Settlor/Trustee/Beneficiary Fiduciary Relationship – one person must act with a high degree of care (fiduciary-trustee) in managing the estate of whoever sets up the trust (Settlor) in a manner that benefits a Beneficiary or Beneficiaries

Click any of the Following Terms
for Full Definitions:

Fiduciary Relationship – where one person is under a duty to act with a high degree of care (the fiduciary) for the benefit of another (the beneficiary) on matters within the scope of the relationship.

Settlor – someone who makes a settlement of property; especially one who sets up a trust.

  • Trust – a property interest held by one person (the trustee) at the request of another (the settlor) for the benefit of a third party (the beneficiary).

Trustee – someone with legal title to property that holds it in trust, with duties to convert to cash all debts and securities that are not qualified legal investments, to reinvest the cash in proper securities, to protect & preserve the trust property, and to ensure that it is employed solely for the beneficiary.

Beneficiary – someone who is designated to receive something as a result of a legal arrangement or instrument.

Example of a
Fiduciary Relationship:

     Part and parcel to maintaining its guardian/ward fiduciary relationship with American Indian tribes comes the settlor/trustee/beneficiary fiduciary aspect of the three-way relationship between lawful persons, tribes, and government administration.


[1]: Black’s Law Dictionary Deluxe Tenth Edition by Henry Campbell Black, Editor in Chief Bryan A. Garner. ISBN: 978-0-314-61300-4 


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