Whenever a debtor of the decedent is unable to pay all his debts, the executor or administrator, with the approbation of the court or judge thereof, may compound with him and give him a discharge, upon receiving a fair and just dividend of his effects. A compromise may also be authorized when it appears to be just, and for the best interest of the estate.
Structure Code of Alabama
Title 43 - Wills and Decedents' Estates.
Chapter 2 - Administration of Estates.
Article 15 - Claims and Debts.
Division 3 - Sale, Compromise, and Settlement.
Section 43-2-390 - Authorization to Compromise or Sell Claims.
Section 43-2-391 - Notice and Hearing.
Section 43-2-393 - When Executor or Administrator May Give Note, etc., to Extend or Settle Debt.
Section 43-2-394 - Compounding With and Discharge of Debtor.