(a) Where a vessel, or an interest in a vessel, is sold under this chapter, the vessel may be redeemed by any of the following:
Terms Used In Alabama Code 33-5A-8
- following: means next after. See Alabama Code 30-3D-608
- Foreclosure: A legal process in which property that is collateral or security for a loan may be sold to help repay the loan when the loan is in default. Source: OCC
- Guarantor: A party who agrees to be responsible for the payment of another party's debts should that party default. Source: OCC
- person: includes a corporation as well as a natural person. See Alabama Code 30-3D-608
- property: includes both real and personal property. See Alabama Code 30-3D-608
- vessel: Every description of watercraft, other than a seaplane, capable of being used as a means of transportation on the water. See Alabama Code 16-60-111.12
(1) The debtor, including any surety or guarantor.
(2) A judgment creditor, or its transferee.
(3) A transferee of the interests of the debtor, either before or after the sale. A transfer of any kind made by the debtor will accomplish a transfer of the interests of that party.
(4) The spouse of a debtor, or transferee of any interest of the debtor, who is a spouse on the day of the execution, judgment, or foreclosure sale.
(5) Children, heirs, or devisees of the debtor.
(b) All persons named or enumerated in subdivisions (a) (1) through (a) (5) may exercise the right of redemption granted by this section within 90 days from the date of the sale.
(c) (1) When any judgment creditor or any transferee of a judgment creditor redeems under this section, all recorded judgments, and recorded liens having a higher recorded priority in existence at the time of the sale are revived against the property redeemed and against the redeeming party and such shall become lawful charges to be paid off at redemption.
(2) Once any lienholder or recorded judgment creditor is paid the amount of the person‘s debt and any accrued interest and other contractual charges, the person has no further right to redeem.
(3) Any lienholder or recorded judgment creditor with a lower recorded priority may redeem from those having a higher recorded priority who have redeemed.
(d) When debtors, or their respective spouses, children, heirs, or devisees redeem, all recorded judgments and recorded liens in existence at the time of the sale are revived against the property redeemed and against the redeeming party and further redemption by some party other than the debtor under this chapter is precluded.
(e) (1) Except as provided in subdivision (2), the right of redemption granted under this section to the debtors and their spouses, children, heirs, or devisees terminates when the debtor has conveyed his or her interests in the property and is released from liability for the debt.
(2) When a debtor conveys his or her interest in the property but remains liable on the debt and is a debtor at the date of the foreclosure sale, the debtor and his or her spouse, children, heirs, or devisees continue to be entitled to the right of redemption under this chapter.
(f) A redemption made by any person under this chapter, other than the debtors and their respective spouses, children, heirs, or devisees, shall preclude any further redemption by the person.
(g) Subject to subsection (e), a debtor has priority over any other redeeming party.