Ala. Code § 35-NEW

Current through the 2024 Regular Session.

Section 35-NEW - [Newly enacted section not yet numbered] [Effective 1/1/2025] Definitions

For the purposes of this act, the following terms have the following meanings:

(1) AFFILIATE.

a. With respect to an individual:

1. A companion of the individual;

2. A lineal ancestor or descendant, whether by blood or adoption, of either of the following:

(i) The individual.

(ii) A companion of the individual;

3. A companion of an ancestor or descendant described in subparagraph 2.;

4. A sibling, aunt, uncle, great aunt, great uncle, first cousin, niece, nephew, grandniece, or grandnephew of the individual, whether related by the whole or the half blood or adoption, or a companion of any of them; or

5. Any other individual occupying the residence of the individual.

b. With respect to a person other than an individual:

1. Another person that directly or indirectly controls, is controlled by, or is under common control with the person;

2. An officer, director, manager, member, partner, employee, or trustee or other fiduciary of the person; or

3. A companion of, or an individual occupying the residence of, an individual described in subparagraph 1. or 2.

(2) COMPANION. Includes, but is not limited to, the spouse or romantic partner of an individual.

(3) COURT. A circuit court of this state as well as a federal court exercising jurisdiction over claims arising under this act.

(4) DISCHARGE. The removal or termination of the receiver's obligations to possess, manage, preserve, or administer the receivership property, or any combination of the foregoing.

(5) EXECUTORY CONTRACT. A contract, including a lease, under which each party has an unperformed obligation and the failure of a party to complete performance would constitute a material breach.

(6) GOVERNMENTAL UNIT. An office, department, division, bureau, board, commission, or other agency of this state or a subdivision of this state.

(7) INTERESTED PARTY. Any mortgagee, mortgagor, owner, professional engaged pursuant to Section 15, claimant pursuant to Section 20, or any person having an enforceable right or claim which may be affected by the proceeding. The term as it relates to particular persons may vary from time to time and must be determined according to the particular purposes of, and matter involved in, any proceeding.

(8) LIEN. An interest in property which secures payment or performance of an obligation.

(9) MORTGAGE. A record, however denominated, that creates or provides for a consensual lien on real property or rents, even if the record also creates or provides for a lien on personal property.

(10) MORTGAGEE. A person entitled to enforce an obligation secured by a mortgage.

(11) MORTGAGOR. A person that grants a mortgage or a successor in ownership of the real property described in the mortgage.

(12) OWNER. The person for whose property a receiver is appointed.

(13) PERSON. An individual, estate, business or nonprofit entity, public corporation, government or governmental subdivision, agency, or instrumentality, or other legal entity.

(14) PROCEEDS. Any of the following property:

a. Whatever is acquired on the sale, lease, license, exchange, or other disposition of receivership property.

b. Whatever is collected on, or distributed on account of, receivership property.

c. Rights arising out of receivership property.

d. To the extent of the value of receivership property, claims arising out of the loss, nonconformity, or interference with the use of, defects or infringement of rights in, or damage to the property.

e. To the extent of the value of receivership property and to the extent payable to the owner or mortgagee, insurance payable by reason of the loss or nonconformity of, defects or infringement of rights in, or damage to the property.

(15) PROPERTY. All of a person's right, title, and interest, both legal and equitable, in real and personal property, tangible and intangible, wherever located and however acquired. The term includes proceeds, products, offspring, rents, or profits of or from the property.

(16) RECEIVER. A person appointed by the court as the court's agent, and subject to the court's direction, to take possession of, manage, and if authorized by this act or court order, to transfer, sell, lease, license, exchange, collect, or otherwise dispose of receivership property.

(17) RECEIVERSHIP. A proceeding in which a receiver is appointed.

(18) RECEIVERSHIP PROPERTY. The property of an owner which is described in the order appointing a receiver or a subsequent order. The term includes any proceeds, products, offspring, rents, or profits of or from the property.

(19) RECORD. When used as a noun, information that is inscribed on a tangible medium or that is stored on an electronic or other medium and is retrievable in perceivable form.

(20) RENTS. Any of the following:

a. Sums payable for the right to possess or occupy, or for the actual possession or occupation of, real property of another person.

b. Sums payable to a mortgagor under a policy of rental-interruption insurance covering real property.

c. Claims arising out of a default in the payment of sums payable for the right to possess or occupy real property of another person.

d. Sums payable to terminate an agreement to possess or occupy real property of another person.

e. Sums payable to a mortgagor for payment or reimbursement of expenses incurred in owning, operating, and maintaining real property or incurred in constructing or installing improvements on real property.

f. Other sums payable under an agreement relating to the real property of another person which constitute rents under the law of this state other than this act.

(21) SECURED OBLIGATION. An obligation the payment or performance of which is secured by a security agreement.

(22) SECURITY AGREEMENT. An agreement that creates or provides for a lien.

(23) SIGN. Either of the following, with present intent to authenticate or adopt a record:

a. To execute or adopt a tangible symbol.

b. To attach to or logically associate with the record an electronic sound, symbol, or process.

(24) STATE. 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.

Ala. Code § 35-NEW (1975)

Added by Act 2024-380,§ 2, eff. 1/1/2025.