{"data":{"id":"us-al/ala.-code-7-9a-323","jurisdiction":"us-al","citation":"Ala. Code § 7-9A-323","heading":"Future Advances.","body":"(a) When priority based on time of advance. Except as otherwise provided in subsection (c), for purposes of determining the priority of a perfected security interest under Section 7-9A-322(a)(1), perfection of the security interest dates from the time an advance is made to the extent that the security interest secures an advance that:\n(1) is made while the security interest is perfected only:\n(A) under Section 7-9A-309 when it attaches; or\n(B) temporarily under Section 7-9A-312(e), (f), or (g); and\n(2) is not made pursuant to a commitment entered into before or while the security interest is perfected by a method other than under Section 7-9A-309 or 7-9A-312(e), (f), or (g).\n(b) Lien creditor. Except as otherwise provided in subsection (c), a security interest is subordinate to the rights of a person that becomes a lien creditor to the extent that the security interest secures an advance made more than 45 days after the person becomes a lien creditor unless the advance is made:\n(1) without knowledge of the lien; or\n(2) pursuant to a commitment entered into without knowledge of the lien.\n(c) Buyer of receivables. Subsections (a) and (b) do not apply to a security interest held by a secured party that is a buyer of accounts, chattel paper, payment intangibles, or promissory notes or a consignor.\n(d) Buyer of goods. Except as otherwise provided in subsection (e), a buyer of goods takes free of a security interest to the extent that it secures advances made after the earlier of:\n(1) the time the secured party acquires knowledge of the buyer’s purchase; or\n(2) 45 days after the purchase.\n(e) Advances made pursuant to commitment: Priority of buyer of goods. Subsection (d) does not apply if the advance is made pursuant to a commitment entered into without knowledge of the buyer’s purchase and before the expiration of the 45-day period.\n(f) Lessee of goods. Except as otherwise provided in subsection (g), a lessee of goods takes the leasehold interest free of a security interest to the extent that it secures advances made after the earlier of:\n(1) the time the secured party acquires knowledge of the lease; or\n(2) 45 days after the lease contract becomes enforceable.\n(g) Advances made pursuant to commitment: Priority of lessee of goods. Subsection (f) does not apply if the advance is made pursuant to a commitment entered into without knowledge of the lease and before the expiration of the 45-day period.","path":["Title 7 Commercial Code.","Article 9A Secured Transactions.","Part 3 Perfection and Priority.","Division 3 Priority."],"source_url":"https://alison.legislature.state.al.us/code-of-alabama?section=7-9A-323","current_through":"Act 2026-611","vintage":"","retrieved_at":"2026-09-03T14:01:52Z","sha256":"cd8a1b5c18c84d8a3328fa4db8ca9b749953bf1f495b5dd550a9da74149a3779","source_id":"us-al","stale":false,"prev":"us-al/ala.-code-7-9a-322","next":"us-al/ala.-code-7-9a-324"},"notice":"GroundRules: Original legal text. Not legal advice."}