Passive Definition and Legal Meaning

On this page, you'll find the legal definition and meaning of Passive, written in plain English, along with examples of how it is used.

What is Passive?

It is a state where one is not actively involved or is dormant. It may termed as in passive trustee who is not invoved in day to day activities, passive partner or dormant partner in a partnership firm who has liability to the extent of his investments only and has no say in management. It can be further said to be a state where one does not respond or object anything related to them.

History and Meaning of Passive

Passive refers to a state of being inactive or uninvolved. The term has its origins in Latin where passivus is derived from the word pati which means 'to suffer' or 'to endure'. In the legal context, passive is often used to describe a situation where one is not actively participating or taking any part in the matter at hand.

Examples of Passive

  1. Passive trustee- A trustee who is appointed to manage a trust but does not actively participate in the day-to-day activities of the trust.

  2. Passive partner- A partner in a partnership firm who has limited liability and does not participate in the management of the firm.

  3. Passive income- Income generated without actively working for it, such as rental income.

  4. Passive voice- In grammar, the passive voice describes a sentence where the subject receives the action instead of performing it.

Legal Terms Similar to Passive

  1. Active- The opposite of passive, it refers to being involved or participating in a matter.

  2. Dormant partner- Similar to a passive partner, a dormant partner in a partnership firm does not participate in the day-to-day management of the firm.

  3. Silent partner- Another term for a passive or dormant partner in a partnership firm.