The role of the fiduciary and its obligations

Abstract

It is necessary to take a look at the origins of fiduciaries in order for the purpose of their role and obligations to be understood. This is addressed in the first part of the paper. The central part of this paper analyses the purpose of the fiduciary by trying to establish a clear idea of what a fiduciary is. On the other hand this paper makes the point that trying to define a fiduciary is a near impossible task; however, this paper provides the tools necessary to understand the usefulness and circumstance of fiduciary law which allows the reader to better understand the role and obligations of the fiduciary. Focusing on article 1124A of the Civil Code, Chapter 3 and 4 explore fiduciary law under Maltese law and examine the duties of the fiduciary. Once the role and obligations of a fiduciary are established, the following chapters investigate the consequences of a fiduciary breach. The law protects the injured party and provides various remedies in case of a breach of duties. The final chapter offers a different approach, one where various fiduciary relationships are examined to see whether they constitute defined categories of fiduciary relationships which have emerged in a clearly identifiable manner. Some fiduciary relationships are more and more becoming an integral part of our everyday life, which is why an understanding of fiduciary law is not only valuable for the actual fiduciary and beneficiary but also for the average person. The average person would do well to understand the protection he may benefit from in such cases.