HB236 Alabama 2011 Session

Updated Feb 27, 2026

Notable

Summary

Primary Sponsor: Gregory Canfield
Republican
Co-Sponsors: Victor Gaston Chad Fincher Jim McClendon
Session: Regular Session 2011
Title: Money judgments not based on a contract action, computation of interest further regulated, Sec. 8-8-10 am'd.
Summary: HB236 changes post-judgment interest for non-contract money judgments to use a weekly average one-year Treasury yield from the judgment date, with daily calculation and annual compounding.
What This Bill Does
For money judgments not based on a contract, the interest rate would be the weekly average one-year Treasury yield published by the Federal Reserve for the calendar week before the judgment, and interest would begin on the judgment entry date. Interest would be calculated daily and compounded annually. Judgments based on contracts would keep the contract’s own interest rate. Fees charged as costs to trustees, executors, administrators, or attorneys would bear the same interest rate.

Who It Affects
Debtors in non-contract money judgments, who would pay interest at the Treasury-based rate starting from the judgment entry date.
Trustees, executors, administrators, and attorneys, whose fees or costs in proceedings would bear the same Treasury-based interest rate.

Key Provisions
Non-contract judgments will bear interest at the weekly average one-year Treasury yield, as published by the Fed, for the nearest calendar week preceding the judgment date.
Interest begins from the date of entry of the judgment and is computed daily to the date of payment, with post-judgment interest compounded annually.
Judgments based on contract actions retain the contract's stated interest rate (unchanged by this bill).
The act applies to judgments entered after the effective date; fees charged to trustees, executors, administrators, or attorneys shall bear the same rate from the date of entry.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects: Banks and Banking