A method and system of AL-FEC using MMT protocol performed are disclosed. For an MMT receiving entity, a bounded FEC configuration setting is received from an MMT sending entity. The bounded FEC configuration setting belongs to an FEC configuration group consisting of at least one FEC configuration setting having a bounded-number of stages or layers of FEC coding structure, where the bounded-number is a positive integer greater than 1. If the bounded FEC configuration setting corresponds to one FEC configuration setting having the bounded-number of stages or layers of FEC coding structure, one or more FEC source packets and FEC repair packets are received from the MMT sending entity are FEC decoded into one recovered MMT packet using a range of FEC schemes having a target number of stages or layers of FEC coding structure from 1 to the bounded-number. The process for an MMT sending entity is also disclosed.