Also known as: beneficially · beneficial interest · beneficial owner
Written by attorneys · grounded in primary & secondary sources — see below
2 senses
An attribute of property or conduct that confers economic productivity or practical advantage on its holder. In regulatory takings analysis the presence of this quality determines whether a restriction leaves the owner with viable uses of land.
An attribute of property or conduct that confers economic productivity or practical advantage on its holder. In regulatory takings analysis the presence of this quality determines whether a restriction leaves the owner with viable uses of land.
Select any source to read its text and confirm it supports the definition.
A right to receive economic benefits from property or a trust held in the name of another. The interest exists independently of legal title and survives changes in the form of ownership such as placement in a trust.
Select any source to read its text and confirm it supports the definition.
A right to receive economic benefits from property or a trust held in the name of another. The interest exists independently of legal title and survives changes in the form of ownership such as placement in a trust.
Each sense below has its own examples, sources, and questions.
A regulation leaves economically beneficial use when the owner retains at least one viable productive activity such as limited grazing or conservation leasing. Residual uses that generate income comparable to the intended development prevent a total deprivation finding.
Supporting sources
Blackwood Technologies maintained a road across neighboring land for ten years despite a recorded servitude limiting access. The owner of the burdened parcel never objected. After the prescriptive period the court held that the servient owner's beneficial interest in enforcing the servitude had been extinguished.
A settlor created a trust leaving an outright remainder to a disabled grandchild. After the settlor's death unforeseen medical costs threatened to consume the assets. The court converted the remainder into a special needs trust so the beneficiary could retain government benefits while preserving the trust principal.
Brookside Pharmaceuticals funded a trust to provide scholarships for local students pursuing pharmaceutical careers. The trust instrument did not name specific schools. The court selected qualifying institutions whose programs advanced education and health within the community.
Three shareholders of Birchwood Apparel transferred their shares to a trustee under a voting trust agreement. The trustee prepared and delivered the required list naming each beneficial owner and the number of shares transferred. The corporation recorded the list at its principal office.
Beatrice Brown held a power of appointment over trust assets. She exercised the power to name her niece and nephew as recipients of remainder interests. The exercise transferred beneficial ownership of the appointive property to the designated individuals.
The personal representative of an estate sold estate real property to a corporation in which she held a substantial ownership stake. No court approval or will authorization existed. An heir successfully voided the sale because the transaction involved a substantial beneficial interest of the representative.
No. Marital property transferred into a trust remains marital property. The change in title form does not reclassify the underlying beneficial interests held by the spouses.
Supporting sources
The settlor and other persons with a sufficient interest may maintain proceedings to enforce a charitable trust. The court may also select charitable purposes when the instrument does not specify them.
Supporting sources
The trustee receives legal title and voting authority while the original shareholder retains the beneficial interest. The trustee must maintain a list of all beneficial owners and their share holdings for the corporation.
Supporting sources
…innocent an opportunity to clear themselves. A serious consequence of the present practice of the interrogation alleged to be beneficial for the innocent is that many arrests "for investigation" subject large numbers of innocent persons to detention and interrogation. In one of the cases before us, No. 584, California v.…