USA – ALABAMA Law and Practice Contributed by: Adam J. Sigman, Crystal H. Walls, Nathan Stotser, Katie Sinclair and Courtney Bradshaw, Dentons
1.3 Proposals for Reform Broker Legislation (National Association of Realtors) In the residential real estate market, the National Association of Realtors (NAR) came under fire in 2023, with multiple lawsuits being focused on the commission paid by the homeowner seller in residential transactions, which is divided among brokers for both buyer and seller in such trans - actions. In March 2024, the NAR settled its anti - trust lawsuits, which alleged conspiracy among agents regarding their commissions, and which were assumed to contribute to the rising cost of homes for buyers. Since the new real estate commission rules went into effect in August 2024, buyer-agent commissions have only mini - mally decreased, and their lasting effect on such commissions remains to be seen. The Corporate Transparency Act (CTA) The CTA became effective on 1 January 2024, requiring entities to report information, including specific beneficial ownership information, to Fin - CEN (the US Department of Treasury’s Financial Crimes Enforcement Network). The roll-out of the CTA caused many challenges and uncertainties during its first year. Through - out December 2024, the case of Texas Top Cop Shop, Inc et al v Garland et al saw a series of injunctions that paused the enforcement of the CTA and reinstatements that lifted those injunc - tions, reinstating CTA reporting requirements. Given the ever-changing nature of the CTA, it is necessary to include a few updates from the current year. In early 2025, the Supreme Court granted a motion to stay the injunction on the enforcement of the CTA. Meanwhile, in Smith v US Department of the Treasury, the US District Court for the Eastern District of Texas issued a nationwide injunction on the reporting rule under
Significant Deals in 2024 Major companies initiated significant develop - ments in Alabama in 2024. In May, Facebook’s Meta announced its plans to increase its foot - print in Alabama by introducing a USD800 mil - lion data centre, to be built in Montgomery. The following month, Samkee Corporation, a South Korean-based auto parts producer, opened a USD128 million auto parts production facility in Tuskegee, its first in the United States. Near the end of the year, J.M. Smucker’s, well known for its consumer-packaged goods, held a grand opening for its 900,000 square foot plant in McCalla, worth USD1.1 billion. In Birmingham specifically, many notable pro - jects commenced in 2024. In multifamily, LIV Development neared completion on the Livano Liberty Park and the Filmont in Vestavia Hills, Alabama. Coca-Cola Bottling Company United Inc began construction of its new Coca-Cola UNITED office complex and warehouse, a USD330 million plant and headquarters located near the Avondale community in East Birming - ham. The University of Alabama at Birmingham (UAB) broke ground on their USD190 million Bio - medical Research and Psychology Building. This facility is expected to enhance UAB’s impact across Alabama and nationwide, with the goal of reaching USD1 billion in research expenditures. Construction also began on the 9,380-capac - ity amphitheatre at The Star at Uptown. This USD550 million mixed-use development would add another attraction to Birmingham’s Uptown entertainment district, also featuring residential, retail, office and hotel space. These types of projects and large, in-progress construction will likely generate additional real estate investment in 2025.
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