Code of Alabama
Part 3 - Territorial Applicability; Parties' Power to Choose Applicable Law.
Section 7-1-310 - Subordinated Obligations.

An obligation may be issued as subordinated to performance of another obligation of the person obligated, or a creditor may subordinate its right to performance of an obligation by agreement with either the person obligated or another creditor of the person obligated. Subordination does not create a security interest as against either the common debtor or a subordinated creditor.