What is a necessary characteristic of a fiduciary duty?

A necessary characteristic of a fiduciary duty is the obligation to prioritize the interests of the client. In a fiduciary relationship, one party, the fiduciary, is entrusted with duties that require them to act in the best interests of another party, the principal or client. This duty encompasses loyalty, care, and full disclosure, ensuring that the fiduciary does not place their own interests above those of the client.

This prioritization of the client’s interests creates a foundation of trust, enabling the client to rely on the fiduciary to make decisions and take actions that benefit them, rather than serving the fiduciary’s own agendas. This trust is critical in various professional relationships, such as those involving lawyers, financial advisors, real estate agents, and other professionals who are expected to act with integrity and loyalty toward their clients.