Defence of trustee-breach of trust-trusts laws, Financial Accounting

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Defence of trustee
 
1) He may be relieved from liability if, in the opinion of the court, he acted honestly and reasonably and ought to be excused;

2) He may also be released by any beneficiary, being sui juris and with knowledge of the facts, from liability to that beneficiary only;

3) Lapse of time: an action for breach of trust is statute-barred after six years except when a beneficiary under a disability, such as infancy, when time does not begin to run until the disability ceases: moreover there is no limitation periods where:

  • Trustee was fraudulent; or
  • To recover from the trustee trust property or the proceeds thereof in his possession or previously received by him and converted to his own use.

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