What is the test for establishing a fiduciary relationship?

MultiRegion, United States of America

The following excerpt is from Martinelli v. Bridgeport Roman Catholic, 196 F.3d 409 (2nd Cir. 1998):

Our law on the obligations of a fiduciary is well settled. A fiduciary or confidential relationship is characterized by a unique degree of trust and confidence between the parties, one of whom has superior knowledge, skill or expertise and is under a duty to represent the interests of the other. The superior position of the fiduciary or dominant party affords him great opportunity for abuse of the confidence reposed in him. Once a fiduciary relationship is found to exist, the burden of proving fair dealing properly shifts to the fiduciary. Furthermore, the standard of proof for establishing fair dealing is not the ordinary standard of fair preponderance of the evidence, but requires proof either by clear and convincing evidence, clear and satisfactory evidence or clear, convincing and unequivocal evidence. Proof of a fiduciary relationship, therefore, generally imposes a twofold burden on the fiduciary. First, the burden of proof shifts to the fiduciary; and second, the

Page 421

standard of proof is clear and convincing evidence.

Murphy v. Wakelee, 247 Conn. 396, 400, 721 A.2d 1181, 1183-84 (1998) (citation and quotation marks omitted).

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