The Time Limits for Trust Claims
Every claim has a time limit. Claims against custodial trustees are no different. This statute sets two baseline periods based on whether the beneficiary received a final accounting.
Unless previously barred by adjudication, consent or limitation, a claim for relief against a custodial trustee for accounting or breach of duty is barred as to a beneficiary, a person to whom custodial trust property is to be paid or delivered or the legal representative of an incapacitated or deceased beneficiary or payee who has received a final account or statement fully disclosing the matter unless an action or proceeding to assert the claim is commenced within two years after receipt of the final account or statement.
A.R.S. § 14-9116(A)(1)If the trustee gave a final accounting that fully disclosed the matter, the clock starts when the beneficiary received it. The claim must be filed within two years.
If the trustee did not give a final accounting, the beneficiary has three years from the end of the trust to start a claim.
Fraud Gets a Longer Window
When the claim involves fraud, hiding information, or concealing the trust's existence, the time limit extends to five years. This longer window runs from the date the trust ends.
The statute also protects vulnerable claimants. A minor's deadline does not begin until two years after reaching adulthood or death, whichever comes first.
An incapacitated adult gets two years from the appointment of a conservator, the removal of the incapacity, or death. For a competent adult who has since passed away, the estate has two years from the date of death.
These extensions make sure people who could not act sooner are not shut out by rigid deadlines. Filing within the right time frame is key to preserving a claim.