HB 200 Alabama House · 2025 Regular Session

Alabama Business and Nonprofit Entity Code revised; makes technical changes and corrects references, and codifies practices relating to electronic filing and name reservations

HB 200 revises the Alabama Business and Nonprofit Entity Code. It primarily makes technical changes and corrects existing references within the code. The bill also formalizes current practices related to electronic filing and reserving entity names. These updates directly affect businesses and nonprofit organizations operating in Alabama by clarifying and updating their governing legal framework.
Bill status signed all 5 stages cleared
Introduction
Feb 2025
Committee Review
Mar 2025
House Passage
Apr 2025
Senate Passage
Apr 2025
Signed into Law
May 2025
Introduced Feb 5, 2025 Signed May 6, 2025
Maddy AI version diff · 1 comparison

What changed between versions

Introduced Enrolled · 4 edits · May 6, 2025
MODERATE
The bill transitioned from an introduced draft to an enrolled final version, incorporating substantive policy changes to Alabama's business entity laws. Key additions include codifying the common law doctrine of independent legal significance, clarifying merger agreement practices, and establishing simplified purchase processes for ownership transfers upon death or disqualification of members in various business entities. The enrolled version also adds specific provisions for transferable interests in LLCs, partnerships, and limited partnerships.
Scope change
The bill's scope expanded from primarily technical corrections to include substantive codification of legal doctrines and practices for business entities, including new provisions for ownership transfer upon death or disqualification.
REQUIREMENT

Added codification of the common law doctrine of independent legal significance to provide legal clarity for business entity agreements

Added provisions for simplified purchase processes when stockholders or members die or become disqualified in professional corporations, LLCs, and partnerships

Added provisions allowing LLC, partnership, and limited partnership agreements to permit transfer of interests upon death of holders, subject to creditor rights

TECHNICAL

Changed bill title from 'Introduced' to 'Enrolled' status, indicating final legislative approval and readiness for execution

Floor votes

How they voted

This bill passed the Senate by voice vote (no roll call recorded).
Full legislative history

Actions timeline

Total actions
21
Key actions
8
Committee
4
Amendments
2
Apr 24, 2025
Lower · Passed
Almond Concur In and Adopt - Adopted Roll Call 1015
lower
Apr 8, 2025
Upper · Passed
Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 542
upper
Apr 8, 2025
Upper · Passed
Singleton motion to Adopt - Adopted Roll Call 541
upper
Apr 8, 2025
Introduced
Judiciary 1st Amendment Offered (Judiciary)
upper
Mar 5, 2025
Upper · Passed
Reported Out of Committee Second House
upper
Mar 5, 2025
Introduced
Judiciary 1st Amendment (Judiciary)
upper
Feb 25, 2025
Upper · Passed
Pending Committee Action in Second House (Judiciary)
upper
Feb 20, 2025
Lower · Passed
Motion to Read a Third Time and Pass - Adopted Roll Call 183
lower
Feb 12, 2025
Lower · Passed
Reported Out of Committee House of Origin
lower
Feb 5, 2025
Lower · Passed
Pending Committee Action in House of Origin (Judiciary)
lower
1 primary · 0 co-sponsors

Sponsors

Role
Legislator
Party
State
District
P
Photo of Cynthia Almond
Cynthia Almond
RRepublican
AL
63