Ohio Rev. Code » Chapter 5808
Ohio Revised Code

Ohio Rev. Code § 5808.02 (2026)

Duty of loyalty to beneficiaries - voidable transactions - conflicts of interest

✓ current as of May 2026
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Effective:
March 22, 2012
Latest Legislation:
Senate Bill 117 - 129th General Assembly
PDF:
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(A) A trustee shall administer the trust solely in the interests of the beneficiaries.

(B) Subject to the rights of persons dealing with or assisting the trustee as provided in section 5810.12 of the Revised Code, a sale, encumbrance, or other transaction involving the investment or management of trust property entered into by the trustee for the trustee's own personal account or that is otherwise affected by a conflict between the trustee's fiduciary and personal interests is voidable by a beneficiary affected by the transaction unless one of the following applies:

(1) The transaction was authorized by the terms of the trust or by other provisions of the Revised Code.

(2) The transaction was approved by the court.

(3) The beneficiary did not commence a judicial proceeding within the time allowed by section 5810.05 of the Revised Code.

(4) The beneficiary or the beneficiary's representative consented to the trustee's conduct, ratified the transaction, or released the trustee in compliance with section 5810.09 of the Revised Code.

(5) The transaction involves a contract entered into or claim acquired by the trustee before the person became or contemplated becoming trustee.

(C) A sale, encumbrance, or other transaction involving the investment or management of trust property is presumed to be affected by a conflict between personal and fiduciary interests if it is entered into by the trustee with one of the following:

(1) The trustee's spouse;

(2) The trustee's descendant, sibling, or parent or the spouse of a trustee's descendant, sibling, or parent;

(3) An agent or attorney of the trustee;

(4) A corporation or other person or enterprise in which the trustee, or a person that owns a significant interest in the trustee, has an interest that might affect the trustee's best judgment.

(D) A transaction not concerning trust property in which the trustee engages in the trustee's individual capacity involves a conflict between personal and fiduciary interests if the transaction concerns an opportunity properly belonging to the trust.

(E) An investment by a trustee that is permitted by other provisions of the Revised Code is not presumed to be affected by a conflict between personal and fiduciary interests if the investment otherwise complies with the prudent investor rule of Chapter 5809. of the Revised Code.

(F) In voting shares of stock or in exercising powers of control over similar interests in other forms of enterprise, the trustee shall act in the best interests of the beneficiaries. If the trust is the sole owner of a corporation or other form of enterprise, the trustee shall elect or appoint directors or other managers who will manage the corporation or enterprise in the best interests of the beneficiaries.

(G) This section does not preclude either of the following:

(1) Any transaction authorized by another section of the Revised Code;

(2) Unless the beneficiaries establish that it is unfair, any of the following transactions:

(a) An agreement between a trustee and a beneficiary relating to the appointment or compensation of the trustee;

(b) Payment of reasonable compensation to the trustee;

(c) A transaction between a trust and another trust, decedent's estate, or guardianship of which the trustee is a fiduciary or in which a beneficiary has an interest;

(d) A deposit of trust money in a regulated financial-services institution that is an affiliate of the trustee;

(e) An advance by the trustee of money for the protection of the trust.

(H) The court may appoint a special fiduciary to make a decision with respect to any proposed transaction that might violate this section if entered into by the trustee.
Notes of Decisions
Cited in 16 cases (7 in the last 5 years), 2007–2026 · leading case: Gorby v. Aberth, 2017-Ohio-274, 81 N.E.3d 910.
Sort: Relevance Newest Treatment
Gorby v. Aberth, 2017-Ohio-274, 81 N.E.3d 910. · cites it 4× “Aberth engaged in self-dealing in violation of Section 5808.02(C)(4). Section 5808.02(C)(4) provides that a “transaction involving the investment or management of trust property is presumed to be affected by a conflict between personal and fiduciary interests if it is entered…”
Kidd v. Alfano, 2016-Ohio-7519, 64 N.E.3d 1052. · cites it 3× “The magistrate and trial court found the advancement to be a breach of fiduciary duty because of the statutory presumption in R.C. 5808.02, not because of evil intent or purposeful wrongdoing.”
State v. Searfoss, 2019-Ohio-4619, 135 N.E.3d 853. · cites it 3× “{¶ 61} After the trial court overruled appellant’s objection, the state asked appellant to read R.C. 5808.02, 5808.04, 5808.06, 5808.09, 5808.”
Dueck v. Clifton Club Co., 2017-Ohio-7161, 95 N.E.3d 1032. · cites it 2× “It is asserted that the Trustees breached their fiduciary duties by advocating against the owner Beneficiaries on behalf of the Clifton Club and the Club Members, and denying appellants the right to access Trust documents upon reasonable request.”
Miller v. Cass, 2010-Ohio-1930. · cites it 3× “]”; R.C. 5808.02, which provides, in pertinent part: (A) A trustee shall administer the trust solely in the interests of the beneficiaries.”
Alotech Ltd., L.L.C. v. Barnes, 2017-Ohio-5569. · cites it 3× “{¶17} Pursuant to R.C. 5808.02(A), a “trustee shall administer the trust solely in the interests of the beneficiaries.”
Cartwright v. Batner, 2014-Ohio-2995, 15 N.E.3d 401. “” R.C. 5808.02(A). The law as amended and enacted was specifically intended to apply retroactively to trusts created before its effective date.”
Cundall v. U.S. Bank, N.A., 882 N.E.2d 481 (Ohio Ct. App. 1st Dist. 2007). “R.C. 5808.02. See, also, Restatement of the Law 2d, Trusts (1992), Section 170; 853 Rounds, Tax Management: Estates, Gifts, and Trusts: Fiduciary Liability of Trustees and Personal Representatives (2003), A-25.”
Dueck v. Clifton Park Trust, 2019-Ohio-4784. “R.C. 5808.02. The trial court’s judgment is affirmed.”
Bender v. Vill. of Mariemont, No. 1:23-cv-00051 (S.D. Ohio June 23, 2025). · cites it 6× “One of those is potentially critical here: a self-interested transaction by a trustee is not voidable if it was “authorized by the terms of the trust.”
Stewart v. Martin, No. 3:21-cv-00089 (S.D. Ohio Mar. 8, 2023). · cites it 2× “2017) (citing Ohio Rev. Code § 5808.02)). “A claim of a breach of fiduciary duty is basically a claim of negligence, albeit involving a higher standard of care.”
Lashaway v. Lashaway, 2026-Ohio-1168. · cites it 2× “09; and citing R.C. 5808.02. We review the trial court’s breach of trust findings under the manifest-weight-of-the-evidence standard.”
Show all 16 citing cases →
Ohio Rev. Code § 5808.02(A): 6 cases
Alotech Ltd., L.L.C. v. Barnes, 2017-Ohio-5569. “{¶17} Pursuant to R.C. 5808.02(A), a “trustee shall administer the trust solely in the interests of the beneficiaries.”
State v. Searfoss, 2019-Ohio-4619, 135 N.E.3d 853. “{¶ 61} After the trial court overruled appellant’s objection, the state asked appellant to read R.C. 5808.02, 5808.04, 5808.06, 5808.09, 5808.”
Cartwright v. Batner, 2014-Ohio-2995, 15 N.E.3d 401. “” R.C. 5808.02(A). The law as amended and enacted was specifically intended to apply retroactively to trusts created before its effective date.”
Bender v. Vill. of Mariemont, No. 1:23-cv-00051 (S.D. Ohio June 23, 2025). “One of those is potentially critical here: a self-interested transaction by a trustee is not voidable if it was “authorized by the terms of the trust.”
Wynn v. Crumm, 2024-Ohio-1447.
Ohio Rev. Code § 5808.02(B): 2 cases
Kidd v. Alfano, 2016-Ohio-7519, 64 N.E.3d 1052. “The magistrate and trial court found the advancement to be a breach of fiduciary duty because of the statutory presumption in R.C. 5808.02, not because of evil intent or purposeful wrongdoing.”
Bender v. Vill. of Mariemont, No. 1:23-cv-00051 (S.D. Ohio June 23, 2025). “One of those is potentially critical here: a self-interested transaction by a trustee is not voidable if it was “authorized by the terms of the trust.”
Ohio Rev. Code § 5808.02(B)(1): 2 cases
Miller v. Cass, 2010-Ohio-1930. “]”; R.C. 5808.02, which provides, in pertinent part: (A) A trustee shall administer the trust solely in the interests of the beneficiaries.”
Bender v. Vill. of Mariemont, No. 1:23-cv-00051 (S.D. Ohio June 23, 2025). “One of those is potentially critical here: a self-interested transaction by a trustee is not voidable if it was “authorized by the terms of the trust.”
Ohio Rev. Code § 5808.02(B)(4): 1 case
State v. Searfoss, 2019-Ohio-4619, 135 N.E.3d 853. “{¶ 61} After the trial court overruled appellant’s objection, the state asked appellant to read R.C. 5808.02, 5808.04, 5808.06, 5808.09, 5808.”
Ohio Rev. Code § 5808.02(C): 1 case
Kidd v. Alfano, 2016-Ohio-7519, 64 N.E.3d 1052. “The magistrate and trial court found the advancement to be a breach of fiduciary duty because of the statutory presumption in R.C. 5808.02, not because of evil intent or purposeful wrongdoing.”
Ohio Rev. Code § 5808.02(C)(2): 1 case
Lashaway v. Lashaway, 2026-Ohio-1168. “09; and citing R.C. 5808.02. We review the trial court’s breach of trust findings under the manifest-weight-of-the-evidence standard.”
Ohio Rev. Code § 5808.02(C)(4): 1 case
Gorby v. Aberth, 2017-Ohio-274, 81 N.E.3d 910. “Aberth engaged in self-dealing in violation of Section 5808.02(C)(4). Section 5808.02(C)(4) provides that a “transaction involving the investment or management of trust property is presumed to be affected by a conflict between personal and fiduciary interests if it is entered…”
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