fiduciary

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fiduciary

(fĭdo͞o`shēĕ'rē), in law, a person who is obliged to discharge faithfully a responsibility of trust toward another. Among the common fiduciary relationships are guardian to ward, parent to child, lawyer to client, corporate director to corporation, trustee to trusttrust,
in law, arrangement whereby property legally owned by one person is administered for the benefit of another. Three parties are ordinarily needed for the relation to arise: the settlor, who bequeaths or deeds the property for another's benefit; the trustee, in whose hands
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, and business partner to business partner. In discharging a trust, the fiduciary must be absolutely open and fair. Certain business methods that would be acceptable between independent parties dealing with one another "at arm's length" may expose a fiduciary to liability for having abused a position of trust. Thus, in an ordinary business transaction the prospective purchaser of land need not inform the seller of an imminent rise in realty values, but one buying land from a partner must disclose such information. In many cases courts will treat an unexplained profit derived from a fiduciary relationship as an instance of constructive fraudfraud,
in law, willful misrepresentation intended to deprive another of some right. The offense, generally only a tort, may also constitute the crime of false pretenses. Frauds are either actual or constructive.
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fiduciary

Law
1. a person bound to act for another's benefit, as a trustee in relation to his beneficiary
2. 
a. having the nature of a trust
b. of or relating to a trust or trustee
References in periodicals archive ?
San Bernardino County Treasurer-Tax Collector Dick Larsen announced today the filing of a multi-million dollar suit against the investment firm of Salomon Smith Barney, its broker Peter Morrison, former Treasurer-Tax Collector Tom O'Donnell, former County Administrative Officer James Hlawek, and former County investment officer Sol Levin for alleged breach of fiduciary responsibility, bribery, and fraud that cost taxpayers millions of dollars.
1, 2003 alleging dishonesty, fraud, gross negligence, negligence, breach of fiduciary responsibility, preparation, publication or dissemination of false, fraudulent or materially misleading financial statements, embezzlement, theft, misappropriation of funds or property.
While such cases rarely go to trial, the Delaware chancery court permitted a shareholder derivative suit alleging a breach of fiduciary responsibility against Disney's board to proceed.