Legal Definitions - interesse

Interesse is a Latin term used in legal contexts to refer to a recognized right, claim, or stake. It commonly encompasses two main concepts:

• Monetary Interest: This refers to the financial charge paid for the use of borrowed money, or the profit earned from an investment.
• Legal Interest in Property: This describes a legally recognized right or claim a person has in a specific piece of property. This property can be real estate (like land or a house), personal belongings (like a car or artwork), or even intellectual property (like a patent or copyright). This interest grants certain rights and protections, even if it doesn't amount to full ownership.

Here are some examples illustrating the application of interesse:

• Example 1 (Monetary Interest): A small business owner takes out a bank loan to purchase new equipment. The loan agreement specifies that the owner must repay the principal amount plus an additional percentage over time.

  Explanation: The additional percentage the business owner pays on top of the original loan amount is the interesse, or monetary interest. It is the cost of borrowing money, compensating the bank for the use of its funds.

• Example 2 (Legal Interest in Property - Real Estate): A married couple decides to purchase a vacation home. Although only one spouse's name is listed on the property deed for administrative reasons, both spouses contribute equally to the down payment and ongoing mortgage payments.

  Explanation: Even though only one spouse is formally on the deed, the other spouse likely has a recognized interesse (legal interest) in the property due to their financial contributions and marital status. This interest could grant them a legal claim to the property's value or ownership rights, particularly in the event of a sale or divorce, depending on the jurisdiction's laws.

• Example 3 (Legal Interest in Property - Security Interest): A person buys a new car using a loan from a credit union. The credit union holds the car's title until the loan is completely paid off.

  Explanation: The credit union has an interesse (legal interest), specifically a security interest, in the car. While the buyer possesses and uses the vehicle, the credit union retains a legal claim to the car as collateral for the loan. If the buyer fails to make payments, this legal interest allows the credit union to repossess the car to recover the outstanding debt.