Fiduciary
Discover fiduciary duties in trust management. Learn how trustees handle assets, protect beneficiaries, and fulfill legal responsibilities in estate planning.
Can a trustee be held personally liable for mistakes in managing trust assets?
Yes, trustees can face personal liability for breaching their fiduciary duties, including poor investment decisions, self-dealing, or failing to follow trust terms. This liability can extend to their personal assets beyond the trust property. However, trustees who act prudently, keep detailed records, and follow proper procedures typically have strong legal protections. Many trustees also purchase fiduciary liability insurance for additional protection.
