A fiduciary is someone who has undertaken to act for or on behalf of another (his principal). As such, a fiduciary owes an obligation of loyalty to the principal. Indeed, the principal relies on the fiduciary to act in his or her best interests, and is especially vulnerable to the fiduciary’s breach of duty. Thus, it has been observed that a fiduciary owes his or her principal the highest standard of duty known to the law. It is also well-established that a director of a company has a fiduciary relationship with the company.