HB113 Alabama 2016 Session

Summary

Primary Sponsor

Matt Fridy

Republican

Session

Regular Session 2016

Title

Fraudulent Transfer Act, make applicable to domestic settlements, Sec. 8-9A-1 am'd.

Summary

HB113 clarifies that transfers in divorce or domestic settlements are covered by the Alabama Fraudulent Transfer Act, and states the clarification is declaratory, retroactive as needed, and effective immediately.

What This Bill Does

Adds divorce settlements and domestic settlements to the definition of transfer under the Fraudulent Transfer Act. States that the amendment is declaratory of existing law and does not change current law. Allows retroactive application as necessary to carry out the Legislature's intent.

Who It Affects

• Debtors and individuals involved in divorce or domestic settlements, whose settlement transfers could be examined under the Fraudulent Transfer Act.
• Creditors and others with claims against a debtor, who may have additional rights to challenge or pursue fraudulent transfers in these settlements.

Key Provisions

• Transfer includes transfers made pursuant to a divorce settlement or domestic settlement for purposes of the Fraudulent Transfer Act.
• The act is declaratory of existing law and not intended to change existing law.
• Act may be applied retroactively as necessary to carry out the Legislature's intent.
• Effective immediately following governor's 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

Fraud