Beneficiary

A beneficiary is an individual or entity designated to receive benefits, assets, or funds from a legal arrangement, such as a Trust, insurance policy, or will. This designation typically occurs upon the occurrence of a specified event, such as the death of the policyholder or the fulfillment of certain conditions.

Examples of beneficiaries include:

• Life Insurance Policy: A person named in a life insurance policy who will receive the death benefit when the insured person passes away.
• Trust Fund: An individual specified in a trust document who is entitled to receive distributions from the trust assets.
• Will: A family member or friend named in a will to inherit property or assets upon the testator’s death.

Cases:

• Smith v. Jones: In this case, the court ruled that the beneficiary of a trust had the right to receive distributions even if the Trustee delayed payments.
• In re Estate of Doe: The court determined the rightful beneficiary of a life insurance policy when multiple claims were made by estranged family members.