Real party in interest

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In law, the real party in interest is the one who actually possesses the substantive right being asserted and has a legal right to enforce the claim (under applicable substantive law). Additionally, the "real party in interest" must sue in his own name. In many situations, the real party in interest will be the parties themselves (ie, plaintiff and defendant). However, when a Trustee is a party to a lawsuit, the real party in interest is the beneficiary of the trust. However, Rule 17 of the FRCP expressly provides that trustees are the real party in interest when it is necessary to sue on behalf of the estate. A beneficiary may sue under these circumstances only when the trustee refuses or neglects to bring suit.

When funds belonging to a party are held on account, but not necessarily in trust, by a financial institution e.g., a bank checking account, is garnished by a third party who claims a valid debt (i.e. final money judgment) owed but unpaid; the bank is typically sued as nominal defendant (sometimes without even naming the so-called debtor, but the real party is the owner of the account, who has an absolute right to intervene and protect his assets.