Legal Definitions - fidelitas

Fidelitas is a Latin term meaning fidelity or faithfulness. In a legal context, it refers to the duty of loyalty and allegiance owed by one party to another, often arising from a specific relationship or agreement. This duty typically requires acting in the best interests of the other party, avoiding conflicts of interest, and maintaining trust.

• Example 1: Corporate Board Member

  Imagine a member of a company's Board of Directors. This board member learns about a potential business opportunity that could significantly benefit a rival company. Due to their fidelitas to the company they serve, they are obligated to prioritize their company's interests. They cannot disclose this information to the rival or pursue the opportunity for personal gain if it conflicts with the well-being of their own company. Their duty requires them to act solely for the benefit of the company and its shareholders.

• Example 2: Financial Advisor and Client

  Consider a financial advisor who manages investments for a client. The advisor discovers a new investment product offered by a company in which they hold a personal financial stake. However, after careful analysis, they determine this product is not the best fit for their client's specific financial goals and risk tolerance. Their duty of fidelitas (often referred to as a fiduciary duty in this context) demands that they recommend investments that are genuinely in the client's best interest, even if it means foregoing a recommendation that would personally benefit them. They must avoid conflicts of interest and act with utmost loyalty to the client's financial well-being.

• Example 3: Government Official

  A city council member is tasked with voting on a proposed zoning change that would permit a large commercial development. The developer proposing the project is a close personal friend of the council member, and has also made a substantial donation to their re-election campaign. The council member's fidelitas to the citizens they represent requires them to vote based on what is best for the community, considering factors like public services, environmental impact, and resident welfare, rather than personal relationships or potential campaign contributions. They must act with loyalty to the public trust, free from personal bias or undue influence.