Understanding the Concept of Fiduciary Duty

Are you unsure about the concept of fiduciary duty? Fiduciary relationships exist when one party is duty-bound to act in the best interests of another party. In California, fiduciary relationships are defined as any relation between two parties to a transaction, with one party being bound to act with the utmost good faith for the benefit of the other. When a breach of fiduciary duty occurs, the party who breaks their obligation may be held liable for damages incurred.

Fiduciary relationships are common in various industries and job settings. For instance, an attorney and client have a fiduciary relationship, as do a company and its shareholders. In these relationships, beneficiaries depend on a person or agency to always make decisions for their benefit.

Identifying and proving a breach of fiduciary duty is more complex than proving a breach of contract. The added component of loyalty and trust implicit in these relationships makes a breach of fiduciary duty even more serious. If you were harmed financially or legally by a professional or company you trusted to make good decisions on your behalf, you may have a claim for breach of fiduciary duty.

If you suspect a breach of fiduciary duty, contact a skilled business attorney to evaluate your case. They will assess whether a fiduciary relationship existed, whether the defendant breached their duty, and whether that breach caused you harm.

Under California law, a plaintiff can claim compensatory damages for all the ways a breach has impacted their business or livelihood. Punitive damages may also be possible to punish the defendant and discourage such practices. Your attorney will help you evaluate your case and assess potential damages.

At ACTS LAW, LLP, we skillfully resolve complex business disputes, including breach of fiduciary duty claims. If you suspect a breach of fiduciary duty, our experienced Los Angeles business attorneys can help you. Contact us online or call us at 833-228-7529 to schedule a free initial consultation. We serve clients throughout California from our Los Angeles and San Diego offices.