Corporate directors' fiduciary duties rooted in trust law shape accountability.
The article discusses how corporate directors have fiduciary duties to shareholders, similar to trustees in the law of trusts. The concept of fiduciary responsibility originated in trust law, where trustees were required to faithfully manage property for the benefit of beneficiaries. In corporate law, directors act as trustees for shareholders, with duties of loyalty, care, and disclosure. The historical connection between trust law and corporate law helps us understand the responsibilities of directors in managing company assets for the benefit of shareholders.