Fiduciary Relations

Menlo Park Fiduciary Relations Lawyers for Business Relationships

What Are Fiduciary Duties?

Fiduciary duties are owed by fiduciaries. Someone is considered to be a “fiduciary” if a duty of good faith, trust, loyalty, confidence, or care has been imposed upon that person by law. In the context of a business relationship, the following parties may be trusted to uphold fiduciary duties:

  • Directors owe fiduciary duties to the business entity
  • Majority shareholders owe fiduciary duties to minority shareholders
  • Business partners owe fiduciary duties to the partnership
  • Trustees owe fiduciary duties to beneficiaries

When a business relationship requires some level of trust, the law attempts to protect those who are owed fiduciary duties. Legal consequences can be imposed on fiduciaries who violate their responsibility to uphold a specific set of duties. In many cases, they can be held liable for monetary damages. At Flicker, Kerin, Kruger & Bissada LLP, we handle fiduciary relations for clients in Menlo Park, San Ramon, and throughout the Bay Area.

Types of Fiduciary Relationships

Business Officers and Directors: As an officer or director of a business, fiduciary duties are owed to the business entity. If, for example, an officer or director takes property belonging to the business for his or her own benefit, they would be liable to the business entity.

Majority Shareholders: Majority or controlling shareholders may take on fiduciary duties if they assume control of a corporation through their place on the board. When they make decisions on behalf of the business, they owe a duty of loyalty to the minority shareholders.

Partners in Business Together: When two people enter into a business partnership, and they both have a role in managing the partnership, they owe fiduciary duties to the partnership itself. Each partner is expected to operate on the concept of equity and good conscious.

Awards

Over the years, Flicker, Kerin, Kruger & Bissada LLP has cultivated a reputation for excellence in the legal field. With a focus on complex and high-asset cases, we provide innovative legal strategies for our clients - always placing their best interests at the forefront of each legal matter. In addition to the gratitude of our clients and the respect of our legal peers, our firm has garnered the attention of many prestigious legal organizations.