Breach of Fiduciary Duty Attorney Serving Stafford, Texas

When a fiduciary relationship is established, trust is placed in one party to act in the best interests of another. Unfortunately, breaches in these relationships occur, often leading to significant financial and emotional repercussions.  

The Parzivand Law Firm, PLLC focuses on helping Texas clients in Stafford, Sugar Land, and Fort Bend County with cases involving breaches of fiduciary duty. With years of experience and a deep understanding of fiduciary responsibilities, Hessam Parzivand, Attorney at Law, is here to provide strong legal representation and protect the best interests of his clients. 

Understanding Breach of Fiduciary Duty 

A breach of fiduciary duty occurs when someone in a position of trust fails to act in the best interest of another party. Fiduciary relationships are founded on the expectations of loyalty, honesty, and good faith. When these duties are violated, a breach of fiduciary duty occurs. This is a serious matter that can have significant consequences for both parties involved. 

This breach can manifest in various ways, including mismanagement of funds, failure to disclose information, or making decisions that benefit the fiduciary at the expense of the beneficiary. 

The repercussions of a breach can be far-reaching, potentially leading to legal action and the necessity for reparations. The affected party can often seek damages to recover losses incurred due to the breach. The party impacted by the breach must act promptly, as statutes of limitations can often limit the time frame for pursuing a claim.  

Additionally, demonstrating a breach requires solid evidence, such as documentation or testimony, to substantiate the claim. Proper legal guidance can help deal with the complications of these cases so that the harmed party's rights are vigorously upheld. 

Common fiduciary relationships include: 

• Trustees managing a trust for beneficiaries 

• Executors handling an estate 

• Corporate officers or directors responsible for shareholders 

• Partners in a business partnership 

• Financial advisors managing client investments 

• Attorneys representing clients' legal interests  

Texas Laws Governing Breach of Fiduciary Duty 

In Texas, laws surrounding fiduciary duties are well-defined but can be complicated. They require the fiduciary to act with utmost good faith and loyalty. Texas courts take breaches seriously, recognizing the profound impact they can have on victims.

A breach can lead to legal consequences such as removal from the fiduciary position, monetary damages, or equitable relief like injunctions. 

To prove a breach, the following must be established: 

1. Existence of a fiduciary relationship: Demonstrating that a relationship of trust and obligation was in place. 

2. Breach of duty: Showing that the fiduciary acted contrary to their obligations or failed to act appropriately. 

3. Causation: Establishing that the breach directly caused harm or loss. 

4. Damages: Quantifying the losses incurred due to the breach.  

5. Defenses to a breach: The fiduciary may claim defenses such as consent by the beneficiary, the statute of limitations, or that the actions taken were in good faith and in the beneficiary's best interest. 

6. Statutory exceptions: Certain Texas statutes provide exceptions where fiduciaries may not be held liable for actions that might otherwise constitute a breach, depending on the context and nature of the fiduciary relationship. 

7. Court remedies: Texas courts can impose various remedies for breaches, including ordering accountings, imposing constructive trusts, or mandating restitution to address the damages suffered by the beneficiary. 

8. Statutory immunity for certain actions: Under specific circumstances, Texas law provides statutory immunity for fiduciaries, protecting them from liability for actions undertaken in good faith and within the scope of their duties. 

9. Remedies for fraudulent breach: When a breach involves fraudulent actions, Texas courts may impose severe penalties, including punitive damages, to deter future misconduct and compensate the affected parties for their losses. 

10. Standards for trustee conduct: Texas has established standards for trustee conduct, requiring them to invest prudently, avoid conflicts of interest, and adhere to the terms of the trust document. Failure to meet these standards may constitute a breach of fiduciary duty. 

11. Role of mediation in resolution: In some instances, Texas courts encourage mediation as an alternative dispute resolution to amicably settle claims of fiduciary breach, offering a less adversarial and often quicker solution than court litigation. 

How Parzivand Law Firm, PLLC Can Help You 

With his background in commercial litigation, human resources, and law, Attorney Hessam Parzivand approaches each case with empathy and precision. He genuinely enjoys getting to know his clients, guiding them through their disputes, and fostering friendships along the way. Understanding who you work with is as important as understanding what they do. 

Clients often express relief when they find out how easy it is to communicate with him. Whether speaking in person, over the phone, or through email, he strives to create a comfortable environment where clients feel safe sharing their stories. Your concerns will always be heard and acted upon with professionalism and care. 

He works hard to keep his services affordable. He crafts effective and efficient strategies by giving each case the focused attention it deserves. He makes those options known when opportunities arise to solve issues creatively and cost-effectively. 

If you're in Stafford, Sugar Land, and Fort Bend County, call The Parzivand Law Firm, PLLC to resolve any issues regarding breach of fiduciary duties.