Houston Commercial Litigation Attorney

Understanding Breach of Fiduciary Duty

The term "fiduciary" means holding something in trust or good faith- usually money. Therefore, a fiduciary duty is a legal relationship of confidence between at least two parties. Take for example a person's relationship with a bank. One party, the bank or trust company, has the fiduciary duty and is bound to the person who is entrusting their money to them. The bank or trust company has the responsibility of always acting in good faith toward the person entrusting money to them and must always act in their best interest. An accountant is also another good example of someone you would enter into a fiduciary relationship with. Fiduciary duty falls under the part of the law called "equity." When a fiduciary relationship is agreed upon, it is then illegal to act in a way that is contrary to the best interest of the client. Those who have a fiduciary duty are held to the absolute highest standards of care.

A fiduciary relationship may be difficult to define, because trust relationships can be based on subjective assumption of trust or objection necessity of trust. Those who have a fiduciary responsibility must always disclose necessary and relevant information to their clients within the scope of that relationship. In other words, fiduciaries are not allowed to withhold relevant information to their clients. A fiduciary cannot guarantee that their client's finances will go well. They can only do their best to provide their clients with the best possible care. This includes being honest, not withholding information, accurately advising, remaining confidential, etc. People file breach of fiduciary duty claims that differ depending on the law of that particular state, but some may have provisions for the claim to be brought to federal court. If you do wish to file, you will need to prove that a fiduciary relationship existed, that the fiduciary breached a specific duty that was owed to you, and that the said breach entitles you to some sort of remedy.

How an Arnold & Itkin Attorney Can Assist You

If you have entered into a fiduciary relationship but believe that your fiduciary has not acted in your best interests, then you should seek the help of a Houston personal injury attorney for commercial litigation help immediately. At Arnold & Itkin, we have ample experience in dealing with cases such as breach of contract, securities fraud, and breach of fiduciary duty. In fact, many of our attorneys have degrees in business law, graduating at the top of their class and then going on to work in the business world. With this type of comprehensive understanding of commercial litigation should ensure you that by seeking the help of our firm, you are getting the best quality of care available.

Contact a Houston commercial litigation attorney from Arnold & Itkin today if you have concerns about your fiduciary relationship.