Losing someone you love is hard enough without having to worry about their estate being properly managed. As a beneficiary, you place tremendous trust in the executor, trustee, or other appointed fiduciary – but when communication breaks down or mismanagement is afoot, that trust can quickly erode.
You may feel powerless, but you’re not without options. With knowledge of your fiduciary relationship and the right fiduciary litigation attorney on your side, you can hold your unreliable or dishonest fiduciary accountable. At Gaslowitz Frankel, our sole focus is protecting your rights and ultimately recovering what’s yours, ensuring your trustee-beneficiary relationship is airtight.
Before consulting a law firm, it’s important to understand your particular fiduciary relationship. Explore the common types of fiduciary relationships and common breaches within them, and get your next steps as a beneficiary who’s been wronged.
Common Fiduciary Relationships
A fiduciary relationship is a legal relationship, in which the fiduciary party is obligated to act in the other’s best interests. Common examples of a fiduciary relationship include:
Trustee & Beneficiary
A trustee is responsible for managing trust assets and distributing them according to the trust’s terms. As a fiduciary, the trustee owes certain duties to the trust beneficiaries including prudent investing, transparent accounting, and impartiality toward beneficiaries. At Gaslowitz Frankel, we’ve noticed that trustee breaches of duty often arise as a result of asset mismanagement, or when favoritism is shown, either of which may warrant legal action.
Agent & Principal
In an agent-principal fiduciary relationship, the agent acts on the principal’s behalf. As fiduciaries, agents are obligated to avoid conflicts of interest and refrain from acts of self-dealing with their principal. Many breaches of fiduciary duty by an agent involve a misuse of the authority given them by their principal for personal gain.
Guardian/Conservator & Ward
A guardian and/or conservator makes decisions about the care and finances of a minor or incapacitated adult and is obligated to act in their ward’s best interest. Common breaches of duty in this type of relationship include neglect or financial exploitation for personal gain. A ward’s loved ones are encouraged to consult an attorney for guidance if they have concerns about a guardian or conservator.
Attorney & Client
Attorneys provide legal advice and representation to clients. As fiduciaries, they owe their clients duties of competence, communication, confidentiality, loyalty, and more.
Board of Directors & Company
A board directs corporate strategy and oversees business operations. Directors are also fiduciaries, owing duties of loyalty, care, and good faith to the company. These duties are most commonly breached by uninformed decision-making, self-dealing, or failing to investigate wrongdoing by other officers and board members.
What Counts as a Breach of Fiduciary Duties?
A fiduciary breaches their duty by acting negligently or unethically, harming the other party’s interests. Common examples across all fiduciary relationships include mismanaging assets, engaging in self-dealing, failing to communicate, and conflicts of interest.. Any act or omission that violates the standard of care or loyalty attached to the fiduciary relationship can qualify as a breach.
If your fiduciary has breached their duty in any of the following ways, it may be time to consult a trusted fiduciary litigation attorney:
- Negligence
- Self-Dealing
- Exploitation
- Mismanaging Assets
- Failing to Communicate
- Conflicts of Interest
What to Do If Your Fiduciary Has Breached Their Duties
If you suspect a fiduciary breach, don’t go it alone. A fiduciary litigation attorney can review your situation and advise you on steps you can take to protect rights and recover any damages. This may involve demanding a formal accounting or filing a lawsuit against your fiduciary – all of which we, at Gaslowitz Frankel, LLC, can assist you with.
The attorneys at Gaslowitz Frankel LLC are leaders in estate litigation, especially when it comes to holding fiduciaries accountable. We guide estate beneficiaries like you toward optimal outcomes, enabling recovery and healing after the loss of a loved one. Opt for a firm that combines a compassionate approach with deep knowledge of fiduciary standards – serving you with both passion and expertise.
Fill out an online contact form for a free consultation and hold your fiduciary accountable.
