Legal Definitions - remainor

The term remainor is an alternative, less common term for a remainderman. A remainderman is an individual or entity who holds a future interest in property, meaning they are designated to receive the property after a preceding interest in that property has terminated.

Essentially, a remainderman's right to possess or fully own the property is deferred until an earlier right or estate, often a "life estate" (the right to use property for the duration of someone's life), comes to an end. Once the preceding interest concludes, the remainderman's future interest becomes a present right to possession and ownership.

Here are some examples to illustrate this concept:

• Example 1: A Will and a Family Home

  Imagine a will that states: "I leave my primary residence to my spouse, Eleanor, for the remainder of her life. Upon Eleanor's death, the house shall pass to our children, David and Sarah."

  In this scenario, Eleanor has a life estate, meaning she has the right to live in and use the house until she passes away. David and Sarah are the remaindermen (or remainors) because they hold a future interest in the house. Their right to own and possess the property is deferred until Eleanor's life estate terminates upon her death.

• Example 2: A Charitable Trust

  A philanthropic individual establishes a trust fund. The trust agreement specifies that the income generated by the fund is to be paid annually to their elderly cousin, Robert, for as long as Robert lives. After Robert's death, the entire principal of the trust fund is to be distributed to a specific wildlife conservation charity.

  Here, the wildlife conservation charity is the remainderman (or remainor). It has a future interest in the trust's principal, which will only become a present right to receive the funds after Robert's preceding interest (the right to receive income for life) has ended.

• Example 3: A Deed for a Vacation Property

  A grandmother executes a deed for her beach cottage, granting the property "to my daughter, Lisa, for her natural life, and then to my grandson, Mark, and his heirs forever."

  Lisa receives a life estate, giving her the right to use and enjoy the beach cottage during her lifetime. Mark is the remainderman (or remainor). He holds a future interest in the cottage, which will become a present right of ownership and possession only after Lisa's life estate concludes upon her death.