UGANDA CHRISTIAN UNIVERSITY

FACULTY OF LAW

MODULE: BANKING AND NEGOTIABLE INSTRUMENTS

LLB III, SECOND SEMESTER, SEPTEMBER INTAKE

Lecturer: Ms. Dorah Caroline Mafabi

Tutorial Assistant: Ms. Ayesigwa Janet

Module Outline and Objective: This module is meant to give the students an
understanding of banking and negotiable instruments. The law of Banking and
Negotiable Instruments deals with the operation of banking business and is founded
largely on the general principles of law to particular contextual issues as and when they
arise. A good understanding of these general aspects of law is critical in analyzing the
banking business which also borrows from the general custom of bankers. The aspect of
negotiable instruments is a practical area that navigates how banks deals with different
types of Negotiable instruments, the rights and liabilities of various parties along the
chain as the instruments change hands.
As Banking practice evolves, it has become increasingly necessary to deal with some new
aspects of Banking law including but not limited to Automatic Teller Machines, E-
Banking and the challenges being faced in electronic money transfers such as money
laundering and E-fraud. These aspects will be handled to enable you acquire a broad and
critical approach to the subject.

Overall Learning Outcomes: It is hoped that at the end of the module, the students will;

i. Have explored the historical rationale of Banking Law and practice vis-à-vis its
current form and relevance.
ii. Be able to critically examine the fundamental principles of the law of banking and
negotiable instruments.
iii. Demonstrate a clear understanding of the legal framework within which the banks
and other financial instruments are allowed to operate in Uganda.
iv. Understand, explain and distinguish between the different types of banks accounts
and services/products that banks offer.
v. Explain the nature of banker –customer relationship and the obligations it imposes
on banks to maintain secrecy and to act without negligence.
vi. Indentify and examine the remedies for breach of respective duties.
vii. Have acquired knowledge on the nature, importance and uses of negotiable
instruments (bills of exchange).
viii. Acquaint with the law relating to credit creation which is essential for modern
economic activities and a civilized living.
ix. Advocate the case for reform considering the relevant sector and international
developments relating to banking.
General Description of Teaching/ Learning Methods and Modes of Assessment:
There will be two, two hour lectures every week, Thursday and Friday from 5:00 -
7:00pm. There will also be one two hour tutorial every Saturday from 8:30 – 10:30am.
This module will be delivered with every intention of fostering active interaction and
participation from the students during lectures. In order to further understanding,
analytical thinking and appreciation of the module content through personal assignments,
group discussions, tests, essay writing and research assignments. Students are encouraged
to form study groups that will enable easier understanding of the course content. Students
are also urged to be deliberate about individual personal study.

Module Assessment: The award of grades shall be as follows:

i. Coursework which carries 30%. The course work will take the form of either a
written test or a take home research.
ii. The final exam will account for 70% of the course evaluation. Please note that a
10% mark of class participation, active engagement and attendance is in built in
the 70% final mark.
iii. Class participation –respect of oneself and one’s neighbor is paramount during
class participation.
iv. Any misconduct during the lecturers, tests or exams shall be heavily panelized.

READING/ BASIC MATERIALS

MAIN STATUTES:

1. 1995 Constitution (as amended)

2. Bank of Uganda Act, Cap 51
3. Bankruptcy Act, Cap 67
4. Bill of Exchange Act, Cap 68
5. Bill of Exchange Act (1882) (U.K) 45-46 VICT. 61
6. Bretton Woods Agreement Act, Cap 169
7. Civil Procedure Rules S.I 65-3
8. Companies Act, Cap 110
9. Evidence (Bankers Book) Act, Cap 7
10. Exchange Control Act, Cap 171
11. Financial Institutions Act, 2004
12. Financial Institutions (Insider-Lending Limits) Regulations 2005
13. Financial Institutions Capital Adequacy Regulations 2005
14. Financial Institutions Corporate Governance Regulations 2005
15. Financial Institutions Credit Classification Regulation, 2005
16. Financial Institutions Licensing Regulations, 2005
17. Financial Institutions Ownership and Control Regulations, 2005
18. Foreign Exchange (Forex Bureaux and Money Remitters) Regulations, 2006
19. Foreign Exchange Act, 2004
 20. Income Tax Act, Cap 340
21. Law Reform (Miscellaneous Provisions) Act, Cap 79
22. Limitation Act, Cap 80
23. Limits on Credit Concentration and Large Exposure Regulations, 2005
24. Liquidity Regulations, 2005
25. Local Governments (Financial Acc ounting) Regulations, 2007
26. Local Government Act, Cap 121 (as amended)
27. Microfinance Deposit Taking Institutions Act, 2003
28. Microfinance Deposit Taking Institutions Regulations, 2004
29. Money Lenders Act, Cap 273
30. Mortgage Act, Cap 229
31. Prevention of Corruption Act, Cap 121
32. Anti- Corruption Act, 2009
33. Stamps Act, Cap 342
34. Succession Act, Cap 162
35. Land Act, Cap 227 (as amended)
36. Treasury Bills Act, Cap 194
37. Penal Code Act, Cap 120 (as amended)

TEXT BOOKS AND REFERENCES

1. G.P Tumwine Mukubwa & Others, Essays in African Banking Law and Practice”
Uganda Law Watch, 1998
2. M.J Holden, Law & Practice of Banking, 5th Ed. Vol. 1 & 2
3. Mark Hapgood, Paget’s Law of Banking, 12th Ed. Butterworth, 2003
4. Chalmer’s Bills of Exchange 13th Ed.
5. Dover & Ors (Ed), Sheldon’s Law of Banking
6. P.E Smart Chorley and Smart: Lending cases in the Law of Banking, 6th Ed.
7. Byles on Bills of Exchange
8. Hart’s Law of Banking
9. Lord Chorley: The Law of Banking
10. Ross Cranston: Principles of Banking Law, Oxford University Press, 2002
11. Peter Ellinger, Modern Banking Law, 3rd Ed. Oxford 2000
12. Filder, Shelton & Fildfer, Practice & Law of Banking, 1982
13. Housmann & Anor Ed.: Banking Crises in Latin America, 1996
14. Byamugisha J., Negotiable Instruments, 1978
15. Brownbridge M & Harvey C, Banking in Africa, 1998
16. Sponge K., Banking Regulation, 1990

A.           HISTORY AND CONTROL OF BANKING BUSINESS IN UGANDA

1. History of Banking in Uganda

2. Legal and regulatory framework
3. Control of Banking Activities by Bank of Uganda
 4. Anti-Money laundering Laws
5. The current state of Uganda’ financial sector

B.           LICENCING UNDER THE FINANCIAL INSTITUTIONS ACT

1. Capital Requirements
2. Restricted/ Prohibited activities and investments
3. Liquidation, seizure and re-organisation of banks

Reading:
  Emmanuel Tumusiime-Mutebile, “The current state of Uganda Financial Sector” (2005)
13 The Ugandan Banker 4
  Evarist Mugisha, “A critique of Customer Services in Ugandan Banks” (1997) 5 (3) The
Ugandan Banker 13
  Martin Brown Bridge, “Financial Repression & Financial Reform in Uganda” in Martin
Brown Bridge & Charles Harvey, Banking in Africa: The Impact of Financial Sector
Reform since Independence, Fountain Publishers, 1998 @ 126
  Financial Institutions Act 2, 2004
  Bank of Uganda Act, Cap 51

C.           BANKS AND BANKING BUSINESS

1. Banks Defined
2. Bills of Exchange Act, Cap 68
3. Financial Institutions Act, 2004
4. Evidence (Bankers Book) Act, Cap 7
5. Bank of Uganda Act, Cap
6. Woods V Martins Bank Ltd (1959) 1 QB 55
7. United Dominion’s Trust Ltd V Kirkwood (1966) 2 QB 431
8. Re Shields’ Estate (1901) 1 Lr R 173
9. Re Roe’s Legal Charge (1982) 2 Lloyds Rep. 370

Who is a customer?

1. Ladbroke & Co. V Todd (1914) 30 TLR 433

2. Great Western Railways Co. V London & County Banking Co. Ltd (1901) AC
414
3. Woods V Martins Bank Ltd (1959) 1QB 55
4. Rowlandson V National Westminster Bank Ltd (1978) 1 WLR 798

D.           THE NATURE OF THE RELATIONSHIP BETWEEN BANKER AND

CUSTOMER
 1. Foley V Hill (1848) 2 HLC 28
2. Joachimson V Swiss Bank Corporation (1921) 3 KB 110
3. Esso Petroleum Co. V UCB CA No. 14 of 1992
4. Mobil (U) Ltd V UCB (1982) HCB 64
5. Rendall-Day V Republic (1967) 3 ALR Comm. 17
6. Rwebangira V Republic (1974) 3 ALR Comm. 386
7. A.G of Ghana V Bank of West Africa Ltd (1965) ALR Comm. 214
8. Forley V Hill (1848) 2 HLC 28
9. Bank of Baroda (U) Ltd V Kamuganda (2006) 1 EA 11
10. Barclays Bank of Kenya V Jandy (2004) 1 EA 8
11. Banax Ltd V Gold Trust Bank Ltd (1992) Vol. 111 KLR 93
12. Onjallah V Kenya Commercial Bank Ltd (2004) 2 EA 253
13. Elizabeth Koloto V Bank of Uganda (2001) KALR 389

Reading:
  E. P Ellinger, “Reflections of Recent Developments concerning the relationship of Banker
and Customer” (1988) 4 The Canadian Business Law Journal 129

E.            DUTIES OWED BY THE BANKERS AND CUSTOMERS TO EACH OTHER

1)   Duties owed by the Bank to the Customer

i. Woods V Martin’s Bank Ltd (1959) 1 QB 55

ii. Lloyds Bank Ltd V Bundy (1975) QB 326
iii. National Westminster Bank Plc V Morgan (1985) AC 686
iv. Conish V Midland Bank Plc (1985) 3 ALL ER. 513
v. Bank of Credit & Commerce International SA V Aboody (1989) 2 WLR 759
vi. Barclays Bank Plc V O’Brein & Another (1994) AC 340
vii. Parry Jones V Law Society (1965) 1 Ch 1
viii. Tournier V National Provincial and Union Bank of England (1924) 1 KB 461
ix. Bucknell V Bucknell (1969) 1 WLR 1204
x. Standard Bank of West Africa V A.G. of Gambia (1972) 3 ALR Comm. 449
xi. Libyan Arab Foreign Bank V Bankers Trust Co. (1988) 1 Lloyds Rep. 259
xii. Weld Blundell V Stephens (1920) AC 956
xiii. Sunderland V Barclays Bank Ltd (1938) L DAB 163
xiv. Parson’s V Barclays & Co. Ltd (1910) 2 LDAB 248
xv. Bank of Uganda Act
xvi. G.A. Schimttsches Weight V Leslie (1967) 2 ALR Comm. 34
xvii. Joachimson V Swiss Bank Corporation (1921) 3 KB 110
xviii. Johnson (Liquidator of Merchants Bank) V Sobaki (1968) ALT Comm. 241
xix. Swettenham Authority V T.W & Co. (M) Sdn. Bhd
xx. Highland V R.R Low (Luxury Coaches) Ltd (1962) 1 QB 694
xxi. Williams V Cruzon Syndicals Ltd (1919) 35 TLR 475
xxii. Commissioner of Taxation V Australian and New Zealand Banking Group Ltd
(1979) 53 ALJR
xxiii. Baboloba V Union Bank of Nigeria Ltd (1980) 1 ALR Comm. 201
 xxiv. Indechemists Ltd V National Bank of Nigeria Ltd (1976) 1 ALR Comm. 143
xxv. Esso Petroleum Co. V Uganda Commercial Bank CA 14 of 1992 (SC)
xxvi. Hedley Byrne & Co. V Heller & Partner (1964) AC 465
xxvii. Baines V National Provincial Bank (1927) 96 LJ KB 801

Reading:

i. Simone Wong, “Re visiting Barclays Bank V O’Brien and Independent Legal
Advice for vulnerable sureties” (2002) Journal Business Law 439
ii. Nigel A Clayton, “Banks as Fiduciaries: The UK Position (1992) 8 Journal of
International Banking Law 315
iii. Ross Cranston, “The Bank’s Duty of Disclosure” Journal of Business Law 105
iv. The Evidence (Banker’s Book) Act, Cap 7
v. Income Tax Act, Cap 340
vi. Leadership Code Act, Cap 168
vii. Prevention of Corruption Act, Cap 121
viii. Companies Act, Cap 110
ix. Civil Procedure Rules SI 65-3

2)   Duties owed by the Customer to the Banker

 Joachimson V Swiss Bank Corporation (1921) 3 KB 110

 London Joint Stock Bank V Macmillan & Another (1918) AC 777
 Shigsby V District Bank (1932) 1 KB 544
 Mobil (U) Ltd V UCB (1982) HCB 64
 Greenwood V Martin’s Bank (1933) AC 51
 Brown V Westminster Bank (1964) 2 Lloyds Rep. 187
 Tai Hing Cotton Mill Ltd V Liu Chong Hing Bank Ltd (1986) AC 80
 London International Trust Ltd (1980) 1 Lloyds Rep. 241
 Cuncliffe Brooks & Co. V Blackburn & District Benefit Building Society (1884)
9 AC 857
 Westminster Bank V Hulton (1926) 136 LT 315
 Nigeria Advertising Services Ltd V United Bank for Africa Ltd (1968) 1 ALR
Comm. 6
 Commonwealth Trading Bank of Australia V Sydney Wide Stores Pty Ltd (1981)
148 CLR 304
 Bank of Zambia V A.G. of Zambia (1974) 2 ALR Comm. 225

 Joint Account

1. Jackson V White Midland Bank Ltd (1967) 2 Lloyds Rep. 68

2. Catlin V Cyprus Finance Corporation (London) Ltd (1983) QB 759
3. RE Bishop National Provincial Bank Ltd V Bishop (1965) Ch. 450
4. Russel V Scott (1936) 55 CLR 440
5. Marshall V Crutwell (1875) LR 20 Eq. 328
6. Mc Evoy V Belfast Banking Co. (1935) AC 24

 Partnership Account

1. Alliance Bank V Kearsley (1877) LR 6 CP 433

2. Re Bourne (1906) 2 Ch. 427
3. Partnership Act, Cap. 114

 Executor & Administration

1. Succession Act, Cap. 162

2. Marshall V Broad Hurst (1831) 1 C&J 403
3. Farhall V Farhall (1871) LR 7 Ch. App. 123

 Trust Account

1. Trustee Act, Cap.

2. Re Tillot (1892) 1 Ch. 86
3. Thomson V Clydesdale Bank (1893) AC 282
4. Rowlandson V National Westminster Bank Ltd (1978) 1 WLR 798
5. John V Dodwell & Co. Ltd (1918) AC 563

 Solicitors Account

1. Solicitors Accounts Rules

2. Plunkett V Barclays Bank Ltd (1936) 2 KB 107
3. Loscher v Dean (1950) Ch. 491

 Local Authorities

1. Local Government Act (as amended)

2. 1995 Constitution (as amended)
3. Southend-on-sea Corporation V Hodgson (Hickford) Ltd (1962) 1 QB 416
  Minors Account

1. Contract Act, Cap 73

2. Childrens’ Act, Cap 59
3. R Leslie Ltd V Shell (1914) 3 KB 607
4. Valentine V Canali (1890) 24 QBD 166
5. Nottingham Permanent Benefit Building Society V Thurstan (1903) AC 6
6. Coults & Co. V Brown-Lecky (1947) KB 104
7. Yeowan Credit Ltd V Laster (1961) 1 WLR 828
8. Uganda Motors Ltd V Wavah Holdings Ltd CA No. 19 of 1991
9. Bank of England V Vagliano Brothers (1891) AC 107
10. Ellis V Ellis (1689) Comb. 482

 Unincorporated Associations Accounts

1. Taff Vale Railway Co. V Amalgamated Society of Railway Servants (1901) AC

426
2. Coults & Co. V Irish Exhibition in London (1891) 7 TLR 313
3. Bradley Egg0 Farm Ltd V Clifford (1943) 2 ALL ER 378
4. African Continent Bank V Balogun (1969) 1 ALT Comm. 386
5. Flemyng V Hector (1835-42) ALL ER 463

 Companies Accounts

1. Companies Act, Cap 110

2. General Action Estate and Monetary Co. V Smith (1891) 3 Ch. 432
3. Ashbury Railways Carriage Co. V Riche (1875) LR 7 HL 653
4. Rolled Steel Products (Holdings) Ltd V British Steel Corporation (1986) Ch. 246
5. Rama Corporation Ltd V Proved Tin & General Investment Ltd (1952) 2 QB 147
6. British Bank of Middle East V Sunlife Assurance Co. of Cananda (1983) 2 Lloyds
Rep. 9
7. Freeman & Lockyer V Buckhurst Park Properties (Mangal) Ltd (1964) 2 QB 480
8. London Intercontinental Trust Ltd V Barclays Bank Ltd (1980) 1 Lloyds Rep. 241
9. Durham Fancy Goods Ltd V Michael Jackson (Fancy Goods) Ltd (1968) 2 QB
839

F.            TYPES OF ACCOUNTS OF CUSTOMERS AND RELATED ISSUES

1)   Current Account

 1. Foley V Hill (1848) 2 HCC 78
2. Joachimson V Swiss Bank Corp (1921) 3 KB 110
3. Robinson V Midland Bank Ltd (1924) 41 TLR 120
4. United Nigeria Insurance Co. V Muslim Bank (West Africa) Ltd (1972) 2 ALR
Comm. 8
5. Lloyds Bank V E.B Savoy & Co. (1933) AC 201
6. Ladbroke & Co. V Todd (1924) 111 LT 430
7. Bank of New South Wales V Laing (1954) AC 135
8. Arab Bank Ltd V Barclays Bank (DCO) (1954) AC 495

2)   Overdraft

1. Re Horne Ex P The Trustee V Kensington Borough Council (1951) Ch. 85

2. Rouse V Bradford Banking Co. (1894) AC 586
3. Yourell V Hiberman Bank Ltd (1918) AC 372
4. Devaynes V Noble, Clayton’s Case (1816) 1 Mer 572
5. Deely V Lloyds Bank Ltd (1912) AC 756
6. London Intercontinental Trust Ltd V Barclays Bank Ltd (1980) 1 Lloyds Rep. 241

3)   Interest

1. Yourell V Hiberman Bank Ltd (1918) AC 372

2. National Bank of Greece SA V Pinios Shipping Co. (No. 1): The Maria (1988) 2
Lloyds Rep. 126
3. Hanlal Shah V Stanford Bank (1967) (1) ALR Comm. 209

4)   The Statement of Account

1. Clayton’s Case (1818) 1 Mer 529

2. Skyring V Greenwood & Cox (1825) 4 B&C 281
3. Holland V Manchester & Liverpool District Banking Co. (1909) 14 Comm. Cas
241
4. United Overseas Bank V Jiwani (1976) 1 WLR 964
5. Keptingalla Rubber Estate Ltd V National Bank of India Ltd (1909) 2 KB 1010
6. Tai Hing Cotton Mill Ltd V Liu Chong Hing Bank Ltd (1986) AC 80
7. Blackburn Building Society V Cunliffe, Brooks & Co. (1882) 22 Ch. D 61
8. Greenwood V Martins Bank Ltd (1933) AC 51
9. Brown V Westminster Bank Ltd (1964) 2 Lloyds Rep. 187

5)   Over Crediting and Debiting

 1. Holland V Manchester & Liverpool District Banking Co. (1909) 14 Comm. Cas
241
2. Lloyds Bank V Brooks (1950) 72 JIB 114
3. Keptingalla Rubber Estate Ltd V National Bank of India Ltd (1909) 2 KB 1010
4. Tai Hing Cotton Mill Ltd V Liu Chong Hing Bank Ltd (1986) AC 80

6)   Appropriation of Payments

1. Devaynes V Noble, Clayton’s Case (1816) 1 Mer 572

2. Deely V Lloyds Bank Ltd (1912) AC 756
3. Siebe Gorman & Co. Ltd V Barclays Bank Ltd (1970) 2 Lloyds Rep. 142
4. The Mecca (1897) AC 286
5. Bradford Old Bank V Sutcliffe (1918) 2 KB 833
6. Mohamed Osman Hamra V Sudan Commercial Bank 1967 (1) ALR Comm. 389

7)   Other Accounts

1. Foley V Hill (1848) 2 HCC 78

2. R V Ezekiel (1967) 3 ALR Comm. 10
3. Ayuba V Ogunlekye (1970) 2 AKR Comm 21

G.           COMBINATOIN OF ACCOUNTS, LIEN, SET-OFF

1. Combination of Accounts

 Re European Bank, Afra Bank Claims (1872) LR 8 Ch.41

 National Westminster Bank Ltd V Halesowen Presswork & Assemblies Ltd
Westminster Bank Ltd (1970) 3 WLR 625
 Greenhalgh V Union Bank of Manchester (1924) 2 KB 153
 Greenwood Teale V William Williams, Brown & Co. (1894) 11 TLR 56
 Barclays Bank Ltd V Quist Close Investments Ltd (1970) AC 567
 Garnet V M’Kewn (1872) LR & 8 Ex. 10

2. Bankers Lien

 Re London & Globe Finance Corporation (1902) 2 Ch. 416

 Re Bowes (1886) 33 Ch. D 416
 Choice Investments Ltd V Jeromnimon (Midland Bank, Garnishee) (1981) 1 ALL
ER 225
 Siebe Gorman & Co. Ltd V Barclays Bank Ltd (1970) 2 Lloyds Rep. 142
  Bolland V Bygraves (1846) 3 CB 519 (HL)
 Halesowen Presswork & Assemblies Ltd V Westminster Bank (1970) 3 WLR 625
 Curie V Musa (1876) 1 App. Cases 554
 Barclays Bank Ltd V Astley Industrial Trust Ltd (1970) 2 QB 527

3. Set Off

 Halesowen Presswork & Assemblies Ltd V Westminster Bank (1970) 3 WLR 625
 Re European Bank Agra Bank Claim (1872) 8 Ch. App. 41
 Barclays Bank Ltd V Qusitclose Investments (1970) AC 567
 Rouse V Bradford Banking Ltd (1965) 3 ALL ER 81
 British Eagle International Airlines Ltd V Compagnie Nationale Air France
(1975) 1 WLR 758

H.           DRAWING & NEGOTIATION OF CHEQUES

a)   Definition and attributes of Cheques

i. Bills of Exchange Act, Cap

ii. Clearing House Rules (Uganda)
iii. Royal Bank of Ireland Ltd V O’Rourke (1962) LR 159
iv. Barvins Jnr & Sons V London & South Western Bank (1900) 1 WB 270
v. Goodman V J Eban Ltd (1954) 1 QB 550
vi. Jhailwal V Great Northern Railway Co. (1910) 2 K 509
vii. Bank of England V Vagliano Brothers (1891) QC 107
viii. North & South Wales Bank V Macbeth (1908) AC 137
ix. Orbit Mining & Trading Co. Ltd (1963) 1 QB 794

b)   Negotiability of a Cheque

i. Miller Associates (Australia) Pty Ltd V Bennington Pty Ltd (1975) 7 ALR 144
ii. Bank of England V Vagliano Brothers (1891) QC 107
iii. Hiberman Bank Ltd V Gysin & Hanson (1939) 1 KB 483
iv. House Property Co. of London Ltd V London County & Westminster Bank Ltd
31 TLR 479

c)    Postdated Cheques

i. Brien V Dwyer (1979) 2 ALR 485

ii. Hitchcock V Edwards (1889) 60 LT 636
iii. Jetha Ismail Ltd V Somani Brothers (1960) EA 26
 iv. Esso Standard (Uganda) Ltd V Uganda Commercial Bank Civil Appeal No. 14/
1992
v. Bank of Baroda Ltd V Punjab National Bank Ltd (1914) AC 176

d)   Crossed Cheques & Endorsement

i. Bills of Exchange Act

ii. Great Western Railway Co. V London & County Banking Co. Ltd
iii. Universal Guarantee Pty Ltd V National Bank of Australia Ltd (1965) 1 Lloyds
Rep. 525
iv. Ladipo V Standard Bank of West African
v. Magecha V Malinda & Anor (1974) 3 ALR Comm. 241
vi. Rolfe Lubell & Co. V Keith & Anor (1979) 1 ALL ER 860
vii. Arab Bank V Ross (1952) 2 QB 216

e)   Holders in Respect of Cheques

i. Procurement of Payment

 Alexander V Burchfield (1842) Man & G 1061

 Mirghani Shebeika V Mohammed Ahmed (1972) (1) ALR Comm. 316
 Buko V Nigeria Pools Co. Ltd (1966) (2) ALR Comm. 200
 Molti Holdings Ltd & Anor V Uganda Commercial Bank (No. 2) (1971) (1) ALR
Comm. 219

ii. Notice of Dishonour

 Nanji Khodabhai V Sohan Singh & Anor (1957) EA 291

 Emile Hobib Bateekha V Rosan Alani Eddin (1970) (1) ALR Comm. 205

iii. Noting and Protest

iv. Holder and Holder in Due Course

 Arab Bank Ltd V Ross (1952) 2 QB 216

 Re Jones Ltd V Waring & Gillow (1926) AC 670
 N.S Rawal V Rattan Singh & Another (1956) 29 KLR 98
  Bank of England V Vagliano Brothers (1891) QC 107
 Nanaalel Vrajdas V Chunilal Dhanji Mehta (1946) 13 EACA 58

v. Defenses to a claim on Cheque

 Shirley V Tanganyika Tergy Plastics (1968) EA 531

 Inspector –Plastics Mould Ltd V Atico Ltd (1967) (3) ALR Comm. 256
 Esso Petroleum (U) Ltd V UCB C.A No. 14 of 1992 SC (Unreported)
 Gourind Ukeda Patel V Dhanji Nanji (1960) EA 410
 Raichura V Uganda Chemists Ltd C.A No. 61 of 1956 (Unreported)
 Nanji Khodabhai V Sohan Singh & Anor (1957) EA 291
 Overman Co. V Rahimtulla (1930) 12 KLR 131
 Kock V Dicks (1933) 1 KB 307
 Baxendale V Bennett (1878) 3 QBD 525

vi. The Banks Duty to Pay Cheques

 Bunett V Westminster Bank Ltd (1966) 1 QB 742

 Joachimson V Swiss Bank Corp. (1921) KB 110
 Marzetti V Williams (1830) 1 B&Ad 415
 Woodland V Fear (1857) 7 E&B 519
 Arab Bank Ltd V Barclays Bank (DCO) (1954) AC 495
 Hopenstall V Jackson (Barclays Bank, Garnishee) (1939) 1 KB 585
 Mareva Compania Naviera SA V International Bank Carriers SA (The Mareva)
(1975) 2 Lloyds Rep. 509
 Companari V Woodburn (1854) 15 CB 400
 Young V Toynbee (1910) 1 KB 215
 Re Wigwell, ex P Hart (1921) 2 KB 835
 Re London & Mediterranean Bank (1870) LR 5 Ch. App 567

I.             BANKS LIABILITY FOR WRONGFUL PAYMENT

a)   Bank’s Liability

 London Joint Stock Bank Ltd V Macmillian & Arthur (1918) AC 777
 Midland Bank Ltd V Seymour (1955) 2 Lloyds Rep. 146
 Morison V London County & Westminster Bank Ltd (1914) 3 KB 356
 Barvins Junior & Sims V London & South Western Bank Ltd (1900) 1 QB 270

  The Paying Bank’s Defense for Wrongful Payment under Common Law & Equity
  Principles of common law & equity
 Brown V Westminster Bank Ltd (1964) 2 Lloyds Rep. 187
 Greenwood V Martins Bank Ltd (1933) AC 51
 National Bank of New Zealand Ltd V Walpole and Palterson Ltd (1975) 2 NZLR
7
 Scholfield V Earl Londesborough (1896) AC 514
 Sydney Wide Stores Pty Ltd V Commonwealth Trading Bank (1981) 55 ALJR
574
 Tai Hing Cotton Mill Ltd V Liu Chong Hing Bank Ltd (1986) AC 80
 London Intercontinental Trust Ltd V Barclays Bank Ltd (1980) 1 Lloyds Rep. 241
 West V Commercial Bank of Australia Ltd (1935) 55 CLR 315
 Cuncliffe Brooks & Co. V Blackburn & District Benefit Building Society (1884)
9 AC 857
 Westminster Bank V Hulton (1926) 136 LT 315
 Ligget (Liverpool) Ltd V Barclays Bank Ltd (1928) 1 KB 48
 Re Cleadon Trust Ltd (1939) Ch. 286

  The Paying Bank’s Defense for Wrongful Payment: Statutory Protections

b)   The Paying Bank

 Bills of Exchange Act

 Indechemists Ltd V National Bank of Nigeria Ltd (1976) (1) ALR Comm. 143
 Lipkin Gorman V Karprile & Anor (1989) FLR 137
 Arab Bank Ltd V Ross (1952) 2 QB 216
 Australian Mutual Provident Society V Derham (1970) 39 FLR 165
 Carpenter’s Co. V British Mutual Banking Co. Ltd (1938) 1 KB 511
 Bank of England V Vagliano Brothers (1891) QC 107

c)    Collecting Bank

 Esso Petroleum (U) Ltd V UCB C.A No. 14 of 1992 SC (Unreported)

 Capital & Counties Bank Ltd V Gordon (1903) AC 240
 Atrib V United Bank of African Ltd (1968) (1) ALR Comm. 240
 Lloyds Bank V E.S. Savoy & Co. (1933) AC 201
 House Pty Co. of London Ltd V London County & Westminster Bank Ltd (1920)
AC 683
 Lloyds Bank Ltd V Chartered Bank of India Australia and China (1929) 1 KB 40
 Dukhiya V Standard Bank of South African Ltd (1959) EA 958
 Barclays Bank Ltd V W.J Simms, Son & Cooke (southern) Ltd & Anor (1980)
QB 677
 John V Dodwell & Co. (1918) AC 563
J.             CUSTOMERS REMEDIES FOR WRONGFUL DISHONOUR OF CHEQUES
AND LIMITATION OF ACTIONS

i. Action for Wrongful Dishonour

 Gibbons V Westminster Bank Ltd (1939) 2 KB 882

 Evans V London & Provincial Bank, The Times, 1 March 1917
 Davidson V Barclays Bank Ltd (1940) 1 ALL ER 316
 Plurkett V Barclays Bank Ltd (1936) 2 KB 167
 Coker V Standard Bank of Nigeria Ltd (1976) (1) ALR Comm. 174
 Patel V National & Grindlays Bank Ltd (1968) (3) ALR Comm. 249
 Balogun V National Bank of Nigeria Ltd 109 ER 842
 Baker V Australia & New Zealand Bank Ltd (1958) NZLR 907
 Jayson V Midland Bank Ltd (1968) 1 Lloyds Rep. 409
 Govind Ukeda Patel V Dhanji Nanji (1960) EA 410
 Flach V London & South Western Bank Ltd (1915) 31 TLR
 Davidson V Barclays Bank (1936) 2 ALL ER 1237
 Indechemists Ltd V National Bank of Nigeria Ltd (1976) (1) ALR Comm. 143
 African Continental Bank Ltd V China & Ors & Sons (1975) (2) ALR Comm.
298

ii. Limitation of Actions

 Limitations Act
 National Bank V Peter (1971) (1) ALR Comm. 262
 Joachimson V Swiss Bank Corp (1921) 3 KB 110
 Douglas V Lloyds Bank Ltd (1929) 34 Comm. Cas. 263
 Financial Institutions Act, 2004
 Parr’s Banking Co. Ltd V Yars (1898) 2 QB 460

K.           TERMINATION OF BANKERS/ CUSTOMER CONTRACT

 Prosperity Ltd V Lloyds Bank Ltd (1923) 39 TLR 372

 Re Russian Commercial & Industrial Bank (1955) 1 Ch. 148
 Foley V Hill (1948) 2 HL Cas 28
 Joachimson V Swiss Bank Corp (1921) 3 KB 110
 Banex Ltd V Gold Trust Bank Ltd CA No. 29 of 1993 (SC) Unreported
 Farrow V Wilson (1869) LR 54 CP 744
 Graves V Cohen (1929) 46 TLR 121
 Wooley V Clark (1822) 5 B & Ald 744
 Imperial Loan Co. V Stone (1892) 1 QB 599
 Re Beavan, Davies, Banks & Co. V Beavan (1912) 1 Ch. 196
  Re Grays Inn Construction Co. Ltd (1980) 1 WLR 711
 Hopenstall V Jackson, Barclays Bank Ltd, Garnishees (1939) 1 KB 585
 Hischorn V Evans, Barclays Bank Ltd, Garnishees (1938) 2 KB 801
 Lancaster Moter Co. (London) Ltd V Bremith Ltd, Barclays Bank Ltd Garnishees
(1944) 1 KB 675

L.            SECURITIES FOR BANKER’S ADVANCES

 Barclays Bank Ltd V W.J Simms, Son & Cooke (Southern) Ltd & Anor (1980)
QB 677
 John V Dodwell & Co. (1918) AC 563

a)   Object of Securities

i. Sanders Bros V Maclean & Co. (1833) 11 QBD 327

ii. Helby V Mathews]
iii. Fairclough V Swan Brayway Co. Ltd (1912) AC 565
iv. Cromwell Dreparty Investment Co. Ltd V Western & Toorey (1934) Ch. 322

b)   Mortgage over land

i. Mortgage Act
ii. Registration of Titles Act
iii. Muhamadi Waswa V Asumani Kikungwe (1952-6) 7 ULR 1
iv. Mutambulire V Yosefu Kimera [1975] HCB 150
v. Fakhruddin Mahamedali Jafferi V Amedali Abdulhessein Lukman (1946) 13
EACA 77
vi. Olinda De Souza Figueuredor V Kassamalai Nanji (1963) EA 381
vii. Barclays Bank of Uganda Ltd V Livingstone Katende Lutu (1994) 1 KALR 65
viii. Biggs V Hoddinnott (1898) 2 Ch. 307
ix. Samuel V Jerrah Timber & Wood Paring Corporation Ltd (1904) AC 323
x. Jennings V Ward (1705) 2 Vern 520
xi. Govindji Popatal V Nathoo Visandji (1962) EA 372
xii. Grindlays Bank (U) Ltd V Edward Boaz Civil App. No. 23 of 1992
xiii. Uganda Credit Savings Bank V Eriyasali Sonkuba (1966) EA 508

c)    The Bankers Lien

 Brandao V Barnett (1846) 12 CL & Fin 787

 General Procedure Co. V United Bank Ltd (1979) 2 Lloyds Rep. 255
 Re London & Globe Finance Corporation (1902) 2 Ch. 416
  Choice Investments Ltd V Jeromnimon (Midland Bank, Garnishee) (1981) 1 ALL
ER 225
 Siebe Gorman & Co. Ltd V Barclays Bank (1979) 2 Lloyds Rep. 142
 Matia Wasswa V Uganda Commercial Bank [1982] HCB 30
 Mukono Cycle Mart Ltd V Cooperative Bank & Anor [1987] HCB 66
 Fred Kamanda V Uganda Commercial Bank CA No. 17 of 1995 (SC)
 Barclays Bank Ltd V Astleef Industrial Trust (1970) 2 QB 527

d)   The Pledge

 The Odesa (1916) 1 AC 154

 Midland Bank Ltd V Reckitt (1932) ALL ER 90
 Latyori V Keitumba (1976) 2 ALL Comm.
 Fred Kamanda V Uganda Commercial Bank CA No. 17/1995 (SC)
 Dharamshi Vassabhji & Ors V National & Grindlays Bank Ltd (1964) 2 ALR
Comm. 10 (Kenya)

e)   Guarantees as Security

 Re Conley, ex Parte Trustee V Barclays Bank (1938) 2 ALL ER 127

 Barclays of Uganda V Livingston Katende Luutu CA No. 22 of 1993 (SC)
 Grindlays Bank (U) Ltd V James Obol Ochola, James Obua Otaa & Ors CS
No.1071 of 1978
 Ikomi V Bank of West Africa Ltd (1965) AFR Comm. 25
 National & Grindlays Bank Ltd V Patel & Ors (1968) 1 ALR Comm. (1) 350

f)     Loan Recovery and Insolvency

 Recovery of secured and unsecured debt

 Insolvency, bankruptcy and liquidation

g)   Electronic and internet Banking

 Laws of EFT, Legislation, the EFT Code of Conduct and Code of Banking
Practice
 The Uganda Banking Industry Ombudsman
 Legal issues on EFT
 Internet Banking

h)   Banking Frauds

  What is banking fraud? How is it committed?

  Operational fraud
  Credit fraud

 Managing fraud