Specialty Debt Law and Legal Definition
Specialty debt is a debt that is due or acknowledged to be due on account of an instrument under seal.
A specialty is a written document that has been sealed and delivered and is given as security for the payment of a specifically indicated debt. Therefore, specialty debt is a debt that is acknowledged to be due by such an instrument. A deed of covenant or sale is an example of a specialty.
A specialty debt is also termed special-contract debt, debt by special contract, or debt by specialty contract.
