principal debtor
Defined in 1 dictionary — Case Law
Definitions from Case Law
From 84 U.S. 411 - Ray v. Smith · 1873Most cited · 15 citing opinions
he becomes the principal debtor when, either before or at the maturity of the note, he is supplied by the maker with sufficient funds for the purpose of paying it. Receiving the funds for such an avowed purpose, he assumes an obligation to take up the note; and, as has been said, he may be regarded as an agent who has undertaken to pay, and who, therefore, cannot be disappointed if his principal, trusting to his obligation, takes no further steps for the payment.