Breach of Fiduciary Duty Litigation

Home
-
Estate Planning
-
Breach of Fiduciary Duty Litigation

Charlotte Breach of Fiduciary Duty Litigation Attorney

A fiduciary duty is known as the highest standard of care at either equity or law. A fiduciary is a specific person that holds a relationship of trust with one or more other parties that is legally or ethically founded. Typically, a fiduciary prudently manages the resources entrusted to them and protects the interests of the beneficiaries.

However, sometimes a fiduciary breaches their duty of loyalty and care, causing harm to the beneficiaries. If you have suffered any type of loss because of a breach of fiduciary duty, you may be able to recover through litigation. Working with an experienced breach of fiduciary duty lawyer is essential to maximize your chances of success.

Serving Charlotte, North Carolina, Victims of Fiduciary Duty Breaches

At Pinnacle Law, we have significant experience representing victims of fiduciary duty breaches. We have helped many people recover the losses they have suffered because of the negligence or misconduct of their financial advisor, broker, or other fiduciary. We have a deep appreciation for the devastation that these breaches can cause and are committed to earning the justice our clients deserve. Connect with us today and see how we can help you.

What Is a Fiduciary Duty?

A fiduciary duty is a non-negotiable legal obligation to act in the best interest of another person. This duty is imposed by law or contract and requires the fiduciary to put the interests of the other party ahead of their own.

There are many different types of fiduciary relationships, including:

  • Agency relationships, in which one person is authorized to act on behalf of another
  • Trustee-beneficiary relationships, in which a trustee holds and manages property for the benefit of a beneficiary
  • Guardian-ward relationships, in which a guardian is appointed to make decisions on behalf of a ward who is unable to do so for themselves
  • Attorney-client relationships, in which an attorney represents a client
What Are the Elements of a Fiduciary Duty Breach Claim?

To succeed on a fiduciary duty breach claim, you must be able to prove the following elements:

  • You had a clear fiduciary relationship with the defendant: This means that you must show how the defendant in question owed you a duty of care. Typically, this will be established by showing that there was a contract or law that imposed the duty.
  • The defendant breached their fiduciary duty to you: This means that the defendant must have acted negligently or intentionally in a way that harmed you. For example, if your financial advisor recommended an investment that lost money, they may have breached their duty if it can be shown that a reasonable advisor would not have made that recommendation.
  • You suffered damages that can be directly tied to the breach: This means that you must have actually lost money or property because of the defendant’s breach. Merely showing that you could have made more money if the defendant had not breached their duty is not enough – you must have actually lost money you previously owned.
What Are Some Common Examples of Fiduciary Duty Breaches?

There are many different ways in which a fiduciary can breach their duty. Some common examples include:

  • Investment mismanagement: This occurs when a fiduciary, such as a financial advisor makes investment decisions that are not in the best interest of the client. For example, an advisor may recommend that a client should invest in high-risk security without disclosing the risks involved.
  • Self-dealing: This occurs when a fiduciary, such as a trustee, takes advantage of their position to make profits for themselves. For example, a trustee may invest trust assets in a business that they own without disclosing the conflict of interest.
  • Failure to diversify: This occurs when a fiduciary, such as a broker, fails to diversify a client’s investments, exposing them to undue risk.
  • Misrepresentation: This occurs when a fiduciary, such as an attorney, makes false statements to their client. For example, an attorney may tell a client that they have a strong case when in reality, the attorney knows that the case is weak.
What Are the Remedies for a Fiduciary Duty Breach?

If you are the victim of a fiduciary duty breach, you may be entitled to damages. The type and number of damages you are entitled to will depend on the specific facts of your case. Some common types of damages that may be available include:

  • Compensatory damages: These are damages that are intended to compensate you for the losses you have suffered as a result of the fiduciary duty breach. This serves as a type of “make whole” remedy and may include damages for things such as lost profits, medical expenses, and property damage.
  • Punitive damages: These are damages that are intended to punish the fiduciary for their breach and deter future breaches. Punitive damages are typically only seen in cases of intentional or reckless breaches.
  • Legal fees and costs: You may be able to recover the legal fees and costs you incurred in pursuing your claim. This may include things such as court costs, expert witness fees, and attorney’s fees.
  • Injunctive relief: This court order requires the fiduciary to take a specific action or refrain from taking a specific action. For example, an injunction may be issued that requires the fiduciary to diversify a client’s investments.

Any of these remedies may be available in your case. They are designed to put you in the position you would have been in if the fiduciary had not breached their duty, which can help you recover physically, mentally, and financially.

Contact Us Today to Schedule a Consultation

If you believe to be the victim of a fiduciary duty breach, it is important to speak with an attorney as soon as possible. At Pinnacle Law, our attorneys have significant experience handling fiduciary duty cases. We are experts at assessing what happened, identifying the liable parties, and fighting for the maximum compensation available. We understand exactly how these cases work and know what it takes to win. If you are ready to see what we can do for you, contact us today to schedule a consultation. We look forward to hearing from you.

Wills

Link

Updating Your
Estate Plan

Link

Trusts Probate

Link

Will Disputes

Link

Guardianships

Link

Breach of Fiduciary
Duty Litigation

Link

Testimonials