Usufruct

AAA

DEFINITION of 'Usufruct'

A legal right accorded to a person or party that confers the temporary right to use and derive income or benefit from someone else's property. Usufruct is usually conferred for a limited time period or until death. While the usufructuary has the right to use the property, he or she cannot damage or destroy it, or dispose of the property.

INVESTOPEDIA EXPLAINS 'Usufruct'

For example, if a party has a usufruct in a real estate property, he or she has the full right to use it or rent it out and collect the rental income without sharing it with the actual owner, as long as the usufruct is in effect.


Usufruct is recognized only in a few jurisdictions in North America, such as Louisiana.

RELATED TERMS
  1. Personal Use Property

    A type of property that an individual does not use for business ...
  2. Personal Property

    A type of property which, in its most general definition, can ...
  3. Power of Attorney of Property

    A legal document transferring the legal right to the attorney ...
  4. Property Rights

    Laws created by governments in regards to how individuals can ...
  5. Special Power Of Attorney

    A special power of attorney grants an agent the authority to ...
  6. Financial Power Of Attorney

    A financial power of attorney grants a trusted agent the authority ...
Related Articles
  1. 6 Estate Planning Must-Haves
    Retirement

    6 Estate Planning Must-Haves

  2. Three Documents You Shouldn't Do Without ...
    Options & Futures

    Three Documents You Shouldn't Do Without ...

  3. Your Will: Why You Need A Power Of Attorney ...
    Options & Futures

    Your Will: Why You Need A Power Of Attorney ...

  4. The Top 3 Retiree Worries (And What ...
    Retirement

    The Top 3 Retiree Worries (And What ...

comments powered by Disqus
Hot Definitions
  1. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  2. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  3. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  4. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
  5. Days Payable Outstanding - DPO

    A company's average payable period. Calculated as: ending accounts payable / (cost of sales/number of days).
  6. Net Sales

    The amount of sales generated by a company after the deduction of returns, allowances for damaged or missing goods and any ...
Trading Center