Peter Watts, ‘The Quincecare duty: misconceived and misdelivered’

The ‘Quincecare duty’ refers to a putative duty on a bank owed to a customer not to follow the instructions of a person authorised to operate the customer’s bank account, ‘a mandatary’, when it has reasonable grounds for believing that the mandatary is dishonestly using his or her power. It will be submitted in this article that the duty, based as it is on a negligence standard, is misconceived. Actual knowledge on the part of the bank that mandataries are abusing their authority should be required. The correct default standard is one of dishonesty …

€ (Westlaw)

Peter Watts QC, ‘The Quincecare duty: misconceived and misdelivered’ [2020] Journal of Business Law (5) 403-416.

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