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LSDefine

Simple English definitions for legal terms

accounting for profits

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A quick definition of accounting for profits:

Accounting for profits is a legal action taken against someone who has breached a fiduciary relationship and taken profits that belong to someone else. It is a way to recover the money that was wrongfully taken. This is done by tracing the profits back to their source and returning them to the rightful owner. It is similar to a constructive trust, but even if tracing fails, the owner can still recover the profits that were taken.

A more thorough explanation:

Definition: Accounting for profits is a legal action taken against a person who has breached their fiduciary duty to recover any profits they have gained from that breach. It is a remedy based on avoiding unjust enrichment.

For example, if a financial advisor invests their client's money in a company they know will fail, and then profits from that failure, the client can take legal action to recover those profits.

Another example would be if a trustee of a trust uses the trust's assets for their own personal gain, the beneficiaries of the trust can take legal action to recover any profits gained from that breach of fiduciary duty.

These examples illustrate how accounting for profits is a way to hold those in positions of trust accountable for their actions and prevent them from profiting from their wrongdoing.

accounting for fruits | accounting method

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THATS SO FUNNY
i cant i would go crazy
JumpySubsequentDolphin
20:50
i need to know who decided to do that.
JumpySubsequentDolphin
20:50
omg im on a plane weeeee
the devil
youre on a plane??? LSD made the mile high club??
20:50
yo splitterus are you in school already
20:50
it says ur c/o 2027
JumpySubsequentDolphin
20:51
@SplitterusClitterus: HAHAH yes
ur user is hilarioussss and no i just graduated this may and am now applying ---also im out of messages so ill take a lil
20:52
roger dat. see u in heck
im back, r u applying this cycle too
JumpySubsequentDolphin
21:32
this child fell asleep on me
JumpySubsequentDolphin
21:32
im so uncomfortable
just push him off the entire seat
JumpySubsequentDolphin
21:34
LMAOOOO
JumpySubsequentDolphin
21:35
no he’s literally like 8 and he fully just put his head on my bicep and slept
JumpySubsequentDolphin
21:35
he has since moved
22:12
@SplitterusClitterus: me yesterday
gulc baby pls text me back... i miss you ...... :(
22:23
i just went into a discord vc and yelled "YALL I JUST GOT INTO J.M. SCHOOL OF LAW"
22:24
people were getting excited :sob:
22:25
then someone was like "what does jm stand for" and i was like .. well
AHHAHAHAHAHAHHAHAHAHAHAHAH
@JumpySubsequentDolphin: wait this is so cute, also where r u going
JOE MBIDEN
JumpySubsequentDolphin
22:39
@splitty Oregon!
oh yay for what thats so random
JumpySubsequentDolphin
22:45
haha my brother and sister in law live there
so cutie oregon is beatiful
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