Legal Definitions - partial account

A partial account refers to an interim or incomplete statement of financial transactions, assets, or liabilities, typically provided by an individual or entity responsible for managing funds or property on behalf of another. Unlike a final account, which covers the entirety of the dealings and seeks conclusive approval, a partial account offers a snapshot of activities up to a specific point in time. It is often submitted to provide an update, seek interim authorization, or fulfill a periodic reporting obligation before the full scope of the management or administration is complete.

• Example 1: Estate Administration

  An executor is managing a complex estate that is expected to take several years to fully settle. After the first year, before all assets have been liquidated and all debts paid, the executor provides the beneficiaries with a statement detailing all income received, major expenses paid, and significant assets sold during that initial twelve-month period.

  This is a partial account because it covers only a segment of the estate's administration and provides an interim update on the financial activities, rather than a final summary of the entire estate's settlement.

• Example 2: Trust Management

  A trustee manages a trust fund established for a minor beneficiary, with the trust document requiring annual financial reports to the beneficiary's legal guardian. Each year, the trustee sends a statement outlining the investments made, income generated, and distributions or expenses paid from the trust during that specific calendar year.

  This constitutes a partial account because each annual report details only a portion of the trust's ongoing management and does not represent the final accounting that will occur when the trust eventually terminates or distributes its assets fully.

• Example 3: Business Agency Agreement

  A sports agent has a five-year contract to manage a professional athlete's endorsements and financial affairs. The contract stipulates that the agent must provide quarterly financial reports to the athlete.

  Each quarterly report submitted by the agent, detailing endorsement deals secured, income received, and expenses incurred during that three-month period, is a partial account. It provides an ongoing, interim view of the financial activities without being a comprehensive, final statement for the entire five-year term of the agreement.