Legal Definitions - intra fines commissi

The Latin phrase intra fines commissi historically refers to actions taken within the limits of the trust or authority granted. In modern, accessible terms, it describes situations where an individual or entity acts strictly within the scope of the power, responsibility, or purpose for which they have been authorized or entrusted by another party. It emphasizes that the actions are authorized and do not exceed the boundaries of the delegated authority.

Here are a few examples to illustrate this concept:

• Example 1: Corporate Officer Authority

  A company's Chief Financial Officer (CFO) is given express authority by the board of directors to approve capital expenditures up to $1 million without needing additional board approval. The CFO then authorizes the purchase of new manufacturing equipment costing $850,000.

  This action is considered intra fines commissi because the CFO acted entirely within the $1 million spending limit explicitly delegated by the board, staying within the boundaries of their authorized financial authority.

• Example 2: Real Estate Agent Mandate

  A homeowner hires a real estate agent and signs an exclusive listing agreement, authorizing the agent to market and show their property, and to present all offers received. The agreement specifies a minimum acceptable sale price of $400,000.

  When the agent arranges open houses, advertises the property online, and brings a potential buyer's offer of $420,000 to the homeowner, these actions are intra fines commissi. The agent is performing tasks directly authorized by the listing agreement and presenting an offer that meets the specified minimum price, thus operating within the defined scope of their agency.

• Example 3: Trustee Responsibilities

  A trustee is appointed to manage a trust fund for a beneficiary. The trust document explicitly states that the trustee may invest the funds in conservative, low-risk government bonds and blue-chip stocks, and distribute annual income to the beneficiary for educational expenses.

  If the trustee invests a portion of the fund in U.S. Treasury bonds and pays for the beneficiary's university tuition from the annual income, these actions are intra fines commissi. The trustee is adhering precisely to the investment guidelines and distribution instructions outlined in the trust document, acting within the defined limits of their fiduciary duty.