Breach of Fiduciary Duty
In business and professional relationships, a person, company or institution is often given by law or by contract the power and responsibility of managing the assets and property of another person, company or institution and/or advising them on financial or legal matters.
The “beneficiary” or “client” places their confidence in another, called the “fiduciary”, in circumstances that require the utmost trust, good faith and honesty.
A fiduciary can be an individual for example such as an attorney or accountant, business or financial advisor, insurance agent, escrow agent, real estate broker, securities broker, executor of an estate or trustee managing a trust fund. A fiduciary can also be a larger entity such as a bank, brokerage firm, accounting company or consulting firm.
Corporate officers have a fiduciary duty to the corporation. Partners owe a fiduciary duty to the other partners. Brokers and agents have a fiduciary obligation to their clients.
Whether addressed in the terms of their contract or by rules established in law, the fiduciary is required to act in the best interest of their client or beneficiary.
If a fiduciary breaches their duty, if they act for their own profit or gain, act recklessly, negligently or fraudulently, a cause of action may exist for a lawsuit.
Contact the law office of Hughes Ellzey if you’ve suffered a breach of fiduciary duty. Violations can include:
- Your business partner has mismanaged your company’s assets
- Business officers and managing partners have committed fraud, nondisclosure or misrepresentation
- The executor or trustee of an inheritance or trust has acted negligently, fraudulently and/or in their own interest instead of the beneficiary.
If you or your company has suffered financial harm at the hands of a partner, corporate officer, professional advisor, agent or broker, you may have a claim of breach of fiduciary duty.
The attorneys of Hughes Ellzey have experience with complex commercial litigation and violations of fiduciary duty. For an example of our record of success, please read about the firm’s recent $16.5 million verdict in SSC Opportunity Partners LLC and Douglas Britton v. L.S. ‘Trey’ Halberdier, III, et al.
We can help settle your dispute or litigate your claim of breach of fiduciary duty.
Contact the law firm of Hughes Ellzey today.