Trustee Liability
An accountant and self-described “professional trustee” was found liable for breaching fiduciary duties owed to client-beneficiaries in a number of ways and was also held liable under the Massachusetts Consumer Protection Act.
The intermediate appellate court affirmed, holding that the defendant was engaged in the conduct of an enterprise. In this case, the use of the trust form was a sham to enable him to gain access to his clients’ funds for his own purposes.
Quinton v. Gavin, 835 N.E.2d 1124 (Mass. App. Ct. 2005).
Special thanks to Rita and Joseph Solomon Prof. William P. LaPiana of the New York Law School for contributing this case.