Legal Definitions - direct interest

Direct interest refers to a certain and absolute interest in something. It is a legal share in something, which can be a right, privilege, power, or immunity. It is not subject to any condition or contingency.

• A person who owns a house has a direct interest in the property.
• A shareholder who owns more than 50% of a company's stock has a direct interest in the company's policy and management.
• A beneficiary of a trust who receives income from the trust has a direct interest in the trust.

These examples illustrate direct interest because in each case, the person has a certain and absolute interest in something. They have a legal share in the property, company, or trust, and their interest is not subject to any condition or contingency.