Fiduciary Responsibility

Fiduciary Responsibility: Fiduciary is a person who is in a position of trust and confidence, owing certain duties to the principal, a.k.a. the party being represented, a.k.a. the client. These duties include:

1) Undivided Loyalty -- prohibits Agent from advancing any interest adverse to the principal's interest.

2) Obedience -- requires Agent to be subject to principal's continual control and to obtain & follow all lawful instructions from the principal, and prohibits Agent from exceeding the scope of authority granted by the principal.

3) Confidentiality -- requires Agent not to knowingly reveal confidential information of the principal or use this information to the advantage of the Agent or a third party, during or after the termination of an agency relationship, except when:

  a)disclosure is made with the consent of the principal;
  b)disclosure is made to another licensee or third party acting solely on the principal's behalf;
  c)disclosure is made under subpoena or court order;
  d)disclosure is made with the belief that it necessary to prevent a crime by the principal; and/or when
  e)disclosure is made in the process of defending the Agent in a legal proceeding against an accusation of wrongful conduct.

4) Reasonable Care -- requires Agent to protect client from foreseen risks of harm that are beyond the scope of the Agent's expertise, thus advising principal to seek expert advice.

5) Full Disclosure -- requires Agent to disclose to principal all information which might affect the principal's best interest.

6) Accountability -- requires Agent to promptly report all money & property received and paid out, and upon request, provide an accounting to the principal.