An individual-thing is something that isn't a set, but that can be a member of a set. All classes of things that are not sets are subclasses of individual-thing. The KIF predicate INDIVIDUAL is true of all things that are not sets, but this includes entities that can't be members of any set ("unbounded" entities).
(<=> (Individual-Thing ?X) (And (Thing ?X) (Individual ?X)))
(Individual ?X) (Thing ?X)
(Exhaustive-Subclass-Partition Thing
(Setof Simple-Set Individual-Thing))
(<=> (Individual-Thing ?X) (And (Thing ?X) (Individual ?X)))