CREDITOR - Black's Law Dictionary

What is CREDITOR? Definition of CREDITOR in Black's Law Dictionary - Legal dictionary - Glossary of legal terms.

A person to whom a debt  is owing by another person who is the  "debtor." Woolverton v. Taylor Co.,  43 Ill.App. 424;  Insurance Co. v. Meeker, 37 N.J.Law. 300; Walsh  v. Miller, 51 Ohio  St. 462,  38 N.E.  381;  Rooney v. Inheritance  Tax Commission of Kansas, 143 Kan. 143, 53 P.2d 500, 501. One who has a right to require the fulfillment of an obligation or contract. Mohr v. Minnesota Elevator  Co., 40 Minn. 343, 41 N.W. 1074;  Murphy v. Jos. Hollander, Inc., 131 N.J.L. 165, 34 A.2d 780, 783; one to whom money is due, and, in ordinary acceptation, has  reference to financial or business transactions. State  v. Ord State Bank, 117 Neb. 189, 220 N.W. 265, 266; The antonym of "debtor." Erickson v. Grande Ronde Lumber Co., 162 Or. 556, 92 P.2d 170, 177; The word  is susceptible of latitudinous construction. Commerce Trust  Co. v. Farmers' Exchange Bank of Gallatin, 332 Mo. 979, 61 S.W.2d 928, 89 A.L.R. 373.

The foregoing is the strict  legal sense  of the term;  but in a wider sense it means one who  has a legal  right  to demand and recover from another a sum of money on any account whatever, and hence may include the owner of any right  of action  against another, whether arising on contract  or for a tort, a penalty, or a forfeiture. Bongard v. Block, 81 Ill. 186, 25 Am.Rep. 276; one having a claim for tort, Chalmers v. Sheehy, 132 Cal. 459, 64 P. 709, 84 Am.St. Rep. 62; an antenuptial agreement as constituting wife a "creditor" of husband's estate. In re Wilson's  Estate,  346 Pa. 562, 31 A.2d 106, 108; parties claiming as trust  funds deposits in insolvent bank,  Dewey  v. Commercial State Bank, 141 Kan. 356, 41 P.2d 1006, 1007.

The term "creditor," within  the common-law and statutes that conveyances with intent to defraud creditors shall be void,  includes every  one having right  to require the performance  of any legal obligation,  contract, or guaranty, or a legal right to damages growing out of contract or tort, Hernton  v. Short, 121 Ark. 383, 181 S.W. 142, 144; and includes not merely the holder of a fixed and certain present debt, but every one having  a right to require  the performance  of any legal obligation,  contract,  or guaranty,  or a legal right to damages growing out of contract or tort, and includes one entitled to damages for breach of contract to convey real estate, notwithstanding the abandonment  of his action for specific performance,  In re Littleton's Estate, 223 N.Y.S. 470, 479, 129 Misc.Rep. 845; Mackenzie Oil Co. v. Omar  Oil & Gas Co., 14 Del.Ch. 36, 120 A. 852, 854; holders of judgment for conversion, Bays v. Brown, 160 Or. 594, 86 P.2d 951, 954; a "person having any claim, whether matured  or unmatured, liquidated or unliquidated, absolute, fixed or contingent." Richards v. Jones,  16 Del.Ch. 227, 142 A. 832, 833. Those having  a cause of action for damages for wrongful death. Evers v. Evers, 146 Neb. 104, 18 N.W.2d 673, 678; in its broad sense the word "creditor" means one who has any legal liability upon  a contract, express or implied, or in tort;  in its narrow sense, the term is limited to one who holds a demand which is certain and liquidated.  Superior Plating Works v. Art Metal Crafts Co., 218 Ill. App. 148, 150.

Plaintiff, in action to recover damages for a tort committed against him, is a "creditor" of defendant,  within meaning  of that  term as it is employed in Shannon's Code, § 3143, denouncing conveyances and transfers of property collusively made with  intent to delay, hinder, or defraud creditors. Oliphant v. Moore, 155 Tenn, 359, 293 S. W. 541, 542.

In statutes the  term has  various special meanings, dependent upon context, purpose of statute,  etc. Toof v. City Nat. Bank of Paducah, Ky., C.C.A.Ky., 206 F. 250, 252; a bank taking chattel mortgage for pre-existing debt. Lindig v. Johnson City  State Bank, Tex.Com.App., 41 S.W.2d 222, 224. An assignee  of conditional seller taking trucks as creditor  of purchaser, John W. Snyder,  Inc., v. Aker, 134 Misc. 721, 236 N.Y.S. 28, 30. One who had recovered verdict  against  principal on attachment bond, Amer Realty Co. v. Spack, 280 Mass. 96, 181 N; E. 753, 754; the receiver of an insolvent national bank  suing  to enforce statutory stockholder's liability  for benefit  of creditors as a "creditor", Coffey  v. Fisher,  C.C.A.Tenn., 100 F.2d 51, 33; person to whom letters of administration granted. State ex rel. Gentry v. O' Byrne, 221 Ind. 282, 46 N.E.2d 687, 690. One, seeking to recover from a special administrator for conversion, United  States  Fidelity  & Guaranty Co. v. Krow,  184 Okl. 444, 87 P.2d 950, 954; holders of participation certificates in mortgage, In re R. A. Security Holdings, D.C.N.Y., 46 F.Supp. 254, 255; persons who seize property under a legal process. Neils v. Bohlsen, 181 Minn. 25, 231 N.W. 248; state and political subdivisions, to which the forfeit is payable, International  Harvester Co. v. Gully, 188 Miss. 115, 194 So. 472, 473. The National Labor Relations Board, seeking enforcement of a back pay allowance, National Labor Relations Board v. Killoren, C.C.A.Mo., 122 F.2d 609, 612. The United  States  which  filed for record, Underwood v. United States, D.C.Tex., 37 F.Supp. 824, 826. The Reconstruction Finance Corporation, which had purchased over 86 per cent. of outstanding bonds of insolvent irrigation district, pursuant to plan  to refinance entire bond indebtedness of district,  West Coast Life Ins. Co. v. Merced Irr, Dist., C.C.A.Cal., 114 F.2d 654, 668, 669.

Classification

A creditor  is called a "simple  contract  creditor," a "specialty creditor," a "bond creditor," or otherwise, according  to the nature of the obligation  giving rise to the debt.

Attaching  creditor,

One who has caused an attachment  to be issued and levied on property of his debtor.

Catholic  creditor

In Scotch  law, one whose debt is secured  on all or on several distinct parts  of the debtor's property.  The contracted term  (designating one who is not so secured) is "secondary creditor."

Certificate creditor

A creditor of a municipal corporation who  receives a certificate  of indebtedness for the amount of his  claim, there being no funds on hand to pay  him.  Johnson v. New  Orleans, 46 La.Ann. 714, 15 So. 100.

Confidential  'creditor

A term sometimes applied to creditors of a failing  debtor  who furnished him with the means of obtaining credit  to which  his real circumstances  did  not  entitle him, thus involving loss to other creditors not in his  confidence. Gay v. Strickland, 112 Ala. 567, 20 So. 921.

Creditor at large

One  who  has  not  established his debt  by the recovery of a judgment or has not otherwise secured a lien  on any  of the  debtor's property. U. S. v. Ingate, C.C.Ala., 48 F. 254; Wolcott v. Ashenfelter, 5 N.M. 442, 23 P. 780, 8 L.R.A.  691.

Domestic creditor

One  who  resides in the same  state  or country in which  the debtor  has his domicile or his property.

Double  creditor

See Double Creditor.

Execution creditor

One who, having  recovered a judgment against the debtor  for his debt or claim,  has also caused an execution to be issued thereon. Chalmers & Williams v. Surprise, 70 Ind.App. 646,  123 N.E. 841, 844.

Executor creditor

In Scotch law. A creditor of a decedent who obtains a grant  of administration on the estate, at least  to the extent of so much of it as will  be sufficient to discharge his debt,  when  the executor named in the  will  has  declined to serve, as also those  other persons who would  be preferentially  entitled to administer.

Existing creditors

See  Existing Creditors.

Foreign creditor

One  who  resides in a state  or country foreign to that  where the debtor has his domicile or his property.

General  creditor

A creditor at large (supra), or one who has no lien  or security for  the  payment of his  debt or claim. Wolcott v. Ashenfelter, 5 N.M.  442,  23 P. 780, 8 L.R.A. 691.

Joint creditors

Persons jointly entitled to require satisfaction. of the same debt or demand.

Judgment creditor

See Judgment Creditor.

Junior  creditor

One whose  claim  or demand accrued at a date later than that of a claim or demand held by another creditor, who  is called correlatively the "senior" creditor.

Petitioning creditors

As used in Bankruptcy Act, § 64b, 11 U.S.C.A. 104, authorizing one reasonable attorney's fee.

All creditors petitioning for adjudication, or seeking relief consistent with original  petition  by supplemental or intervening petition, in view of section 59f, 11 U.S.C.A. § 95. In re Marcuse & Co., C.C.A.Il1., 11 F.2d 513, 516.

Principal creditor

One  whose claim or demand very  greatly exceeds  the claims  of all other  creditors in amount is sometimes so called. See  In re Sullivan's Estate, 25 Wash. 430, 65 P. 793.

Secured creditor

See Secured Creditor.

Single  creditor

See Single Creditor.

Subsequent  creditor

One  whose claim  or demand accrued or came into  existence after  a given fact  or transaction, such  as the recording of a deed  or mortgage or the execution of a voluntary conveyance. McGhee v. Wells, 57 S.C. 280, 35 S.E. 529, 76 Am.St.Rep. 567.

Warrant creditor

A creditor of a municipal corporation to whom is given a municipal warrant for the amount of his claim,  because there are no funds  in hand to pay it. Johnson v. New Orleans, 46 La.Ann. 714, 15 So. 100.

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That's the definition of CREDITOR in Black's Law Dictionary - Legal dictionary - Glossary of legal terms. Courtesy of Cekhukum.com.