Bankers Trust International v PT Dharmala Sakti Sejahter [1996] CLC 518
Citation:Bankers Trust International v PT Dharmala Sakti Sejahter [1996] CLC 518
Rule of thumb:Do banks owe a duty to explain their products to people? No, however, if they do provide some advice, they do gain a duty to make sure that it is full, understandable, and accurate advice.
Judgment:
“in the first instance [a bank owes] no duty to explain the nature or effect of the proposed arrangement to that other party. However, if the bank does give an explanation or tender advice, then it owes a duty to give that explanation or tender that advice fully, accurately and properly. How far that duty goes must once again depend on the precise nature of the circumstances”.
Warning: This is not professional legal advice. This is not professional legal education advice. Please obtain professional guidance before embarking on any legal course of action. This is just an interpretation of a Judgment by persons of legal insight & varying levels of legal specialism, experience & expertise. Please read the Judgment yourself and form your own interpretation of it with professional assistance.