Code of Alabama
Ala. Code § 7-9-107 (2026)
Definitions: “Purchase Money Security Interest.”
✓ official Alabama Legislature (ALISON) text, current July 2026
Repealed by Act 2001-481, p. 647, § 4, effective January 1, 2002.
(Acts 1965, No. 549, p. 811.)
Notes of Decisions
Cited in 11
cases, 1985–2006 · leading case: Skinner's Furniture Store of Greenville, Inc. v. McCall (In Re McCall), 62 B.R. 57 (M.D. Ala. 1985).
Skinner's Furniture Store of Greenville, Inc. v. McCall (In Re McCall), 62 B.R. 57 (M.D. Ala. 1985). “Skinner’s Furniture objected to the claimed exemption, arguing that under 1975 Alabama Code § 7-9-107 it held a purchase money security interest in the goods that was superior to all other liens and McCall’s claimed personal exemption.”
AmSouth Bank, N.A. v. ORIX Credit All., Inc. (In Re Delta Resources, Inc.), 162 B.R. 562 (Bankr. N.D. Ala. 1993). “Code § 7-9-107 (1975) is very narrow: Definitions: “Purchase money security interest.”
In Re Horn, 338 B.R. 110 (Bankr. M.D. Ala. 2006). “Code § 7-9-107. Although Ala.Code § 7-9A-103 now employs different language to define the phrase, a purchase-money security interest remains one that secures the money used to acquire the collateral and nothing else.”
In Re Harrell, 72 B.R. 107 (Bankr. N.D. Ala. 1987). “Ala.Code § 7-9-107 (1975). The note and security agreement in the present case indicates on its face that there were at least three transactions between the debtors and First State Bank prior to November 2,1984.”
Southtrust Bank of Alabama, Nat'l Ass'n, Formerly Named Birmingham Trust Nat'l Bank v. Borg-Warner Acceptance Corp., a Corp., 760 F.2d 1240 (11th Cir. 1985). “Ala.Code § 7-9-107 (1975); O.C.G.A. § 11-9-107 (1981).”
Snap-On Tools Corp. v. Freeman (In Re Freeman), 124 B.R. 840 (N.D. Ala. 1991). “Ala. Code § 7-9-107 (1975). “A security interest in an item of collateral is ‘purchase money’ to the extent the item secures a debt incurred to enable the debt- or to make the purchase.”
Matter of Hillard, 198 B.R. 620 (Bankr. N.D. Ala. 1996). “AlaUode § 7-9-107 (1975). In Snap-On Tools, Inc. v.”
Lee v. Davis/McGraw, Inc. (In Re Lee), 169 B.R. 790 (Bankr. S.D. Ga. 1994). “§ 11-9-107; Ala.Code § 7-9-107. 4 . As an exception to the first to file rule, a purchase money security interest in inventory has priority over a conflicting security interest in the same inventory.”
Snap-On Tools, Inc. v. Freeman (In re Freeman), 956 F.2d 252 (11th Cir. 1992). “Pursuant to Alabama Code § 7-9-107,. a security interest is a “purchase money security interest” to the extent that it is: (a) taken or retained by the seller of the collateral to secure all or part of its price; or (b) taken by a person who by making advances or incurring an…”
In Re Campbell, 129 B.R. 1020 (Bankr. S.D. Ala. 1991). “Section 7-9-107 of the Code of Alabama (1975) defines a purchase money security interest as a security interest “[t]aken or retained by the seller of the collateral to secure all or part of its price .”
Morris v. Ford Motor Credit Co., Inc., 612 So. 2d 1212 (Ala. Civ. App. 1992). “Ford Motor Credit had a purchase money security interest in the van pursuant to § 7-9-107, Code 1975, and had properly perfected its purchase money security interest in accordance with § 32-8-61 , Code 1975.”
— Ala. Code § 7-9-107(a) — 1 case
Skinner's Furniture Store of Greenville, Inc. v. McCall (In Re McCall), 62 B.R. 57 (M.D. Ala. 1985). “Skinner’s Furniture objected to the claimed exemption, arguing that under 1975 Alabama Code § 7-9-107 it held a purchase money security interest in the goods that was superior to all other liens and McCall’s claimed personal exemption.”
Annotations are extracted automatically from the opinions in the
Syfert caselaw corpus and ranked by authority, recency, and
treatment. Dots show Syfertize treatment of the citing case itself.