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Potential remedies for trustee’s breach of fiduciary duty

There are many situations where people in Texas rely on other people to do things for them. They have other people fix their cars, provide medical treatment, fix HVAC issues and provide other services for them. They need to trust that the professional hired to do the job will do what they say they are going to do and perform the work correctly. This is also true after people die. They need to choose personal representatives and trustees that will do what they are supposed to do for the beneficiaries of the trust.

To help ensure that this occurs, there are laws in place that create a fiduciary duty requiring these individuals to make all decisions based on what will best benefit the beneficiary. However, trustees do not always adhere to their fiduciary duty. Sometimes, they make poor decisions that hurt the trust or make decisions that benefit themselves instead of the beneficiaries. When they do, this is considered a breach of trust.

Once a breach of trust occurs, it is important that the breach is remedied. There are a number of ways that breaches of trust can be remedied. One way is to compel the trustee to perform their duties properly. The trustee may also be required to pay money or return property to the trust. A receiver can be appointed to begin administering the trust or potentially remove the trustee. Any compensation that the trustee earned could be reduced as well.

Before people pass away in Texas, it is important for them to appoint personal representatives to administer their property. However, not all trustees use their authority correctly and they may also make poor decisions, which can harm the trust. When this occurs, there are potential remedies to correct the breach of trust. Experienced attorneys understand the types of actions that constitute a breach of fiduciary duties and could be a useful resource.

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