Legal Services Do Not Create Third-Party Duties
When an attorney drafts a will, creates a trust, or advises a fiduciary, that work does not automatically create a legal obligation to every person who might benefit from the estate or trust. This is an important boundary. Without it, an attorney could face lawsuits from beneficiaries over legal advice given to the person who hired them.
Except as prescribed pursuant to section 14-1104 and absent an express agreement to the contrary, the performance by an attorney of legal services for a fiduciary, settlor or testator does not by itself establish a duty in contract or tort or otherwise to any third party.
A.R.S. § 14-5652(A)The statute makes one thing clear: the attorney's client is the person who hired them. Unless there is an express agreement creating additional duties, beneficiaries and other third parties cannot hold the attorney responsible simply because legal services were provided to someone connected to the estate or trust.
Disclosure When an Attorney Becomes the Fiduciary
The rules change when an attorney steps into a fiduciary role. If an attorney serves as a personal representative or trustee, they must disclose to all adult beneficiaries the names of any interested person they currently represent or have represented in the past. This disclosure must be in writing and made within a reasonable time after learning about the potential conflict.
An attorney who acts as a personal representative or trustee shall disclose to all adult persons who have an interest in the estate or trust the names of any person who has an interest in that estate or trust to whom the attorney is currently rendering or has in the past rendered legal services.
A.R.S. § 14-5652(B)Importantly, having represented an interested person does not automatically disqualify the attorney from serving as fiduciary. The attorney can only be removed if they cannot fulfill their fiduciary duties without violating their ethical obligations to that current or former client. This balance protects beneficiaries through transparency while allowing qualified attorneys to serve in dual roles when no actual conflict exists.
