Legal Definitions - payor

Definition: Payor is a term used to describe the person or entity that makes a payment to satisfy a financial obligation or claim. It is often used interchangeably with the term "payer".

Examples:

• When you write a check to pay your rent, you are the payor.
• An employer who pays their employees is the payor.
• A person who pays their medical bills is the payor.

These examples illustrate the definition of payor by showing that the payor is the person or entity that is responsible for making a payment to satisfy a financial obligation. Whether it is paying rent, paying employees, or paying medical bills, the payor is the one who is making the payment.