Fiduciary Duty

One of the highest standards of care imposed by law based on a special relationship between the parties.

Fiduciary duties arise in many contexts based upon legal and familial relationships. They typically occur where one or both parties are in a position of substantial trust or where one party is particularly vulnerable. State common law often determines whether a particular fiduciary relationship exists. Here are some examples:

Attorneys owe fiduciary duties to their clients.
Insurance agents owe fiduciary duties to their insureds.
Trustees owe fiduciary duties to owners.
Partners owe fiduciary duties to each other.
Corporate officers owe fiduciary duties to shareholders.