- The description of indenture is a written contract of agreement, especially one in which one party is bound to work for another for a given period of time.
A contract wherein someone agrees to work for you for two years if you help him come to America is an example of indenture.
- Indenture is defined as to bind or commit someone to work for you, usually using some type of legal contract.
When you give someone a loan in exchange for him signing a contract to work for you for a given period of time, this is an example of when you indenture him.
- Now Rare indentation
- a written contract or agreement: originally, it was in duplicate, the two copies having correspondingly notched edges for identification
- [often pl.] a contract binding a person to work for another for a given length of time, as an apprentice to a master, or an immigrant to service in a colony
- an official, authenticated list, inventory, etc.
- Finance a document containing the terms under which bonds are issued
Origin of indentureMiddle English endenture from Old French and from Medieval Latin indentura: see indent
transitive verb-·tured, -·tur·ing
- to bind by indenture
- Archaic indent
- often indentures A contract binding one party into the service of another for a specified term.
- a. A deed executed by more than one party.b. An instrument or agreement specifying the terms of a bond or trust.
- A document separated into portions so as to create indentations that allow the holders of the separate portions to match up in order to confirm authenticity.
transitive verbin·den·tured, in·den·tur·ing, in·den·tures
Origin of indentureMiddle English endenture a written agreement from Anglo-Norman from endenter to indent (from the matching notches on multiple copies of the documents) ; see indent 1.
(third-person singular simple present indentures, present participle indenturing, simple past and past participle indentured)
indenture - Investment & Finance Definition
A written agreement between a company and its lender that spells out the terms of the debt issue. The terms include the amount of bonds issued and their type, the interest rate that is paid, a description of the property that is being used as collateral, repayment provisions, and call provisions in the event that a company wants to redeem the bond before it matures. The indenture also lists any financial covenants that the company has to follow, such as maximum debt level ratios or minimum cash flow.
indenture - Legal Definition