Define: Economic Interest
Economic Interest means a party's right to share in [entity]'s profits, losses, and distributions, excluding participatory or managerial rights.
Economic Interest means a party's right to share in [entity]'s profits, losses, and distributions, excluding participatory or managerial rights.
Relevant Circumstances
- When profits, losses and distributions in an entity must be shared
- When an investor is acquiring stake in a business
- When business partners are defining their shares in a partnership
- When shareholders are determining their respective interests in a company