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2 clusters · 2 sources · 21 days · First seen · Last updated

Philippine judicial ruling on bank negligence

Overview

The Supreme Court of the Philippines ruled that banks are liable for funds withdrawn due to their own gross negligence. In a case involving BDO Unibank Inc. and Cristina Barcellano, the court denied a petition to recover funds withdrawn after a teller mistakenly processed a regional check as a local one.

The court rejected arguments of unjust enrichment, stating that the bank’s disregard for its own policies constituted gross negligence. The ruling emphasized that banking is a “business of public trust” and that financial institutions must maintain the highest degree of diligence rather than shifting the burden of procedural lapses onto customers.

Entities

Landbank · Supreme Court of the Philippines · Alfonso Herrera Cedeño · BDO Unibank Inc. · Cristina Barcellano

Timeline

  1. 3 days ago

    [BUSINESS] 2 sources
    Supreme Court rules banks liable for errors causing wrongful fund withdrawals

    The Philippine Supreme Court ruled that banks cannot demand repayment of funds withdrawn due to their own gross negligence, reinforcing depositor protections and the duty of banks to exercise high diligence.

  2. 23 days ago

    [BUSINESS] 4 sources
    Colombian regulator mandates banks reimburse unauthorized debit withdrawals

    Colombia's financial regulator ruled that banks must reimburse customers for unauthorized debit‑card withdrawals, setting new security and monitoring standards after a lawsuit against Banco Davivienda.

Sources

negrosnowdaily.com · technobaboy.com