An "Obligor" is a person or entity that has a legal obligation to fulfill a duty, typically involving the payment of money or the performance of a service. This term is commonly used in finance and law, where the obligor is responsible for meeting the terms of a contract or agreement. For example, in a loan agreement, the borrower is the obligor who must repay the loan to the lender. In many cases, the obligor may be required to provide collateral or guarantees to ensure compliance with their obligations. If the obligor fails to meet their responsibilities, they may face legal consequences, such as penalties or lawsuits. Understanding the role of an obligor is essential in various transactions, including mortgages, leases, and other financial agreements.