Code of Alabama
Ala. Code § 8-1-23 (2026)
Obligation Extinguished by New Consideration or Writing.
✓ official Alabama Legislature (ALISON) text, current July 2026
An obligation is extinguished by a release therefrom given to the debtor by the creditor upon a new consideration or in writing with or without new consideration.
(Code 1923, §5643; Code 1940, T. 9, §4.)
Notes of Decisions
Cited in 11
cases, 1983–2006 · leading case: Clark v. Jim Walter Homes, Inc., 719 F. Supp. 1037 (M.D. Ala. 1989).
Clark v. Jim Walter Homes, Inc., 719 F. Supp. 1037 (M.D. Ala. 1989). “Therefore, the court concludes that judgment in favor of Jim Walter Homes is due with respect to count one of the Clarks’ complaint. The court further finds that this release dooms count seven of the complaint, the count relating to the mortgage contract.”
Golden v. Bank of Tallassee, 639 So. 2d 1366 (Ala. 1994). “Ala.Code 1975, § 8-1-23. Further, an obligation may be extinguished by an accord and satisfaction.”
Cain v. Saunders, 813 So. 2d 891 (Ala. Civ. App. 2001). “We recognize that the result reached in applying the parol-evidence rule might not always seem equitable where a mutual mistake inures to the benefit of one of the settling parties at the expense of the other.”
Hartford Accident & Indem. Co. v. Cochran Plastering Co., 935 So. 2d 462 (Ala. Civ. App. 2006). “Therefore, we must conclude that Hartford has failed to demonstrate that the trial court erred in refusing to enforce the terms of that release.”
Thrash v. Deason, 435 So. 2d 69 (Ala. 1983). “The parties agree that Code 1975, § 8-1-23, controls the disposition of this case.”
Irvin v. Griffin Corp., 808 F.2d 802 (11th Cir. 1987). “” Ala.Code § 8-1-23 (1975). If "value” for purposes of § 8-1-2 is defined in terms of “consideration” under § 8-1-23, then the appellees’ rights cannot be prejudiced without their presence and participation in the reformation proceeding, because the release was in writing.”
Steward v. Turner, 551 So. 2d 374 (Ala. 1989). “Furthermore, an obligation is extinguished by a release therefrom given to the debtor by the creditor upon a new consideration or in writing with or without new consideration.”
Fin. Underwriters, Inc. v. Warren, 485 So. 2d 336 (Ala. Civ. App. 1986). “Section 8-1-23, Code of Alabama 1975 states: “An obligation is extinguished by a release therefrom given to the debtor by the creditor upon a new consideration or in writing with or without new consideration.”
In re Bondurant, 180 B.R. 654 (Bankr. N.D. Ala. 1995). “Section 8-1-23, Code of Alabama 1975, provides, “An obligation is extinguished by a release therefrom given to the debtor by a creditor upon a new consideration or in writing with or without new consideration.”
Parnell v. SouthTrust Bank of Etowah Cnty., N.A., 496 So. 2d 34 (Ala. 1986). “Parnell responds that he was discharged upon consideration, that consideration being the agreement of Kilgore and Polystone to assume the debt, see Code 1975, § 7-3-601(2), and that Williams's oral promise to release him upon this consideration was sufficient to bind SouthTrust.”
Turbyfill v. Hyde, 676 So. 2d 359 (Ala. Civ. App. 1996). “Section 8-1-23, Code 1975, provides the following: “An obligation is extinguished by a release therefrom given to the debtor by the creditor upon a new consideration or in writing with or without new consideration.”
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