What does fiduciary duty mean?

Fiduciary duty is the legal obligation to act in someone else's best interest with honesty, loyalty, and care. In estate planning, your executor, trustee, and power of attorney agent all carry this duty, which means they must put your interests ahead of their own. They can be held personally responsible if they mismanage assets or act for personal gain. This duty is what protects beneficiaries from being taken advantage of.