header-logo header-logo

03 November 2011 / Ming-yee Shiu
Issue: 7488 / Categories: Features , Tribunals , Disciplinary&grievance procedures , Employment
printer mail-detail

A position of trust?

Ming-Yee Shiu considers the circumstances in which fiduciary duties may be imposed upon employees

Claims of breach of fiduciary duty have become increasingly popular in relation to various forms of misconduct by employees, such as misappropriation of company property, unlawful competition, diverting opportunities, and receiving bribes. Although there may be corresponding claims in contract and tort, the onerous nature of fiduciary duties may widen the scope of potential liability.

Furthermore, there are a number of effective remedies for breach of fiduciary duty in addition to compensation in damages. These include the gain-based remedy of an account of profits and, potentially, proprietary remedies. The existence of a proprietary remedy can assist a claimant not only at the final stages of an action but also in seeking interim remedies such as asset preservation orders.

While trustees and company directors are known to be fiduciaries, it is for the employer to establish the basis of any fiduciary relationship and the nature and scope of any fiduciary duties owed by its employees. Accordingly, an understanding

If you are not a subscriber, subscribe now to read this content
If you are already a subscriber sign in
...or Register for two weeks' free access to subscriber content

MOVERS & SHAKERS

Womble Bond Dickinson—Paula Myers

Womble Bond Dickinson—Paula Myers

Womble Bond Dickinson appoints Paula Myers to private capital team in Leeds

mfg Solicitors—five promotions

mfg Solicitors—five promotions

Law firm mfg Solicitors announces five promotions at Birmingham office

Brabners—six promotions

Brabners—six promotions

Brabners adds six to partnership in record year for partner promotions

NEWS

Family set expands with the formal integration of 4 Brick Court into 42BR Barristers

The Court of Appeal has issued a stern warning to lawyers engaging in the practice of ‘privilege hunting’—obtaining an opponent’s legally privileged information through dishonest means
Legal executives have given a lukewarm reception to the Legal Services Board’s (LSB’s) final report from its regulatory review into Mazur advice and guidance
A homeless single parent offered accommodation in Derby has lost her Supreme Court appeal against the London council making the offer
The Kingdom of Bahrain does not enjoy sovereign immunity from allegations it used surveillance software to spy on dissidents in the UK, the Supreme Court has held
back-to-top-scroll