Guardian Breach of Fiduciary Duty
Guardians have a legal obligation to act in the best interests of the person they’re appointed to protect. When they fail to meet that obligation—through neglect, exploitation, or serious misconduct—it may be considered a breach of fiduciary duty.
Fiduciary duty in guardianship is not about personal preferences or family disagreements. It’s a defined legal standard that governs how decisions must be made on behalf of a vulnerable individual, known as the ward. This duty applies whether the guardian is a family member or a court-appointed professional.
Understanding Fiduciary Duty in Guardianships
A guardian manages a ward’s personal and financial decisions when the ward cannot do so themselves. This includes healthcare, living arrangements, and, in some cases, managing assets. Every action the guardian takes must be based on what’s best for the ward—not what’s convenient, not what the family wants, and certainly not what benefits the guardian.
When a family member is appointed guardian, communication often comes more naturally. However, when the court appoints a professional guardian, especially in cases of family conflict, communication can feel colder or more transactional. These professionals are not family, and they’re not expected to act like it. Their role is to stay objective, follow the law, always do what’s best for the ward, and avoid being pulled into family disputes.
Unhappiness with a guardian’s personality, tone, or decision-making process does not amount to a breach of duty. The legal threshold is much higher than dissatisfaction. Courts will not remove a guardian simply because they don’t return calls promptly or didn’t consult every family member before making a decision.
However, a lack of communication often fuels conflict. When a guardian is more transparent, there are fewer misunderstandings and a decreased risk of formal complaints or litigation.
When Guardian Misconduct Crosses the Line
Not all mistakes or misjudgments rise to the level of a breach. But when a guardian’s conduct causes harm or violates legal obligations, removal may be necessary. A breach of fiduciary duty may include:
- Abandonment or neglect of the ward.
- Financial exploitation, including misuse of funds.
- Failure to account for financial transactions.
- Ignoring the ward’s known wishes, values, or lawful preferences.
- Concealing conflicts of interest, particularly when self-dealing is involved.
These are not gray areas. They are clear violations of fiduciary responsibility and can justify court intervention.
It’s also important to distinguish between poor communication and actual misconduct. A professional guardian who doesn’t involve the family in every decision may still be acting fully within the law. While it may feel like exclusion, the law allows guardians to act independently when it serves the ward’s best interests.
Transparency is still the best preventive tool. Guardians who explain their actions and keep open lines of communication are far less likely to face legal challenges—even in contentious families.
Call for Guidance Before You Act
If you suspect a breach of fiduciary duty, gather evidence and speak with an attorney before taking action. Not every disagreement justifies legal intervention, but serious misconduct should never be ignored.
At the Center for Estate Planning, a Maddin Hauser practice group, we help families assess potential breaches, build a clear case when needed, and understand the legal remedies available. We also work with guardians who want to do the right thing but need help navigating complex family dynamics or unclear responsibilities.
Contact us today to learn more.