-11-53 - Advanced Approval by Court Required; Hearing.
|
Section 6-11-53
Advanced approval by court required; hearing.
No direct or indirect transfer of structured settlement payment rights shall be effective and no structured settlement obligor or annuity issuer shall be required to make any payment directly or indirectly to any transferee of structured settlement payment rights unless the transfer has been approved in advance in a final court order or order of a responsible administrative authority based on express findings by the court or responsible administrative authority, determined after a factual hearing, of all of the following:
(1) The transfer is in the best interest of the payee, taking into account the welfare and support of the payee's dependents.
(2) The payee has been advised in writing by the transferee to seek independent professional advice regarding the transfer and has either received such advice or knowingly waived such advice in writing.
(3) The transfer does not contravene any applicable statute or the order of any court or other government authority.
(Act 2006-628, p. 1714, §4.)
|
https://law.justia.com/codes/alabama/title-6/chapter-11/article-3/section-6-11-54/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 11 - Damages.›Article 3 - Structural Settlement Protection Act.›Section 6-11-54 - Effects of Transfer of Rights.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 11 - Damages. › Article 3 - Structural Settlement Protection Act. › Section 6-11-54 - Effects of Transfer of Rights.
|
Section 6-11-54
Effects of transfer of rights.
(a) Following a transfer of structured settlement payment rights under this article:
(1) The structured settlement obligor and the annuity issuer shall, as to all parties except the transferee, be discharged and released from any and all liability for the transferred payments.
(2) The transferee shall be liable to the structured settlement obligor and the annuity issuer in the following cases:
a. If the transfer contravenes the terms of the structured settlement, for any federal or state income taxes, interest, fees, and penalties incurred by the parties, including the annuity issuer and structured settlement obligor, as a consequence of the transfer.
b. For any other liabilities or costs, including reasonable costs and attorneys' fees, arising from compliance by the parties with the order of the court or responsible administrative authority or arising as a consequence of the transferee's failure to comply with this article.
(b) Neither the annuity issuer nor the structured settlement obligor may be required to divide any periodic payment between the payee and any transferee or assignee or between two or more transferees or assignees.
(c) Any further transfer of structured settlement payment rights by the payee may be made only after compliance with all of the requirements of this article.
(Act 2006-628, p. 1714, §5.)
|
https://law.justia.com/codes/alabama/title-6/chapter-11/article-3/section-6-11-55/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 11 - Damages.›Article 3 - Structural Settlement Protection Act.›Section 6-11-55 - Application for Approval of Transfer; Notice.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 11 - Damages. › Article 3 - Structural Settlement Protection Act. › Section 6-11-55 - Application for Approval of Transfer; Notice.
|
Section 6-11-55
Application for approval of transfer; notice.
(a) An application under this article for approval of a transfer of structured settlement payment rights shall be made by the transferee and may be brought in the county in which the payee resides, in the county in which the structured settlement obligor or the annuity issuer maintains its principal place of business, or in any court or before any responsible administrative authority which approved the structured settlement agreement.
(b) Not less than 20 days prior to the scheduled hearing on any application for approval of a transfer of structured settlement payment rights under Section 6-11-53, the transferee shall file with the court or responsible administrative authority a notice of the proposed transfer and the application for its authorization. Such notice and application shall include all of the following:
(1) A copy of the transferee's application.
(2) A copy of the transfer agreement.
(3) A copy of the disclosure statement required under Section 6-11-52.
(4) A listing of each of the payee's dependents, together with each dependent's age.
(5) Notification that any interested party is entitled to support, oppose, or otherwise respond to the transferee's application, either in person or by counsel, by submitting a written response to the court or responsible administrative authority or by participating in the hearing.
(6) Notification of the time and place of the hearing and notification of the manner in which and the time by which written responses to the application must be filed, which shall be not less than 15 days after service of the transferee's notice, in order to be considered by the court or responsible administrative authority.
(c) The notice and application required by subsection (b) shall be served on all interested parties in the manner provided by the Alabama Rules of Civil Procedure for the service of process.
(Act 2006-628, p. 1714, §6.)
|
https://law.justia.com/codes/alabama/title-6/chapter-11/article-3/section-6-11-56/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 11 - Damages.›Article 3 - Structural Settlement Protection Act.›Section 6-11-56 - Waiver; Choice of Law; Procedures for Life-Contingent Rights; Liability.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 11 - Damages. › Article 3 - Structural Settlement Protection Act. › Section 6-11-56 - Waiver; Choice of Law; Procedures for Life-Contingent Rights; Liability.
|
Section 6-11-56
Waiver; choice of law; procedures for life-contingent rights; liability.
(a) The provisions of this article may not be waived by any payee.
(b) Any transfer agreement entered into on or after July 1, 2006, by a payee who resides in this state shall provide that disputes under the transfer agreement, including any claim that the payee has breached the agreement, shall be determined in and under the laws of this state. Such a transfer agreement shall not authorize the transferee or any other party to confess judgment or consent to entry of judgment against the payee.
(c) No transfer of structured settlement payment rights shall extend to any payments that are life-contingent unless, prior to the date on which the payee signs the transfer agreement, the transferee has established and has agreed to maintain procedures reasonably satisfactory to the annuity issuer and the structured settlement obligor for (1) periodically confirming the payee's survival, and (2) giving the annuity issuer and the structured settlement obligor prompt written notice in the event of the payee's death.
(d) No payee who proposes to make a transfer of structured settlement payment rights shall incur any penalty, forfeit any application fee or other payment, or otherwise incur any liability to the proposed transferee or any assignee based on any failure of the transfer to satisfy the conditions of this article.
(e) Nothing contained in this article shall be constructed to authorize any transfer of structured settlement payment rights in contravention of any law or to imply that any transfer under a transfer agreement entered into prior to July 1, 2006, is valid or invalid.
(f) Compliance with the requirements set forth in Section 6-11-52 and fulfillment of the conditions set forth in Section 6-11-53 shall be solely the responsibility of the transferee in any transfer of structured settlement payment rights, and neither the structured settlement obligor nor the annuity issuer shall bear any responsibility for, or any liability arising from, noncompliance with the requirements or failure to fulfill the conditions.
(Act 2006-628, p. 1714, §7.)
|
https://law.justia.com/codes/alabama/title-6/chapter-11/article-3/section-6-11-57/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 11 - Damages.›Article 3 - Structural Settlement Protection Act.›Section 6-11-57 - Applicability.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 11 - Damages. › Article 3 - Structural Settlement Protection Act. › Section 6-11-57 - Applicability.
|
Section 6-11-57
Applicability.
This article shall apply to any transfer of structured settlement payment rights under a transfer agreement entered into on or after the 30th day after July 1, 2006; provided, however, that nothing contained herein shall imply that any transfer under a transfer agreement reached prior to such date is either effective or ineffective.
(Act 2006-628, p. 1714, §8.)
|
https://law.justia.com/codes/alabama/title-6/chapter-11/article-3/section-6-11-58/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 11 - Damages.›Article 3 - Structural Settlement Protection Act.›Section 6-11-58 - Relation to Workers' Compensation Provisions.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 11 - Damages. › Article 3 - Structural Settlement Protection Act. › Section 6-11-58 - Relation to Workers' Compensation Provisions.
|
Section 6-11-58
Relation to workers' compensation provisions.
Nothing in this article shall be construed to apply to any settlement under the Alabama Workers' Compensation Law.
(Act 2006-628, p. 1714, §9.)
|
https://law.justia.com/codes/alabama/title-6/chapter-11/article-3/section-6-11-59/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 11 - Damages.›Article 3 - Structural Settlement Protection Act.›Section 6-11-59 - Confidentiality of Settlement Terms.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 11 - Damages. › Article 3 - Structural Settlement Protection Act. › Section 6-11-59 - Confidentiality of Settlement Terms.
|
Section 6-11-59
Confidentiality of settlement terms.
Nothing in this article is intended to, or shall, require or allow the disclosure, publication, or dissemination of the terms of a settlement which is confidential, whether the confidentiality is created by agreement of the parties or by order of the court, or by both.
(Act 2006-628, p. 1714, §10.)
|
https://law.justia.com/codes/alabama/title-6/chapter-12/section-6-12-1/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 12 - Escrow Fund for Certain Tobacco Product Manufacturers.›Section 6-12-1 - Legislative Findings.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 12 - Escrow Fund for Certain Tobacco Product Manufacturers. › Section 6-12-1 - Legislative Findings.
|
Section 6-12-1
Legislative findings.
The Legislature of Alabama finds as follows:
(1) Cigarette smoking presents serious public health concerns to the state and to the citizens of the state. The Surgeon General has determined that smoking causes lung cancer, heart disease, and other serious diseases, and that there are hundreds of thousands of tobacco-related deaths in the United States each year. These diseases most often do not appear until many years after the person in question begins smoking.
(2) Cigarette smoking also presents serious financial concerns for the state. Under certain health care programs, the state may have a legal obligation to provide medical assistance to eligible persons for health conditions associated with cigarette smoking, and those persons may have a legal entitlement to receive such medical assistance.
(3) Under these programs, the state pays millions of dollars each year to provide medical assistance for these persons for health conditions associated with cigarette smoking.
(4) It is the policy of the state that financial burdens imposed on the state by cigarette smoking be borne by tobacco product manufacturers rather than by the state to the extent that such manufacturers either determine to enter into a settlement with the state or are found culpable by the courts.
(5) On November 23, 1998, leading United States tobacco product manufacturers entered into a settlement agreement, entitled the "Master Settlement Agreement," with the state. The Master Settlement Agreement obligates these manufacturers, in return for a release of past, present, and certain future claims against them as described therein, to pay substantial sums to the state, tied in part to their volume of sales; to fund a national foundation devoted to the interests of public health; and to make substantial changes in their advertising and marketing practices and corporate culture, with the intention of reducing underage smoking.
(6) It would be contrary to the policy of the state if tobacco product manufacturers who determine not to enter into such a settlement could use a resulting cost advantage to derive large, short-term profits in the years before liability may arise without ensuring that the state will have an eventual source of recovery from them if they are proven to have acted culpably. It is thus in the interest of the state to require that such manufacturers establish a reserve fund to guarantee a source of compensation and to prevent such manufacturers from deriving large, short-term profits and then becoming judgment-proof before liability may arise.
(Act 99-395, p. 652, §1.)
|
https://law.justia.com/codes/alabama/title-6/chapter-12/section-6-12-2/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 12 - Escrow Fund for Certain Tobacco Product Manufacturers.›Section 6-12-2 - Definitions.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 12 - Escrow Fund for Certain Tobacco Product Manufacturers. › Section 6-12-2 - Definitions.
|
Section 6-12-2
Definitions.
As used in this chapter, the following terms shall have the following meanings:
(1) ADJUSTED FOR INFLATION. Increased in accordance with the formula for inflation adjustment set forth in Exhibit C to the Master Settlement Agreement.
(2) AFFILIATE. A person who directly or indirectly owns or controls, is owned or controlled by, or is under common ownership or control with, another person. Solely for purposes of this definition, the terms "owns," "is owned," and "ownership" mean ownership of an equity interest, or the equivalent thereof, of ten percent or more, and the term "person" means an individual, partnership, committee, association, corporation, or any other organization or group of persons.
(3) ALLOCABLE SHARE. Allocable share as that term is defined in the Master Settlement Agreement.
(4) CIGARETTE. Any product that contains nicotine, is intended to be burned or heated under ordinary conditions of use, and consists of or contains (i) any roll of tobacco wrapped in paper or in any substance not containing tobacco; or (ii) tobacco, in any form, that is functional in the product, which, because of its appearance, the type of tobacco used in the filler, or its packaging and labeling, is likely to be offered to, or purchased by, consumers as a cigarette; or (iii) any roll of tobacco wrapped in any substance containing tobacco which, because of its appearance, the type of tobacco used in the filler, or its packaging and labeling, is likely to be offered to, or purchased by, consumers as a cigarette described in item (i). The term "cigarette" includes "roll-your-own", i.e. any tobacco which, because of its appearance, type, packaging, or labeling is suitable for use and likely to be offered to, or purchased by, consumers as tobacco for making cigarettes. For purposes of this definition of cigarette, 0.09 ounces of roll-your-own tobacco shall constitute one individual cigarette.
(5) IMPORTER. Any person in the United States to whom non-tax paid tobacco products or cigarette papers or tubes, or any processed tobacco, manufactured in a foreign country, Puerto Rico, the Virgin Islands, or a possession of the United States are shipped or consigned; any person who removes cigars or cigarettes for sale or consumption in the United States from a customs bonded manufacturing warehouse; and any person who smuggles or otherwise unlawfully brings tobacco products or cigarette papers or tubes, or any processed tobacco, into the United States. Federal judicial and administrative determinations and precedents of 26 U.S.C. § 5702(k), as it exists from time to time, may be considered in interpreting this term.
(6) MASTER SETTLEMENT AGREEMENT. The settlement agreement, and related documents, entered into on November 23, 1998, by the state and leading United States tobacco product manufacturers.
(7) QUALIFIED ESCROW FUND. An escrow arrangement with a federally or state chartered financial institution having no affiliation with any tobacco product manufacturer and having assets of at least one billion dollars ($1,000,000,000), where such arrangement requires that such financial institution hold the escrowed funds' principal for the benefit of releasing parties and prohibits the tobacco product manufacturer placing the funds into escrow from using, accessing, or directing the use of the funds' principal except as consistent with subdivision (2) of subsection (a) of Section 6-12-3.
(8) RELEASED CLAIMS. Released claims as that term is defined in the Master Settlement Agreement.
(9) RELEASING PARTIES. Releasing parties as that term is defined in the Master Settlement Agreement.
(10) TOBACCO PRODUCT MANUFACTURER. An entity that, after June 9, 1999, directly, and not exclusively through any affiliate:
a. Manufactures cigarettes anywhere that such manufacturer intends to be sold in the United States, including cigarettes intended to be sold in the United States through an importer (except where such importer is an original participating manufacturer, as that term is defined in the Master Settlement Agreement, that will be responsible for the payments under the Master Settlement Agreement with respect to such cigarettes as a result of the provisions of subsections II(mm) of the Master Settlement Agreement and that pays the taxes specified in subsection II(z) of the Master Settlement Agreement, and provided that the manufacturer of such cigarettes does not market or advertise such cigarettes in the United States);
b. Is the first purchaser anywhere for resale in the United States of cigarettes manufactured anywhere that the manufacturer does not intend to be sold in the United States; or
c. Becomes a successor of an entity described in paragraph a. or b.
The term "Tobacco Product Manufacturer" shall not include an affiliate of a tobacco product manufacturer unless such affiliate itself falls within any of a., b., or c. above.
(11) UNITS SOLD. The number of individual cigarettes sold in the state by the applicable tobacco product manufacturer, whether directly or through a distributor, retailer, or similar intermediary or intermediaries, during the year in question, as measured by excise taxes collected by the state on packs, or roll-your-own tobacco containers, bearing the excise tax stamp of the state. In addition to and without limiting the foregoing, the term units sold shall also include the number of individual cigarettes sold in the state by the tobacco product manufacturer, whether directly or through a distributor, retailer, or similar intermediary or intermediaries, during the year in question, as to which the state had power under federal law to impose or collect excise tax, or both, but did not. Without limiting the foregoing, this term specifically includes the following cigarettes, provided such cigarettes were not sold in a transaction that is exempted from Alabama taxation by federal statute or constitution: a. cigarettes sold to a consumer without payment of the cigarette excise tax on the reservation lands of a federally-recognized Native American tribe, b. cigarettes sold for retail sale in Alabama which were exempted from taxation pursuant to Chapter 9, Article 1 of Title 40 and any rule promulgated pursuant thereto, and c. cigarettes sold by a seller located outside of Alabama directly to a consumer in this state, without payment of the cigarette excise tax, via mail order, telephone, Internet, or other remote means. The Department of Revenue shall promulgate such regulations as are necessary to ascertain the amount of state excise tax paid on the cigarettes of such tobacco product manufacturer for each year.
(Act 99-395, p. 652, §2; Act 2000-591, p. 1087, §1; Act 2001-344, p. 446, §1; Act 2014-341, p. 1266, §1.)
|
https://law.justia.com/codes/alabama/title-6/chapter-12/section-6-12-3/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 12 - Escrow Fund for Certain Tobacco Product Manufacturers.›Section 6-12-3 - Election Between Settlement and Escrow Fund.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 12 - Escrow Fund for Certain Tobacco Product Manufacturers. › Section 6-12-3 - Election Between Settlement and Escrow Fund.
|
Section 6-12-3
Election between settlement and escrow fund.
(a) Any tobacco product manufacturer selling cigarettes to consumers within the state, whether directly or through a distributor, retailer, or similar intermediary or intermediaries, after June 9, 1999, shall do one of the following:
(1) Become a participating manufacturer, as that term is defined in Section II(jj) of the Master Settlement Agreement, and generally perform its financial obligations under the Master Settlement Agreement.
(2) a. Place into a qualified escrow fund, by April 15 of the year following the year in question, the following amounts, as such amounts are adjusted for inflation:
1999: $.0094241 per unit sold after June 9, 1999;
2000: $.0104712 per unit sold;
For each of 2001 and 2002: $.0136125 per unit sold;
For each of 2003 through 2006: $.0167539 per unit sold;
For each of 2007 and each year thereafter: $.0188482 per unit sold.
b. A tobacco product manufacturer that places funds into escrow pursuant to paragraph a. shall receive the interest or other appreciation on such funds as earned. Such funds themselves shall be released from escrow only under one of the following circumstances:
1. To pay a judgment or settlement on any released claim brought against such tobacco product manufacturer by the state or any releasing party located or residing in the state. Funds shall be released from escrow under this subparagraph (i) in the order in which they were placed into escrow and (ii) only to the extent and at the time necessary to make payments required under such judgment or settlement;
2. To the extent that a tobacco product manufacturer establishes that the amount it was required to place into escrow on account of units sold in the state in a particular year was greater than the Master Settlement Agreement payments, as determined pursuant to Section IX(i) of that agreement, including, after final determination of all adjustments, that such manufacturer would have been required to make on account of such units sold had it been a participating manufacturer, the excess shall be released from escrow and revert back to such tobacco product manufacturer; or
3. To the extent not released from escrow under subparagraphs 1. or 2., funds shall be released from escrow and revert back to such tobacco product manufacturer 25 years after the date on which they were placed into escrow.
c. Each tobacco product manufacturer that elects to place funds into escrow pursuant to this section shall annually certify to the Commissioner of the Department of Revenue that it is in compliance with this section. The Attorney General may bring a civil action on behalf of the state against any tobacco product manufacturer that fails to place into escrow the funds required under this section. Any tobacco product manufacturer that fails in any year to place into escrow the funds required under this section shall:
1. Be required within 15 days to place such funds into escrow as shall bring it into compliance with this section. The court, upon a finding of a violation of this section, may impose a civil penalty to be paid to the General Fund of the state in an amount not to exceed 5 percent of the amount improperly withheld from escrow per day of the violation and in a total amount not to exceed 100 percent of the original amount improperly withheld from escrow;
2. In the case of a knowing violation, be required within 15 days to place such funds into escrow as shall bring it into compliance with this section. The court, upon a finding of a knowing violation of this section, may impose a civil penalty to be paid to the General Fund of the state in an amount not to exceed 15 percent of the amount improperly withheld from escrow per day of the violation and in a total amount not to exceed 300 percent of the original amount improperly withheld from escrow; and
3. In the case of a second knowing violation, be prohibited from selling cigarettes to consumers within the state, whether directly or through a distributor, retailer, or similar intermediary, for a period not to exceed 2 years.
Each failure to make an annual deposit required under this section shall constitute a separate violation.
(b) In the case of units sold which are cigarettes manufactured outside the United States and imported into the United States by an importer:
(1) Importers of the cigarettes shall be jointly and severally liable with the tobacco product manufacturer of the cigarettes for the escrow deposits required under subsection (a)(2);
(2) Importers of the cigarettes may be sued under subsection (a)(2)c. to the same extent as the tobacco product manufacturer, and shall be subject to all of the same civil penalties, remedies, or other relief that may be awarded against the tobacco product manufacturer of the cigarettes as provided in that subsection; and
(3) If the importer of the cigarettes fails or refuses within 15 days of the Alabama Revenue Commissioner's or the Attorney General's written demand to deposit the funds into escrow for which it is jointly and severally liable under subsection (b)(1), all cigarettes imported into the United States by the importer shall constitute contraband in the State of Alabama as provided in Section 6-12A-6(b), and shall be subject to seizure and forfeiture as provided under that section.
(Act 99-395, p. 652, §3; Act 2000-591, p. 1087, §1; Act 2001-344, p. 446, §1; Act 2003-371, p. 1047, §1; Act 2014-341, p. 1266, §1.)
|
https://law.justia.com/codes/alabama/title-6/chapter-12/section-6-12-4/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 12 - Escrow Fund for Certain Tobacco Product Manufacturers.›Section 6-12-4 - Limitation on Bond Requirements in Litigation Involving Master Settlement Agreement...
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 12 - Escrow Fund for Certain Tobacco Product Manufacturers. › Section 6-12-4 - Limitation on Bond Requirements in Litigation Involving Master Settlement Agreement Signatories, Successors, and Affiliates.
|
Section 6-12-4
Limitation on bond requirements in litigation involving master settlement agreement signatories, successors, and affiliates.
(a) In civil litigation under any legal theory involving a signatory, a successor of a signatory, or an affiliate of a signatory to the tobacco Master Settlement Agreement, as defined in Section 6-12-2, the supersedeas bond to be furnished to stay the execution of the judgment during the entire course of appellate review shall be set in accordance with applicable laws or court rules, except that the total supersedeas bond that is required of all appellants collectively shall not exceed one hundred twenty-five million dollars ($125,000,000), regardless of the amount of the judgment.
(b) Notwithstanding subsection (a), if an appellee proves by a preponderance of the evidence that an appellant is dissipating assets outside the ordinary course of business to avoid payment of a judgment, a court may require the appellant to post a supersedeas bond in an amount up to the total amount of the judgment.
(c) This section shall apply to all actions pending or filed on or before February 24, 2006, and to all actions filed after February 24, 2006.
(Act 2006-94, p. 124, §1.)
|
https://law.justia.com/codes/alabama/title-6/chapter-12a/section-6-12a-1/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 12A - Tobacco Master Settlement Complementary Legislation.›Section 6-12A-1 - Short Title.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 12A - Tobacco Master Settlement Complementary Legislation. › Section 6-12A-1 - Short Title.
|
Section 6-12A-1
Short title.
This chapter may be cited as the Tobacco Master Settlement Complementary Legislation Act.
(Act 2003-372, p. 1049, §2.)
|
https://law.justia.com/codes/alabama/title-6/chapter-12a/section-6-12a-2/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 12A - Tobacco Master Settlement Complementary Legislation.›Section 6-12A-2 - Definitions.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 12A - Tobacco Master Settlement Complementary Legislation. › Section 6-12A-2 - Definitions.
|
Section 6-12A-2
Definitions.
For the purposes of this chapter, unless otherwise indicated, the following terms shall have the meanings respectively ascribed to them by this section:
(1) BRAND FAMILY. All styles of cigarettes sold under the same trade mark and differentiated from one another by means of additional modifiers or descriptors, including, but not limited to, menthol, lights, kings, and 100s and includes any brand name (alone or in conjunction with any other word) trademark, logo, symbol, motto, selling message, recognizable pattern of colors, or any other indicia of product identification identical or similar to, or identifiable with, a previously known brand of cigarettes.
(2) CIGARETTE. As defined under subdivision (4) of Section 6-12-2.
(3) COMMISSIONER. The Commissioner for the Department of Revenue for the State of Alabama.
(4) DISTRIBUTOR. A person, wherever resident or located, who purchases non-tax-paid cigarettes and stores, sells, or otherwise disposes of the cigarettes.
(5) IMPORTER. As defined under subdivision (5) of Section 6-12-2.
(6) MASTER SETTLEMENT AGREEMENT. The tobacco Master Settlement Agreement as defined under subdivision (6) of Section 6-12-2.
(7) NON-PARTICIPATING MANUFACTURER. Any tobacco product manufacturer that is not a participating manufacturer.
(8) PARTICIPATING MANUFACTURER. As defined in Section II(jj) of the Master Settlement Agreement, and all amendments thereto.
(9) QUALIFIED ESCROW FUND. As defined in subdivision (7) of Section 6-12-2.
(10) TOBACCO PRODUCT MANUFACTURER. As defined in subdivision (10) of Section 6-12-2.
(11) UNITS SOLD. As defined in subdivision (11) of Section 6-12-2.
(12) WHOLESALER. A person, firm, corporation, club, or association that is authorized to affix tax stamps to packages or other containers of cigarettes under Chapter 25 of Title 40.
(Act 2003-372, p. 1049, §2; Act 2014-341, p. 1266, §1.)
|
https://law.justia.com/codes/alabama/title-6/chapter-12a/section-6-12a-3/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 12A - Tobacco Master Settlement Complementary Legislation.›Section 6-12A-3 - Tobacco Product Manufacturer Certification; Directory; Stamping, Sale, or Import o...
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 12A - Tobacco Master Settlement Complementary Legislation. › Section 6-12A-3 - Tobacco Product Manufacturer Certification; Directory; Stamping, Sale, or Import of Cigarettes Not in Directory.
|
Section 6-12A-3
Tobacco product manufacturer certification; directory; stamping, sale, or import of cigarettes not in directory.
(a) Certification. Every tobacco product manufacturer whose cigarettes are sold in this state whether directly or through a distributor, retailer, or similar intermediary or intermediaries shall execute and deliver on a form prescribed by the commissioner, a certification to the commissioner no later than the thirtieth day of April each year, certifying that, as of the date of the certification, the tobacco product manufacturer either: Is a participating manufacturer or is in full compliance with Section 6-12-3, including all quarterly installment payments required by subsection (e) of Section 6-12A-5.
(1) Each participating manufacturer shall include in its certification a list of its brand families. The participating manufacturer shall update its list 30 days prior to any addition or modification to its brand families by executing and delivering a supplemental certification to the commissioner.
(2) Each non-participating manufacturer shall include in its certification:
a. A complete list of all of its brand families.
b. A separate listing containing the names of the brand families of cigarettes and the number of units sold for each brand family in the state during the preceding calendar year.
c. A separate listing containing the names of its brand families that have been sold in the state at any time during the current calendar year.
d. An indication by an asterisk of the names of any brand family sold in the state during the preceding calendar year that are no longer being sold in the state as of the date of the certification.
e. An identification by name and address of any other manufacturer of any of the listed brand families in the preceding or current calendar year.
f. In the case of cigarettes, brands, or brand families imported into the United States by one or more importers, an identification by name and address of any and all importers of the cigarettes.
Each non-participating manufacturer shall update its list at least 30 days prior to any addition or modification to its list of brand families by executing and delivering a supplemental certification to the commissioner.
(3) Additionally, each non-participating manufacturer shall further certify in its certification:
a. That both the non-participating manufacturer, and, if applicable, the importer of the cigarettes, are registered to do business in the state or has appointed an agent for service of process and provided notice thereof as required by Section 6-12A-4.
b. That it has:
1. Established and continues to maintain a qualified escrow fund.
2. Executed a qualified escrow agreement that has been reviewed and approved by the commissioner and that governs the qualified escrow fund.
c. That it is in full compliance with Section 6-12-3 and this chapter, and any regulations promulgated pursuant thereto.
d.1. The name, address, and telephone number of the financial institution where it has established the qualified escrow fund required pursuant to Section 6-12-3 and all regulations promulgated thereto.
2. The account number of the qualified escrow fund and any sub-account number for the State of Alabama.
3. The amount the non-participating manufacturer placed in the qualified escrow fund for cigarettes sold in the state during the preceding calendar year, the date and amount of each deposit, and any evidence or verification as may be deemed necessary by the commissioner to confirm the foregoing.
4. The amount and date of any withdrawal or transfer of funds the non-participating manufacturer made at any time from the qualified escrow fund or from any other qualified escrow fund into which escrow payments were ever made pursuant to Section 6-12-3 and all regulations promulgated thereto.
5. That it and, if applicable, the importer of the cigarettes, holds a current and valid permit under 26 U.S.C. § 5713.
(4) A participating manufacturer may not include a brand family in its certification unless it affirms that the brand family is to be deemed to be its cigarettes for purposes of calculating its payments under the Master Settlement Agreement for the relevant year, in the volume and shares determined pursuant to the Master Settlement Agreement.
(5) A non-participating manufacturer may not include a brand family in its certification unless it affirms that the brand family is to be deemed to be its cigarettes for purposes of Section 6-12-3.
(6) Nothing in this section shall be construed as limiting or otherwise affecting the state's right to maintain that a brand family constitutes cigarettes of a different tobacco product manufacturer for purposes of calculating payments under the Master Settlement Agreement or for purposes of Section 6-12-3.
(7) The tobacco product manufacturers shall maintain all invoices and documentation of sales and any other information relied upon for certification for a period of five years, unless otherwise required by law to maintain them for a greater period of time.
(b) Directory of cigarettes approved for stamping and sale. Not later than 90 days after August 1, 2003, the commissioner shall compile and make available for public inspection a directory listing all tobacco product manufacturers that have provided current and accurate certifications conforming to the requirements of subsection (a), and all brand families that are listed in the certifications, except as noted below.
(1) The commissioner shall not include or retain in the directory the name or brand families of any non-participating manufacturer that fails or has failed to provide the required certification or whose certification the commissioner determines is not in compliance with subdivisions (2) and (3) of subsection (a), unless the commissioner has determined that each violation has been cured.
(2) Neither a tobacco product manufacturer nor a brand family shall be included or retained in the directory if the commissioner concludes either of the following:
a. Any escrow payment required pursuant to Section 6-12-3, for any period for any brand family, whether or not listed by the non-participating manufacturer, has not been fully paid into a qualified escrow fund governed by a qualified escrow agreement that has been approved by the commissioner.
b. Any outstanding final judgment, including interest thereon, for a violation of Section 6-12-3, has not been fully satisfied for the brand family or the manufacturer.
c. That the non-participating manufacturer has not provided a bond in strict compliance with subsection (f) of Section 6-12A-5 and the rules relating thereto.
d. That the non-participating manufacturer has failed or refused to provide the documents or information requested by the commissioner in order to promote compliance with the requirements of this chapter.
(3) The commissioner shall update the directory as necessary in order to correct mistakes and to add or remove a tobacco product manufacturer or brand family to keep the directory in conformity with the requirements of this chapter. The commissioner, in addition to any notice requirements in Section 40-2A-8, shall transmit by electronic mail or other practicable means to each wholesaler, stamping agent, or distributor notice of any addition to or removal from the directory of any tobacco product manufacturer or brand family. The wholesaler, stamping agent, or distributor shall have 30 days from receipt of notice from the department regarding the change in the directory to sell the brand family that is delisted. No delisted brand family may be sold after the 30 day period.
(4) Every wholesaler and distributor shall provide and update as necessary an electronic mail address to the commissioner for the purpose of receiving any notifications as may be required by this chapter.
(c) Prohibition against stamping, sale, or import of cigarettes not in the directory. It shall be unlawful for any person to do either of the following:
(1) Affix a stamp to a package or other container of cigarettes of a tobacco product manufacturer or brand family not included in the directory.
(2) Sell, offer, or possess for sale in this state, or import for personal consumption in this state, cigarettes of a tobacco product manufacturer or brand family not included in the directory.
(Act 2003-372, p. 1049, §2; Act 2014-341, p. 1266, §1.)
|
https://law.justia.com/codes/alabama/title-6/chapter-12a/section-6-12a-4/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 12A - Tobacco Master Settlement Complementary Legislation.›Section 6-12A-4 - Agent for Service of Process.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 12A - Tobacco Master Settlement Complementary Legislation. › Section 6-12A-4 - Agent for Service of Process.
|
Section 6-12A-4
Agent for service of process.
(a) Agent for service of process required. Any non-resident or foreign non-participating manufacturer that has not registered to do business in the state as a foreign corporation or business entity, as a condition precedent to having its brand families listed or retained in the directory, shall appoint and continually engage without interruption the services of an agent in this state to act as agent for the service of process on whom all process, and any action or proceeding against it concerning or arising out of the enforcement of this chapter and Section 6-12-3, may be served in any manner authorized by law. The service shall constitute legal and valid service of process on the non-participating manufacturer. The non-participating manufacturer shall provide the name, address, phone number, and proof of the appointment and availability of their agent to and to the satisfaction of the commissioner.
(b) The non-participating manufacturer shall provide notice to the commissioner 30 calendar days prior to termination of the authority of an agent and shall further provide proof to the satisfaction of the commissioner of the appointment of a new agent no less than five calendar days prior to the termination of an existing agent appointment. In the event an agent terminates an agency appointment, the non-participating manufacturer shall notify the commissioner of termination within five calendar days and shall include proof to the satisfaction of the commissioner of the appointment of a new agent.
(Act 2003-372, p. 1049, §2.)
|
https://law.justia.com/codes/alabama/title-6/chapter-12a/section-6-12a-5/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 12A - Tobacco Master Settlement Complementary Legislation.›Section 6-12A-5 - Reporting to Commissioner; Disclosure; Escrow Fund.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 12A - Tobacco Master Settlement Complementary Legislation. › Section 6-12A-5 - Reporting to Commissioner; Disclosure; Escrow Fund.
|
Section 6-12A-5
Reporting to commissioner; disclosure; escrow fund.
(a) Reporting by wholesalers and distributors. Not later than 20 days after the end of each month, and more frequently if so directed by the commissioner, each wholesaler and distributor shall submit all the information the commissioner requires to facilitate compliance with this chapter, including, but not limited to, a list by brand family of the total number of cigarettes or in the case of roll your own, the equivalent stick count for which the wholesalers and distributors affixed stamps during the previous month or otherwise paid the tax due for any cigarettes. The wholesaler or distributor shall maintain, and make available to the commissioner, all invoices and documentation of sales of all non-participating manufacturer cigarettes and any other information relied upon in reporting to the commissioner for a period of five years.
(b) Disclosure of information. Notwithstanding any other law or rule, including Section 40-2A-10, the commissioner is hereby authorized to disclose, in the commissioner’s discretion, any information received under this chapter, Chapter 12 of this title, or Chapter 25 of Title 40, for purposes of the proper administration of any matter administered by the Department of Revenue, including but not limited to determining compliance with and enforcing this chapter, Chapter 12 of this title and Chapter 25 of Title 40, and in determining the proper amount of any payment, offset, adjustment, or refund pursuant to the Master Settlement Agreement or any agreement related thereto.
(c) Verification of qualified escrow fund. The commissioner may require at any time from the non-participating manufacturer proof, from the financial institution in which the manufacturer has established a qualified escrow fund for the purpose of compliance with Section 6-12-3, of the amount of money in the fund, exclusive of interest, the amount and date of each deposit, and the amount and date of each withdrawal from the fund.
(d) Requests for additional information. In addition to the information required to be submitted herein, the commissioner may require a wholesaler or distributor or tobacco product manufacturer to submit any additional information including, but not limited to, samples of the packaging or labeling of each brand family, as is necessary to determine whether a tobacco product manufacturer is in compliance with this chapter.
(e) Quarterly escrow installments. To promote compliance with this chapter, the commissioner may promulgate regulations requiring a tobacco product manufacturer subject to the requirements of subdivision (2) of subsection (a) of Section 6-12A-3, to make the escrow deposits required in quarterly installments during the year in which the sales covered by the deposits are made. The commissioner may require production of information sufficient to determine the adequacy of the amount of the installment deposit.
(f)(1) A non-participating manufacturer shall post a bond for the benefit of the commissioner, in accordance with this section, which is conditioned that the non-participating manufacturer shall fully comply with the escrow obligations of this chapter.
(2) The bond shall be posted at least 10 days in advance of each calendar quarter as a condition to the non-participating manufacturer and its brand families being included in the state directory for that quarter. The amount of the bond shall be the greater of a. the greatest required escrow amount due from the non-participating manufacturer or its predecessor for any of the 12 preceding calendar quarters or b. $25,000.
(3) If a non-participating manufacturer that posted a bond has failed to make or have made on its behalf deposits equal to the full amount owed for a quarter within 15 days following the due date for the quarter under subsection (e), the commissioner may execute upon the bond in the amount equal to any remaining amount of the escrow due including any applicable penalties or other charges allowable by law. Amounts the commissioner or the state collects on a bond shall be deposited into the General Fund for the benefit of the state and shall reduce the amount of escrow due from that non-participating manufacturer in the dollar amount collected. Escrow obligations above the amount collected on the bond remain due from that non-participating manufacturer and any importer liable as provided in subsection (b) of Section 6-12-3.
(4) The bond required under this subsection must be a good and sufficient bond executed by a surety company licensed and authorized to do business in Alabama and shall be conditioned to pay the escrow requirements as well as any penalties or other charges under this chapter.
(5) The commissioner may promulgate rules necessary to implement this subsection including acceptable forms and types of bonds.
(Act 2003-372, p. 1049, §2; Act 2014-341, p. 1266, §1.)
|
https://law.justia.com/codes/alabama/title-6/chapter-12a/section-6-12a-6/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 12A - Tobacco Master Settlement Complementary Legislation.›Section 6-12A-6 - Penalties; Unlawful Practices.
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 12A - Tobacco Master Settlement Complementary Legislation. › Section 6-12A-6 - Penalties; Unlawful Practices.
|
Section 6-12A-6
Penalties; unlawful practices.
(a) Revocation of stamping privileges and civil penalty. In addition to or in lieu of any other civil or criminal remedy provided by law, upon a determination that a wholesaler, distributor, or any person has violated subsection (c) of Section 6-12A-3, or any regulation adopted pursuant thereto, the commissioner may revoke or suspend the stamping privileges of any stamping agent in the manner provided by Section 40-2A-8. Each stamp affixed and each offer to sell cigarettes in violation of subsection (c) of Section 6-12A-3 shall constitute a separate violation. For each violation thereof, the commissioner may also impose a civil penalty in an amount not to exceed the greater of 500 percent of the retail value of the cigarettes sold or five thousand dollars ($5,000) upon a determination of violation of subsection (c) of Section 6-12A-3 or any regulations adopted pursuant thereto.
(b) Contraband and seizure. Any cigarettes that have been sold, offered for sale, or possessed for sale in this state, or imported for personal consumption in this state in violation of subsection (c) of Section 6-12A-3 shall be deemed contraband, and the cigarettes shall be subject to seizure and forfeiture as provided under subsection (c) of Section 8-19-12; provided, however, that all such cigarettes shall be destroyed.
(c) Injunction. The commissioner may seek an injunction on behalf of the state to restrain a threatened or actual violation of subsection (c) of Section 6-12A-3, or subsection (a) or (d) of Section 6-12A-5, by a wholesaler or distributor, and compel the violator to comply with these subsections. In any action brought pursuant to this section, the state shall be entitled to recover the costs of investigation, costs of the action, and reasonable attorney fees.
(d) Unlawful sale and distribution. It shall be unlawful for a person to sell, distribute, acquire, hold, own, possess, transport, import, or cause to be imported cigarettes that the person knows or should know are intended for distribution or sale in the state in violation of subsection (c) of Section 6-12A-3. A violation of this subsection shall be a Class A misdemeanor.
(e) Unlawful and deceptive trade practices. A person who violates subsection (c) of Section 6-12A-3 engages in an unlawful and deceptive trade practice in violation of Section 8-19-5.
(Act 2003-372, p. 1049, §2.)
|
https://law.justia.com/codes/alabama/title-6/chapter-12a/section-6-12a-7/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 6 - Civil Practice.›Chapter 12A - Tobacco Master Settlement Complementary Legislation.›Section 6-12A-7 - Review; Application for Permit; Rules and Regulations; Costs and Fees; Disgorgemen...
|
2023 Code of Alabama › Title 6 - Civil Practice. › Chapter 12A - Tobacco Master Settlement Complementary Legislation. › Section 6-12A-7 - Review; Application for Permit; Rules and Regulations; Costs and Fees; Disgorgement of Profits.
|
Section 6-12A-7
Review; application for permit; rules and regulations; costs and fees; disgorgement of profits.
(a) Notice and review of determination. A tobacco product manufacturer who does not agree with a determination by the commissioner to not list or to remove from the directory a brand family or tobacco product manufacturer shall be entitled to file a written request for review with the commissioner. The written request shall be referred to as a petition for review and shall describe any specific objections to the determination not to list or to remove from the directory a brand family or tobacco product manufacturer.
(1) The petition for review and any supporting documentation, must be filed with the commissioner's office not later than 30 days after the date of the determination.
(2) The commissioner shall review the petition and any supporting documentation and notify the tobacco product manufacturer of the final determination.
(3) At the request of the tobacco product manufacturer, or if otherwise deemed necessary by the commissioner, a conference may be scheduled to allow the commissioner and the tobacco product manufacturer to present their respective positions.
(b) Applications for stamping permits. No person shall be permitted or otherwise authorized to affix stamps to tobacco products unless they certify in writing that they will comply fully with this chapter.
(c) Dates. For the year 2003:
(1) The first report by wholesalers and distributors required by subsection (a) of Section 6-12A-5, shall be due 30 days after August 1, 2003.
(2) The certifications by tobacco product manufacturers described in subsection (a) of Section 6-12A-3, shall be due 45 days after August 1, 2003.
(3) The directory described in subsection (b) of Section 6-12A-3, shall be published or made available within 90 days after August 1, 2003.
(d) Promulgation of regulations. The commissioner may promulgate regulations necessary to effectuate the implementation and administration of this chapter.
(e) Recovery of costs and fees. In any action brought by the state to enforce this chapter, the state shall be entitled to recover the costs of investigation, expert witness fees, the costs of the action, and reasonable attorney fees.
(f) Disgorgement of profits for violations of chapter. If a court determines that a person has violated this chapter, the court shall order any profits, gain, gross receipts, or other benefit from the violation to be disgorged and paid to the State Treasurer for deposit in the Alabama 21st Century Fund, created by Section 41-10-629. Unless otherwise expressly provided, the remedies or penalties provided by this chapter are cumulative to each other and to the remedies or penalties available under all other laws of this state.
(Act 2003-372, p. 1049, §2.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-1/section-7-1-101/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 1 - Short Title, Construction, Application and Subject Matter of the Title.›Section 7-1-101 - Short Titles.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 1 - Short Title, Construction, Application and Subject Matter of the Title. › Section 7-1-101 - Short Titles.
|
Section 7-1-101
Short titles.
(a) This title may be cited as the Uniform Commercial Code.
(b) This article may be cited as Uniform Commercial Code - General Provisions.
(Prior version of this section added by Acts 1965, No. 549, p. 811; repealed by Act 2004-524, p. 1070, §§1, 3; current section added by Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-1/section-7-1-102/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 1 - Short Title, Construction, Application and Subject Matter of the Title.›Section 7-1-102 - Scope of Article.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 1 - Short Title, Construction, Application and Subject Matter of the Title. › Section 7-1-102 - Scope of Article.
|
Section 7-1-102
Scope of article.
This article applies to a transaction to the extent that it is governed by another article of this title.
(Prior version of this section added by Acts 1965, No. 549, p. 811; repealed by Act 2004-524, p. 1070, §§1, 3; current section added by Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-1/section-7-1-103/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 1 - Short Title, Construction, Application and Subject Matter of the Title.›Section 7-1-103 - Construction of Uniform Commercial Code to Promote Its Purposes and Policies; Appl...
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 1 - Short Title, Construction, Application and Subject Matter of the Title. › Section 7-1-103 - Construction of Uniform Commercial Code to Promote Its Purposes and Policies; Applicability of Supplemental Principles of Law.
|
Section 7-1-103
Construction of Uniform Commercial Code to promote its purposes and policies; applicability of supplemental principles of law.
(a) This title must be liberally construed and applied to promote its underlying purposes and policies, which are:
(1) To simplify, clarify, and modernize the law governing commercial transactions;
(2) To permit the continued expansion of commercial practices through custom, usage, and agreement of the parties; and
(3) To make uniform the law among the various jurisdictions.
(b) Unless displaced by the particular provisions of this title, the principles of law and equity, including the law merchant and the law relative to capacity to contract, principal and agent, estoppel, fraud, misrepresentation, duress, coercion, mistake, bankruptcy, and other validating or invalidating cause supplement its provisions.
(Prior version of this section added by Acts 1965, No. 549, p. 811; repealed by Act 2004-524, p. 1070, §§1, 3; current section added by Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-1/section-7-1-104/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 1 - Short Title, Construction, Application and Subject Matter of the Title.›Section 7-1-104 - Construction Against Implied Repeal.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 1 - Short Title, Construction, Application and Subject Matter of the Title. › Section 7-1-104 - Construction Against Implied Repeal.
|
Section 7-1-104
Construction against implied repeal.
This title being a general act intended as a unified coverage of its subject matter, no part of it shall be deemed to be impliedly repealed by subsequent legislation if such construction can reasonably be avoided.
(Prior version of this section added by Acts 1965, No. 549, p. 811; repealed by Act 2004-524, p. 1070, §§1, 3; current section added by Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-1/section-7-1-105/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 1 - Short Title, Construction, Application and Subject Matter of the Title.›Section 7-1-105 - Severability.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 1 - Short Title, Construction, Application and Subject Matter of the Title. › Section 7-1-105 - Severability.
|
Section 7-1-105
Severability.
If any provision or clause of this title or its application to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of this title which can be given effect without the invalid provision or application, and to this end the provisions of this title are severable.
(Prior version of this section added by Acts 1965, No. 549, p. 811; amended by Acts 1981, No. 81-312, p. 399; Acts 1992, 2nd Ex. Sess., No. 92-700, §601; Acts 1992, 2nd Ex. Sess., No. 92-701, p. 145, §2; Acts 1996, No. 96-742, p. 1241, §4; Acts 1997, No. 97-702, p. 1427, §2; Act 2001-481, p. 647, §2; repealed by Act 2004-524, p. 1070, §§1, 3; current section added by Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-1/section-7-1-106/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 1 - Short Title, Construction, Application and Subject Matter of the Title.›Section 7-1-106 - Use of Singular and Plural; Gender.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 1 - Short Title, Construction, Application and Subject Matter of the Title. › Section 7-1-106 - Use of Singular and Plural; Gender.
|
Section 7-1-106
Use of singular and plural; gender.
In this title, unless the statutory context otherwise requires:
(1) Words in the singular number include the plural, and those in the plural include the singular; and
(2) Words of any gender also refer to any other gender.
(Prior version of this section added by Acts 1965, No. 549, p. 811; repealed by Act 2004-524, p. 1070, §§1, 3; current section added by Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-1/section-7-1-107/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 1 - Short Title, Construction, Application and Subject Matter of the Title.›Section 7-1-107 - Section Captions.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 1 - Short Title, Construction, Application and Subject Matter of the Title. › Section 7-1-107 - Section Captions.
|
Section 7-1-107
Section captions.
Section captions are part of this title.
(Prior version of this section added by Acts 1965, No. 549, p. 811; repealed by Act 2004-524, p. 1070, §§1, 3; current section added by Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-1/section-7-1-108/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 1 - Short Title, Construction, Application and Subject Matter of the Title.›Section 7-1-108 - Relation to Electronic Signatures in Global and National Commerce Act.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 1 - Short Title, Construction, Application and Subject Matter of the Title. › Section 7-1-108 - Relation to Electronic Signatures in Global and National Commerce Act.
|
Section 7-1-108
Relation to electronic signatures in global and national commerce act.
This article modifies, limits, and supersedes the federal Electronic Signatures in Global and National Commerce Act, 15 U.S.C. Section 7001 et seq., except that nothing in this article modifies, limits, or supersedes Section 7001(c) of that act or authorizes electronic delivery of any of the notices described in Section 7003(b) of that act.
(Prior version of this section added by Acts 1965, No. 549, p. 811; repealed by Act 2004-524, p. 1070, §§1, 3; current section added by Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-1/section-7-1-109/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 1 - Short Title, Construction, Application and Subject Matter of the Title.›Section 7-1-109 - Section Captions.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 1 - Short Title, Construction, Application and Subject Matter of the Title. › Section 7-1-109 - Section Captions.
|
Section 7-1-109
Section captions.
Repealed by Act 2004-524, p. 1070, effective January 1, 2005.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-2/section-7-1-201/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 2 - General Definitions and Principles of Interpretation.›Section 7-1-201 - General Definitions.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 2 - General Definitions and Principles of Interpretation. › Section 7-1-201 - General Definitions.
|
Section 7-1-201
General definitions.
(a) [Reserved].
(b) Subject to additional definitions contained in the subsequent articles of this title which are applicable to specific articles or parts thereof, and unless the context otherwise requires, in this title:
(1) "Action," in the sense of a judicial proceeding, includes recoupment, counterclaim, set-off, suit in equity, and any other proceeding in which rights are determined.
(2) "Aggrieved party" means a party entitled to pursue a remedy.
(3) "Agreement," as distinguished from "contract," means the bargain of the parties in fact, as found in their language or inferred from other circumstances, including course of performance, course of dealing, or usage of trade as provided in Section 7-1-303.
(4) "Bank" means a person engaged in the business of banking and includes a savings bank, savings and loan association, credit union, and trust company.
(5) "Bearer" means a person in possession of a negotiable instrument, document of title, or certificated security that is payable to bearer or indorsed in blank.
(6) "Bill of lading" means a document evidencing the receipt of goods for shipment issued by a person engaged in the business of transporting or forwarding goods.
(7) "Branch" includes a separately incorporated foreign branch of a bank.
(8) "Burden of establishing" a fact means the burden of persuading the trier of fact that the existence of the fact is more probable than its nonexistence.
(9) "Buyer in ordinary course of business" means a person that buys goods in good faith, without knowledge that the sale violates the rights of another person in the goods, and in the ordinary course from a person, other than a pawnbroker, in the business of selling goods of that kind. A person buys goods in the ordinary course if the sale to the person comports with the usual or customary practices in the kind of business in which the seller is engaged or with the seller's own usual or customary practices. A person that sells oil, gas, or other minerals at the wellhead or mine is a person in the business of selling goods of that kind. A buyer in ordinary course of business may buy for cash, by exchange of other property, or on secured or unsecured credit, and may acquire goods or documents of title under a preexisting contract for sale. Only a buyer that takes possession of the goods or has a right to recover the goods from the seller under Article 2 may be a buyer in ordinary course of business. "Buyer in ordinary course of business" does not include a person that acquires goods in a transfer in bulk or as security for or in total or partial satisfaction of a money debt.
(10) "Conspicuous," with reference to a term, means so written, displayed, or presented that a reasonable person against which it is to operate ought to have noticed it. Whether a term is "conspicuous" or not is a decision for the court. Conspicuous terms include the following:
(A) A heading in capitals equal to or greater in size than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same or lesser size; and
(B) Language in the body of a record or display in larger type than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same size, or set off from surrounding text of the same size by symbols or other marks that call attention to the language.
(11) "Consumer" means an individual who enters into a transaction primarily for personal, family, or household purposes.
(12) "Contract," as distinguished from "agreement," means the total legal obligation that results from the parties' agreement as determined by this title as supplemented by any other applicable laws.
(13) "Creditor" includes a general creditor, a secured creditor, a lien creditor, and any representative of creditors, including an assignee for the benefit of creditors, a trustee in bankruptcy, a receiver in equity, and an executor or administrator of an insolvent debtor's or assignor's estate.
(14) "Defendant" includes a person in the position of defendant in a counterclaim, cross-claim, or third-party claim.
(15) "Delivery," with respect to an instrument, document of title, or chattel paper, means voluntary transfer of possession.
(16) "Document of title" includes bill of lading, dock warrant, dock receipt, warehouse receipt or order for the delivery of goods, and also any other document which in the regular course of business or financing is treated as adequately evidencing that the person in possession of it is entitled to receive, hold, and dispose of the document and the goods it covers. To be a document of title, a document must purport to be issued by or addressed to a bailee and purport to cover goods in the bailee's possession which are either identified or are fungible portions of an identified mass.
(17) "Fault" means a default, breach, or wrongful act or omission.
(18) "Fungible goods" means:
(A) Goods of which any unit, by nature or usage of trade, is the equivalent of any other like unit; or
(B) Goods that by agreement are treated as equivalent.
(19) "Genuine" means free of forgery or counterfeiting.
(20) "Good faith" means honesty in fact in the conduct or transaction concerned.
(21) "Holder" means:
(A) The person in possession of a negotiable instrument that is payable either to bearer or to an identified person that is the person in possession; or
(B) The person in possession of a document of title if the goods are deliverable either to bearer or to the order of the person in possession.
(22) "Insolvency proceeding" includes an assignment for the benefit of creditors or other proceeding intended to liquidate or rehabilitate the estate of the person involved.
(23) "Insolvent" means:
(A) Having generally ceased to pay debts in the ordinary course of business other than as a result of bona fide dispute;
(B) Being unable to pay debts as they become due; or
(C) Being insolvent within the meaning of federal bankruptcy law.
(24) "Money" means a medium of exchange currently authorized or adopted by a domestic or foreign government. The term includes a monetary unit of account established by an intergovernmental organization or by agreement between two or more countries.
(25) "Organization" means a person other than an individual.
(26) "Party," as distinguished from "third party," means a person that has engaged in a transaction or made an agreement subject to this title.
(27) "Person" means an individual, corporation, business trust, estate, trust, partnership, limited liability company, association, joint venture, public corporation, government, governmental subdivision, agency, or instrumentality, or any other legal or commercial entity.
(28) "Present value" means the amount as of a date certain of one or more sums payable in the future, discounted to the date certain by use of either an interest rate specified by the parties if that rate is not manifestly unreasonable at the time the transaction is entered into or, if an interest rate is not so specified, a commercially reasonable rate that takes into account the facts and circumstances at the time the transaction is entered into.
(29) "Purchase" means taking by sale, lease, discount, negotiation, mortgage, pledge, lien, security interest, issue or reissue, gift, or any other voluntary transaction creating an interest in property.
(30) "Purchaser" means a person that takes by purchase.
(31) "Record" means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form.
(32) "Remedy" means any remedial right to which an aggrieved party is entitled with or without resort to a tribunal.
(33) "Representative" means a person empowered to act for another, including an agent, an officer of a corporation or association, and a trustee, executor, or administrator of an estate.
(34) "Right" includes remedy.
(35) "Security interest" means an interest in personal property or fixtures which secures payment or performance of an obligation. "Security interest" includes any interest of a consignor and a buyer of accounts, chattel paper, a payment intangible, or a promissory note in a transaction that is subject to Article 9A. "Security interest" does not include the special property interest of a buyer of goods on identification of those goods to a contract for sale under Section 7-2-401, but a buyer may also acquire a "security interest" by complying with Article 9A. Except as otherwise provided in Section 7-2-505, the right of a seller or lessor of goods under Article 2 or 2A to retain or acquire possession of the goods is not a "security interest," but a seller or lessor may also acquire a "security interest" by complying with Article 9A. The retention or reservation of title by a seller of goods notwithstanding shipment or delivery to the buyer under Section 7-2-401 is limited in effect to a reservation of a "security interest." Whether a transaction in the form of a lease creates a "security interest" is determined pursuant to Section 7-1-203.
(36) "Send" in connection with a writing, record, or notice means:
(A) To deposit in the mail or deliver for transmission by any other usual means of communication with postage or cost of transmission provided for and properly addressed and, in the case of an instrument, to an address specified thereon or otherwise agreed, or if there be none to any address reasonable under the circumstances; or
(B) In any other way to cause to be received any record or notice within the time it would have arrived if properly sent.
(37) "Signed" includes using any symbol executed or adopted with present intention to adopt or accept a writing.
(38) "State" means a State of the United States, the District of Columbia, Puerto Rico, the United States Virgin Islands, or any territory or insular possession subject to the jurisdiction of the United States.
(39) "Surety" includes a guarantor or other secondary obligor.
(40) "Term" means a portion of an agreement that relates to a particular matter.
(41) "Unauthorized signature" means a signature made without actual, implied, or apparent authority. The term includes a forgery.
(42) "Warehouse receipt" means a receipt issued by a person engaged in the business of storing goods for hire.
(43) "Writing" includes printing, typewriting, or any other intentional reduction to tangible form. "Written" has a corresponding meaning.
(Prior version of this section added by Acts 1965, No. 549, p. 811; amended by Acts 1981, No. 81-312, p. 399; Acts 1991, No. 91-654, p. 1232, §1; Acts 1992, 2nd Ex. Sess., No. 92-700, p. 92, §602; Acts 1995, No. 95-668, p. 1381, §4; Acts 1996, No. 96-742, p. 1241, §4; Act 2001-481, p. 647, §2; Act 2004-315, p. 464, §2; repealed by Act 2004-524, p. 1070, §§1, 3; current section added by Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-2/section-7-1-202/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 2 - General Definitions and Principles of Interpretation.›Section 7-1-202 - Notice; Knowledge.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 2 - General Definitions and Principles of Interpretation. › Section 7-1-202 - Notice; Knowledge.
|
Section 7-1-202
Notice; knowledge.
(a) Subject to subsection (f), a person has "notice" of a fact if the person:
(1) Has actual knowledge of it;
(2) Has received a notice or notification of it; or
(3) From all the facts and circumstances known to the person at the time in question, has reason to know that it exists.
(b) "Knowledge" means actual knowledge. "Knows" has a corresponding meaning.
(c) "Discover," "learn," or words of similar import refer to knowledge rather than to reason to know.
(d) A person "notifies" or "gives" a notice or notification to another person by taking such steps as may be reasonably required to inform the other person in ordinary course, whether or not the other person actually comes to know of it.
(e) Subject to subsection (f), a person "receives" a notice or notification when:
(1) It comes to that person's attention; or
(2) It is duly delivered in a form reasonable under the circumstances at the place of business through which the contract was made or at another location held out by that person as the place for receipt of such communications.
(f) Notice, knowledge, or a notice or notification received by an organization is effective for a particular transaction from the time it is brought to the attention of the individual conducting that transaction and, in any event, from the time it would have been brought to the individual's attention if the organization had exercised due diligence. An organization exercises due diligence if it maintains reasonable routines for communicating significant information to the person conducting the transaction and there is reasonable compliance with the routines. Due diligence does not require an individual acting for the organization to communicate information unless the communication is part of the individual's regular duties or the individual has reason to know of the transaction and that the transaction would be materially affected by the information.
(Prior version of this section added by Acts 1965, No. 549, p. 811; repealed by Act 2004-524, p. 1070, §§1, 3; current section added by Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-2/section-7-1-203/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 2 - General Definitions and Principles of Interpretation.›Section 7-1-203 - Lease Distinguished From Security Interest.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 2 - General Definitions and Principles of Interpretation. › Section 7-1-203 - Lease Distinguished From Security Interest.
|
Section 7-1-203
Lease distinguished from security interest.
(a) Whether a transaction in the form of a lease creates a lease or security interest is determined by the facts of each case.
(b) A transaction in the form of a lease creates a security interest if the consideration that the lessee is to pay the lessor for the right to possession and use of the goods is an obligation for the term of the lease and is not subject to termination by the lessee, and:
(1) The original term of the lease is equal to or greater than the remaining economic life of the goods;
(2) The lessee is bound to renew the lease for the remaining economic life of the goods or is bound to become the owner of the goods;
(3) The lessee has an option to renew the lease for the remaining economic life of the goods for no additional consideration or for nominal additional consideration upon compliance with the lease agreement; or
(4) The lessee has an option to become the owner of the goods for no additional consideration or for nominal additional consideration upon compliance with the lease agreement.
(c) A transaction in the form of a lease does not create a security interest merely because:
(1) The present value of the consideration the lessee is obligated to pay the lessor for the right to possession and use of the goods is substantially equal to or is greater than the fair market value of the goods at the time the lease is entered into;
(2) The lessee assumes risk of loss of the goods;
(3) The lessee agrees to pay, with respect to the goods, taxes, insurance, filing, recording, or registration fees, or service or maintenance costs;
(4) The lessee has an option to renew the lease or to become the owner of the goods;
(5) The lessee has an option to renew the lease for a fixed rent that is equal to or greater than the reasonably predictable fair market rent for the use of the goods for the term of the renewal at the time the option is to be performed; or
(6) The lessee has an option to become the owner of the goods for a fixed price that is equal to or greater than the reasonably predictable fair market value of the goods at the time the option is to be performed.
(d) Additional consideration is nominal if it is less than the lessee's reasonably predictable cost of performing under the lease agreement if the option is not exercised.
Additional consideration is not nominal if:
(1) When the option to renew the lease is granted to the lessee, the rent is stated to be the fair market rent for the use of the goods for the term of the renewal determined at the time the option is to be performed; or
(2) When the option to become the owner of the goods is granted to the lessee, the price is stated to be the fair market value of the goods determined at the time the option is to be performed.
(e) The "remaining economic life of the goods" and "reasonably predictable" fair market rent, fair market value, or cost of performing under the lease agreement must be determined with reference to the facts and circumstances at the time the transaction is entered into.
(Prior version of this section added by Acts 1965, No. 549, p. 811; repealed by Act 2004-524, p. 1070, §§1, 3; current section added by Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-2/section-7-1-204/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 2 - General Definitions and Principles of Interpretation.›Section 7-1-204 - Value.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 2 - General Definitions and Principles of Interpretation. › Section 7-1-204 - Value.
|
Section 7-1-204
Value.
Except as otherwise provided in Articles 3, 4, and 5, a person gives value for rights if the person acquires them:
(1) In return for a binding commitment to extend credit or for the extension of immediately available credit, whether or not drawn upon and whether or not a charge-back is provided for in the event of difficulties in collection;
(2) As security for, or in total or partial satisfaction of, a preexisting claim;
(3) By accepting delivery under a preexisting contract for purchase; or
(4) In return for any consideration sufficient to support a simple contract.
(Prior version of this section added by Acts 1965, No. 549, p. 811; repealed by Act 2004-524, p. 1070, §§1, 3; current section added by Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-2/section-7-1-205/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 2 - General Definitions and Principles of Interpretation.›Section 7-1-205 - Reasonable Time; Seasonableness.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 2 - General Definitions and Principles of Interpretation. › Section 7-1-205 - Reasonable Time; Seasonableness.
|
Section 7-1-205
Reasonable time; seasonableness.
(a) Whether a time for taking an action required by this title is reasonable depends on the nature, purpose, and circumstances of the action.
(b) An action is taken seasonably if it is taken at or within the time agreed or, if no time is agreed, at or within a reasonable time.
(Prior version of this section added by Acts 1965, No. 549, p. 811; repealed by Act 2004-524, p. 1070, §§1, 3; current section added by Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-2/section-7-1-206/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 2 - General Definitions and Principles of Interpretation.›Section 7-1-206 - Presumptions.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 2 - General Definitions and Principles of Interpretation. › Section 7-1-206 - Presumptions.
|
Section 7-1-206
Presumptions.
Whenever this title creates a "presumption" with respect to a fact, or provides that a fact is "presumed," the trier of fact must find the existence of the fact unless and until evidence is introduced that supports a finding of its nonexistence.
(Prior version of this section added by Acts 1965, No. 549, p. 811; amended by Acts 1996, No. 96-742, p. 1241, §4; Act 2001-481, p. 647, §2; repealed by Act 2004-524, p. 1070, §§1, 3; current section added by Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-2/section-7-1-207/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 2 - General Definitions and Principles of Interpretation.›Section 7-1-207 - Performance or Acceptance Under Reservation of Rights.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 2 - General Definitions and Principles of Interpretation. › Section 7-1-207 - Performance or Acceptance Under Reservation of Rights.
|
Section 7-1-207
Performance or acceptance under reservation of rights.
Repealed Act 2004-524, p. 1070, §1, effective January 1, 2005.
(Acts 1965, No. 549, p. 811; Acts 1995, No. 95-668, p. 1381, §4.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-2/section-7-1-208/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 2 - General Definitions and Principles of Interpretation.›Section 7-1-208 - Option to Accelerate at Will.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 2 - General Definitions and Principles of Interpretation. › Section 7-1-208 - Option to Accelerate at Will.
|
Section 7-1-208
Option to accelerate at will.
Repealed Act 2004-524, p. 1070, §1, effective January 1, 2005.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-3/section-7-1-301/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law.›Section 7-1-301 - Territorial Applicability; Parties' Power to Choose Applicable Law.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law. › Section 7-1-301 - Territorial Applicability; Parties' Power to Choose Applicable Law.
|
Section 7-1-301
Territorial applicability; parties' power to choose applicable law.
(a) Except as otherwise provided in this section, when a transaction bears a reasonable relation to this state and also to another state or nation the parties may agree that the law either of this state or of such other state or nation shall govern their rights and duties.
(b) In the absence of an agreement effective under subsection (a), and except as provided in subsection (c), this title applies to transactions bearing an appropriate relation to this state.
(c) If one of the following provisions of this title specifies the applicable law, that provision governs and a contrary agreement is effective only to the extent permitted by the law so specified:
(1) Section 7-2-402;
(2) Sections 7-2A-105 and 7-2A-106;
(3) Section 7-4-102;
(4) Section 7-4A-507;
(5) Section 7-5-116;
(6) Section 7-8-110;
(7) Sections 7-9A-301 through 7-9A-307.
(Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-3/section-7-1-302/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law.›Section 7-1-302 - Variation by Agreement.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law. › Section 7-1-302 - Variation by Agreement.
|
Section 7-1-302
Variation by agreement.
(a) Except as otherwise provided in subsection (b) or elsewhere in this title, the effect of provisions of this title may be varied by agreement.
(b) The obligations of good faith, diligence, reasonableness, and care prescribed by this title may not be disclaimed by agreement. The parties, by agreement, may determine the standards by which the performance of those obligations is to be measured if those standards are not manifestly unreasonable. Whenever this title requires an action to be taken within a reasonable time, a time that is not manifestly unreasonable may be fixed by agreement.
(c) The presence in certain provisions of this title of the phrase "unless otherwise agreed," or words of similar import, does not imply that the effect of other provisions may not be varied by agreement under this section.
(Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-3/section-7-1-303/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law.›Section 7-1-303 - Course of Performance, Course of Dealing, and Usage of Trade.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law. › Section 7-1-303 - Course of Performance, Course of Dealing, and Usage of Trade.
|
Section 7-1-303
Course of performance, course of dealing, and usage of trade.
(a) A "course of performance" is a sequence of conduct between the parties to a particular transaction that exists if:
(1) The agreement of the parties with respect to the transaction involves repeated occasions for performance by a party; and
(2) The other party, with knowledge of the nature of the performance and opportunity for objection to it, accepts the performance or acquiesces in it without objection.
(b) A "course of dealing" is a sequence of conduct concerning previous transactions between the parties to a particular transaction that is fairly to be regarded as establishing a common basis of understanding for interpreting their expressions and other conduct.
(c) A "usage of trade" is any practice or method of dealing having such regularity of observance in a place, vocation, or trade as to justify an expectation that it will be observed with respect to the transaction in question. The existence and scope of such a usage must be proved as facts. If it is established that such a usage is embodied in a trade code or similar record, the interpretation of the record is a question of law.
(d) A course of performance or course of dealing between the parties or usage of trade in the vocation or trade in which they are engaged or of which they are or should be aware is relevant in ascertaining the meaning of the parties' agreement, may give particular meaning to specific terms of the agreement, and may supplement or qualify the terms of the agreement. A usage of trade applicable in the place in which part of the performance under the agreement is to occur may be so utilized as to that part of the performance.
(e) Except as otherwise provided in subsection (f), the express terms of an agreement and any applicable course of performance, course of dealing, or usage of trade must be construed whenever reasonable as consistent with each other. If such a construction is unreasonable:
(1) Express terms prevail over course of performance, course of dealing, and usage of trade;
(2) Course of performance prevails over course of dealing and usage of trade; and
(3) Course of dealing prevails over usage of trade.
(f) Subject to Section 7-2-209, a course of performance is relevant to show a waiver or modification of any term inconsistent with the course of performance.
(g) Evidence of a relevant usage of trade offered by one party is not admissible unless that party has given the other party notice that the court finds sufficient to prevent unfair surprise to the other party.
(Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-3/section-7-1-304/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law.›Section 7-1-304 - Obligation of Good Faith.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law. › Section 7-1-304 - Obligation of Good Faith.
|
Section 7-1-304
Obligation of good faith.
Every contract or duty within this title imposes an obligation of good faith in its performance and enforcement.
(Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-3/section-7-1-305/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law.›Section 7-1-305 - Remedies to Be Liberally Administered.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law. › Section 7-1-305 - Remedies to Be Liberally Administered.
|
Section 7-1-305
Remedies to be liberally administered.
(a) The remedies provided by this title must be liberally administered to the end that the aggrieved party may be put in as good a position as if the other party had fully performed but neither consequential or special damages nor penal damages may be had except as specifically provided in this title or by other rule of law.
(b) Any right or obligation declared by this title is enforceable by action unless the provision declaring it specifies a different and limited effect.
(Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-3/section-7-1-306/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law.›Section 7-1-306 - Waiver or Renunciation of Claim or Right After Breach.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law. › Section 7-1-306 - Waiver or Renunciation of Claim or Right After Breach.
|
Section 7-1-306
Waiver or renunciation of claim or right after breach.
A claim or right arising out of an alleged breach may be discharged in whole or in part without consideration by agreement of the aggrieved party in an authenticated record.
(Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-3/section-7-1-307/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law.›Section 7-1-307 - Prima Facie Evidence by Third-Party Documents.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law. › Section 7-1-307 - Prima Facie Evidence by Third-Party Documents.
|
Section 7-1-307
Prima facie evidence by third-party documents.
A document in due form purporting to be a bill of lading, policy or certificate of insurance, official weigher's or inspector's certificate, consular invoice, or any other document authorized or required by the contract to be issued by a third party is prima facie evidence of its own authenticity and genuineness and of the facts stated in the document by the third party.
(Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-3/section-7-1-308/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law.›Section 7-1-308 - Performance or Acceptance Under Reservation of Rights.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law. › Section 7-1-308 - Performance or Acceptance Under Reservation of Rights.
|
Section 7-1-308
Performance or acceptance under reservation of rights.
(a) A party that with explicit reservation of rights performs or promises performance or assents to performance in a manner demanded or offered by the other party does not thereby prejudice the rights reserved. Such words as "without prejudice," "under protest," or the like are sufficient.
(b) Subsection (a) does not apply to an accord and satisfaction.
(Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-3/section-7-1-309/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law.›Section 7-1-309 - Option to Accelerate at Will.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law. › Section 7-1-309 - Option to Accelerate at Will.
|
Section 7-1-309
Option to accelerate at will.
A term providing that one party or that party's successor in interest may accelerate payment or performance or require collateral or additional collateral "at will" or when the party "deems itself insecure," or words of similar import, means that the party has power to do so only if that party in good faith believes that the prospect of payment or performance is impaired. The burden of establishing lack of good faith is on the party against which the power has been exercised.
(Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-1/part-3/section-7-1-310/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 1 - General Provisions.›Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law.›Section 7-1-310 - Subordinated Obligations.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 1 - General Provisions. › Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law. › Section 7-1-310 - Subordinated Obligations.
|
Section 7-1-310
Subordinated obligations.
An obligation may be issued as subordinated to performance of another obligation of the person obligated, or a creditor may subordinate its right to performance of an obligation by agreement with either the person obligated or another creditor of the person obligated. Subordination does not create a security interest as against either the common debtor or a subordinated creditor.
(Act 2004-524, p. 1070, §1.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-1/section-7-2-101/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 1 - Short Title, General Construction, and Subject Matter.›Section 7-2-101 - Short Title.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 1 - Short Title, General Construction, and Subject Matter. › Section 7-2-101 - Short Title.
|
Section 7-2-101
Short title.
This article shall be known and may be cited as Uniform Commercial Code - Sales.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-1/section-7-2-102/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 1 - Short Title, General Construction, and Subject Matter.›Section 7-2-102 - Scope; Certain Security and Other Transactions Excluded From This Article.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 1 - Short Title, General Construction, and Subject Matter. › Section 7-2-102 - Scope; Certain Security and Other Transactions Excluded From This Article.
|
Section 7-2-102
Scope; certain security and other transactions excluded from this article.
Unless the context otherwise requires, this article applies to transactions in goods; it does not apply to any transaction which although in the form of an unconditional contract to sell or present sale is intended to operate only as a security transaction nor does this article impair or repeal any statute regulating sales to consumers, farmers or other specified classes of buyers.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-1/section-7-2-103/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 1 - Short Title, General Construction, and Subject Matter.›Section 7-2-103 - Definitions and Index of Definitions.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 1 - Short Title, General Construction, and Subject Matter. › Section 7-2-103 - Definitions and Index of Definitions.
|
Section 7-2-103
Definitions and index of definitions.
(1) In this article unless the context otherwise requires:
(a) "Buyer" means a person who buys or contracts to buy goods.
(b) "Good faith" in the case of a merchant means honesty in fact and the observance of reasonable commercial standards of fair dealing in the trade.
(c) "Receipt" of goods means taking physical possession of them.
(d) "Seller" means a person who sells or contracts to sell goods.
(2) Other definitions applying to this article or to specified parts thereof and the sections in which they appear are:
"Acceptance." Section 7-2-606.
"Banker's credit." Section 7-2-325.
"Between merchants." Section 7-2-104.
"Cancellation." Section 7-2-106 (4).
"Commercial unit." Section 7-2-105.
"Confirmed credit." Section 7-2-325.
"Conforming to contract." Section 7-2-106.
"Contract for sale." Section 7-2-106.
"Cover." Section 7-2-712.
"Entrusting." Section 7-2-403.
"Financing agency." Section 7-2-104.
"Future goods." Section 7-2-105.
"Goods." Section 7-2-105.
"Identification." Section 7-2-501.
"Installment contract." Section 7-2-612.
"Letter of credit." Section 7-2-325.
"Lot." Section 7-2-105.
"Merchant." Section 7-2-104.
"Overseas." Section 7-2-323.
"Person in position of seller." Section 7-2-707.
"Present sale." Section 7-2-106.
"Sale." Section 7-2-106.
"Sale on approval." Section 7-2-326.
"Sale or return." Section 7-2-326.
"Termination." Section 7-2-106.
(3) "Control" as provided in Section 7-7-106, and the following definitions in other articles apply to this article:
"Check." Section 7-3-104.
"Consignee." Section 7-7-102.
"Consignor." Section 7-7-102.
"Consumer goods." Section 7-9A-102.
"Dishonor." Section 7-3-502.
"Draft." Section 7-3-104.
(4) In addition Article 1 contains general definitions and principles of construction and interpretation applicable throughout this article.
(Acts 1965, No. 549, p. 811; Acts 1995, No. 95-668, p. 1381, §4; Act 2001-481, p. 647, §2; Act 2004-315, p. 464, §2.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-1/section-7-2-104/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 1 - Short Title, General Construction, and Subject Matter.›Section 7-2-104 - Definitions: "Merchant"; "Between Merchants"; "Financing agency."
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 1 - Short Title, General Construction, and Subject Matter. › Section 7-2-104 - Definitions: "Merchant"; "Between Merchants"; "Financing agency."
|
Section 7-2-104
Definitions: "Merchant"; "between merchants"; "financing agency."
(1) "Merchant" means a person who deals in goods of the kind or otherwise by his occupation holds himself out as having knowledge or skill peculiar to the practices or goods involved in the transaction or to whom such knowledge or skill may be attributed by his employment of an agent or broker or other intermediary who by his occupation holds himself out as having such knowledge or skill.
(2) "Financing agency" means a bank, finance company or other person who in the ordinary course of business makes advances against goods or documents of title or who by arrangement with either the seller or the buyer intervenes in ordinary course to make or collect payment due or claimed under the contract for sale, as by purchasing or paying the seller's draft or making advances against it or by merely taking it for collection whether or not documents of title accompany or are associated with the draft. "Financing agency" includes also a bank or other person who similarly intervenes between persons who are in the position of seller and buyer in respect to the goods (Section 7-2-707).
(3) "Between merchants" means in any transaction with respect to which both parties are chargeable with the knowledge or skill of merchants.
(Acts 1965, No. 549, p. 811; Act 2004-315, p. 464, §2.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-1/section-7-2-105/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 1 - Short Title, General Construction, and Subject Matter.›Section 7-2-105 - Definitions: "Transferability"; "Goods"; "Future Goods"; "Lot"; "Commercial unit."
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 1 - Short Title, General Construction, and Subject Matter. › Section 7-2-105 - Definitions: "Transferability"; "Goods"; "Future Goods"; "Lot"; "Commercial unit."
|
Section 7-2-105
Definitions: "Transferability"; "goods"; "future goods"; "lot"; "commercial unit."
(1) "Goods" means all things (including specially manufactured goods) which are movable at the time of identification to the contract for sale other than the money in which the price is to be paid, investment securities (Article 8) and things in action. "Goods" also includes the unborn young of animals and growing crops and other identified things attached to realty as described in the section on goods to be severed from realty (Section 7-2-107).
(2) Goods must be both existing and identified before any interest in them can pass. Goods which are not both existing and identified are "future goods". A purported present sale of future goods or of any interest therein operates as a contract to sell.
(3) There may be a sale of a part interest in existing identified goods.
(4) An undivided share in an identified bulk of fungible goods is sufficiently identified to be sold although the quantity of the bulk is not determined. Any agreed proportion of such a bulk or any quantity thereof agreed upon by number, weight or other measure may to the extent of the seller's interest in the bulk be sold to the buyer who then becomes an owner in common.
(5) "Lot" means a parcel or a single article which is the subject matter of a separate sale or delivery, whether or not it is sufficient to perform the contract.
(6) "Commercial unit" means such a unit of goods as by commercial usage is a single whole for purposes of sale and division of which materially impairs its character or value on the market or in use. A commercial unit may be a single article (as a machine) or a set of articles (as a suite of furniture or an assortment of sizes) or a quantity (as a bale, gross, or carload) or any other unit treated in use or in the relevant market as a single whole.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-1/section-7-2-106/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 1 - Short Title, General Construction, and Subject Matter.›Section 7-2-106 - Definitions: "Contract"; "Agreement"; "Contract for Sale"; "Sale"; "Present Sale";...
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 1 - Short Title, General Construction, and Subject Matter. › Section 7-2-106 - Definitions: "Contract"; "Agreement"; "Contract for Sale"; "Sale"; "Present Sale"; "Conforming" to Contract; "Termination"; "cancellation."
|
Section 7-2-106
Definitions: "Contract"; "agreement"; "contract for sale"; "sale"; "present sale"; "conforming" to contract; "termination"; "cancellation."
(1) In this article unless the context otherwise requires "contract" and "agreement" are limited to those relating to the present or future sale of goods. "Contract for sale" includes both a present sale of goods and a contract to sell goods at a future time. A "sale" consists in the passing of title from the seller to the buyer for a price (Section 7-2-401). A "present sale" means a sale which is accomplished by the making of the contract.
(2) Goods or conduct including any part of a performance are "conforming" or "conform to the contract" when they are in accordance with the obligations under the contract.
(3) "Termination" occurs when either party pursuant to a power created by agreement or law puts an end to the contract otherwise than for its breach. On "termination" all obligations which are still executory on both sides are discharged but any right based on prior breach of performance survives.
(4) "Cancellation" occurs when either party puts an end to the contract for breach by the other, and its effect is the same as that of "termination" except that the cancelling party also retains any remedy for breach of the whole contract or any unperformed balance.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-1/section-7-2-107/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 1 - Short Title, General Construction, and Subject Matter.›Section 7-2-107 - Goods to Be Severed From Realty; Recording.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 1 - Short Title, General Construction, and Subject Matter. › Section 7-2-107 - Goods to Be Severed From Realty; Recording.
|
Section 7-2-107
Goods to be severed from realty; recording.
(1) A contract for the sale of minerals or the like (including oil and gas) or a structure or its materials to be removed from realty is a contract for the sale of goods within this article if they are to be severed by the seller, but until severance a purported present sale thereof which is not effective as a transfer of an interest in land is effective only as a contract to sell.
(2) A contract for the sale apart from the land of growing crops or other things attached to realty and capable of severance without material harm thereto but not described in subsection (1) is a contract for the sale of goods within this article whether the subject matter is to be severed by the buyer or by the seller even though it forms part of the realty at the time of contracting, and the parties can by identification effect a present sale before severance.
(3) The provisions of this section are subject to any third-party rights provided by the law relating to realty records, and the contract for sale may be executed and recorded as a document transferring an interest in land and shall then constitute notice to third parties of the buyer's rights under the contract for sale.
(Acts 1965, No. 549, p. 811; Acts 1981, No. 81-312, p. 399.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-2/section-7-2-201/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 2 - Form, Formation, and Readjustment of Contract.›Section 7-2-201 - Formal Requirements; Statute of Frauds.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 2 - Form, Formation, and Readjustment of Contract. › Section 7-2-201 - Formal Requirements; Statute of Frauds.
|
Section 7-2-201
Formal requirements; statute of frauds.
(1) Except as otherwise provided in this section a contract for the sale of goods for the price of $500 or more is not enforceable by way of action or defense unless there is some writing sufficient to indicate that a contract for sale has been made between the parties and signed by the party against whom enforcement is sought or by his authorized agent or broker. A writing is not insufficient because it omits or incorrectly states a term agreed upon, but the contract is not enforceable under this paragraph beyond the quantity of goods shown in such writing.
(2) Between merchants if within a reasonable time a writing in confirmation of the contract and sufficient against the sender is received and the party receiving it has reason to know its contents, it satisfies the requirements of subsection (1) against such party unless written notice of objection to its contents is given within 10 days after it is received.
(3) A contract which does not satisfy the requirements of subsection (1) but which is valid in other respects is enforceable:
(a) If the goods are to be specially manufactured for the buyer and are not suitable for sale to others in the ordinary course of the seller's business and the seller, before notice of repudiation is received and under circumstances which reasonably indicate that the goods are for the buyer, has made either a substantial beginning of their manufacture or commitments for their procurement; or
(b) If the party against whom enforcement is sought admits in his pleading, testimony or otherwise in court that a contract for sale was made, but the contract is not enforceable under this provision beyond the quantity of goods admitted; or
(c) With respect to goods for which payment has been made and accepted or which have been received and accepted (Section 7-2-606).
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-2/section-7-2-202/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 2 - Form, Formation, and Readjustment of Contract.›Section 7-2-202 - Final Written Expression: Parol or Extrinsic Evidence.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 2 - Form, Formation, and Readjustment of Contract. › Section 7-2-202 - Final Written Expression: Parol or Extrinsic Evidence.
|
Section 7-2-202
Final written expression: Parol or extrinsic evidence.
Terms with respect to which the confirmatory memoranda of the parties agree or which are otherwise set forth in a writing intended by the parties as a final expression of their agreement with respect to such terms as are included therein may not be contradicted by evidence of any prior agreement or of a contemporaneous oral agreement but may be explained or supplemented:
(a) By course of dealing or usage of trade (Section 7-1-303); and
(b) By evidence of consistent additional terms unless the court finds the writing to have been intended also as a complete and exclusive statement of the terms of the agreement.
(Acts 1965, No. 549, p. 811; Act 2004-524, p. 1070, §2.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-2/section-7-2-203/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 2 - Form, Formation, and Readjustment of Contract.›Section 7-2-203 - Seals Inoperative.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 2 - Form, Formation, and Readjustment of Contract. › Section 7-2-203 - Seals Inoperative.
|
Section 7-2-203
Seals inoperative.
The affixing of a seal to a writing evidencing a contract for sale or an offer to buy or sell goods does not constitute the writing a sealed instrument, and the law with respect to sealed instruments does not apply to such a contract or offer.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-2/section-7-2-204/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 2 - Form, Formation, and Readjustment of Contract.›Section 7-2-204 - Formation in General.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 2 - Form, Formation, and Readjustment of Contract. › Section 7-2-204 - Formation in General.
|
Section 7-2-204
Formation in general.
(1) A contract for sale of goods may be made in any manner sufficient to show agreement, including conduct by both parties which recognizes the existence of such a contract.
(2) An agreement sufficient to constitute a contract for sale may be found even though the moment of its making is undetermined.
(3) Even though one or more terms are left open a contract for sale does not fail for indefiniteness if the parties have intended to make a contract and there is a reasonably certain basis for giving an appropriate remedy.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-2/section-7-2-205/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 2 - Form, Formation, and Readjustment of Contract.›Section 7-2-205 - Firm Offers.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 2 - Form, Formation, and Readjustment of Contract. › Section 7-2-205 - Firm Offers.
|
Section 7-2-205
Firm offers.
An offer by a merchant to buy or sell goods in a signed writing which by its terms gives assurance that it will be held open is not revocable, for lack of consideration, during the time stated or if no time is stated for a reasonable time, but in no event may such period of irrevocability exceed three months; but any such term of assurance on a form supplied by the offeree must be separately signed by the offeror.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-2/section-7-2-206/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 2 - Form, Formation, and Readjustment of Contract.›Section 7-2-206 - Offer and Acceptance in Formation of Contract.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 2 - Form, Formation, and Readjustment of Contract. › Section 7-2-206 - Offer and Acceptance in Formation of Contract.
|
Section 7-2-206
Offer and acceptance in formation of contract.
(1) Unless otherwise unambiguously indicated by the language or circumstances:
(a) An offer to make a contract shall be construed as inviting acceptance in any manner and by any medium reasonable in the circumstances;
(b) An order or other offer to buy goods for prompt or current shipment shall be construed as inviting acceptance either by a prompt promise to ship or by the prompt or current shipment of conforming or nonconforming goods, but such a shipment of nonconforming goods does not constitute an acceptance if the seller seasonably notifies the buyer that the shipment is offered only as an accommodation to the buyer.
(2) Where the beginning of a requested performance is a reasonable mode of acceptance, an offeror who is not notified of acceptance within a reasonable time may treat the offer as having lapsed before acceptance.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-2/section-7-2-207/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 2 - Form, Formation, and Readjustment of Contract.›Section 7-2-207 - Additional Terms in Acceptance or Confirmation.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 2 - Form, Formation, and Readjustment of Contract. › Section 7-2-207 - Additional Terms in Acceptance or Confirmation.
|
Section 7-2-207
Additional terms in acceptance or confirmation.
(1) A definite and seasonable expression of acceptance or a written confirmation which is sent within a reasonable time operates as an acceptance even though it states terms additional to or different from those offered or agreed upon, unless acceptance is expressly made conditional on assent to the additional or different terms.
(2) The additional terms are to be construed as proposals for addition to the contract. Between merchants such terms become part of the contract unless:
(a) The offer expressly limits acceptance to the terms of the offer;
(b) They materially alter it; or
(c) Notification of objection to them has already been given or is given within a reasonable time after notice of them is received.
(3) Conduct by both parties which recognizes the existence of a contract is sufficient to establish a contract for sale although the writings of the parties do not otherwise establish a contract. In such case the terms of the particular contract consist of those terms on which the writings of the parties agree, together with any supplementary terms incorporated under any other provisions of this title.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-2/section-7-2-208/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 2 - Form, Formation, and Readjustment of Contract.›Section 7-2-208 - Course of Performance or Practical Construction.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 2 - Form, Formation, and Readjustment of Contract. › Section 7-2-208 - Course of Performance or Practical Construction.
|
Section 7-2-208
Course of performance or practical construction.
Repealed by Act 2004-524, p. 1070, §3, effective January 1, 2005.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-2/section-7-2-209/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 2 - Form, Formation, and Readjustment of Contract.›Section 7-2-209 - Modification, Rescission and Waiver.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 2 - Form, Formation, and Readjustment of Contract. › Section 7-2-209 - Modification, Rescission and Waiver.
|
Section 7-2-209
Modification, rescission and waiver.
(1) An agreement modifying a contract within this article needs no consideration to be binding.
(2) A signed agreement which excludes modification or rescission except by a signed writing cannot be otherwise modified or rescinded, but except as between merchants such a requirement on a form supplied by the merchant must be separately signed by the other party.
(3) The requirements of the statute of frauds section of this article (Section 7-2-201) must be satisfied if the contract as modified is within its provisions.
(4) Although an attempt at modification or rescission does not satisfy the requirements of subsection (2) or (3) it can operate as a waiver.
(5) A party who has made a waiver affecting an executory portion of the contract may retract the waiver by reasonable notification received by the other party that strict performance will be required of any term waived, unless the retraction would be unjust in view of a material change of position in reliance on the waiver.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-2/section-7-2-210/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 2 - Form, Formation, and Readjustment of Contract.›Section 7-2-210 - Delegation of Performance; Assignment of Rights.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 2 - Form, Formation, and Readjustment of Contract. › Section 7-2-210 - Delegation of Performance; Assignment of Rights.
|
Section 7-2-210
Delegation of performance; assignment of rights.
(1) A party may perform his duty through a delegate unless otherwise agreed or unless the other party has a substantial interest in having his original promisor perform or control the acts required by the contract. No delegation of performance relieves the party delegating of any duty to perform or any liability for breach.
(2) Except as otherwise provided in Section 7-9A-406, unless otherwise agreed, all rights of either seller or buyer can be assigned except where the assignment would materially change the duty of the other party, or increase materially the burden or risk imposed on him by his contract, or impair materially his chance of obtaining return performance. A right to damages for breach of the whole contract or a right arising out of the assignor's due performance of his entire obligation can be assigned despite agreement otherwise.
(3) The creation, attachment, perfection, or enforcement of a security interest in the seller's interest under a contract is not a transfer that materially changes the duty of or increases materially the burden or risk imposed on the buyer or impairs materially the buyer's chance of obtaining return performance within the purview of subsection (2) unless, and then only to the extent that, enforcement actually results in a delegation of material performance of the seller. Even in that event, the creation, attachment, perfection, and enforcement of the security interest remain effective, but (i) the seller is liable to the buyer for damages caused by the delegation to the extent that the damages could not reasonably be prevented by the buyer, and (ii) a court having jurisdiction may grant other appropriate relief, including cancellation of the contract for sale or an injunction against enforcement of the security interest or consummation of the enforcement.
(4) Unless the circumstances indicate the contrary a prohibition of assignment of "the contract" is to be construed as barring only the delegation to the assignee of the assignor's performance.
(5) An assignment of "the contract" or of "all my rights under the contract" or an assignment in similar general terms is an assignment of rights and unless the language or the circumstances (as in an assignment for security) indicate the contrary, it is a delegation of performance of the duties of the assignor and its acceptance by the assignee constitutes a promise by him to perform those duties. This promise is enforceable by either the assignor or the other party to the original contract.
(6) The other party may treat any assignment which delegates performance as creating reasonable grounds for insecurity and may without prejudice to his rights against the assignor demand assurances from the assignee (Section 7-2-609).
(Acts 1965, No. 549, p. 811; Act 2001-481, p. 647, §2.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-301/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-301 - General Obligations of Parties.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-301 - General Obligations of Parties.
|
Section 7-2-301
General obligations of parties.
The obligation of the seller is to transfer and deliver and that of the buyer is to accept and pay in accordance with the contract.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-304/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-304 - Price Payable in Money, Goods, Realty, or Otherwise.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-304 - Price Payable in Money, Goods, Realty, or Otherwise.
|
Section 7-2-304
Price payable in money, goods, realty, or otherwise.
(1) The price can be made payable in money or otherwise. If it is payable in whole or in part in goods, each party is a seller of the goods which he is to transfer.
(2) Even though all or part of the price is payable in an interest in realty, the transfer of the goods and the seller's obligations with reference to them are subject to this article, but not the transfer of the interest in realty or the transferor's obligations in connection therewith.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-303/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-303 - Allocation or Division of Risks.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-303 - Allocation or Division of Risks.
|
Section 7-2-303
Allocation or division of risks.
Where this article allocates a risk or a burden as between the parties "unless otherwise agreed," the agreement may not only shift the allocation but may also divide the risk or burden.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-302/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-302 - Unconscionable Contract or Clause.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-302 - Unconscionable Contract or Clause.
|
Section 7-2-302
Unconscionable contract or clause.
(1) If the court as a matter of law finds the contract or any clause of the contract to have been unconscionable at the time it was made the court may refuse to enforce the contract, or it may enforce the remainder of the contract without the unconscionable clause, or it may so limit the application of any unconscionable clause as to avoid any unconscionable result.
(2) When it is claimed or appears to the court that the contract or any clause thereof may be unconscionable, the parties shall be afforded a reasonable opportunity to present evidence as to its commercial setting, purpose and effect to aid the court in making the determination.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-305/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-305 - Open Price Term.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-305 - Open Price Term.
|
Section 7-2-305
Open price term.
(1) The parties if they so intend can conclude a contract for sale even though the price is not settled. In such a case the price is a reasonable price at the time for delivery if:
(a) Nothing is said as to price; or
(b) The price is left to be agreed by the parties and they fail to agree; or
(c) The price is to be fixed in terms of some agreed market or other standard as set or recorded by a third person or agency and it is not so set or recorded.
(2) A price to be fixed by the seller or by the buyer means a price for him to fix in good faith.
(3) When a price left to be fixed otherwise than by agreement of the parties fails to be fixed through fault of one party, the other may at his option treat the contract as cancelled or himself fix a reasonable price.
(4) Where, however, the parties intend not to be bound unless the price be fixed or agreed and it is not fixed or agreed there is no contract. In such a case the buyer must return any goods already received or if unable so to do must pay their reasonable value at the time of delivery, and the seller must return any portion of the price paid on account.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-306/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-306 - Output, Requirements, and Exclusive Dealings.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-306 - Output, Requirements, and Exclusive Dealings.
|
Section 7-2-306
Output, requirements, and exclusive dealings.
(1) A term which measures the quantity by the output of the seller or the requirements of the buyer means such actual output or requirements as may occur in good faith, except that no quantity unreasonably disproportionate to any stated estimate or in the absence of a stated estimate to any normal or otherwise comparable prior output or requirements may be tendered or demanded.
(2) A lawful agreement by either the seller or the buyer for exclusive dealing in the kind of goods concerned imposes unless otherwise agreed an obligation by the seller to use best efforts to supply the goods and by the buyer to use best efforts to promote their sale.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-307/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-307 - Delivery in Single Lot or Several Lots.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-307 - Delivery in Single Lot or Several Lots.
|
Section 7-2-307
Delivery in single lot or several lots.
Unless otherwise agreed all goods called for by a contract for sale must be tendered in a single delivery and payment is due only on such tender, but where the circumstances give either party the right to make or demand delivery in lots, the price if it can be apportioned, may be demanded for each lot.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-308/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-308 - Absence of Specified Place for Delivery.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-308 - Absence of Specified Place for Delivery.
|
Section 7-2-308
Absence of specified place for delivery.
Unless otherwise agreed:
(a) The place for delivery of goods is the seller's place of business or if he has none his residence; but
(b) In a contract for sale of identified goods which to the knowledge of the parties at the time of contracting are in some other place, that place is the place for their delivery; and
(c) Documents of title may be delivered through customary banking channels.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-309/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-309 - Absence of Specific Time Provisions; Notice of Termination.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-309 - Absence of Specific Time Provisions; Notice of Termination.
|
Section 7-2-309
Absence of specific time provisions; notice of termination.
(1) The time for shipment or delivery or any other action under a contract if not provided in this article or agreed upon shall be a reasonable time.
(2) Where the contract provides for successive performances but is indefinite in duration it is valid for a reasonable time but unless otherwise agreed may be terminated at any time by either party.
(3) Termination of a contract by one party except on the happening of an agreed event requires that reasonable notification be received by the other party and an agreement dispensing with notification is invalid if its operation would be unconscionable.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-310/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-310 - Open Time for Payment or Running of Credit; Authority to Ship Under Reservation.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-310 - Open Time for Payment or Running of Credit; Authority to Ship Under Reservation.
|
Section 7-2-310
Open time for payment or running of credit; authority to ship under reservation.
Unless otherwise agreed:
(a) Payment is due at the time and place at which the buyer is to receive the goods even though the place of shipment is the place of delivery; and
(b) If the seller is authorized to send the goods he may ship them under reservation, and may tender the documents of title, but the buyer may inspect the goods after their arrival before payment is due unless such inspection is inconsistent with the terms of the contract (Section 7-2-513); and
(c) If delivery is authorized and made by way of documents of title otherwise than by subsection (b) then payment is due regardless of where the goods are to be received (i) at the time and place at which the buyer is to receive delivery of the tangible documents or (ii) at the time the buyer is to receive delivery of the electronic documents and at the seller's place of business or, if none, the seller's residence; and
(d) Where the seller is required or authorized to ship the goods on credit the credit period runs from the time of shipment, but postdating the invoice or delaying its dispatch will correspondingly delay the starting of the credit period.
(Acts 1965, No. 549, p. 811; Act 2004-315, p. 464, §2.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-311/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-311 - Options and Cooperation Respecting Performance.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-311 - Options and Cooperation Respecting Performance.
|
Section 7-2-311
Options and cooperation respecting performance.
(1) An agreement for sale which is otherwise sufficiently definite (subsection (3) of Section 7-2-204) to be a contract is not made invalid by the fact that it leaves particulars of performance to be specified by one of the parties. Any such specification must be made in good faith and within limits set by commercial reasonableness.
(2) Unless otherwise agreed specifications relating to assortment of the goods are at the buyer's option and, except as otherwise provided in subsections (1)(c) and (3) of Section 7-2-319, specifications or arrangements relating to shipment are at the seller's option.
(3) Where such specification would materially affect the other party's performance but is not seasonably made or where one party's cooperation is necessary to the agreed performance of the other but is not seasonably forthcoming, the other party in addition to all other remedies:
(a) Is excused for any resulting delay in his own performance; and
(b) May also either proceed to perform in any reasonable manner or after the time for a material part of his own performance treat the failure to specify or to cooperate as a breach by failure to deliver or accept the goods.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-312/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-312 - Warranty of Title and Against Infringement; Buyer's Obligation Against Infringemen...
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-312 - Warranty of Title and Against Infringement; Buyer's Obligation Against Infringement.
|
Section 7-2-312
Warranty of title and against infringement; buyer's obligation against infringement.
(1) Subject to subsection (2) there is in a contract for sale a warranty by the seller that:
(a) The title conveyed shall be good, and its transfer rightful; and
(b) The goods shall be delivered free from any security interest or other lien or encumbrance of which the buyer at the time of contracting has no knowledge.
(2) A warranty under subsection (1) will be excluded or modified only by specific language or by circumstances which give the buyer reason to know that the person selling does not claim title in himself or that he is purporting to sell only such right or title as he or a third person may have.
(3) Unless otherwise agreed a seller who is a merchant regularly dealing in goods of the kind warrants that the goods shall be delivered free of the rightful claim of any third person by way of infringement or the like, but a buyer who furnishes specifications to the seller must hold the seller harmless against any such claim which arises out of compliance with the specifications.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-313/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-313 - Express Warranties by Affirmation, Promise, Description, Sample.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-313 - Express Warranties by Affirmation, Promise, Description, Sample.
|
Section 7-2-313
Express warranties by affirmation, promise, description, sample.
(1) Express warranties by the seller are created as follows:
(a) Any affirmation of fact or promise made by the seller to the buyer which relates to the goods and becomes part of the basis of the bargain creates an express warranty that the goods shall conform to the affirmation or promise.
(b) Any description of the goods which is made part of the basis of the bargain creates an express warranty that the goods shall conform to the description.
(c) Any sample or model which is made part of the basis of the bargain creates an express warranty that the whole of the goods shall conform to the sample or model.
(2) It is not necessary to the creation of an express warranty that the seller use formal words such as "warrant" or "guarantee" or that he have a specific intention to make a warranty, but an affirmation merely of the value of the goods or a statement purporting to be merely the seller's opinion or commendation of the goods does not create a warranty.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-314/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-314 - Implied Warranty: Merchantability; Usage of Trade; Human Blood and Tissues.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-314 - Implied Warranty: Merchantability; Usage of Trade; Human Blood and Tissues.
|
Section 7-2-314
Implied warranty: Merchantability; usage of trade; human blood and tissues.
(1) Unless excluded or modified (Section 7-2-316), a warranty that the goods shall be merchantable is implied in a contract for their sale if the seller is a merchant with respect to goods of that kind. Under this section the serving for value of food or drink to be consumed either on the premises or elsewhere is a sale.
(2) Goods to be merchantable must be at least such as:
(a) Pass without objection in the trade under the contract description; and
(b) In the case of fungible goods, are of fair average quality within the description; and
(c) Are fit for the ordinary purposes for which such goods are used; and
(d) Run, within the variations permitted by the agreement, of even kind, quality and quantity within each unit and among all units involved; and
(e) Are adequately contained, packaged, and labeled as the agreement may require; and
(f) Conform to the promises or affirmations of fact made on the container or label if any.
(3) Unless excluded or modified (Section 7-2-316) other implied warranties may arise from course of dealing or usage of trade.
(4) Procuring, furnishing, donating, processing, distributing, or using human whole blood, plasma, blood products, blood derivatives, and other human tissues such as corneas, bones or organs for the purpose of injecting, transfusing, or transplanting any of them in the human body is declared for all purposes to be the rendition of a service by every person participating therein and whether any remuneration is paid therefor is declared not to be a sale of such whole blood, plasma, blood products, blood derivatives, or other human tissues.
(Acts 1965, No. 549, p. 811; Acts 1969, No. 743, p. 1321.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-315/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-315 - Implied Warranty: Fitness for Particular Purpose.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-315 - Implied Warranty: Fitness for Particular Purpose.
|
Section 7-2-315
Implied warranty: Fitness for particular purpose.
Where the seller at the time of contracting has reason to know any particular purpose for which the goods are required and that the buyer is relying on the seller's skill or judgment to select or furnish suitable goods, there is unless excluded or modified under Section 7-2-316 an implied warranty that the goods shall be fit for such purpose.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-316/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-316 - Exclusion or Modification of Warranties.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-316 - Exclusion or Modification of Warranties.
|
Section 7-2-316
Exclusion or modification of warranties.
(1) Words or conduct relevant to the creation of an express warranty and words or conduct tending to negate or limit warranty shall be construed wherever reasonable as consistent with each other; but subject to the provisions of this article on parol or extrinsic evidence (Section 7-2-202) negation or limitation is inoperative to the extent that such construction is unreasonable.
(2) Subject to subsection (3), to exclude or modify the implied warranty of merchantability or any part of it the language must mention merchantability and in case of a writing must be conspicuous, and to exclude or modify any implied warranty of fitness the exclusion must be by a writing and conspicuous. Language to exclude all implied warranties of fitness is sufficient if it states, for example, that "There are no warranties which extend beyond the description on the face hereof."
(3) Notwithstanding subsection (2):
(a) Unless the circumstances indicate otherwise, all implied warranties are excluded by expressions like "as is," "with all faults" or other language which in common understanding calls the buyer's attention to the exclusion of warranties and makes plain that there is no implied warranty; and
(b) When the buyer before entering into the contract has examined the goods or the sample or model as fully as he desired or has refused to examine the goods there is no implied warranty with regard to defects which an examination ought in the circumstances to have revealed to him; and
(c) An implied warranty can also be excluded or modified by course of dealing or course of performance or usage of trade.
(4) Remedies for breach of warranty can be limited in accordance with the provisions of this article on liquidation or limitation of damages and on contractual modification of remedy (Sections 7-2-718 and 7-2-719).
(5) Nothing in subsection (2) or subsection (3) (a) or in Section 7-2-317 shall be construed so as to limit or exclude the seller's liability for damages for injury to the person in the case of consumer goods.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-317/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-317 - Cumulation and Conflict of Warranties Express or Implied.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-317 - Cumulation and Conflict of Warranties Express or Implied.
|
Section 7-2-317
Cumulation and conflict of warranties express or implied.
Warranties whether express or implied shall be construed as consistent with each other and as cumulative, but if such construction is unreasonable the intention of the parties shall determine which warranty is dominant. In ascertaining that intention the following rules apply:
(a) Exact or technical specifications displace an inconsistent sample or model or general language of description.
(b) A sample from an existing bulk displaces inconsistent general language of description.
(c) Express warranties displace inconsistent implied warranties other than an implied warranty of fitness for a particular purpose.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-318/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-318 - Third-Party Beneficiaries of Warranties Express or Implied.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-318 - Third-Party Beneficiaries of Warranties Express or Implied.
|
Section 7-2-318
Third-party beneficiaries of warranties express or implied.
A sellers' warranty, whether express or implied, extends to any natural person if it is reasonable to expect that such person may use, consume or be affected by the goods and who is injured in person by breach of the warranty. A seller may not exclude or limit the operation of this section.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-319/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-319 - f.o.b. and f.a.s. Terms.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-319 - f.o.b. and f.a.s. Terms.
|
Section 7-2-319
F.O.B. and F.A.S. terms.
(1) Unless otherwise agreed the term F.O.B. (which means "free on board") at a named place, even though used only in connection with the stated price, is a delivery term under which:
(a) When the term is F.O.B. the place of shipment, the seller must at that place ship the goods in the manner provided in this article (Section 7-2-504) and bear the expense and risk of putting them into the possession of the carrier; or
(b) When the term is F.O.B. the place of destination, the seller must at his own expense and risk transport the goods to that place and there tender delivery of them in the manner provided in this article (Section 7-2-503);
(c) When under either (a) or (b) the term is also F.O.B. vessel, car or other vehicle, the seller must in addition at his own expense and risk load the goods on board. If the term is F.O.B. vessel the buyer must name the vessel and in an appropriate case the seller must comply with the provisions of this article on the form of bill of lading (Section 7-2-323).
(2) Unless otherwise agreed the term F.A.S. vessel (which means "free alongside") at a named port, even though used only in connection with the stated price, is a delivery term under which the seller must:
(a) At his own expense and risk deliver the goods alongside the vessel in the manner usual in that port or on a dock designated and provided by the buyer; and
(b) Obtain and tender a receipt for the goods in exchange for which the carrier is under a duty to issue a bill of lading.
(3) Unless otherwise agreed, in any case falling within subsection (1)(a) or (c) or subsection (2), the buyer must seasonably give any needed instructions for making delivery, including when the term is F.A.S. or F.O.B. the loading berth of the vessel, and in an appropriate case its name and sailing date. The seller may treat the failure of needed instructions as a failure of cooperation under this article (Section 7-2-311). He may also at his option move the goods in any reasonable manner preparatory to delivery or shipment.
(4) Under the term F.O.B. vessel or F.A.S. unless otherwise agreed the buyer must make payment against tender of the required documents and the seller may not tender nor the buyer demand delivery of the goods in substitution for the documents.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-320/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-320 - c.i.f. and C. & F. Terms.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-320 - c.i.f. and C. & F. Terms.
|
Section 7-2-320
C.I.F. and C. & F. terms.
(1) The term C.I.F. means that the price includes in a lump sum the cost of the goods and the insurance and freight to the named destination. The term C. & F. or C.F. means that the price so includes cost and freight to the named destination.
(2) Unless otherwise agreed and even though used only in connection with the stated price and destination, the term C.I.F. destination or its equivalent requires the seller at his own expense and risk to:
(a) Put the goods into the possession of a carrier at the port for shipment and obtain a negotiable bill or bills of lading covering the entire transportation to the named destination; and
(b) Load the goods and obtain a receipt from the carrier (which may be contained in the bill of lading) showing that the freight has been paid or provided for; and
(c) Obtain a policy or certificate of insurance, including any war risk insurance, of a kind and on terms then current at the port of shipment in the usual amount, in the currency of the contract, shown to cover the same goods covered by the bill of lading and providing for payment of loss to the order of the buyer or for the account of whom it may concern; but the seller may add to the price the amount of the premium for any such war risk insurance; and
(d) Prepare an invoice of the goods and procure any other documents required to effect shipment or to comply with the contract; and
(e) Forward and tender with commercial promptness all the documents in due form and with any indorsement necessary to perfect the buyer's rights.
(3) Unless otherwise agreed the term C. & F. or its equivalent has the same effect and imposes upon the seller the same obligations and risks as a C.I.F. term except the obligation as to insurance.
(4) Under the term C.I.F. or C. & F. unless otherwise agreed the buyer must make payment against tender of the required documents and the seller may not tender nor the buyer demand delivery of the goods in substitution for the documents.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-321/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-321 - c.i.f. or C. & f.: "Net Landed Weights"; "Payment on Arrival"; Warranty of Con...
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-321 - c.i.f. or C. & f.: "Net Landed Weights"; "Payment on Arrival"; Warranty of Condition on Arrival.
|
Section 7-2-321
C.I.F. or C. & F.: "Net landed weights"; "payment on arrival"; warranty of condition on arrival.
Under a contract containing a term C.I.F. or C. & F.:
(1) Where the price is based on or is to be adjusted according to "net landed weights," "delivered weights," "out turn" quantity or quality or the like, unless otherwise agreed the seller must reasonably estimate the price. The payment due on tender of the documents called for by the contract is the amount so estimated, but after final adjustment of the price a settlement must be made with commercial promptness.
(2) An agreement described in subsection (1) or any warranty of quality or condition of the goods on arrival places upon the seller the risk of ordinary deterioration, shrinkage and the like in transportation but has no effect on the place or time of identification to the contract for sale or delivery or on the passing of the risk of loss.
(3) Unless otherwise agreed where the contract provides for payment on or after arrival of the goods the seller must before payment allow such preliminary inspection as is feasible; but if the goods are lost, delivery of the documents and payment are due when the goods should have arrived.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-322/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-322 - Delivery "Ex-Ship".
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-322 - Delivery "Ex-Ship".
|
Section 7-2-322
Delivery "ex-ship".
(1) Unless otherwise agreed a term for delivery of goods "ex-ship" (which means from the carrying vessel) or in equivalent language is not restricted to a particular ship and requires delivery from a ship which has reached a place at the named port of destination where goods of the kind are usually discharged.
(2) Under such a term unless otherwise agreed:
(a) The seller must discharge all liens arising out of the carriage and furnish the buyer with a direction which puts the carrier under a duty to deliver the goods; and
(b) The risk of loss does not pass to the buyer until the goods leave the ship's tackle or are otherwise properly unloaded.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-323/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-323 - Form of Bill of Lading Required in Overseas Shipment; "overseas."
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-323 - Form of Bill of Lading Required in Overseas Shipment; "overseas."
|
Section 7-2-323
Form of bill of lading required in overseas shipment; "overseas."
(1) Where the contract contemplates overseas shipment and contains a term C.I.F. or C. & F. or F.O.B. vessel, the seller unless otherwise agreed must obtain a negotiable bill of lading stating that the goods have been loaded on board or, in the case of a term C.I.F. or C. & F., received for shipment.
(2) Where in a case within subsection (1) a tangible bill of lading has been issued in a set of parts, unless otherwise agreed if the documents are not to be sent from abroad the buyer may demand tender of the full set; otherwise only one part of the bill of lading need be tendered. Even if the agreement expressly requires a full set:
(a) Due tender of a single part is acceptable within the provisions of this article on cure of improper delivery (subsection (1) of Section 7-2-508); and
(b) Even though the full set is demanded, if the documents are sent from abroad the person tendering an incomplete set may nevertheless require payment upon furnishing an indemnity which the buyer in good faith deems adequate.
(3) A shipment by water or by air or a contract contemplating such shipment is "overseas" insofar as by usage of trade or agreement it is subject to the commercial, financing or shipping practices characteristic of international deep water commerce.
(Acts 1965, No. 549, p. 811; Act 2004-315, p. 464, §2.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-324/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-324 - "No Arrival, No Sale" Term.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-324 - "No Arrival, No Sale" Term.
|
Section 7-2-324
"No arrival, no sale" term.
Under a term "no arrival, no sale" or terms of like meaning, unless otherwise agreed,
(a) The seller must properly ship conforming goods and if they arrive by any means he must tender them on arrival but he assumes no obligation that the goods will arrive unless he has caused the nonarrival; and
(b) Where without fault of the seller the goods are in part lost or have so deteriorated as no longer to conform to the contract or arrive after the contract time, the buyer may proceed as if there had been casualty to identified goods (Section 7-2-613).
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-325/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-325 - "Letter of Credit" Term; "Confirmed credit."
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-325 - "Letter of Credit" Term; "Confirmed credit."
|
Section 7-2-325
"Letter of credit" term; "confirmed credit."
(1) Failure of the buyer seasonably to furnish an agreed letter of credit is a breach of the contract for sale.
(2) The delivery to seller of a proper letter of credit suspends the buyer's obligation to pay. If the letter of credit is dishonored, the seller may on seasonable notification to the buyer require payment directly from him.
(3) Unless otherwise agreed the term "letter of credit" or "banker's credit" in a contract for sale means an irrevocable credit issued by a financing agency of good repute and, where the shipment is overseas, of good international repute. The term "confirmed credit" means that the credit must also carry the direct obligation of such an agency which does business in the seller's financial market.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-326/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-326 - "Sale on Approval" and "Sale or return."
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-326 - "Sale on Approval" and "Sale or return."
|
Section 7-2-326
"Sale on approval" and "sale or return."
(1) Unless otherwise agreed, if delivered goods may be returned by the buyer even though they conform to the contract, the transaction is:
(a) A "sale on approval" if the goods are delivered primarily for use, and
(b) A "sale or return" if the goods are delivered primarily for resale.
(2) Goods held on approval are not subject to the claims of the buyer's creditors until acceptance; goods held on sale or return are subject to such claims while in the buyer's possession.
(3) Any "or return" term of a contract for sale is to be treated as a separate contract for sale within the statute of frauds section of this article (Section 7-2-201) and as contradicting the sale aspect of the contract within the provisions of this article on parol or extrinsic evidence (Section 7-2-202).
(Acts 1965, No. 549, p. 811; Act 2001-481, p. 647, §2.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-327/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-327 - Special Incidents of Sale on Approval and Sale or Return.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-327 - Special Incidents of Sale on Approval and Sale or Return.
|
Section 7-2-327
Special incidents of sale on approval and sale or return.
(1) Under a sale on approval unless otherwise agreed:
(a) Although the goods are identified to the contract the risk of loss and the title do not pass to the buyer until acceptance; and
(b) Use of the goods consistent with the purpose of trial is not acceptance but failure seasonably to notify the seller of election to return the goods is acceptance, and if the goods conform to the contract acceptance of any part is acceptance of the whole; and
(c) After due notification of election to return, the return is at the seller's risk and expense, but a merchant buyer must follow any reasonable instructions.
(2) Under a sale or return unless otherwise agreed:
(a) The option to return extends to the whole or any commercial unit of the goods while in substantially their original condition, but must be exercised seasonably; and
(b) The return is at the buyer's risk and expense.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-3/section-7-2-328/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 3 - General Obligation and Construction of Contract.›Section 7-2-328 - Sale by Auction.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 3 - General Obligation and Construction of Contract. › Section 7-2-328 - Sale by Auction.
|
Section 7-2-328
Sale by auction.
(1) In a sale by auction if goods are put up in lots each lot is the subject of a separate sale.
(2) A sale by auction is complete when the auctioneer so announces by the fall of the hammer or in other customary manner. Where a bid is made while the hammer is falling in acceptance of a prior bid the auctioneer may in his discretion reopen the bidding or declare the goods sold under the bid on which the hammer was falling.
(3) Such a sale is with reserve unless the goods are in explicit terms put up without reserve. In an auction with reserve the auctioneer may withdraw the goods at any time until he announces completion of the sale. In an auction without reserve, after the auctioneer calls for bids on an article or lot, that article or lot cannot be withdrawn unless no bid is made within a reasonable time. In either case a bidder may retract his bid until the auctioneer's announcement of completion of the sale, but a bidder's retraction does not revive any previous bid.
(4) If the auctioneer knowingly receives a bid on the seller's behalf or the seller makes or procures such a bid, and notice has not been given that liberty for such bidding is reserved, the buyer may at his option avoid the sale or take the goods at the price of the last good faith bid prior to the completion of the sale. This subsection shall not apply to any bid at a forced sale.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-4/section-7-2-401/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 4 - Title, Creditors, and Good Faith Purchasers.›Section 7-2-401 - Passing of Title; Reservation for Security; Limited Application of This Section.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 4 - Title, Creditors, and Good Faith Purchasers. › Section 7-2-401 - Passing of Title; Reservation for Security; Limited Application of This Section.
|
Section 7-2-401
Passing of title; reservation for security; limited application of this section.
Each provision of this article with regard to the rights, obligations and remedies of the seller, the buyer, purchasers or other third parties applies irrespective of title to the goods except where the provision refers to such title. Insofar as situations are not covered by the other provisions of this article and matters concerning title become material the following rules apply:
(1) Title to goods cannot pass under a contract for sale prior to their identification to the contract (Section 7-2-501), and unless otherwise explicitly agreed the buyer acquires by their identification a special property as limited by this title. Any retention or reservation by the seller of the title (property) in goods shipped or delivered to the buyer is limited in effect to a reservation of a security interest. Subject to these provisions and to the provisions of the article on secured transactions (Article 9A), title to goods passes from the seller to the buyer in any manner and on any conditions explicitly agreed on by the parties.
(2) Unless otherwise explicitly agreed title passes to the buyer at the time and place at which the seller completes his performance with reference to the physical delivery of the goods, despite any reservation of a security interest and even though a document of title is to be delivered at a different time or place, and in particular and despite any reservation of a security interest by the bill of lading:
(a) If the contract requires or authorizes the seller to send the goods to the buyer but does not require him to deliver them at destination, title passes to the buyer at the time and place of shipment; but
(b) If the contract requires delivery at destination, title passes on tender there.
(3) Unless otherwise explicitly agreed where delivery is to be made without moving the goods:
(a) If the seller is to deliver a tangible document of title, title passes at the time when and the place where he delivers such document and if the seller is to deliver an electronic document of title, title passes when the seller delivers the document; or
(b) If the goods are at the time of contracting already identified and no documents are to be delivered, title passes at the time and place of contracting.
(4) A rejection or other refusal by the buyer to receive or retain the goods, whether or not justified, or a justified revocation of acceptance revests title to the goods in the seller. Such revesting occurs by operation of law and is not a "sale."
(Acts 1965, No. 549, p. 811; Act 2004-315, p. 464, §2.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-4/section-7-2-402/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 4 - Title, Creditors, and Good Faith Purchasers.›Section 7-2-402 - Rights of Seller's Creditors Against Sold Goods.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 4 - Title, Creditors, and Good Faith Purchasers. › Section 7-2-402 - Rights of Seller's Creditors Against Sold Goods.
|
Section 7-2-402
Rights of seller's creditors against sold goods.
(1) Except as provided in subsections (2) and (3), rights of unsecured creditors of the seller with respect to goods which have been identified to a contract for sale are subject to the buyer's rights to recover the goods under this article (Sections 7-2-502 and 7-2-716).
(2) A creditor of the seller may treat a sale or an identification of goods to a contract for sale as void if as against him a retention of possession by the seller is fraudulent under any rule of law of the state where the goods are situated, except that retention of possession in good faith and current course of trade by a merchant-seller for a commercially reasonable time after a sale or identification is not fraudulent.
(3) Nothing in this article shall be deemed to impair the rights of creditors of the seller:
(a) Under the provisions of the article on secured transactions (Article 9); or
(b) Where identification to the contract or delivery is made not in current course of trade but in satisfaction of or as security for a preexisting claim for money, security or the like and is made under circumstances which under any rule of law of the state where the goods are situated would apart from this article constitute the transaction a fraudulent transfer or voidable preference.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-4/section-7-2-403/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 4 - Title, Creditors, and Good Faith Purchasers.›Section 7-2-403 - Power to Transfer; Good Faith Purchase of Goods; "entrusting."
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 4 - Title, Creditors, and Good Faith Purchasers. › Section 7-2-403 - Power to Transfer; Good Faith Purchase of Goods; "entrusting."
|
Section 7-2-403
Power to transfer; good faith purchase of goods; "entrusting."
(1) A purchaser of goods acquires all title which his transferor had or had power to transfer except that a purchaser of a limited interest acquires rights only to the extent of the interest purchased. A person with voidable title has power to transfer a good title to a good faith purchaser for value. When goods have been delivered under a transaction of purchase the purchaser has such power even though:
(a) The transferor was deceived as to the identity of the purchaser, or
(b) The delivery was in exchange for a check which is later dishonored, or
(c) It was agreed that the transaction was to be a "cash sale," or
(d) The delivery was procured through fraud punishable as larcenous under the criminal law.
(2) Any entrusting of possession of goods to a merchant who deals in goods of that kind gives him power to transfer all rights of the entruster to a buyer in ordinary course of business.
(3) "Entrusting" includes any delivery and any acquiescence in retention of possession regardless of any condition expressed between the parties to the delivery or acquiescence and regardless of whether the procurement of the entrusting or the possessor's disposition of the goods have been such as to be larcenous under the criminal law.
(4) The rights of other purchasers of goods and of lien creditors are governed by the articles on secured transactions (Article 9), bulk transfers (Article 6) and documents of title (Article 7).
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-5/section-7-2-501/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 5 - Performance.›Section 7-2-501 - Insurable Interest in Goods; Manner of Identification of Goods.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 5 - Performance. › Section 7-2-501 - Insurable Interest in Goods; Manner of Identification of Goods.
|
Section 7-2-501
Insurable interest in goods; manner of identification of goods.
(1) The buyer obtains a special property and an insurable interest in goods by identification of existing goods as goods to which the contract refers even though the goods so identified are nonconforming and he has an option to return or reject them. Such identification can be made at any time and in any manner explicitly agreed to by the parties. In the absence of explicit agreement "identification" occurs:
(a) When the contract is made if it is for the sale of goods already existing and identified;
(b) If the contract is for the sale of future goods other than those described in paragraph (c), when goods are shipped, marked or otherwise designated by the seller as goods to which the contract refers;
(c) When the crops are planted or otherwise become growing crops or the young are conceived if the contract is for the sale of unborn young to be born within 12 months after contracting or for the sale of crops to be harvested within 12 months or the next normal harvest season after contracting whichever is longer.
(2) The seller retains an insurable interest in goods so long as title to or any security interest in the goods remains in him and where the identification is by the seller alone he may until default or insolvency or notification to the buyer that the identification is final substitute other goods for those identified.
(3) Nothing in this section impairs any insurable interest recognized under any other statute or rule of law.
(Acts 1965, No. 549, p. 811.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-5/section-7-2-502/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 5 - Performance.›Section 7-2-502 - Buyer's Right to Goods.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 5 - Performance. › Section 7-2-502 - Buyer's Right to Goods.
|
Section 7-2-502
Buyer's right to goods.
(1) Subject to subsections (2) and (3) and even though the goods have not been shipped a buyer who has paid a part or all of the price of goods in which he has a special property under the provisions of Section 7-2-501 may on making and keeping good a tender of any unpaid portion of their price recover them from the seller if:
(a) in the case of goods bought for personal, family, or household purposes, the seller repudiates or fails to deliver as required by the contract; or
(b) in all cases, the seller becomes insolvent within 10 days after receipt of the first installment on their price.
(2) The buyer's right to recover the goods under subsection (1)(a) vests upon acquisition of a special property, even if the seller had not then repudiated or failed to deliver.
(3) If the identification creating his special property has been made by the buyer he acquires the right to recover the goods only if they conform to the contract for sale.
(Acts 1965, No. 549, p. 811; Act 2001-481, p. 647, §2.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-5/section-7-2-503/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 5 - Performance.›Section 7-2-503 - Manner of Seller's Tender of Delivery.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 5 - Performance. › Section 7-2-503 - Manner of Seller's Tender of Delivery.
|
Section 7-2-503
Manner of seller's tender of delivery.
(1) Tender of delivery requires that the seller put and hold conforming goods at the buyer's disposition and give the buyer any notification reasonably necessary to enable him to take delivery. The manner, time and place for tender are determined by the agreement and this article, and in particular:
(a) Tender must be at a reasonable hour, and if it is of goods they must be kept available for the period reasonably necessary to enable the buyer to take possession; but
(b) Unless otherwise agreed the buyer must furnish facilities reasonably suited to the receipt of the goods.
(2) Where the case is within Section 7-2-504 respecting shipment, tender requires that the seller comply with its provisions.
(3) Where the seller is required to deliver at a particular destination, tender requires that he comply with subsection (1) and also in any appropriate case tender documents as described in subsections (4) and (5) of this section.
(4) Where goods are in the possession of a bailee and are to be delivered without being moved:
(a) Tender requires that the seller either tender a negotiable document of title covering such goods or procure acknowledgment by the bailee of the buyer's right to possession of the goods; but
(b) Tender to the buyer of a nonnegotiable document of title or of a record directing the bailee to deliver is sufficient tender unless the buyer seasonably objects, and, except as otherwise provide in Article 9A, receipt by the bailee of notification of the buyer's rights fixes those rights as against the bailee and all third persons; but risk of loss of the goods and of any failure by the bailee to honor the nonnegotiable document of title or to obey the direction remains on the seller until the buyer has had a reasonable time to present the document or direction, and a refusal by the bailee to honor the document or to obey the direction defeats the tender.
(5) Where the contract requires the seller to deliver documents:
(a) He must tender all such documents in correct form, except as provided in this article with respect to bills of lading in a set (subsection (2) of Section 7-2-323); and
(b) Tender through customary banking channels is sufficient and dishonor of a draft accompanying the documents constitutes nonacceptance or rejection.
(Acts 1965, No. 549, p. 811; Act 2004-315, p. 464, §2.)
|
https://law.justia.com/codes/alabama/title-7/article-2/part-5/section-7-2-504/
|
AL
|
Justia›US Law›US Codes and Statutes›Code of Alabama›2023 Code of Alabama›Title 7 - Commercial Code.›Article 2 - Sales.›Part 5 - Performance.›Section 7-2-504 - Shipment by Seller.
|
2023 Code of Alabama › Title 7 - Commercial Code. › Article 2 - Sales. › Part 5 - Performance. › Section 7-2-504 - Shipment by Seller.
|
Section 7-2-504
Shipment by seller.
Where the seller is required or authorized to send the goods to the buyer and the contract does not require him to deliver them at a particular destination, then unless otherwise agreed he must:
(a) Put the goods in the possession of such a carrier and make such a contract for their transportation as may be reasonable having regard to the nature of the goods and other circumstances of the case; and
(b) Obtain and promptly deliver or tender in due form any document necessary to enable the buyer to obtain possession of the goods or otherwise required by the agreement or by usage of trade; and
(c) Promptly notify the buyer of the shipment.
Failure to notify the buyer under paragraph (c) or to make a proper contract under paragraph (a) is a ground for rejection only if material delay or loss ensues.
(Acts 1965, No. 549, p. 811.)
|
Subsets and Splits
No community queries yet
The top public SQL queries from the community will appear here once available.