West Virginia Breach of Fiduciary Duty Damages

Who Can Be Held Liable for Breach of Fiduciary Duty?

The probate process is legally supervised. When Is West Virginia Probate Required? An executor can avoid probate court by understanding the assets that do or do not require probate court processing. Breaching of fiduciary duty can have a significant emotional impact because of the level of trust involved.

While you expect a trustee to always act in the best interest of the trust or estate plan parties they owe, it can be devastating to discover otherwise. If you suspect any wrongful actions as a beneficiary, the most efficient way of seeking compensation is by holding the trustee liable in court.

Breach of Fiduciary Duty Requires Damages

Beneficiaries are unlikely to achieve a successful outcome in court if there is no proof of harm caused by the trustee’s personal interests. Suppose you want the value of the lost estate property to be restored. In that case, there must be evidence of the damages – it should be about what the executor or personal representative did or failed to do. For instance, if they sold a property hurriedly at a low value, you should prove the economic losses and that the quick sale was uncalled for.

Although the beneficiary carries the burden of proof, the fiduciary should seek legal counsel to refute the claims by proving minimal buyer activity or other evidence that can nullify the breach.

Damages Available In Breach Of Fiduciary Cases

The damages are determined by the type of trust or estate plan and the severity of the wrongdoings. Nevertheless, there are some common damages awarded in West Virginia like:

Punitive damages

Suppose the trustee engages in intentional egregious wrongdoings. In that case, the beneficiaries can claim punitive damages as a form of punishment for the outrageous behavior and protect themselves from the same in the future.

Compensatory damages

These damages are awarded to restore assets lost through misconduct. Some financial losses include decreased asset value, lost profits, and other measurable losses.

Equitable Remedies

If the harm caused by breaching of fiduciary duty is not extensive, the beneficiaries can take remedies to protect the estate from future damage. This can be done by requesting accounting or filing to remove and replace the fiduciary.

How To Determine Breach Of Fiduciary Duty Damages

Generally, evaluating the specific duty at breach is critical in determining the proper damages. The beneficiaries of an irrevocable trust in West Virginia can only hold the trustee accountable by hiring a trust and estate attorney to help them navigate this intricate area of law. Legal damages can either be direct or consequential. Direct damages are available in cases where a loss occurred due to the trustee’s wrongdoing and the consequences were foreseeable.

Consequential damages might result from the case but not necessarily from the wrongful acts. In both cases, the beneficiary has to provide evidence that the claims result from breaching fiduciary duty.

What Is The Cost Of An West Virginia Breach Of Fiduciary Duty Attorney?

The aspects of West Virginia Probate Fees are extensive. You can expect court filing expenses of about $100 – $300. The exact value is determined by the trust size or the estate plan’s complexity. Think of a $250 deposit to the court at the beginning of the lawsuit. The bond cost depends on the assets’ value, while legal notices cost you around $60.

It is important to note that these costs are partial expenses. The overall probate fees trickle down to the number of beneficiaries and the complexity of the breach. If you are a beneficiary, you can evaluate the impact of the cost on your bank account by clearly understanding the financial landscape.

Gathering Evidence In A West Virginia Breach of Fiduciary Duty Claim

Establishing The Fiduciary Duty

Initially, you have to provide signed proof of the fiduciary relationship. This means the individual accepted the fiduciary legal responsibilities stated in the instrument. Additionally, it would help if you established that they owe a high level of care and loyalty to the employer – they should act responsibly and handle matters in a way that does not jeopardize the trust.

Proving The Breach Of Fiduciary Duty

The beneficiary is required to demonstrate to the court the trustee’s wrongdoings using documents that substantiate self-dealing, breaching of the trust terms, and misappropriation of assets.

Establish The Connection Between The Harm and The Fiduciary Duty

The most effective way of achieving a favorable court ruling is by demonstrating the connection between the breach of fiduciary duty and any resulting harm. You have to show evidence that the loss of assets resulted from the fiduciary’s wrong actions.

Seeking legal Counsel

Gathering evidence can be complex, and you might face many obstacles. This is why you should not do it yourself – it will likely be stressful and time-consuming. For instance, while collecting witness testimonies, some might have trouble remembering details or be unavailable. Another challenge you can face is missing documents, which can prolong the litigation process.

Hiring the Best West Virginia Trust Litigation Attorney will allow you some piece of mind. We can assist you in gathering evidence according to the legal requirements. Hiring a West Virginia Breach of Fiduciary Duty Attorney is not a legal requirement. Regardless, it would help if you considered it mandatory for reasons like:

• Attorneys can develop solid legal strategies in your favor
• An Attorney has extensive experience in the area of law
• An Attorney helps you understand and implement your legal rights
• An attorney can negotiate on your behalf
• An attorney can represent you in court

Pitfalls of Fiduciary Accountings

According to the West Virginia Trust Accounting Requirement, a trustee is required to keep accurate accounting documents and records, which should entail disbursements, bank statements, assets, etc. This means there is transparency when the beneficiary identifies a need to examine the records.

Additionally, they reflect that economic decisions benefit the trust or estate plan. Failure to provide detailed accounting is a breach of fiduciary duty and might make you liable to compensate the value of the breached assets.

Beneficiaries have a legal right to raise any concerns about handling trust or estate plan property. Ensure you thoroughly review the annual accounting before opting for litigation. If you are a fiduciary facing a breach of fiduciary duty claim, you can support your case with a precise justification of every expenditure.

What Is The Role Of The Court In Breach of Fiduciary Duty Damages?

Remedies

The court examines the evidence presented by both parties and then determines the most appropriate cause of action. If a non-momentary remedy is ordered, all the legal responsibilities of the fiduciary can be evoked, or other actions can be taken to rectify the wrongdoings. Equitable remedies are designed to restore the closest, if not exact, value of the lost assets.

Judicial Discretion

If sufficient evidence supports the breach claim, the judge exercises discretion while awarding the damages. The extent of the harm and the serenity of the fiduciary’s conduct act as a guideline for the court regarding the appropriate compensation.

Interests

While the court determines the damages, it is likely to award additional compensation in the form of interest. This can happen before or after the judgment, and the role of judicial discretion doesn’t often apply. The interest is calculated from the date of the breach of fiduciary duty to the date the claim was filed.

Impact Of West Virginia State Laws

Local probate codes in law determine the outcome of cases of breach of fiduciary duty. These laws are complex, and you might not have a comprehensive understanding of all the nitty gritty. Nevertheless, with the help of our seasoned attorneys, you can decide on potential remedies.

Conclusion

You must evaluate the breach of fiduciary duty damages available according to your state law. With the help of your attorney, assess the connection between the violation and the specific claim before moving to court. Now, proving all the scenarios of the wrong actions can be challenging. That said, when hiring an West Virginia fiduciary attorney, examine their success history on fiduciary issues and whether they have an in-depth grasp of West Virginia probate laws.

Also, ensure they have an accessible office and an outstanding track record in handling complex disputes. At Hess-Verdon & Associates, we have extensive experience fighting for clients who have suffered or been accused of breaching fiduciary duty.