Warning

Info

Warning

Info

Warning

Info

LSDefine

Simple English definitions for legal terms

beneficial ownership

Read a random definition: errors and omissions

A quick definition of beneficial ownership:

Beneficial ownership refers to a situation where someone owns something, like a stock or property, but it's held in someone else's name for safety or convenience. The person who actually owns it still gets to make decisions about it and benefit from it. In some cases, it's important to know who the real owner is, especially to prevent crimes like money laundering or terrorism financing.

A more thorough explanation:

Beneficial ownership refers to a situation where a person has the right to vote and make decisions about a security, even though the security is held in the name of someone else, such as a broker. This arrangement is often used for safety or convenience reasons.

In international commercial law, beneficial ownership refers to the natural person who is behind a legal entity or arrangement. This information is important for preserving the integrity of tax systems and for fighting financial crimes such as corruption, money laundering, and terrorist financing.

One example of beneficial ownership is when a person invests in a stock through a broker. The stock is held in the broker's name, but the investor has the right to vote on company decisions and receive any benefits from the stock, such as dividends.

Another example is when a company is owned by a trust. The trust is the legal owner of the company, but the beneficiaries of the trust have the right to make decisions about the company and receive any profits.

These examples illustrate how beneficial ownership allows a person to have control and benefit from a security or company, even if they are not the legal owner.

beneficial owner | beneficial use

Warning

Info

General

General chat about the legal profession.
main_chatroom
👍 Chat vibe: 0 👎
Help us make LSD better!
Tell us what's important to you
THATS SO FUNNY
i cant i would go crazy
JumpySubsequentDolphin
20:50
i need to know who decided to do that.
JumpySubsequentDolphin
20:50
omg im on a plane weeeee
the devil
youre on a plane??? LSD made the mile high club??
20:50
yo splitterus are you in school already
20:50
it says ur c/o 2027
JumpySubsequentDolphin
20:51
@SplitterusClitterus: HAHAH yes
ur user is hilarioussss and no i just graduated this may and am now applying ---also im out of messages so ill take a lil
20:52
roger dat. see u in heck
im back, r u applying this cycle too
JumpySubsequentDolphin
21:32
this child fell asleep on me
JumpySubsequentDolphin
21:32
im so uncomfortable
just push him off the entire seat
JumpySubsequentDolphin
21:34
LMAOOOO
JumpySubsequentDolphin
21:35
no he’s literally like 8 and he fully just put his head on my bicep and slept
JumpySubsequentDolphin
21:35
he has since moved
22:12
@SplitterusClitterus: me yesterday
gulc baby pls text me back... i miss you ...... :(
22:23
i just went into a discord vc and yelled "YALL I JUST GOT INTO J.M. SCHOOL OF LAW"
22:24
people were getting excited :sob:
22:25
then someone was like "what does jm stand for" and i was like .. well
AHHAHAHAHAHAHHAHAHAHAHAHAH
@JumpySubsequentDolphin: wait this is so cute, also where r u going
JOE MBIDEN
JumpySubsequentDolphin
22:39
@splitty Oregon!
oh yay for what thats so random
JumpySubsequentDolphin
22:45
haha my brother and sister in law live there
so cutie oregon is beatiful
LSD+ is ad-free, with DMs, discounts, case briefs & more.