The bank had made an electronic transfer of funds for a customer in satisfaction of that customer’s proper debt, but it was done under a mistake of fact as to the cleared status of funds received.
Held: The appeal was turned down. The bank was not entitled to restitution of payment once made.
Judges:
Gibson LJ, Thorpe LJ, Waller LJ
Citations:
Times 03-Dec-1998, [2000] QB 110, [1998] EWCA Civ 1853, [1999] 1 All ER (Comm) 8, [1999] 2 WLR 986, [1999] Lloyds Rep Bank 1
Links:
Jurisdiction:
England and Wales
Citing:
Cited – Barclays Bank v WJ Simms and Cooke (Southern) Ltd QBD 1979
The customer made out a cheque to pay his builder, but countermanded it. The bank paid the cheque when it was presented by mistake, and now sought repayment from the builder.
Held: The bank succeeded. The court discussed the extent of a . .
Cited – Pritchard v Hitchcock 6-Jun-1843
P (the plaintiff) had drawn bills requiring WH to pay P a sum of money three months after date. WH accepted them, but to gain more time for WH, GH (the defendant) guaranteed payment of the bills. P pressed for payment. WH did ultimately pay P but . .
Cited – Kerrison v Glyn, Mills, Currie and Co HL 1912
The plaintiff arranged with his bankers for them to honour cheques of one Patterson and when they advised the plaintiff of the amount of the cheques so honoured, the plaintiff would pay Kessler and Co. The plaintiff paid andpound;500 to the . .
Cited – Aiken v Short 1856
The testator made one will under which C was to be a residuary legatee. He then made a second will under which C was only to take a defeasible annuity. After the T’s death, S advanced andpound;200 to C on the security of an equitable charge of C’s . .
Cited – Kleinwort Benson Ltd v Lincoln City Council etc HL 29-Jul-1998
Right of Recovery of Money Paid under Mistake
Kleinwort Benson had made payments to a local authority under swap agreements which were thought to be legally enforceable when made. Subsequently, a decision of the House of Lords, (Hazell v. Hammersmith and Fulham) established that such swap . .
Cited by:
Cited – Office of Fair Trading v Abbey National Plc and seven Others ComC 24-Apr-2008
The Office sought a declaration that the respondent and other banks were subject to the provisions of the Regulations in their imposition of bank charges to customer accounts, and in particular as to the imposition of penalties or charges for the . .
Lists of cited by and citing cases may be incomplete.
Banking
Updated: 27 November 2022; Ref: scu.83110
