Also known as: beneficiary’s interest · beneficiaries interests · beneficiary interest · beneficial interest · beneficial interests
Written by attorneys · grounded in primary & secondary sources — see below
The beneficial interests provided in the terms of the trust. These interests represent the equitable rights of beneficiaries to receive distributions or enjoy trust property according to the settlor's directions.
Bernard Bass maintained a road across Bianca Blanco's land for over the prescriptive period despite her recorded servitude limiting access. Bianca never objected and Bernard's use directly contradicted the servitude terms. The court held that Bianca's beneficial interest in the servitude was extinguished by prescription.
Beatrice Brown created a trust leaving an outright remainder to her disabled grandson Bradley Banks. After Beatrice's death, unforeseen medical costs threatened to exhaust the assets. The court converted the remainder into a special needs trust to preserve funds for Bradley while fulfilling Beatrice's intent.
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Belinda Baxter served as personal representative of her aunt's estate and sold estate property to a corporation in which she held a substantial beneficial interest. Boubacar Bah, another heir, had not consented after disclosure. The transaction was voidable at Boubacar's election.
Brookside Pharmaceuticals established a trust naming Bay Area Systems as a beneficiary with a future interest in trust income. The interest vested upon the trust's creation even though distribution was postponed. Bay Area Systems therefore held a beneficial interest under the trust terms.
Birchwood Apparel created a trust directing the trustee to distribute income annually to designated employees. The trust instrument specified the exact shares and conditions for each employee. Those shares constituted the beneficiaries' interests under the trust.
After his mother's death, Bernard Bass filed a timely disclaimer of his inheritance. The estate passed directly to his daughter as if he had predeceased the decedent. Bernard's creditors could not reach the disclaimed property because the disclaimer eliminated his beneficial interest.
A beneficiary's interest in a servitude may be modified or extinguished when another party uses the burdened property adversely for the prescriptive period. Courts may also modify beneficial interests through equitable deviation when unanticipated circumstances arise that further the trust's purposes.
A sale or encumbrance is voidable when the personal representative has a substantial beneficial interest in the buyer or the transaction involves a conflict of interest, unless the will authorized it or the court approves after notice.
The interests of the beneficiaries are defined solely by the beneficial interests set out in the trust instrument itself. These interests may be present or future, vested or contingent, and include any power of appointment held in a non-trustee capacity.
…are held in a judicially created trust. The beneficiaries of the trust are the persons who held interests in the land, and the beneficial interests are of the same character as the legal interests which they formally held in the land. See also Simes and Smith, The Law of Future Interest, § 1941 (2d ed. 1956). This Court has long…