Security Interest Not Created Where Rental Price May Be Adjusted by Reference to Amount Realized Upon Sale.

1. Law
2. Code of Alabama
3. Motor Vehicles and Traffic.
4. Uniform Certificate of Title and Antitheft Act.
5. Security Interests.
6. Security Interest Not Created Where Rental Price May Be Adjusted by Reference to Amount Realized Upon Sale.

Section 32-8-60.1

Security interest not created where rental price may be adjusted by reference to amount realized upon sale.

In the case of motor vehicles as defined in Section 32-8-2(10), notwithstanding any other provision of law, a transaction does not create a sale or security interest merely because the transaction provides that the rental price is permitted or required to be adjusted under the agreement either upward or downward by reference to the amount realized upon sale or other disposition of the motor vehicle.

(Acts 1991, No. 91-549, p. 1012, §1.)

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