Avoiding Attorney Liability When Representing a Fiduciary

Suzanne L.Shier (Chapman and Cutler LLP, Chicago, Illinois)has published her article, AvoidingAttorney Liability When Representing a Fiduciary, in the May 2007 editionof Estate Planning.

Here is the introduction:

Trustees and other fiduciariesundertake a multitude of duties in the administration of trust estates, and itis the role of counsel for the fiduciary to advise and assist the fiduciary infulfilling its duties. When a breach oftrust is asserted against a fiduciary, counsel for the fiduciary is called uponto defend the fiduciary. This is allfamiliar territory for counsel engaging in the representation of fiduciaryclients. However, the situation changes dramatically when a be3neficiaryalleges that the attorney representing the fiduciary has participated in thebreach of trust of a fiduciary client or was negligent in the performance offiduciary legal services. In thosecases, the attorney faces the specter of personal liability tot eh beneficiary. Thus. A lawyer representing a fiduciary iswell-advised to understand clearly not only the duties of the fiduciary client,but also his own responsibilities in such representation.