Ala. Code §§ 35-9A-101 to 35-9A-603 § 35-9A-205

Limitation of Liability.

In Force
Verified 10/16/2026 · Next check 10/23/2026
effective 10/16/2026AlabamaSecurity Deposits

Operative Text

Ala. Code §§ 35-9A-101 to 35-9A-603 § 35-9A-205
(a) Unless otherwise agreed, a landlord who conveys premises that include a dwelling unit subject to a rental agreement in a good faith sale to a bona fide purchaser is relieved of liability under the rental agreement and this chapter as to events occurring after written notice to the tenant of the conveyance. However, the landlord remains liable to the tenant for all security recoverable by the tenant under Section 35-9A-201 and all prepaid rent.

(b) Unless otherwise agreed, a manager of premises that include a dwelling unit is relieved of liability under the rental agreement and this chapter as to events occurring after written notice to the tenant of the termination of management by the manager.
Source: Legislative text reproduced verbatim
Plain English

Under Alabama Code § 35-9A-205, when a landlord sells rental property in a genuine, good-faith transaction, their legal obligations under the rental agreement and the Alabama Uniform Residential Landlord and Tenant Act generally end once the tenant receives written notice of the sale — but the original landlord remains responsible for returning any security deposit and any prepaid rent owed to the tenant. Similarly, a property manager's liability under the rental agreement ends once the tenant receives written notice that the management relationship has been terminated. These rules apply unless the parties have made a different written arrangement.

Written by anthropic/claude-sonnet-4.6 · Reviewed on October 16, 2026

Plain English — not legal advice.

For Property Managers

Property owners and managers operating under Alabama Code § 35-9A-205 generally document the transfer of ownership or management in writing and ensure that tenants receive timely written notice of any such change. Compliant sellers typically transfer or account for all security deposits and prepaid rent as part of the sale process, since liability for those funds does not automatically pass to the buyer. Property managers winding down their role similarly provide written termination notices to tenants to establish a clear date after which their obligations cease.

General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.

For Tenants

Alabama Code § 35-9A-205 preserves a tenant's right to recover their security deposit and any prepaid rent from the original landlord even after a property is sold — the sale does not extinguish those financial obligations. Tenants who do not receive written notice of a sale or management change may have grounds to hold the prior landlord or manager responsible for issues that arise during the gap period. Tenants who believe their security deposit or prepaid rent has not been properly handled can consult a tenant-rights organization or review their options under the broader protections of Alabama Code §§ 35-9A-101 to 35-9A-603.

General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.

Generated October 16, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.

Effective Timeline

Current
Oct 16, 2026
Click on timeline segments to view historical versions.

References Out

Rules and statutes cited by this regulation

References In

Rules and statutes that cite this regulation

Ala. Code § 35-9A-141
Ala. Code § 35-9A-441
Ala. Code § 35-9A-141
Ala. Code § 35-9A-302
Ala. Code § 35-9A-204
Ala. Code § 35-9A-301
Ala. Code § 35-9A-204
Ala. Code § 35-9A-441
Ala. Code § 35-9A-201
Ala. Code § 35-9A-422
Ala. Code § 35-9A-204
Ala. Code § 35-9A-201
Ala. Code § 35-9A-203
Ala. Code § 35-9A-204
Ala. Code § 35-9A-201
Ala. Code § 35-9A-401
Ala. Code § 35-9A-201
Ala. Code § 35-9A-201
Ala. Code § 35-9A-301
Ala. Code § 35-9A-141
Ala. Code § 35-9A-301
Ala. Code § 35-9A-304
Ala. Code § 35-9A-161
Ala. Code § 35-9A-421
Ala. Code § 35-9A-401
Ala. Code § 35-9A-204
Ala. Code § 35-9A-407
Ala. Code § 35-9A-401
Ala. Code § 35-9A-163

Related Rules

§ R 125.2001
Definitions.
§ 5-12-081
Interest rate on security deposits
§ 5-3-5-1
SECURITY DEPOSITS AND PREPAID RENT

Source Information

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Fetched:Oct 16, 2026, 11:48 AM UTC