TRUSTEE ACT 1936 - SECT 28

TRUSTEE ACT 1936 - SECT 28

28—Power for executors and trustees to compound etc

        (1)         An executor or administrator may pay or allow any debt or claim on any evidence that he thinks sufficient.

        (2)         An executor or administrator, or two or more trustees acting together, or a sole acting trustee, where, by the instrument (if any) creating the trust, a sole trustee is authorised to execute the trusts and powers thereof, may, if and as he or they may think fit—

            (a)         accept any composition or any security, real or personal, for any debt or for any property, real or personal, claimed; and

            (b)         allow any time for payment of any debt; and

            (c)         compromise, compound, abandon, submit to arbitration, or otherwise settle any debt, account, claim, or thing whatever relating to the testator's or intestate's estate or to the trust; and

            (d)         for any of those purposes enter into, give, execute, and do such agreements, instruments of composition or arrangements, releases, and other things, as to him or them seem expedient, without being responsible for any loss occasioned by any act or thing so done by him or them in good faith.

        (3)         This section applies only if and as far as a contrary intention is not expressed in the instrument (if any) creating the trust, and shall have effect subject to the terms of that instrument and to the provisions therein contained.

        (4)         This section applies to executorships, administratorships, and trusts constituted or created either before or after the commencement of this Act.