Real Estate 2024

USA - ALABAMA Law and Practice Contributed by: Adam J. Sigman, Crystal H. Walls, Nathan Stotser and Katie Sinclair, Dentons

If the district judge rules in favor of the land - lord, the court will file a writ of execution, which requires the sheriff to restore the premises to the landlord (Section 6-6-337). The tenant may file an appeal of the judge’s ruling within seven days, and a trial on the appeal is scheduled within 60 days of the date of the appeal (Section 6-6-350). The landlord’s right to possession will not be delayed by a tenant’s appeal, and can only be prevented if the tenant pays all rent payable before the landlord regains possession by a writ of possession (Section 6-6-351). 6.18 Right to Assign a Leasehold Interest Typically, the ability to assign the lease or sub - lease the premises is restricted to a certain extent in the lease, but a tenant generally has the right to sublease the property or assign the lease without the landlord’s consent if the lease is silent about subleases and assignments. If the lease requires the landlord’s consent before sub - leasing or assigning the lease, the landlord can - not “unreasonably and capriciously” withhold consent (Homa-Goff Interiors, Inc v Cowden, 350 So 2d 1035, 1038 (Alabama 1977)). 6.19 Right to Terminate a Lease In Alabama, provided the remedy is included in the commercial lease, a landlord is typically allowed to terminate the lease for: • failure to pay rent or other amounts due under the lease in a timely manner; • default under the lease (sometimes after a required opportunity to cure);

written notice to the tenant specifying the acts or omissions causing the breach in the follow - ing cases: • the tenant’s material non-compliance with the lease; • the tenant’s intentional misrepresentation of a material fact; • the tenant’s material non-compliance with any of their statutory obligations; or • if the tenant does not pay rent when due (Section 35-9A-421(a) and (b)). If the breach arises from unpaid rent or other curable breaches, the lease shall terminate with - in seven business days of receiving the notice if not remedied by the tenant. Other breaches are not curable, including intentional misrepre - sentation of a material fact and certain acts on the premises (eg, possession of illegal drugs or criminal assault). See Section 35-9A-421(a), (b) and (d). 6.20 Registration Requirements A lease must be either: • properly acknowledged by an authorised officer (for example, a notary public); or • attested by one witness. See Sections 35-4-20 and 35-4-23. If a lease term is 20 years or less, including options to extend, a memorandum of lease is not required to be recorded to be enforce - able against a third party, if that third party had actual or constructive knowledge of the lease. Leases for more than 20 years, including options to extend, are void for the period of time over 20 years, unless, within one year of the lease’s execution, the lease or a memorandum of the lease is recorded with the probate office in the

• violation of applicable laws; and • other terms specified in the lease.

For residential leases in Alabama, by statute, a landlord may terminate a lease by delivering

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