fiduciary

A fiduciary is a person that owes another person an obligation of loyalty and good faith. A fiduciary relationship is derived from the existence of obligations of a fiduciary nature in a relationship that already exists, and not the other way around.

So, where a relationship exists that requires the utmost confidence and trust, those qualities will impose the duties. Most often, the relationship requires the fiduciary to subordinate their own interests to those of their principal, that is, to act solely in the interests of the principal. It has been said that a single minded loyalty is required.

Usage: The fiduciary, in breach of their obligations to their principal, was ordered to account to their principal for the secret profit procured.

Related Words: fiduciary duty; trustee.