{"data":{"id":"us-al/ala.-code-7-9a-340","jurisdiction":"us-al","citation":"Ala. Code § 7-9A-340","heading":"Effectiveness of Right of Recoupment or Set-Off Against Deposit Account.","body":"(a) Exercise of recoupment or set-off. Except as otherwise provided in subsection (c), a bank with which a deposit account is maintained may exercise any right of recoupment or set-off against a secured party that holds a security interest in the deposit account.\n(b) Recoupment or set-off not affected by security interest. Except as otherwise provided in subsection (c), the application of this article to a security interest in a deposit account does not affect a right of recoupment or set-off of the secured party as to a deposit account maintained with the secured party.\n(c) When set-off ineffective. The exercise by a bank of a set-off against a deposit account is ineffective against a secured party that holds a security interest in the deposit account which is perfected by control under Section 7-9A-104(a)(3), if the set-off is based on a claim against the debtor.","path":["Title 7 Commercial Code.","Article 9A Secured Transactions.","Part 3 Perfection and Priority.","Division 4 Rights of Bank."],"source_url":"https://alison.legislature.state.al.us/code-of-alabama?section=7-9A-340","current_through":"Act 2026-611","vintage":"","retrieved_at":"2026-09-03T14:01:52Z","sha256":"e93528f564758e1c1f254f665ac7ad04ca7a1f2d9897368ec002b3fa6b7173fd","source_id":"us-al","stale":false,"prev":"us-al/ala.-code-7-9a-339","next":"us-al/ala.-code-7-9a-341"},"notice":"GroundRules: Original legal text. Not legal advice."}