The state of being in debt. without regard to the ability or inability of the party to pay the same. The word implies an absolute or complete liabil­ity. A contingent liability, such as that of a sure­ty before the principal has made default, does not constitute indebtedness. On the other hand, the money need not be immediately payable. Obligations yet to become due constitute indebtedness, as well as those already due.

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Black’s Law Dictionary 1st Edition, page 613:

INDEBTEDNESS. The state of being in debt. without regard to the ability or inability of the party to pay the same. See J. Story. Eq. Jur. 343; 2 Hill. Aur. 42l.

The word implies an absolute or complete liabil­ity. A contingent liability, such as that of a sure­ty before the principal has made default, does not constitute indebtedness. On the other hand, the money need not be immediately payable. Obligations yet to become due constitute indebtedness, as well as those already due. 9 Mo. 149.

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