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adj. referring to being inactive. A "passive trustee" is one who has no responsibilities other than to hold title or wait for an event which would activate the trust. "Passive income" for tax purposes includes any income in which there is no effort or active management, and is treated differently for some purposes, such as social security income limitations. It may include stock dividends, trust profits, rents with no management involvement, and interest on bank accounts.

Copyright © 1981-2005 by Gerald N. Hill and Kathleen T. Hill. All Right reserved.

PASSIVE, com. law. All the sums of which one is a debtor. It is used in contradistinction to active. (q.v.) By active debts are understood those which may be employed in furnishing assets to a merchant to pay those which he owes, which are called passive debts.

A Law Dictionary, Adapted to the Constitution and Laws of the United States. By John Bouvier. Published 1856.
References in periodicals archive ?
In comparison, the Arab states, which at least have innate assets and the potential to form and empower their unified power, are forever in a state of passiveness, unwillingness or incapacity to take a bold stand to face the leading giants in resolving their everlasting internal and external issues, topped by the Israeli-Palestinian conflict and its spillover.
Similarly, Will & Nill shows that being active and making an effort always pays off, while laziness or passiveness doesn't do us any good.
Tait thinks defensive "passiveness" was mainly to blame.
Despite a return -- after brighter starts at Arsenal (in the FA Cup) and Swansea -- to slow, disengaged passiveness at the outset at the Lane, Sunderland retained their increasingly-familiar habit of scoring first.
Many people leave their money in low interest deposit accounts, with inflation they are actually losing money year on year and this passiveness must be avoided!"
Any debates there are on this topic unfold with the following phrases, as though it was all quite normal: "That electoral region was moved"; "the lines were drawn"; "there was no candidate offered up for that area"; "a candidate was chosen." We are so accustomed to this sort of passiveness that we see the problem as limited to injustices faced by potential candidates whose districts were moved or people who were not listed as candidates at all.
This may partly explain what Isaacs calls the "passiveness" of Kazakh society, which accepts the status quo rather than agitating for change only to risk falling victim to the same social and economic unrest that have befallen Kyrgyzstan, Ukraine, and Georgia.
His hard running was a tonic to the ineffective passiveness of Noah Cato, Richards saying: "Chris gives 100% every time he plays, but it is not just that.
I was a strong believer that, given society's passiveness, Egyptians would never revolt.
"Nor less I deem that there are Powers Which of themselves our minds impress; That we can feed this mind of ours In a wise passiveness. "Think you, 'mid all this mighty sum Of things for ever speaking, That nothing of itself will come, But we must still be seeking?
And the good news is that software companies are now reshaping the architectural features of their systems that allow such passiveness to exist in the first place.