(a) Subordination of security interest in transferred collateral. Except as otherwise provided in subsection (b), a security interest created by a debtor is subordinate to a security interest in the same collateral created by another person if:
(1) the debtor acquired the collateral subject to the security interest created by the other person;
(2) the security interest created by the other person was perfected when the debtor acquired the collateral; and
(3) there is no period thereafter when the security interest is unperfected.
(b) Limitation of subsection (a) subordination. Subsection (a) subordinates a security interest only if the security interest:
(1) otherwise would have priority solely under Section 7-9A-322(a) or 7-9A-324; or
(2) arose solely under Section 7-2-711(3) or 7-2A-508(5).
Structure Code of Alabama
Article 9A - Secured Transactions.
Part 3 - Perfection and Priority.
Section 7-9A-319 - Rights and Title of Consignee With Respect to Creditors and Purchasers.
Section 7-9A-320 - Buyer of Goods; Alabama Farmers Credit Protection Fund.
Section 7-9A-323 - Future Advances.
Section 7-9A-324 - Priority of Purchase-Money Security Interests.
Section 7-9A-325 - Priority of Security Interests in Transferred Collateral.
Section 7-9A-326 - Priority of Security Interests Created by New Debtor.
Section 7-9A-327 - Priority of Security Interests in Deposit Account.
Section 7-9A-328 - Priority of Security Interests in Investment Property.
Section 7-9A-329 - Priority of Security Interests in Letter-of-Credit Right.
Section 7-9A-330 - Priority of Purchaser of Chattel Paper or Instrument.
Section 7-9A-332 - Transfer of Money; Transfer of Funds From Deposit Account.
Section 7-9A-333 - Priority of Certain Liens Arising by Operation of Law.
Section 7-9A-334 - Priority of Security Interests in Fixtures and Crops.
Section 7-9A-335 - Accessions.
Section 7-9A-336 - Commingled Goods.
Section 7-9A-337 - Priority of Security Interests in Goods Covered by Certificate of Title.