Q: What should I do if I suspect a board member is guilty of breaching a fiduciary duty in New York?
Successfully bringing breach of fiduciary duty claims under New York business litigation laws can be complicated. There is unfortunately no clear definition as to what constitutes a fiduciary duty, and few hard and fast rules which define who is and who is not a fiduciary. The basic premise is that the relationship between the board member and the company entails a higher level of trust than that of the average relationship between two parties to an agreement. If you suspect that a board member at your company may be breaching his or her fiduciary duty, it is therefore vital that you take the following actions:
- Contact an experienced New York breach of fiduciary duty attorney. The legal professional will assist you in determining what evidence you need in order to support your claim as well as analyzing the facts and circumstances surrounding the alleged breach.
- Assemble documentation, communications, and other evidence which supports your claim that the board member breached its fiduciary duty to the company.
- Consider whether the board member’s actions amounted to him or her placing his own self-interest above that of the company’s best interests.
- Assess whether or not your claim has expired due to the statute of limitations. Since this time limit exists, it is very important to take these actions as quickly as possible to avoid being barred from bringing your claim.
To learn more about bringing a breach of fiduciary duty claim in New York—as well as other business litigation matters—contact a New York business litigation lawyer today at 888-497-3410 for a free consultation.