Section 7-9A-605 - [Effective 7/1/2024] Unknown debtor or secondary obligor(a) In general: No duty owed by secured party. Except as provided in subsection (b), a secured party does not owe a duty based on its status as secured party:(1) to a person that is a debtor or obligor, unless the secured party knows: (A) that the person is a debtor or obligor;(B) the identity of the person; and(C) how to communicate with the person; or(2) to a secured party or lienholder that has filed a financing statement against a person, unless the secured party knows: (A) that the person is a debtor; and(B) the identity of the person.(b) Exception: Secured party owes duty to debtor or obligor. A secured party owes a duty based on its status as a secured party to a person if, at the time the secured party obtains control of collateral that is a controllable account, controllable electronic record, or controllable payment intangible or at the time the security interest attaches to the collateral, whichever is later: (1) the person is a debtor or obligor; and(2) the secured party knows that the information in subsection (a)(1)(A), (B), or (C) relating to the person is not provided by the collateral, a record attached to or logically associated with the collateral, or the system in which the collateral is recorded.Ala. Code § 7-9A-605 (1975)
Amended by Act 2023-492,§ 1, eff. 7/1/2024.Act 2001-481, p. 647, §1.This section is set out more than once due to postponed, multiple, or conflicting amendments.