The Underlying Conceptions of Fiduciary Law

In a variety of familial, commercial, and professional contexts, the law imposes fiduciary duties. A clear delineation of their content and scope is crucial for guiding fiduciaries and safeguarding beneficiaries. Yet common law has fostered two entirely distinct conceptions of the “fiduciary.” According to the proprietary conception, fiduciary law stops short at protecting the beneficiary’s proprietary interests. In contrast, the interpersonal conception views fiduciary law as tasked with regulating the fiduciary–beneficiary relationship. By examining case law on four fiduciary relationships—doctor–patient, parent–child, director–company, and lawyer–client—in leading common-law jurisdictions (the UK, US, Australia, and Canada), this chapter uncovers these underlying conceptions. Recognizing these distinctions aids in resolving disputes and refining debates about fiduciary law’s role. The chapter further demonstrates that specific jurisdictions consistently apply one of these conceptions across different fiduciary relationships. This finding highlights the importance of fiduciary law as a focal point of interface between various fields of law.