Equitable Interest

Business, Legal & Accounting Glossary

Definition: Equitable Interest

Full Definition of Equitable Interest

An interest in land (see: Interest land and property) that is governed by the practices of Equity, rather than by the common law or legislation. Since the passage of the Law Of Property Act (1925), the relevance of equitable interests has probably increased because the 1925 legislation destroyed many of the large numbers of legal interests that existed at that time. Equitable interests may be overt, such as the interests of beneficiaries under a trust. However, many other interests are capable of taking effect in equity: co-ownership rights, easements, covenants, options, and so on. Courts also recognize equitable rights where parties have attempted to grant each other legal interests and failed. For example, a lease or mortgage not granted by deed cannot be a legal interest, but the court may enforce it as an equitable interest.

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Modern Language Association (MLA):
Equitable Interest. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. September 25, 2021 https://payrollheaven.com/define/equitable-interest/.
Chicago Manual of Style (CMS):
Equitable Interest. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. https://payrollheaven.com/define/equitable-interest/ (accessed: September 25, 2021).
American Psychological Association (APA):
Equitable Interest. PayrollHeaven.com. Retrieved September 25, 2021, from PayrollHeaven.com website: https://payrollheaven.com/define/equitable-interest/

Definition Sources

Definitions for Equitable Interest are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 6th April, 2020 | 2 Views.