The state of being in debt, without regard to the ability or inability of the party to pay the same. See 1 Story, Eq. Jur. 343; 2 Hill, Abr. 421. 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. St. Louis Perpetual Ins. Co. v. Goodfellow, 9 Mo. 149.
Black’s Law Online Dictionary
