What does 'self-dealing' refer to in fiduciary duties?

In the context of fiduciary duties, 'self-dealing' specifically refers to the act of using client information or resources for personal gain, which illustrates a breach of trust inherent in the fiduciary relationship. A fiduciary is expected to act in the best interests of their client, meaning they must prioritize the client’s needs and interests above their own.

If a fiduciary engages in self-dealing, they are placing their own interests over those of their client, potentially benefiting financially or otherwise at the expense of the client. This behavior is not just unethical; it may violate legal obligations tied to the fiduciary’s duties, which emphasize loyalty, full disclosure, and the avoidance of conflicts of interest. Overall, self-dealing is counterproductive to the essence of fiduciary responsibility, which requires maintaining the highest standard of trust and confidence in the client relationship.