What is a fiduciary?

Executor, trustee, agent under financial power of attorney, health care agent are all fiduciaries. This is a position of trust. A fiduciary relationship is important to understand if you are going to serve. If you violate your fiduciary duties you can face personal liability. As a fiduciary you owe the beneficiaries a duty of impartiality. You cannot favor one beneficiary over another. You must act in good faith and with fair dealing. You cannot transact business with a trust that you are trustee of? You owe beneficiaries a duty of loyalty. You also awe a duty of care. This means you have to act in the same way that a person with the appropriate level of skill would act, and a person who is reasonable and prudent.