HB524 Alabama 2013 Session

Summary

Primary Sponsor

Paul Beckman

Republican

Co-Sponsors

Kurt WallaceRod ScottMerika ColemanAllen Farley

Session

Regular Session 2013

Title

Money judgments, bear interest from date of the cause of action, Sec. 8-8-10 am'd.

Summary

HB524 would require money judgments to accrue interest starting from the date of the underlying action, with contract-based judgments using the contract rate and all other judgments at 7.5% per year.

What This Bill Does

It amends Section 8-8-10 to require all money judgments to accrue interest from the date of the cause of action. For contract-based judgments, the interest rate stays at the contract's stated rate; for all other judgments, interest accrues from that date at 7.5% per year. Fees taxed as costs for trustees, executors, administrators, or attorneys also accrue interest from the date of entry at the same rate. The change applies to judgments entered on or after September 1, 2011.

Who It Affects

• Civil plaintiffs and defendants in money-judgment cases: interest on judgments would start from the date the underlying cause of action occurred, affecting how much is owed over time (contract actions use the contract rate; non-contract actions use 7.5%).
• Professionals whose fees are taxed as costs (trustees, executors, administrators, and attorneys): those fees would accrue interest from the judgment entry date at 7.5% per year.

Key Provisions

• Amends Section 8-8-10 to require all money judgments to bear interest from the date of the cause of action.
• Contract-based money judgments: interest remains at the rate stated in the contract.
• Non-contract money judgments: interest from the cause of action date at 7.5% per annum.
• Fees taxed as costs for trustees, executors, administrators, or attorneys: interest from the day of entry at the same rate (7.5%).
• Applies to judgments entered on or after September 1, 2011.
• Effective date: first day of the third month after passage and approval.

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

Subjects

Civil Procedure