What is the limitation period for a claim for breach of trust by a beneficiary under section 21(3) of the Limitation Act 1980?
Answer and explanation
Correct answer: D. Six years, though there is no limit for fraud or for recovering trust property in the trustee's hands
- Step 1: Section 21 contains the special limitation rules for trusts.
- Step 2: The period for a beneficiary with a future interest does not run until the interest falls into possession.
Answer
Six years, though there is no limit for fraud or for recovering trust property in the trustee's hands.
Why not the others: Three years applies to personal injury; twelve years applies to land; there are time limits for ordinary breaches.
Practise more Trusts: creation, administration and breach.
Free questions with an explanation for every one, and full timed SQE1 (Solicitors Qualifying Examination) mock tests.
More Trusts: creation, administration and breach questions
- Which of the following are the three certainties required for a valid express private trust (Knight v Knight)?
- Joel orally declares that he holds his freehold land on trust for his daughter, with nothing in writing. What is the effect?
- A settlor wants to create a trust of his shares by transferring them to trustees. He signs the transfer form and hands it with the share cer…
- A man in hospital, believing that he is dying, hands the key to his safe deposit box to a friend and says 'if I die, keep what is inside'. H…
- A testator leaves property in his will 'to Sam absolutely'. Before making the will, he told Sam he must hold the property for the testator's…
- A charitable trust requires which of the following under the Charities Act 2011?