The Alabama Property Protection Act of 2026 is effective on October 1, 2026 with the purpose of preventing seller impersonation fraud. The Act authorizes the Commission to take action when this type of fraud occurs. A common example of seller impersonation fraud involves a person pretending to be the owner of a parcel of undeveloped property who contacts a realtor via a website in order to list the property. The fraudster and realtor never meet in person, and the transaction is completed electronically. Because the property is undeveloped, the actual owner likely won’t learn of the fraudulent sale for some time.

The Act authorizes the Commission to bring criminal charges against fraudulent owners. Additionally, the Commission may administratively determine if land sales were committed by fraud and declare the sale void if determined to be the result of fraud, such as the example given above.

The new law is effective October 1, 2026 but if you believe you are a victim of this type of fraud, the Commission will assist in getting you to the appropriate law enforcement agency.  At this time, the Commission is drafting processes, rules, and forms for use by those people victimized by seller impersonation schemes. We will continue to provide updates. Please see a copy of the act here.