Which fiduciary duty requires an agent to place the client's interests above those of all others, including his or her own?

Question

Moshe Tucker

Business

7 February, 03:54

Which fiduciary duty requires an agent to place the client's interests above those of all others, including his or her own?

+5

Answers (1)

Know the Answer?

Ruiz · Answer 1

The correct answer is loyalty.

Explanation:

The fiduciary duty is the legal obligation to act in the interest of another.

The law prohibits the fiduciary from acting in any manner detrimental to the interests of the client, which is entitled to the best efforts of the fiduciary, while the fiduciary must exercise all the care and diligence at his disposal when acting on behalf of the client.

For its part, the breach of the fiduciary duty is when a fiduciary does not fulfill his responsibilities and obligations. In most cases, a third party will handle the claim of the breach of trust to ensure that it is handled correctly. The trustee may also be removed from the position and ordered to pay fines or other forms of compensation to the principal.

Even if a fiduciary claims that he was not aware of his responsibilities, he will still be charged with breach of fiduciary duty if he fails to fulfill his obligations.