Fiduciary relation

A relation subsisting between two persons in regard to a business, contract, or piece of property, or in regard to the general business or estate of one of them, of such a character that each must repose trust and confidence in the other and must exercise a corresponding degree of fairness and good faith. Out of such a relation, the law raises the rule that neither party may exert influence or pressure upon the other, lake selfish advantage of his trust, or deal with the subject-matter of the trust in such a way as to benefit himself or prejudice the other except in the exercise of the utmost good faith and with the full knowledge and consent of that other, business shrewdness, hard bargaining, and astuteness to take advantage of the forgetfulness or negligence of another being totally prohibited as between persons standing in such a relation to each other. Examples of fiduciary relations are those existing between attorney and client, guardian and ward, principal and agent, executor and heir, trustee and cestui que trust, landlord and tenant, etc.

See Robins v. Hope, 57 Cal. 497 ; Thomas v. Whitney, 186 III. 225, 57 N. E. 808; Central Nat Bank v Connecticut Mut. It Ins. Co., 104 U. S. 68, 26 L. Ed. 693; Meyer v. Reimer, 65 Kan. 822, 70 Pac. 869; Studybaker v. Cofield, 159 Mo. 596, 61 S. W. 246.