Non Discloser Of Customers Details By Banks The Legal Frame Work On The Doctrine Of Non -Disclosvre Of Clients' Details As Regard To The Law Of Banking,

TABLE OF CONTENT

DECLARATION ............................................................................................................................. I

APPROVAL .................................................................................................................................. II

DEDICATION .............................................................................................................................. III

ACKNOWLEDGMENT ............................................................................................................... IV

LIST OF LAWS ............................................................................................................................. V

JJST OF CASES ........................................................................................................................... VI

TABLE OF CONTENT ............................................................................................................. VIII

LIST OF ACCRONYMS ............................................................................................................... X

ABSTRACT .................................................................................................................................. XI

CHAPTER ONE ........................................................................................................................... 1

INTRODUCTION .......................................................................................................................... 1

1.0 IIISTORY AND ORIGIN OF TilE DOCTRINE OF NON-DISCLOSURE ........................... l

1.1 RIGHTS OF TIIF CUSTOMER .............................................................................................. 3

1.2 RIGHTS OF THE BANKER .................................................................................................... 4

1.3 DUTIES OWED BY A BANKER TO A CUSTOMER .......................................................... 5

1.4 STATEMENT OF THE PROBLEM ........................................................................................ 7

1.5 OBJECTIVES OF THE STUDY ............................................................................................. 8

1.5.1 MAIN OBJECTIVES ............................................................................................................ 8

1.5.2 SPECIFIC OBJECTIVES ...................................................................................................... 8

1.5.3 METHODOLOGY ................................................................................................................ 8

1.5.4 SCOPE OF THE STUDY ...................................................................................................... 9

I .5.5 LITERATURE REVIEW ..................................................................................................... 9

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1.6 C: I IAPT'ERISA.riON ............................................................................................................. 16

CliAPTER TWO ............................... ........................................................................... .............. 17

THE EFFECTIVENESS OF THE DOCTRINE OF NON-DISCLOSURE IN RELATION TO

'fHE LEG·AL FRAME WORK IN UGANDA ............................................................................. 17

2.0 INTRODUCTION .................................................................................................................. 17

CHAPTER THREE .................................................................................................................... 21

TilE LEGAL AND POLICY ISSUES ARISING FROM THE DOCTRINE OF NONDISCLOSURE

. ............................................................................................................................. 21

3.0 INTRODUCT'ION .................................................................................................................. 21

CIIAP'fEI~ FOUR ....................................................................................................................... 26

THE IMPORTANCE OF THE DOCTRINE OF NON-DISCLOSURE IN UGANDA . ............. 26

4.0 IN'fRODUCTION .................................................................................................................. 26

CHAPl'ER FIVE ........................................................................................................................ 32

RECOMMENDATIONS, CONCLUSION AND FINDINGS ..................................................... 32

5.0 OBSERVATIONS: ................................................................................................................ 32

5.1 CHALLENGES: ..................................................................................................................... 34

5.2 RECOMMENDATIONS: ....................................................................................................... 37

BIBIOGI~PI-IY ........................................................................................................................... 38

ABSTRACT

One of the cardinal duties of the banker to the customer is the doctrine of non --disclosure, being

that fiduciary trust bestowed on the banker that he or she will not divulge any details such as

accounts. data. profile and any transactions between him and the customer. it's a contractual

agreement where the banker will not disclose anything concerning the customer without his

consent nor will such information be passed on to the third party without prior consent ti·mn him

or her. 1

The doctrine emphasizes the right to privacy which is embedded in our constitutiml, and also

under common law. The banker will be held liable where he chooses deliberately in exclusion of

the exceptions enumerated in Tournier's Principles 3to disclose the customer's details.

It's pertinent to note, that a series of law suits are eminent to the banker where such a banker

breaches the above principle. On assessment of liability, adverse consequences result as to breach of confidentiality and a successful plaintiff may be entitled to compensations, damages

where possible to reinstate him Ji·om that cause of action.

So what is this doctrine of non-disclosure and where did it originate li·om?