Costa & Head (Birmingham One), Ltd. v. National Bank of Commerce of Birmingham

This appeal involves a question of whether an “accommodation mortgagor,” as holder of the legal title to the land located under a building in downtown Birmingham, has a statutory right to redeem only the land owned by it, which was mortgaged to the bank and which was sold by the bank at a foreclosure sale, or whether the “accommodation mortgagor” must pay the entire purchase price to the bank as purchaser at the foreclosure sale in order to redeem its own property.

The question presented, of course, requires us to examine Alabama law regarding the issue of “piecemeal redemption,” and whether…