When one person acts on behalf of another, we often say that the person is acting in a fiduciary capacity. Examples of when someone acts in a fiduciary capacity include:
- An agent under a power of attorney for property
- A guardian
- A trustee of a trust for another’s benefit
- An executor of an estate
- An administrator of an estate
A fiduciary must act in the best interests of the person he or she represents and cannot abuse their position for their own benefit. Fiduciaries also have certain duties of disclosure.
Someone harmed by a breach of one or more of these duties can bring a lawsuit to repair the damage.
