Simple-Contract Debt Law and Legal Definition
Simple-contract debt means a debt that is neither recorded nor not under seal. A simple-contract debt can be either oral or written. A simple-contract debt is ascertained by mere oral evidence. Under the courts of law and equity, a bond given by one partner for a simple contract debt due from the partners to the creditor, and accepted by him/her, is by operation of law a release of the other partner, and an extinction of the simple contract debt. It is also termed as debt by simple contract.