Partnership & Corporate Disputes

Officers, directors, partners and members of business organizations have a fiduciary duty under the law to act in the best interest of the owners of the business and, in some cases, employees of the business. A fiduciary relationship is both a legal and ethical relationship of confidence or trust regarding the management of money or assets between two or more parties.

Breach Of Fiduciary Duty

The duty of a fiduciary is the highest standard of care recognized in the law. The fiduciary is expected to be extremely loyal to the persons to whom the duty is owed. The fiduciary cannot put his own personal interest before his fiduciary duty.

Corporate fiduciary litigation often arises when there is an allegation that the fiduciary duty has been violated by a corporate officer or director. Breach of fiduciary duty may be the result of negligence or it may involve the intentional misappropriation of funds or other assets of the business.

Shareholders of an incorporated business are owed a fiduciary duty. Officers and directors of the corporation must use reasonable care in the management of business assets, and they must disclose honestly the transactions, assets, debts and other liabilities of the organization. Corporate fiduciary litigation arising from a breach of that duty can result in liability of the officers and directors. It occurs frequently enough that many business organizations obtain corporate fiduciary insurance to protect itself from that liability. Shareholder claims for breach of corporate fiduciary duty are often handled in class action lawsuits.

Fiduciary Duty Over Funds and Assets

Corporate fiduciary litigation involves many different types of funds or assets, but these claims frequently concern 401k plans and pension plans as set forth in the Employee Retirement Income Security Act of 1974. Officers and directors may face personal liability concerning retirement and pension plans for misrepresentation, failing to disclose information, failure to properly monitor investment managers or investments, choosing imprudent investments and failing to take reasonable steps to avoid losses by the plan.

Taylor Dunham LLP has extensive experience in corporate fiduciary litigation. Our corporate fiduciary litigation attorneys have successfully represented clients, as plaintiffs and defendants, in multi-million dollar claims. Our attorneys have also been certified in court as class-action counsel in several cases.

Our clients benefit from our experience in these areas:

  • Creditor's rights
  • Director's liability
  • Fraud
  • Misappropriation of assets
  • Misappropriation of business opportunity
  • Misrepresentation
  • Negligence
  • Partnership disputes
  • Shareholder litigation

Contact us for your initial consultation regarding your partnership and corporate dispute case.

Click Here to Contact a corporate fiduciary litigation attorney at Taylor Dunham LLP to discuss your case or call us toll free at 800-520-8526.