Fiduciary duties in New York refer to the legal obligations that certain individuals or entities have to act in the best interests of another party. These duties arise from relationships of trust, such as those between a trustee and a beneficiary, a director and a corporation, or a lawyer and a client.
Under New York law, fiduciary duties generally include the duty of loyalty, the duty of care, and the duty of good faith. The duty of loyalty requires the fiduciary to act in the best interests of the beneficiary or principal, and to avoid conflicts of interest. The duty of care requires the fiduciary to act with the care and diligence that a reasonable person would use in similar circumstances. The duty of good faith requires the fiduciary to act honestly and with integrity, and to avoid engaging in self-dealing or other actions that are contrary to the interests of the beneficiary or principal.
If a fiduciary breaches one of these duties, they may be held liable for any resulting damages or losses. In some cases, a breach of fiduciary duty may also result in legal action or disciplinary action against the fiduciary. Therefore, it is important for individuals and entities that hold fiduciary roles to understand and comply with their legal obligations under New York law.
