Carson, who is an agent for Peter, breaches his fiduciary duty to Peter. Carson:
A) is liable to Peter for breach of contract.
B) is liable to Peter in tort for any losses caused by the breach.
C) must make restitution for any profits or property received in breach of this duty.
D) All of these are correct.

Question

Quizplus · Accepted Answer

A) While there may have been a contract between Carson and Peter, the breach of fiduciary duty goes beyond just a breach of contract. Therefore, this answer is not completely correct.

B) Carson's breach of fiduciary duty would likely cause losses to Peter, and Carson would be liable in tort for those losses. Therefore, this answer is correct.

C) If Carson received any profits or property as a result of breaching his fiduciary duty to Peter, he would have to return those to Peter. Therefore, this answer is correct.

D) Since both B and C are correct, this answer is the best choice.

Carson, Who Is an Agent for Peter, Breaches His Fiduciary