BU231 Chapter Notes - Chapter 4: Fiduciary
Document Summary
Professional liability may be considered under three headings: Duty in tort: contractual duty agreement to provide professional services to a client. Contains a promise to perform those services with due care: fiduciary duty a duty imposed on a person who stands in a special relaion of trust to another. If iduciary duty is found to exist, the professional must act honestly, in good faith, and only in the best interests of the client. Ex. when auditor expresses an opinion on the fairness and accuracy of the client irm"s inancials. Ex. when a lawyer prepares a will for a client who intends to leave property to a beneiciary. Third party liability liability to some other person who stands outside a contractual relaionship. Duty to account the duty of a person who commits a breach of trust to hand over any proits derived from the breach. Deceit the making of a false statement with the intenion of misleading another person.
