SB506 Alabama 2010 Session

Summary

Primary Sponsor

Roger Bedford, Jr.

Democrat

Session

Regular Session 2010

Title

Commercial property, right of redemption, time period reduced, Sec. 6-5-248 am'd.

Summary

The bill shortens the redemption period after foreclosure for commercial property to 90 days (residential remains at 1 year).

What This Bill Does

It amends Section 6-5-248 to set a 90-day redemption window for commercial property from the sale date, while preserving a 1-year window for residential property. It keeps the same wide range of redeeming parties (debtors, mortgagors, lenders, transferees, and certain family members) and the priority rules that apply to liens and judgments. When redemption occurs, higher-priority liens and recorded judgments/mortgages/claims are revived against the property and must be paid off at redemption; once paid, those lienholders’ redemption rights are exhausted.

Who It Affects

• Commercial real estate owners, mortgagors, and other redeeming parties (including their spouses, children, heirs, and transferees), who would have a shorter 90-day window to exercise redemption after foreclosure.
• Lenders and other lienholders (mortgagees, judgment creditors, junior lienholders) with interests in the property, who must act within a 90-day period for commercial property and whose claims can be revived and paid off upon redemption.

Key Provisions

• Amends Section 6-5-248 to set a 90-day redemption period for commercial property from the foreclosure sale date.
• Retains a 1-year redemption period for residential property from the foreclosure sale date.
• Redemption triggers revival of higher-priority recorded liens/judgments/mortgages, which must be paid off at redemption; paid claims terminate the redeeming party’s further redemption rights.
• Outlines who may redeem (debtors, mortgagors, their transferees, spouses, children, heirs, devisees, and related parties) and preserves priority rules among redeeming parties.

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Property, Real and Personal