Hong Kong Ordinances

LIMITATION ORDINANCE - SECT 20

Limitation of actions in respect of trust property

Actions in respect of trust property or the personal estate of deceased
persons

(1) No period of limitation prescribed by this Ordinance shall apply to an
action by a beneficiary under a trust, being an action-

   (a)  in respect of any fraud or fraudulent breach of trust to which the
        trustee was a party or privy; or

   (b)  to recover from the trustee trust property or the proceeds thereof in
        the possession of the trustee, or previously received by the trustee
        and converted to his use.

(2) Subject as aforesaid, an action by a beneficiary to recover trust property
or in respect of any breach of trust, not being an action for which a period
of limitation is prescribed by any other provision of this Ordinance, shall
not be brought after the expiration of 6 years from the date on which the
right of action accrued: Provided that the right of action shall not be deemed
to have accrued to any beneficiary entitled to a future interest in the trust
property, until the interest fell into possession.

(3) No beneficiary as against whom there would be a good defence under this
Ordinance shall derive any greater or other benefit from a judgment or order
obtained by any other beneficiary than he could have obtained if he had
brought the action and this Ordinance had been pleaded in defence. [cf. 1939
c. 21 s. 19 U.K.]