Investment Funds, Companies and Miscellaneous Provisions Act 2005

Liability of custodians of common contractual funds.

17.—(1) The custodian shall exercise due care and diligence in the discharge of its duties and shall be liable to the unit-holders and management company for any loss arising from the negligence, fraud, bad faith, wilful default or recklessness in the performance of those duties.

(2) Unit-holders may enforce this liability either directly or indirectly through the management company.