Legal Definitions - bonitary ownership

Bonitary ownership refers to a historical legal concept, primarily from Roman law, where an individual possesses and uses property as if they were the owner, enjoying all the practical benefits and control, even though the formal legal title has not yet been fully or properly transferred to them. In essence, they are the practical owner, protected in their possession and use, while someone else might still hold the formal legal title.

This concept highlights a distinction between having the actual control and enjoyment of an asset versus holding the official, legally recognized title. The practical owner's rights were often protected by specific legal actions, even if they didn't meet the strict requirements for full legal ownership.

• Example 1: Real Estate with Incomplete Formalities

  Imagine a scenario where a person agrees to buy a plot of land, pays the full purchase price, and immediately moves onto the property. They start building a house, planting a garden, and treating the land as their own. However, due to an oversight or a delay in the administrative process, a crucial legal document required for the formal transfer of the deed (the official legal title) is never properly registered with the land registry office.

  How it illustrates bonitary ownership: In this situation, the buyer has bonitary ownership. They possess, use, and benefit from the land as if it were theirs, and would be protected in their possession and use. However, because the formal registration is incomplete, the seller technically still holds the formal legal title on paper, even though they have no practical control or benefit from the property.

• Example 2: Conditional Sale of Goods

  A small manufacturing company purchases a specialized piece of industrial machinery from a supplier. The agreement allows the company to take immediate possession of the machine, install it, and begin using it in their production line. However, the contract explicitly states that the formal legal title to the machinery will only transfer to the manufacturing company once the final installment payment has been made in full.

  How it illustrates bonitary ownership: The manufacturing company holds bonitary ownership of the machinery. They have practical control, use, and derive economic benefit from the asset in their business operations. Despite this practical ownership, the supplier retains the formal legal title until the condition of full payment is met, providing the supplier with a form of security.

• Example 3: Inheritance Pending Probate

  Following the passing of a parent, their adult child immediately moves into the deceased parent's home. The child begins paying the utility bills, maintaining the property, and treating it as their primary residence. However, the legal process of probate (validating the will and formally transferring assets) is still ongoing, and the official legal title to the house has not yet been formally transferred into the child's name.

  How it illustrates bonitary ownership: The child has bonitary ownership of the house. They have practical possession and control, and are enjoying the benefits of the property as if it were legally theirs. Nevertheless, the formal legal title remains with the deceased's estate until the probate process is finalized and the deed is officially transferred to the child.