For purposes of determining its status as a holder in due course, a bank has given value to the extent it has a security interest in an item, if the bank otherwise complies with the requirements of Section 7-3-302 on what constitutes a holder in due course.
Ala. Code § 7-4-211
When Bank Gives Value for Purposes of Holder in Due Course.
Known as the Uniform Commercial Code
The act spans §§ 7-10-101–7-9A-809 (703 sections).
(Acts 1995, No. 95-668, p. 1381, §2.)
Official source: Alabama Legislature (ALISON). Reproduced from public-domain Alabama statutes; confirm against the official source for the current text. Not legal advice.