(a) A lienholder may assign, absolutely or otherwise, his security interest in the vehicle to a person other than the owner without affecting the interest of the owner or the validity of the security interest, but any person without notice of the assignment is protected in dealing with the lienholder as the holder of the security interest and the lienholder remains liable for any obligations as lienholder until the assignee is named as lienholder on the certificate in the manner prescribed by the department.
(b) The department shall file each assignment received by the department with the required fee, and note the assignee as lienholder upon the record of notices of security interests maintained by the department.
Structure Code of Alabama
Title 32 - Motor Vehicles and Traffic.
Chapter 8 - Uniform Certificate of Title and Antitheft Act.
Article 3 - Security Interests.
Section 32-8-60 - Excepted Liens and Security Interests.
Section 32-8-61 - Perfection of Security Interests.
Section 32-8-62 - Procedure When Owner Creates Security Interest.
Section 32-8-63 - Assignment by Lienholder.
Section 32-8-64 - Release of Security Interest.
Section 32-8-64.1 - Satisfaction of Security Interest After 12 Years.
Section 32-8-64.2 - Release of Certain Liens.
Section 32-8-65 - Duty of Lienholder to Disclose Information.
Section 32-8-66 - Exclusiveness of Procedure.
Section 32-8-67 - Filing and Recording of Notices of Security Interests; Examination of Record.
Section 32-8-68 - Recording and Releasing Security Interests by Electronic Means.