If you buy stocks or other securities, you probably put a lot of trust in someone who manages your investments for you. This person may sell and buy on your behalf with your money. This requires a legal duty on the part of the other person to properly manage your money. This fiduciary duty provides you with some legal protection should the person breach it.
If you have a breach of fiduciary duty, according to the American Bar Association, you will need to asses the situation for your losses. You may seek damages to recover losses you experience as result. This might be direct losses or expenses that you incur due to the breach. You may also be able to get payback of any profits that the person made from his or her actions.
The court may allow damages that punish the other person. These exemplary damages are like a fine that the person has to pay for breaking the law. You would get the money as part of your damages.
It may also be possible to get damages for mental anguish. This would be suffering you went through due to the actions of the other person. Typically, courts only allow these when they are foreseeable and separate from the loss of money in your case.
Do keep in mind that Michigan law may put a cap on the damages you can receive. It may also make it impossible to recover certain damages. You will need to understand the law before you can develop your plan to seek damages for a breach of fiduciary duty.
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