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Ala. Code § 10A-17-2.07

Known as the Decentralized Unincorporated Nonprofit Association Law

The act spans §§ 10A-17-2.01 to 10A-17-2.28 (28 sections).

(Act 2026-325, §2.)

Effective October 2026

(a) A decentralized unincorporated nonprofit association is a legal entity separate from its members for the purposes of determining and enforcing rights, duties, and liabilities in contract and tort.

(b) A person is not liable for a breach of a decentralized unincorporated nonprofit association’s contract merely because the person is a member, administrator, authorized to participate in the management of the affairs of the nonprofit association, or considered a member by the nonprofit association.

(c) A person is not liable for a tortious act or omission for which a decentralized unincorporated nonprofit association is liable merely because the person is a member or administrator of the nonprofit association, authorized to participate in the management of the affairs of the nonprofit association, or considered a member by the nonprofit association.

(d) A tortious act or omission of a member, administrator, or other person for which a decentralized unincorporated nonprofit association is liable is not imputed to a person merely because the person is: (i) a member or administrator of the nonprofit association; (ii) authorized to participate in the management of the affairs of the nonprofit association; (iii) or considered a member by the nonprofit association.

(e) A member, administrator, person authorized to participate in the management of the affairs of the nonprofit association, or person considered a member by the nonprofit association may assert a claim against the decentralized unincorporated nonprofit association. A decentralized unincorporated nonprofit association may assert a claim against a member, administrator, person authorized to participate in the management of the affairs of the nonprofit association, or person considered a member by the nonprofit association.

Official source: Alabama Legislature (ALISON). Reproduced from public-domain Alabama statutes; confirm against the official source for the current text. Not legal advice.