HB 457 Summary

• Expands the Alabama Residential Mortgage Satisfaction Act to include mortgages securing commercial agricultural property and renames it the "Alabama Residential and Agricultural Mortgage Satisfaction Act."

• Requires secured creditors to submit satisfaction of mortgages for commercial agricultural properties within 30 days after receiving full payment and performance of the secured obligation.

• Defines "commercial agricultural property" as real property used primarily for growing plants, trees, or animals for a for-profit business and not for recreational purposes.

• Imposes $500 liability on secured creditors who fail to submit satisfaction within 30 days if mortgagors make written request and creditor fails to comply within 21 days thereafter.

• Becomes effective on the first day of the third month following passage and approval by the Governor.