(a) Subordination of security interest created by new debtor. Subject to subsection (b), a security interest that is created by a new debtor in collateral in which the new debtor has or acquires rights and is perfected solely by a filed financing statement that would be ineffective to perfect the security interest but for the application of Section 7-9A-316(i)(1) or 7-9A-508 is subordinate to a security interest in the same collateral which is perfected other than by such a filed financing statement.
(b) Priority under other provisions; multiple original debtors. The other provisions of this part determine the priority among conflicting security interests in the same collateral perfected by filed financing statements described in subsection (a). However, if the security agreements to which a new debtor became bound as debtor were not entered into by the same original debtor, the conflicting security interests rank according to priority in time of the new debtor's having become bound.
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.