Fiduciary Responsibility
/ˌfɪd.jʊˈʃɛr.i rɪˌspɒn.sɪˈbɪl.ɪ.ti/
Definitions
- (n.) The legal duty of one party to act in the best interest of another, typically involving trust and reliance, such as between trustees and beneficiaries, or corporate directors and shareholders.
Corporate directors have a fiduciary responsibility to prioritize the interests of the shareholders.
Forms
- fiduciary responsibility
Related terms
See also
Commentary
Fiduciary responsibility is often codified in statutes and case law, requiring careful adherence to avoid breaches that may result in liability.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.