- A known creditor refers to a lender or financier whose possible claim is either already known or should have been known by a debtor. This creditor has the right to be notified about a corporate dissolution or a specific date after which claims will no longer be valid, such as in a bankruptcy situation
- If they fail to pay, the known creditor will have the right to claim their assets in a bankruptcy situation.
- The company issued a notice to all known creditors about its impending dissolution.
- The debtor was directed to notify all known creditors of the scheduled date to bar all claims.