What conduct is a breach of fiduciary duty in Arizona?

Self-dealing, misuse or commingling of assets, failure to account, improper or unequal distributions, undisclosed conflicts, unreasonable delay, failure to protect property, or refusing to provide information beneficiaries are entitled to. Whether particular conduct is a breach depends on the fiduciary’s role, the governing instrument, any court orders, and the circumstances. A fiduciary who breaches can be held personally liable for the resulting loss.

Can an Arizona court remove a trustee or personal representative?

Yes. A trustee may be removed for a serious breach of trust, lack of cooperation among co-trustees that substantially impairs administration, unfitness or persistent failure to administer the trust effectively, or a substantial change of circumstances where removal serves the beneficiaries. A personal representative may be removed for cause, including mismanagement or breach of duty. The court may also order an accounting, restrict the fiduciary’s authority, suspend the fiduciary, appoint a special fiduciary, or reduce compensation instead of, or in addition to, removal.

What is a trustee surcharge?

A money judgment against a trustee to compensate the trust and its beneficiaries for losses caused by a breach of trust. Under Arizona law the trustee is liable for the greater of the amount needed to restore the trust’s value and distributions to what they would have been without the breach, or the profit the trustee made from it.

Can a fiduciary be forced to provide an accounting?

Yes. Beneficiaries and other interested persons generally have the right to demand a full accounting, and the court can compel one. A missing, vague, or incomplete accounting is often the first sign of a deeper problem and a frequent starting point for fiduciary litigation.

Do you defend fiduciaries as well as represent beneficiaries?

Yes. We regularly defend trustees, personal representatives, agents, guardians, and conservators who acted reasonably and in good faith but face claims from unhappy beneficiaries. We also help fiduciaries obtain court approval, instructions, or a declaratory ruling so their conduct is protected in advance.

How are attorneys’ fees handled in fiduciary disputes?

It depends on the case. A trustee or personal representative is ordinarily entitled to pay reasonable attorneys’ fees from the trust or estate. In trust and estate proceedings the court has discretion to award fees from the trust or estate or against a party, and in vulnerable-adult financial exploitation cases the statute allows recovery of costs and attorneys’ fees against the exploiter. We discuss the fee structure and potential fee recovery for your situation at the consultation.

How quickly should I act?

Promptly. Limitation periods, notice requirements, account approvals, releases, distributions, and lost records can all narrow the claims and defenses available. The applicable deadline depends on the facts and cannot be determined from a website.

Arizona Fiduciary Litigation Attorneys

A fiduciary has a legal duty to act loyally and carefully for someone else: a trust, an estate, a vulnerable adult, or another person who depends on them. When a fiduciary breaches that duty, or is wrongly accused of one, inheritances, family relationships, reputations, and personal assets are at risk.

Berk Law Group is a Scottsdale firm that focuses exclusively on Arizona probate, trust, estate, inheritance and fiduciary litigation. Since 1996 we have represented beneficiaries and interested persons seeking information, accountings, recovery, removal, or surcharge, and we have defended trustees, personal representatives, agents, guardians, and conservators against claims. The firm holds an AV Preeminent rating from Martindale-Hubbell.

Talk through your situation with an experienced fiduciary litigator. Call 480.607.7900 or schedule your $500 consultation.

Berk Law Group, P.C.

Integrity. Dedication. Excellence. Since 1996.

Scottsdale, Arizona
480.607.7900

Free · Private · About 2 minutes

Arizona Fiduciary Breach Self-Assessment

If you are a beneficiary, heir, or other interested person, this short self-assessment helps you recognize the classic warning signs that a trustee, personal representative, agent, guardian, or conservator may not be handling their duties properly. Answer a few plain-language questions and get an instant, general read on your level of concern along with practical next steps.

Basic definitions

What is a fiduciary?

Someone the law trusts to manage money or property for another: a trustee, personal representative, agent, guardian, or conservator.

What is a breach?

When a fiduciary hides information, refuses an accounting, mismanages or takes assets, or favors themselves or insiders.

Your rights

You generally have the right to information, a copy of the governing document, and a full accounting.

Your remedies

A court can order an accounting, remove or surcharge a fiduciary, undo transfers, and return money or property.

Completely private. Your answers are not saved or transmitted.

Please note: Your answers are not saved or transmitted. Results are general guidance only, not legal advice. Using this tool does not create an attorney-client relationship, and it is not a substitute for advice from a qualified Arizona attorney. Do not send confidential information through this tool. If you believe someone is in immediate danger, call 911.

Please choose an option to continue.

Assessment complete

Result

Some indicators

FewSomeStrong

Steps to take

Preserve everything. Keep copies of the will, trust, power of attorney, account statements, deeds, and all correspondence. Do not throw anything away.
Request an accounting in writing. Beneficiaries and interested persons generally have the right to a full accounting. Ask for one and keep proof of your request.
Document what you observe. Write down dates, dollar amounts, and the substance of conversations while they are fresh.
Do not sign anything under pressure. Be cautious about signing waivers, receipts, or releases before you understand what you may be giving up.
Avoid self-help. Do not move, withdraw, or hide assets yourself, and avoid confronting or tipping off the fiduciary before you have advice.
Consult an experienced fiduciary litigation attorney promptly. Legal deadlines (statutes of limitation and notice periods) can be short, and acting early preserves your options.

Do

Act promptly; time limits apply
Keep organized copies of records
Stick to facts and dates
Get legal advice before taking action

Don't

Wait and assume it resolves itself
Destroy, alter, or hide documents
Retaliate or air the dispute on social media
Sign releases or waivers without counsel

Please note: Your answers are not saved or transmitted. Results are general guidance only, not legal advice. Using this tool does not create an attorney-client relationship, and it is not a substitute for advice from a qualified Arizona attorney. Do not send confidential information through this tool. References to Arizona law are general and are not a legal conclusion about your situation. If you believe someone is in immediate danger, call 911.

Talk with an Arizona fiduciary litigation attorney

If you would like a professional to review your situation, Berk Law Group is here to help.

Schedule Your $500 Consultation Call 480.607.7900

Learn more about Arizona fiduciary litigation ›

Contacting us does not establish an attorney-client relationship. Do not send confidential information through online forms.

What Is a Fiduciary, and What Is a Fiduciary Duty?

A fiduciary is anyone the law entrusts to act for the benefit of another person rather than for themselves. In the probate, trust, and estate context, the most common fiduciaries are:

Trustees, who manage trust assets for the beneficiaries under the Arizona Trust Code.
Personal representatives (executors and administrators), who collect, protect, and distribute a deceased person’s estate.
Agents under a power of attorney, who handle financial or health-care decisions for a living person.
Guardians and conservators, appointed by the court to make personal or financial decisions for a minor or an incapacitated adult.
Custodians, trust officers, and others who hold or control assets for someone else’s benefit.
De facto fiduciaries: anyone who assumes a duty to act for, or is actually acting on behalf of, someone else, such as a de facto guardian or conservator.

Every fiduciary owes the same core duties: a duty of loyalty (acting solely in the beneficiary’s interest, not the fiduciary’s own, apart from narrow exceptions), a duty of prudent administration and care, a duty of impartiality among beneficiaries, a duty to keep accurate records and account, and a duty to keep beneficiaries reasonably informed.

When a fiduciary ignores these obligations through self-dealing, neglect, secrecy, or theft, Arizona law provides strong remedies. When a fiduciary is unfairly accused, the law also provides defenses, and a fiduciary who acted reasonably should not bear personal liability.

We Represent Both Sides of Fiduciary Disputes

Beneficiaries and Interested Persons

If you are a beneficiary, heir, or other interested person who believes a fiduciary is mishandling assets, hiding information, favoring themselves, or breaching their duties, we help you demand an accounting, recover losses, remove the fiduciary, and hold them personally accountable.

Trustees, Personal Representatives, Agents and Other Fiduciaries

If you serve as a trustee, personal representative, agent, guardian, or conservator, you face real personal exposure. We defend fiduciaries against breach claims, prepare or contest accountings, seek court approval and instructions, and help you administer the matter correctly so that you are protected.

Because we regularly represent both fiduciaries and beneficiaries, we know how each side builds and defends a case. That perspective is an advantage whether we are pursuing a claim or defending one.

Common Fiduciary Litigation Matters We Handle

Many matters involve several of these issues at once:

Breach of fiduciary duty by a trustee, personal representative, agent, guardian, or conservator
Self-dealing, commingling, and conflicts of interest
Removal of a trustee, personal representative, agent, guardian, or conservator
Demands for, and disputes over, accountings and financial records
Trustee surcharge actions to recover losses caused by mismanagement
Power of attorney abuse, where an agent exceeds authority or acts for personal gain
Financial exploitation of a vulnerable adult by someone in a position of trust
Recovery of assets wrongfully transferred out of an estate or trust
Disputes over non-probate transfers, joint accounts, and beneficiary designations procured by a fiduciary
Defense of fiduciaries against claims by beneficiaries

Duties and Liability by Fiduciary Role

Trustees

Under the Arizona Trust Code, a trustee must administer the trust in good faith, solely in the interests of the beneficiaries, and with the care, skill, and caution of a prudent person. A trustee must keep adequate records, keep trust property separate, avoid conflicts of interest, treat beneficiaries impartially, and keep qualified beneficiaries reasonably informed about the administration of the trust.

When a trustee breaches those duties, the court may compel the trustee to perform, enjoin a breach, compel an accounting, void improper transactions, impose a constructive trust, trace and recover trust property, suspend or remove the trustee, and reduce or deny compensation. A trustee who commits a breach is personally liable for the greater of the amount needed to restore the trust’s value and distributions to what they would have been, or the profit the trustee made from the breach. That is the heart of a trustee surcharge claim.

Personal Representatives

A personal representative of an Arizona estate is a fiduciary who must settle and distribute the estate as efficiently as is consistent with the best interests of the estate, and who is held to the standards of care that apply to a trustee. A personal representative who exercises power improperly may be personally liable to interested persons for the resulting loss, and interested persons can petition the court to remove a personal representative for cause, such as mismanagement, waste, conflicts of interest, or failure to perform required duties. We pursue and defend these claims, and we help personal representatives administer estates correctly so that liability never arises. Read more about the primary duties of personal representatives in Arizona.

Agents Under a Power of Attorney

An agent acting under a financial power of attorney is a fiduciary who must act loyally and within the authority granted. Using the principal’s money for the agent’s benefit, making unauthorized gifts or transfers, or failing to account are among the most common forms of fiduciary misconduct, and they frequently overlap with financial exploitation of a vulnerable adult. We help families investigate suspected abuse, demand an accounting from the agent, set aside improper transfers, and recover what was taken. Learn more about Arizona powers of attorney.

Guardians and Conservators

A court-appointed guardian or conservator is a fiduciary answerable to the court as well as to the protected person. A conservator must safeguard and prudently manage the protected person’s property, keep it separate, maintain complete records, and file the inventories and accountings the court requires. A guardian must act within the authority the court granted and in the ward’s interest. Objections, surcharge, restriction, and removal are available when a guardian or conservator fails in those duties. Learn more about Arizona guardianships and conservatorships.

Where a Vulnerable Adult Is Harmed

When the person harmed is elderly, disabled, or otherwise vulnerable, Arizona law is especially protective. A person in a position of trust and confidence must use a vulnerable adult’s assets solely for that adult’s benefit. A violation can expose the wrongdoer to additional damages plus costs and attorneys’ fees under A.R.S. § 46-456. If you suspect a caregiver, family member, or fiduciary is exploiting a vulnerable loved one, we can help you act quickly. Read more about financial exploitation of vulnerable adults in Arizona.

Warning Signs and What to Do

If something feels wrong about how a trustee, personal representative, agent, or conservator is handling assets, act carefully. What you do in the first weeks can protect your rights and preserve the evidence a court will need.

Common Warning Signs

Refusing or repeatedly delaying an accounting or financial records
Going silent, dodging questions, or refusing to share a copy of the trust, will, or power of attorney
Missed, delayed, or unequal distributions
Using trust or estate assets for personal benefit, or commingling them with personal accounts
Unexplained transfers, gifts, loans, or cash withdrawals
Selling or transferring property below market value, or to family, friends, or insiders
Excessive fees, or hiring relatives at the estate’s expense
Last-minute changes to beneficiary designations, deeds, or account titling near the time of death or incapacity
Openly favoring one beneficiary over another

Steps to Take

Preserve everything. Keep copies of the will, trust, power of attorney, account statements, deeds, and all correspondence. Do not destroy, alter, or hide documents.
Request an accounting in writing. Beneficiaries and interested persons generally have the right to a full accounting. Ask for one and keep proof of the request.
Document what you observe. Keep a timeline with dates, dollar amounts, and the substance of conversations.
Do not sign under pressure. Waivers, receipts, and releases can give up rights you did not intend to give up.
Avoid self-help. Do not move, withdraw, or hide assets yourself, do not retaliate, and keep the dispute off social media.
Get advice promptly. Statutes of limitation and notice periods can be short, and acting early preserves your options.

Remedies Available in Fiduciary Litigation

Depending on the facts, the court can order:

Surcharge: a money judgment against the fiduciary to restore losses caused by the breach
Removal and replacement of the fiduciary
A compelled accounting of all receipts, disbursements, and transactions
Recovery of property through constructive trust, lien, or tracing of misappropriated assets
Disgorgement of profits the fiduciary made from the breach
Reduction or denial of fiduciary compensation
Injunctive relief to stop ongoing or threatened misconduct
Additional damages, costs, and attorneys’ fees in vulnerable-adult exploitation cases

Just as often, the right outcome is reached through negotiation, mediation, or a settlement that protects relationships and avoids the cost and exposure of trial. We help you weigh the options and choose the approach that fits your goals.

Defenses and Context That Matter

Not every loss, delay, family disagreement, or unfavorable result is a breach of fiduciary duty. A fiduciary may have acted within the governing instrument, obtained professional advice, disclosed a conflict, received beneficiary consent or court approval, exercised discretion the instrument protects, or made a reasonable decision on the information available at the time.

A defense may also turn on standing, timeliness, causation, damages, the terms of the will or trust, a release, a prior approved accounting, or whether the accused person actually owed the duty asserted. Complete records and early legal advice matter as much to a fiduciary defending a claim as to a beneficiary bringing one.

Why Berk Law Group for Fiduciary Litigation?

Focused experience. We concentrate on probate, trust, estate, and fiduciary litigation. It is not a sideline.
Both sides of the “v.” We represent fiduciaries and beneficiaries, so we know how the other side thinks.
Recognized excellence. AV Preeminent rated by Martindale-Hubbell, with attorneys recognized by Super Lawyers.
Direct attorney attention. We are small by design. You work directly with an experienced attorney.
Trial-ready, settlement-smart. Our attorneys have trial experience, and we negotiate hard when settlement serves you better.

Our clients consistently tell us that our responsiveness, attention to detail, and straightforward counsel set us apart. Read our client reviews or watch our video testimonials.

“Kent and his team were very professional and reliable. They assisted me with my father’s probate during a difficult time of loss and grief. Our case had a challenging opposing party, but this team handled it in a strong and confident manner. I would recommend them for any litigation regarding probate, as their legal team is well versed with this subject and are willing to put in the time and effort to fight for you/your loved ones.”

Chelsea Denny

Watch: What Arizona Beneficiaries Can Do About a Bad Trustee

Frequently Asked Questions About Fiduciary Litigation

What conduct is a breach of fiduciary duty in Arizona?: Self-dealing, misuse or commingling of assets, failure to account, improper or unequal distributions, undisclosed conflicts, unreasonable delay, failure to protect property, or refusing to provide information beneficiaries are entitled to. Whether particular conduct is a breach depends on the fiduciary’s role, the governing instrument, any court orders, and the circumstances. A fiduciary who breaches can be held personally liable for the resulting loss.
Can an Arizona court remove a trustee or personal representative?: Yes. A trustee may be removed for a serious breach of trust, lack of cooperation among co-trustees that substantially impairs administration, unfitness or persistent failure to administer the trust effectively, or a substantial change of circumstances where removal serves the beneficiaries. A personal representative may be removed for cause, including mismanagement or breach of duty. The court may also order an accounting, restrict the fiduciary’s authority, suspend the fiduciary, appoint a special fiduciary, or reduce compensation instead of, or in addition to, removal.
What is a trustee surcharge?: A money judgment against a trustee to compensate the trust and its beneficiaries for losses caused by a breach of trust. Under Arizona law the trustee is liable for the greater of the amount needed to restore the trust’s value and distributions to what they would have been without the breach, or the profit the trustee made from it.
Can a fiduciary be forced to provide an accounting?: Yes. Beneficiaries and other interested persons generally have the right to demand a full accounting, and the court can compel one. A missing, vague, or incomplete accounting is often the first sign of a deeper problem and a frequent starting point for fiduciary litigation.
Do you defend fiduciaries as well as represent beneficiaries?: Yes. We regularly defend trustees, personal representatives, agents, guardians, and conservators who acted reasonably and in good faith but face claims from unhappy beneficiaries. We also help fiduciaries obtain court approval, instructions, or a declaratory ruling so their conduct is protected in advance.
How are attorneys’ fees handled in fiduciary disputes?: It depends on the case. A trustee or personal representative is ordinarily entitled to pay reasonable attorneys’ fees from the trust or estate. In trust and estate proceedings the court has discretion to award fees from the trust or estate or against a party, and in vulnerable-adult financial exploitation cases the statute allows recovery of costs and attorneys’ fees against the exploiter. We discuss the fee structure and potential fee recovery for your situation at the consultation.
How quickly should I act?: Promptly. Limitation periods, notice requirements, account approvals, releases, distributions, and lost records can all narrow the claims and defenses available. The applicable deadline depends on the facts and cannot be determined from a website.

Serving Scottsdale and All of Arizona

Berk Law Group, P.C. represents fiduciaries and beneficiaries throughout Maricopa County and across Arizona, from Phoenix, Mesa, and Chandler to Flagstaff and Prescott. Wherever you are located, you receive the same hands-on attention from our Scottsdale-based team. The Arizona Probate Code and Arizona Trust Code are in Title 14 of the Arizona Revised Statutes.

Discuss Your Arizona Fiduciary Dispute

Whether you are a beneficiary who suspects a breach or a fiduciary who has been accused, we can review the facts and tell you where you stand. Call 480.607.7900 or Schedule Your $500 Consultation

Berk Law Group Free Arizona Legal Tools

Explore how Arizona law may apply to your situation:

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Related Practice Areas

Fiduciary Litigation FAQs

By Kent Berk and the Berk Law Group team. Arizona probate & trust litigation attorneys since 1996.

Kent and the firm handle breach of fiduciary duty claims against personal representatives, trustees, agents, guardians, and conservators.