“Section 283A of the Insolvency Act 1986, which gave a trustee in bankruptcy three years from the date of the bankruptcy to decide what to do about any interest in a house inhabited by the bankrupt or their current or former spouse or civil partner, was concerned only with property which actually formed part of the bankrupt’s estate at the time at the commencement of the bankruptcy. It did not apply to property currently vested in a third party but in respect of which a claim to set aside a transaction at an undervalue might be made under section 339 of the 1986 Act, in respect of which the limitation period remained the 12 years provided for under section 8 of the Limitation Act 1980.”

WLR Daily, 17th February 2011

Source: www.lawreports.co.uk