Article 55 - Limitation of action against Trustee

(1) Subject to Article 51(10) a Person may not commence a proceeding against a Trustee for breach of trust more than three (3) years after the date such Person or a representative of such Person receives a report from the Trustee that adequately disclosed information that could form the basis for a potential claim for breach of trust and informed such Person or its representative that any proceeding based on such information must be commenced within the three (3) year period.
(2) A report adequately discloses the existence of a potential claim for breach of trust if it provides sufficient information so that such Person or representative knows of the potential claim or should have inquired into its existence.
(3) If Article 55(1) does not apply, a judicial proceeding by such Person against a Trustee for breach of trust must be commenced within seven (7) years after the first to occur of:
(A) the removal, resignation, or death of the Trustee;
(B) in relation to a claim by a Beneficiary, the termination of the Beneficiary's interest in the Trust; or
(C) the termination of the Trust.
(4) No period of limitation will apply to an action brought against a Trustee:
(A) in respect of any fraud to which the Trustee was a party or to which the Trustee was privy; or
(B) to recover from the Trustee the Trust Property:
(i) in the Trustee's possession;
(ii) under the Trustee's control; or
(iii) previously received by the Trustee and converted to the Trustee's use.
(5) This Article applies also to proceedings brought against an Enforcer.
Amended (as from 24th December 2017).