Examples of debtor in a Sentence
The debtor agrees to pay the debt over a three-year period.
Recent Examples of debtor from the Web
Although debtors prisons were banned in the U.S. nearly 200 years ago, some people who owe money are once again being jailed for civil debts, according to a report from the American Civil Liberties Union.
If a creditor sues a debtor in civil court, sometimes they are required to attend another court date, to answer questions about their finances.
Another time, in Atlantic City, Shulaya himself confronted a debtor, who then provided a $3,000 necklace as partial repayment.
Most are past due real estate taxes; some debtors have unpaid water bills.
After all, why stop at shows that redistribute cable-television dollars to student debtors?
Deborah Caruso, the bankruptcy trustee representing ITT's debtors, last month filed a $250 million lawsuit against Modany and eight former ITT board directors.
Jia was named to a national blacklist of debtors, and some of his assets were frozen by Chinese courts.
But after three filings, Snodgrass said he was told that the next petition must be filed using a different debtor's name.
These example sentences are selected automatically from various online news sources to reflect current usage of the word 'debtor.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.
Financial Definition of DEBTOR
What It Is
A debtor is a person or entity legally required to provide a payment, service or other benefit to another person or entity (the obligee). Debtors are often also called borrowers or obligors in contracts.
How It Works
Companies that issue bonds are perhaps the most well-known debtors. They must provide their bondholders with set interest and principal payments on specified dates and in some cases must be willing to convert that debt into equity at specified ratios or repay the debt early if certain events occur.
However, a debtor also might be required to perform particular tasks or even refrain from performing certain actions. When a debtor fails to meet its obligations, the debtor is sometimes considered in default.
Why It Matters
Debtors are subject to contractual obligations. As such, if they do not fulfill their obligations, the creditors usually have the right to seek recourse in court. A significant amount of reputational damage can also occur when an entity, especially a public company, fails to meet its obligations. In some cases, even the speculation that a debtor might not fulfill its obligations can cause its stock price to go down and make it very difficult to obtain financing or other help later.
DEBTOR Defined for English Language Learners
Definition of debtor for English Language Learners
: a person, organization, government, etc., that owes money
DEBTOR Defined for Kids
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