Code of Alabama
Ala. Code § 7-3-102 (2026)
Subject Matter.
✓ official Alabama Legislature (ALISON) text, current July 2026
(a) This article applies to negotiable instruments. It does not apply to money, to payment orders governed by Article 4A, or to securities governed by Article 8.
(b) If there is conflict between this article and Article 4 or 9, Articles 4 and 9 govern.
(c) Regulations of the Board of Governors of the Federal Reserve System and operating circulars of the Federal Reserve Banks supersede any inconsistent provision of this article to the extent of the inconsistency.
(Acts 1995, No. 95-668, p. 1381, §1.)
Notes of Decisions
Cited in 4
cases, 1983–2019 · leading case: The First Nat'l Bank of Alexander City v. Avondale Mills Bevelle Employees Fed. Credit Union, in Liquidation, 967 F.2d 556 (1st Cir. 1992).
The First Nat'l Bank of Alexander City v. Avondale Mills Bevelle Employees Fed. Credit Union, in Liquidation, 967 F.2d 556 (1st Cir. 1992). “Ala.Code § 7-3-102(e) (1984). These provisions do not apply to this case because the parties (correctly) agree the share CD is not a negotiable instrument.”
Bradley, Arant, Rose & White, a P'ship v. United States, 802 F.2d 1323 (11th Cir. 1986). “The law firm further contends that delivery of the checks to the United States Marshal amounted to a remitter to a neutral third party who held the checks as a stakeholder until adjudication of the competing liens, thus creating a res upon which liens could attach.”
Owens v. Durden, 440 So. 2d 1079 (Ala. Civ. App. 1983). “Specifically, § 7-3-403 applies to a signature on an “instrument,” which is defined in § 7-3-102(l)(e) to mean a “negotiable instrument.”
Nelson v. Nationstar Mortg. LLC (Bankr. N.D. Ala. 2019). “CODE § 7-3-102 (limiting the scope of Article 3 to negotiable instruments).”
— Ala. Code § 7-3-102(e) — 1 case
The First Nat'l Bank of Alexander City v. Avondale Mills Bevelle Employees Fed. Credit Union, in Liquidation, 967 F.2d 556 (1st Cir. 1992). “Ala.Code § 7-3-102(e) (1984). These provisions do not apply to this case because the parties (correctly) agree the share CD is not a negotiable instrument.”
— Ala. Code § 7-3-102(l)(a) — 1 case
Bradley, Arant, Rose & White, a P'ship v. United States, 802 F.2d 1323 (11th Cir. 1986). “The law firm further contends that delivery of the checks to the United States Marshal amounted to a remitter to a neutral third party who held the checks as a stakeholder until adjudication of the competing liens, thus creating a res upon which liens could attach.”
— Ala. Code § 7-3-102(l)(e) — 1 case
Owens v. Durden, 440 So. 2d 1079 (Ala. Civ. App. 1983). “Specifically, § 7-3-403 applies to a signature on an “instrument,” which is defined in § 7-3-102(l)(e) to mean a “negotiable instrument.”
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