Glossary Archive

Preservation Easement Agreement A Preservation Easement Agreement is a legal contract that restricts the use of a property to protect its historical, cultural, or ecological significance. This type of easement is typically established between a property owner and a preservation organization or government entity, enabling the property owner to retain ownership while ensuring that the...

Preservation of Relationships in ADR Preservation of Relationships in Alternative Dispute Resolution (ADR) refers to techniques and strategies utilized to maintain and enhance relationships between parties during and after the dispute resolution process. ADR includes methods such as mediation and arbitration, which focus on collaboration rather than confrontation. In the context of ADR, the preservation...

Probate Probate is the legal process by which a deceased person's estate is administered, validated, and distributed. This involves proving the validity of the deceased's will (if one exists) in a court of law and addressing all claims against the estate. The probate process typically begins with the appointment of an executor or personal representative,...

General Overview The presumption of death is a legal concept that allows for the declaration of an individual as deceased in the absence of a body or definite proof of death, typically after a significant period of time has passed without contact or evidence of life. Detailed Explanation In legal contexts, a presumption of death...

A pretermitted heir is an individual who is unintentionally excluded from a will or estate plan despite being a legitimate heir, usually a child of the deceased. This situation often arises when a testator (the person making the will) has a child after the will has been created and fails to update the will to...

Principal and Income Allocation The principal and income allocation refers to the division of a trust's earnings and assets between the principal (the original assets or corpus of the trust) and the income generated from those assets. This allocation is important for both the management of trusts and the distributions to beneficiaries. In a trust,...

Principal Distribution Principal Distribution refers to the process of distributing the original assets or corpus of a trust or estate to beneficiaries. This distribution occurs after the satisfaction of debts, taxes, and administrative expenses, and it typically happens at the conclusion of the trust's terms or after the death of an individual in the context...

A Principal Distribution Plan is a strategic framework used to outline how the principal assets of a trust or estate will be distributed among beneficiaries. This plan is particularly relevant in estate planning and can be a critical component of a trust document or a will. The Principal Distribution Plan typically details the timing and...

Principal Reduction Modification Agreement A Principal Reduction Modification Agreement is a legal document that modifies the terms of an existing loan, specifically aimed at reducing the principal balance owed by the borrower. This type of agreement is typically utilized in the context of mortgage loans, particularly for borrowers who are experiencing financial hardship and are...

The Principal Residence Exclusion refers to a tax provision that allows homeowners to exclude a significant portion of capital gains from the sale of their primary home from taxable income. This exclusion is governed by the Internal Revenue Code in the United States, specifically under Section 121. To qualify for the Principal Residence Exclusion, the...