beneficiary legal definition

A person entitled to an advantage, benefit, or profit (such as an inheritance under a will or the proceeds of an annuity, insurance policy, or property held in trust) arising from an appointment, assignment, disposition, instrument, or legal arrangement.

A third-party beneficiary who is to receive the benefit of a contract in satisfaction of a debt, duty, or liability owed to them by the party who purchased the benefit. Under certain circumstances, the execution of the contract itself may discharge the obligation. In any case, the contract must be primarily for the third personÂ’s benefit.

A third-party beneficiary who is to receive the benefit of a contract as a gift from the party who purchased the benefit.

A person who is not a party to, but is the unintended beneficiary of, a contract or trust. Such a person has no legally enforceable right to the benefit they receive.

A person who is not a party to a contract or trust, but is intended by the parties to benefit from the contract or trust. Such a person has the ability to legally enforce the contract or trust once their right to the benefit vests.

A person who is not a party to, but is the intended beneficiary of, a contract.