Sections Contest Property disposition Common types Other types Governing doctrines A life interest[1] (or life rent in Scotland) is a form of right, usually under a trust, that lasts only for the lifetime of the person benefiting from that right.
An interest in possession trust is the most common example of a life interest trust.
In a typical interest in possession trust, the life tenant receives all the income from the trust for the rest of his or her life.
One form of life interest is a life estate, an ownership interest in property that lasts for the life of the party to whom it has been granted.
Unlike the beneficiary of a trust, the owner of a life estate in property has the right to possession of the property and may use it as any other owner, subject only to a duty to avoid waste of the property value affecting parties with a future interest.