Legal Definitions - ubi re vera

Ubi re vera is a Latin phrase that translates to "where in reality" or "when in truth." It is used to emphasize the actual, factual situation of a matter, often distinguishing it from what might be claimed, presumed, or appear to be the case. It directs attention to the underlying truth or the true state of affairs.

• Example 1: Corporate Residency

  A corporation might be legally registered in one state to take advantage of favorable tax laws, but ubi re vera, all of its executive decisions, primary operations, and the majority of its employees are located in a different state. In such a scenario, a court might determine the company's true legal residence based on its actual operations, not just its registration, especially when deciding jurisdiction for a lawsuit.

  This example illustrates "ubi re vera" by showing that while a company might have a nominal legal residence, its true operational reality lies elsewhere, which can have significant legal implications.

• Example 2: Beneficial Ownership

  A property deed might list an individual as the sole owner of a piece of real estate. However, ubi re vera, that individual holds the property in trust for a different person who provided all the funds for the purchase and makes all the decisions regarding the property. In this situation, the person on the deed is merely a "straw man" or nominee for the true beneficial owner.

  Here, "ubi re vera" highlights the distinction between the recorded legal ownership and the actual, underlying beneficial ownership of the asset.

• Example 3: Contractual Intent

  Two parties sign a contract for the sale of goods, but one party later argues that the contract was not valid because they were under duress. While the signed document appears to be a binding agreement, a court might investigate the circumstances to determine ubi re vera, whether there was true mutual consent or if one party was coerced into signing against their will.

  This example demonstrates "ubi re vera" by focusing on the actual intent and circumstances surrounding the agreement, rather than just the appearance of a signed contract.