Debtor Law and Legal Definition
Debtor is a person who owes an obligation to pay a sum of money to another. According to bankruptcy laws, the person whom a bankruptcy case concerns is a debtor. Section 9-102 of the Uniform Consumer Code defines a debtor as
(A) a person having an interest, other than a security interest or other lien, in the collateral, whether or not the person is an obligor;
(B) a seller of accounts, chattel paper, payment intangibles, or promissory notes; or
(C) a consignee.
A debtor is defined as "a person or entity that obtains credit or seeks a credit agreement with a creditor or who owes money to a creditor." [Smith v. United Student Aid Funds, 1997 U.S. Dist. LEXIS 4085, 3-4 (E.D. La. Mar. 31, 1997)].
