Reversionary Interest

A reversionary interest is a future legal right someone holds to receive property or assets after a certain event or condition occurs, typically once a current holder's right ends. For example, if a person grants property to a charity but retains the right to regain it after their death, the charity has the current possession, and the individual has a reversionary interest that will take effect later. Essentially, it’s a way of holding a potential future ownership or claim that will become effective under specified circumstances, often used in estate planning and trusts.