Does a Trustee Breach of Fiduciary Duty Warrant Punitive Damages?

It depends! In 2022 Florida’s Rules of Appellate Procedure changed in a way that allows district courts of appeal to review the decisions to grant or deny the ability to amend a claim in order to add a claim for punitive damages by interlocutory appeal.

The change in the law led to new appellate decisions that clarify the requirements that are necessary in order to be successful when seeking punitive damages. This history is important in informing how cases will be handled when a suit is brought against trustees for breach of fiduciary duty. But what are punitive damages? Why are they awarded – and how can you pursue them in your own case? This article will begin to explain these questions. For additional guidance on a full range of civil litigation issues contact the experienced legal team at Suncoast Civil Law.

What are Punitive Damages?

In contract law, most of the time the goal is to restore the party to the same position they would have been in if the contract had never been entered into. There are exceptions to this, of course. One notable exception is when a party seeks, or is awarded, punitive damages. Punitive damages are not strictly tied to what money someone lost, or the precise harm that they suffered. A punitive damage is not necessarily tied to making the wronged party “whole” – it is aimed at punishing particularly bad behavior from the offending party.

Punitive damages are, for example, often what is awarded when you hear of those major headlines where someone spills too-hot coffee on themselves and are awarded millions (for example, see Liebeck vs. McDonalds.)

When Can I Get Punitive Damages?

To pursue a claim for punitive damages, litigants must comply with Florida’s rules of civil procedure. This includes a requirement for any litigants to obtain the court’s approval before they amend a claim in order to also request punitive damages. Litigants should expect a requirement to provide a reasonable amount of evidence to establish their claim in order to receive damages.

A defendant will only be held liable for punitive damages if the court finds that, based on clear and convincing evidence provided, the defendant was personally guilty of either intentional misconduct or gross negligence.

Breach is not Enough – You Must Show Fraud or Malice

Evidence that a breach of fiduciary duty took place is not enough, on its own, to automatically allow for punitive damages. The litigant must also show that there was fraud, malice, or other misconduct taken by the trustee.

It is important when bringing any complaint to ensure that you have adequate documentation to evidence your claims. This is particularly true in cases where you are seeking punitive damages – the experienced attorneys at Suncoast Civil Law can help.

Contact Suncoast Civil Law

There are many nuances that a probate litigation – or any civil litigation complaint – must navigate. Often, the results of a case are heavily influenced by the steps you take in the beginning. Contact our Sarasota probate lawyers today at Suncoast Civil Law to discuss your case with experienced attorneys. We can help you determine your next best steps and fight your cause with you.

Sources:

ttla.com/?pg=McDonaldsCoffeeCaseFacts

media.floridabar.org/uploads/2025/01/Civil-Procedure-Rules-01-01-25-Corrected-Opinion.pdf