BU231 Chapter Notes - Chapter 5: Intentional Tort, Liability Insurance, Fiduciary
Document Summary
The use of professional services reduces but does not eliminate risk. Contractual obligations: professionals are under an agreement to provide professional service. Breach of a promise is a breach of a contract client may sue for damages. Fiduciary undertaken to act in the best interests of the beneficiary. Beneficiary is vulnerable to or as the mercy of the fiduciary"s control or discretion. A legal or practical interest of the beneficiary could be harmed by the fiduciary"s exercise of discretion or control: ie coporate directors, trustees, lawyer-client, doctor-patient. Sometimes it can develop depending upon details: more level of responsilbity and obligations for professional if fiduciary. Choosing a cause of action: client decides, duty of account: the duty of a person who commits a breach of trust to hand over any profits derived from the breach. Deceit: an intentional tort imposing liability when damage is caused by a false statement made with the intention of misleading another person.
