An incidental beneficiary is a third party who benefits from a contract between two other parties, but it is not intended that the third party benefit. Therefore, the third party does not have any legal rights under the contract.
Definition from Nolo’s Plain-English Law Dictionary
Someone who benefits as the result of a contract or trust but is not a direct, intended beneficiary. For example, a neighbor might benefit from a homeowner's contract with a tree service, and children might benefit if their parent receives distributions from a trust.Compare: third-party beneficiary
Definition provided by Nolo’s Plain-English Law Dictionary.
August 19, 2010, 5:17 pm