"Beneficial use" is a legal term describing a person's right to enjoy the benefits of specific
property
Property is a system of rights that gives people legal control of valuable things, and also refers to the valuable things themselves. Depending on the nature of the property, an owner of property may have the right to consume, alter, share, re ...
, especially a view or access to light, air, or water, even though title to that property is held by another person. It is also referred to as "beneficial enjoyment".
By contrast, "beneficial interest" is where a
beneficiary
A beneficiary in the broadest sense is a natural person or other legal entity who receives money or other benefits from a benefactor. For example, the beneficiary of a life insurance policy is the person who receives the payment of the amount of ...
has an interest in a thing ("
res"), such as a
trust or
estate, but does not own the underlying property, usually entitling the beneficiary to some of the
income
Income is the consumption and saving opportunity gained by an entity within a specified timeframe, which is generally expressed in monetary terms. Income is difficult to define conceptually and the definition may be different across fields. F ...
from the underlying property.
Similarly, a
beneficial owner Beneficial may refer to:
Organizations
* Beneficial Corporation, a consumer finance company founded in 1914 that was ultimately bought by HSBC Corporation
** Beneficial Loan Society, the former name of Beneficial Corporation
** Beneficial Finance, ...
is where specific property rights ("use and title") in equity belong to a person even though legal title of the property belongs to another person.
For example, companies often hold
stock
Stocks (also capital stock, or sometimes interchangeably, shares) consist of all the Share (finance), shares by which ownership of a corporation or company is divided. A single share of the stock means fractional ownership of the corporatio ...
s or bank funds in their names for the benefit of specific people.
References
*
Footnotes
Property law
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