Crediteur

A creditor is the party holding a claim against a debtor, which typically arises from a contract, a tort or a statutory obligation. The creditor is entitled to performance and, in the event of default, may pursue legal remedies such as debt collection or attachment.

In practice, the creditor’s position is of particular significance in bankruptcy and debt restructuring proceedings, where the ranking of claims determines the extent to which payment will be received. The Civil Code and the Bankruptcy Act set out the framework governing creditors’ rights and obligations.