Law Commons^™

Fiduciary Law, Tamar Frankel

Faculty Scholarship

In the business realm, the fiduciary duties of partners, corporate directors, and officers originated with the formation of partnerships and corporations, but majority shareholders were not subjected to fiduciary duties until this century. ... As in a status relation, one party to a fiduciary relation (the entrustor) is dependent on the other (the fiduciary). ... For example, a trust is defined as a fiduciary relation in which property is transferred to the trustee. ... A trustee is chosen by the trustor, and must be able to manage the trust assets independently of the beneficiary's control. ... It further shows that …