Alabama § 37-7-11 - Encumbering or Disposing of Property.
Full text of Alabama Code of Alabama § 37-7-11 — Encumbering or Disposing of Property., with citation guidance and answers to common questions.
§ 37-7-11. Encumbering or Disposing of Property.
No corporation may sell, mortgage, lease or otherwise encumber or dispose of any of its property (other than property which, in the judgment of the board, is neither necessary nor useful in operating and maintaining the corporation’s system and which in any one year shall not exceed 10 percent in value of the value of all the property of the corporation or merchandise) unless authorized so to do by the votes of at least a majority of its members and the consent of the holders of 75 percent in amount of the bonds of such corporation then outstanding is obtained.
Source: official Alabama text · Last verified 2026-08-27
Frequently Asked Questions About Alabama § 37-7-11
What does Code of Alabama § 37-7-11 cover?
Section 37-7-11 ("Encumbering or Disposing of Property.") is part of the Code of Alabama, the codified statutory law of Alabama. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Alabama § 37-7-11?
A common citation format is "Code of Alabama § 37-7-11" (Alabama). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Alabama law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Alabama official source linked on this page or consult a licensed Alabama attorney.
How does Alabama § 37-7-11 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Alabama can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Alabama.