The New York State Court of Appeals Provides “Crystal Clear” Guidance On Fiduciary Duties

The practice of law requires that every attorney adhere to a strict code of professional conduct. In New York State that code is found in Part 1200 Rules of Professional Conduct, [22 NYCRR 1200.]. It is Part 1200 Rule 1.15 that applies in this case. Rule 1.15 concerns an attorney’s fiduciary duties with regards to client’s property and money. It is well established that fiduciaries must carry out their duties zealously. There exists for fiduciaries an expectation of total and complete performance of their duties. Therefore, for attorneys and fiduciaries in all businesses and professions the standard is the “punctilio of an honor the most sensitive”, not just observing the law, or adherence to ethical principles but to be above reproach in all matters concerning those they represent