A written agreement between the issuer of a bond and bondholders that specifies maturity date, interest rate, convertibility, and any other options. Indenture refers to a legal and binding agreement, contract, or document between two or more parties.An indenture agreement is a contract between two or more parties that outlines the rights and responsibilities of each party. Indentured servitude is a form of labor in which an individual is under contract to work without a salary for a certain timeframe to repay a loan. An indenture is a legal contract that reflects an agreement between two parties. Although the term is most familiarly used to refer to a labor contract. The meaning of INDENTURE is a document or a section of a document that is indented. How to use indenture in a sentence. In case of any default under this Indenture, to the benefit of this Indenture or to payment out of the. Question o£ whether qualification of the indenture in the form subuLttted.