When someone dies and their estate enters probate, a key figure steps in to handle everything from paying bills to distributing assets: the fiduciary. This person—often an executor or administrator—is legally bound to act in the best interests of the estate and its beneficiaries. But what happens when they don’t? That’s where probate fiduciary duty breaches come into focus. Understanding what these breaches look like, how they happen, and what can be done about them is critical for anyone involved in the probate process. These failures can quietly drain estate assets or create long-term disputes among family members. In many cases, beneficiaries don’t realize a breach has occurred until serious financial or legal damage has already been done.
In this in-depth article, we’ll walk through what a fiduciary’s duties are during probate, how things can go wrong, and what legal remedies exist when they do. We’ll also explore real-world scenarios and explain how courts in Texas handle probate fiduciary duty breaches, so you know what to watch out for—and how to respond if you’re affected. Whether you’re serving as a fiduciary or relying on one, understanding these rules can prevent costly mistakes. Knowledge at this stage can be the difference between a smooth probate process and years of unnecessary litigation.
What Is a Fiduciary in a Probate Case?
The Legal Role and Why It Matters
In a Texas probate case, the fiduciary is the person or entity appointed to manage the estate. This is usually the executor named in the will or, if no will exists, an administrator appointed by the court. The fiduciary’s role is more than just managerial—it’s a legal obligation that comes with serious accountability.
This person must act with:
- Loyalty to the estate and its beneficiaries
- Good faith in all dealings
- Full disclosure of all relevant information
- Competence and care in handling financial matters
The fiduciary has control over assets, property, and sometimes millions of dollars in investments. When someone has that much power, courts expect them to follow the law to the letter. And when they don’t, the consequences can be significant—because probate fiduciary duty breaches aren’t just bad behavior, they’re legal violations.
Duties of a Probate Fiduciary in Texas
What Executors and Administrators Are Expected to Do
In Texas, fiduciary duties are defined under the Texas Estates Code and built on decades of case law. Some of the most important responsibilities include:
- Inventorying estate assets accurately and promptly
- Notifying creditors and paying valid debts in the correct order
- Managing property—including selling real estate if necessary
- Maintaining financial records and providing accountings
- Distributing assets according to the will or Texas intestate law
- Communicating with heirs and the court
It’s a long list, and executors often don’t realize just how many moving parts they’re juggling. That’s why probate fiduciary duty breaches can arise even from carelessness or lack of knowledge—not just outright fraud.
What Is a Breach of Fiduciary Duty in Probate?
Crossing the Line from Mistake to Misconduct
A breach of fiduciary duty occurs when the fiduciary violates one or more of their legal obligations, resulting in harm to the estate or its beneficiaries. This can happen in countless ways, but common breaches include:
- Failing to disclose estate assets
- Misusing or stealing estate funds
- Favoring one beneficiary over another
- Making risky or inappropriate investments
- Ignoring court orders or deadlines
- Withholding information from heirs or co-executors
Breaches may be intentional or accidental, but both carry legal consequences. In cases involving probate fiduciary duty breaches, intent doesn’t always matter. If the result is harm to the estate, the fiduciary can still be held liable.
Real-Life Example: When Family Gets in the Way
Imagine this: Sarah is appointed executor of her late mother’s estate. Her brother, Jake, is a named beneficiary. Instead of immediately listing their mother’s house for sale, Sarah allows her boyfriend to move in and live rent-free—for over a year. Meanwhile, Jake receives no updates and no share of the proceeds.
In court, this would likely be seen as a probate fiduciary duty breach. Sarah prioritized a personal relationship over her obligation to the estate, failed to generate income for the heirs, and kept a beneficiary in the dark. Even if she argues she didn’t mean harm, the damage is done—and the court may remove her or order restitution.
Signs That a Fiduciary May Be Breaching Their Duty
What Beneficiaries and Co-Executors Should Watch For
If you’re a beneficiary or involved in an estate and suspect wrongdoing, look for these red flags:
- Unexplained delays in distributing assets or closing probate
- Lack of communication or refusal to answer basic questions
- Missing assets or discrepancies in financial records
- Sudden property sales to friends or family at discounted prices
- Unfiled inventories or accountings past legal deadlines
- Excessive executor fees without court approval
These indicators don’t always mean a breach occurred—but they’re worth investigating. In Texas, if you suspect probate fiduciary duty breaches, you can petition the court to review the fiduciary’s actions.
Legal Consequences of a Fiduciary Breach in Texas
What Happens When a Fiduciary Fails
When probate fiduciary duty breaches are proven in Texas, the court can impose serious penalties, including:
- Removal of the fiduciary
- Financial restitution (paying back lost or mismanaged assets)
- Disallowing executor compensation
- Fines or sanctions for court rule violations
- Personal liability for losses caused by negligence or misconduct
In extreme cases involving fraud or theft, criminal charges may also be filed. This is rare but possible, especially if large sums or forged documents are involved.
How to File a Claim for Breach of Fiduciary Duty
Taking Legal Action When Things Go Wrong
If you believe a fiduciary has violated their duties, you have the right to take legal action in Texas probate court. Here’s how:
- Consult a probate attorney with experience in fiduciary disputes
- Gather documentation—emails, accountings, court filings, and financial records
- File a petition outlining the alleged breach and requested remedies
- Request discovery to obtain more evidence, if needed
- Present your case at a hearing or trial
The burden of proof is on the person filing the claim. You’ll need to show that the fiduciary’s actions were outside their legal bounds and caused harm to the estate.
Can a Fiduciary Defend Themselves?
Yes, But It Depends on the Facts
A fiduciary accused of misconduct has the right to defend their actions. Common defenses to probate fiduciary duty breaches include:
- Good faith reliance on legal advice
- Court approval of contested decisions
- Mistake without financial harm
- Consent from all beneficiaries (in writing)
- Lack of standing from the person filing the complaint
Just because someone is accused doesn’t mean they’ll be removed. Texas courts review each case individually, weighing facts, intent, and impact.
Real-World Story: Executor Removed After Mishandling Estate
In Fort Worth, an executor was removed after the beneficiaries discovered he had rented out a vacation home belonging to the estate—and kept the rental income for himself. He argued that he needed the funds to maintain the property and planned to “square up” later. The court disagreed, citing lack of transparency and misuse of funds.
Not only was he removed, but he was ordered to repay the estate for all income collected, plus penalties. This is a textbook case of how probate fiduciary duty breaches result in real legal and financial consequences.
Can Co-Executors Breach Fiduciary Duty?
Shared Power, Shared Responsibility
When two or more people are named co-executors, they must act jointly in most decisions. This means they share fiduciary responsibility—and either one can be held liable if something goes wrong.
Co-executors must:
- Agree on major decisions like property sales or investments
- Sign filings and accountings together
- Keep each other informed
If one co-executor acts unilaterally or hides information, it could amount to a probate fiduciary duty breach, and the other may be held accountable unless they act to correct it.
Preventing Breaches Before They Happen
Best Practices for Executors and Administrators
Executors can avoid trouble by following these steps:
- Hire professionals—accountants, appraisers, and attorneys can help
- Keep detailed records of every transaction
- Use estate accounts, not personal accounts, to manage funds
- Communicate regularly with beneficiaries and the court
- Meet all deadlines for inventories, accountings, and reports
- Ask the court for permission if you’re unsure about a big decision
Staying proactive is the best way to avoid falling into the pitfalls of probate fiduciary duty breaches. Most problems begin with silence, shortcuts, or sloppy record-keeping.
Final Thoughts on Probate Fiduciary Duty Breaches
Probate can already feel like a maze, and being the executor doesn’t come with a perfect map. But one thing is clear: violating your legal obligations—whether on purpose or by accident—can open the door to conflict, court intervention, and financial consequences. The rules are there for a reason, and the courts in Texas enforce them strictly.
Whether you’re a beneficiary trying to protect your inheritance or an executor wanting to avoid mistakes, understanding probate fiduciary duty breaches gives you the tools to spot trouble early and respond effectively. Transparency, communication, and diligence are the best defenses—both in and out of court.
Because in probate, trust isn’t just an ideal—it’s a legal responsibility. And when that trust is broken, the law steps in. Stay informed, stay compliant, and don’t hesitate to get legal help when the situation calls for it. That’s how you protect the estate, the beneficiaries, and yourself.
