New York City Breach of Fiduciary Duty Lawyer

A breach of fiduciary duty occurs when someone entrusted with the duty to act in the best interest of another party fails to do so and causes that party harm. For business owners like us, addressing fiduciary breaches is crucial to maintaining trust and protecting our interests. At Woods Lonergan PLLC, we specialize in handling such complex legal matters.

As NYC breach of fiduciary duty lawyers, we are here to help by providing expert guidance and representation,  ensuring that you can effectively pursue or defend against claims and safeguarding your business integrity and assets.

Request your consultation today by calling (212) 684-2500 or sending us an online message.

What Is a Breach of Fiduciary Duty?

In New York law, a fiduciary duty is a legal obligation for one party to act in the best interest of another. This duty arises from relationships where trust and confidence are placed in one party by another. Under New York law, fiduciaries are expected to act with loyalty, care, and good faith, avoiding conflicts of interest and prioritizing the beneficiary’s interests above their own.

Examples of Fiduciary Relationships in Business

  • Partners. Each partner in a business has a fiduciary duty to the other partners.
  • Directors. Corporate directors must act in the best interests of the company and its shareholders.
  • Officers. Corporate officers, like CEOs and CFOs, owe fiduciary duties to the corporation and its shareholders.

Fiduciary duties include the following.

  • Duty of Loyalty. Requires fiduciaries to act without personal conflict of interest and prioritize the beneficiary’s interests.
  • Duty of Care. Mandates fiduciaries to act with the care that a reasonably prudent person would take in similar circumstances.
  • Duty of Good Faith. Requires fiduciaries to act honestly and with a genuine intent to serve the best interests of the beneficiary.

Recognizing the signs of a breach of fiduciary duty is vital for protecting your business interests. Common indicators include unexplained financial discrepancies, suspicious transactions, lack of transparency or information withholding, and conflicts of interest. If you notice any of these signs, consult with an attorney for a breach of fiduciary duty to address potential violations promptly.

Types of Breaches

Understanding the different types of breaches of fiduciary duty is crucial for business owners. 

Here are the common types of breaches you may encounter.

  • Breach of duty of loyalty. This occurs when a fiduciary acts in their own interest rather than in the best interest of the beneficiary. For example, a business partner might divert a lucrative opportunity away from the partnership to benefit themselves personally.
  • Breach of duty of care. This happens when a fiduciary fails to act with the level of care that a reasonably prudent person would in a similar situation. This can include negligent decision-making or failure to adequately inform oneself before making decisions.
  • Self-dealing and conflicts of interest. Self-dealing occurs when a fiduciary engages in transactions that benefit themselves at the beneficiary’s expense. Conflicts of interest arise when a fiduciary’s personal interests conflict with their duty to the beneficiary.
  • Misappropriation of business opportunities. This involves a fiduciary taking a business opportunity that should rightfully belong to the beneficiary and can significantly harm the business or entity to which the fiduciary duty is owed.

If you think your business has suffered losses due to one of these violations, seek assistance from a breach of fiduciary duty lawyer as soon as you can.

Do I Need a Lawyer for a Breach of Fiduciary Duty Claim?

At Woods Lonergan PLLC, we specialize in navigating the complexities of New York fiduciary duty law. Our expertise in this area ensures that we are well-equipped to handle even the most challenging fiduciary duty cases. With extensive experience in this field, we provide comprehensive legal guidance and representation throughout the entire process, from initial consultation to resolution.

We understand the intricacies of New York City’s legal landscape, and our familiarity with local courts and the business environment gives us a significant advantage. This local knowledge enables us to develop effective strategies tailored to your specific situation. By choosing a local lawyer like Woods Lonergan, you benefit from our deep understanding of the regional nuances that can impact your case.

Our commitment is to protect your interests and achieve the best possible outcome for your business. Whether you are pursuing or defending against a breach of fiduciary duty claim, Woods Lonergan PLLC is here to provide the skilled legal support you need.

Contact the Experienced Attorneys at Woods Lonergan PLLC

If you are a business owner facing a breach of fiduciary duty issue, Woods Lonergan PLLC is here to help. Call us at (212) 684-2500 or fill out our online contact form to schedule a consultation to discuss your case. Our experienced team of breach of fiduciary duty attorneys is ready to provide the legal support you need to protect your business interests.