Thursday, June 26, 2014
Alan Newman (The University of Akron School of Law, Professor of Law) recently published an article entitled, You Don’t Know What You’ve Got Till It’s Gone: Time-Barred Claims Under the Uniform Trust Code, Real Property, Trust and Estate Law Journal Volume 48, No. 3, 461-496 (Winter 2014). Provided below is the author’s synopsis:
Prior to the Uniform Trust Code, statutes of limitations and the laches doctrine operated to prevent a beneficiary’s claim against a trustee for breach from being time-barred before the beneficiary knew or had reason to know of the claim. Because of its mandatory information and reporting rules for trustees, generally that also will be the case under the UTC. Most jurisdictions that have enacted the UTC, however, either omitted its mandatory information and reporting rules or significantly weakened their effectiveness. In such jurisdictions, there is a substantial risk that beneficiaries’ claims for breach against trustees will be time-barred without their having had an opportunity to protect their interests. This Article addresses how that can occur, proposes legislation to prevent it, and analyzes arguments courts might employ to prevent it in the absence of such legislation.