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- This problem is based on the obligations of the customer in a banker-customer relationship.
- In this case Mr. Karanja has lost Kshs. 300,000 to Hatari who completed the cheque and encashed it.
- It is evident that there is a banker-customer relationship between Karanja and the banker.
Karanja therefore owes the banker a duty of care when drawing cheques to avoid alteration.
- Mr. Karanja is not only careless but negligent by signing blank cheques. It is clear that Mrs.
Karanja is equally negligent hence the loss. The Karanjas have no one to blame other than themselves.
- My advise to the bank is that there is no cause for alarm as the Karanjas have no sustainable
claim against it if they were sue. The bank has a watertight defence of negligence on the part of the Karanjas.
- My advise is based on the decision in London Joint Stock Bank Ltd V. Mcmillan andArthur
whose facts were substantially similar.
raphael answered the question on April 17, 2018 at 18:49
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Date posted: April 17, 2018. Answers (1)
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Date posted: April 17, 2018. Answers (1)
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Due to Desmond's carelessness in allowing excessive electric current to develop in his generator, the electricity supply to the locality cut after a few hours. As a result, Derrick's factory was at a standstill during this period and he lost Sh. 50,000 by way of profits from lost production.
Advise Derrick in regard to his rights, if any, against Desmond.
Date posted: April 17, 2018. Answers (1)
- “An occupier of premises owes a duty of care towards persons who are lawfully on his premises. The Occupiers Liability Act does not affect the...(Solved)
“An occupier of premises owes a duty of care towards persons who are lawfully on his premises. The Occupiers Liability Act does not affect the position of trespassers.”
In relation to the above statement, what is the extent of potential liability of an occupier and to what extent can such an occupier safeguard such liability.
Date posted: April 17, 2018. Answers (1)
- Mrs. Hamilton borrowed Sh. 5 million from White Bank and offered her house at White Highlands Estate as a security. She has been unable to...(Solved)
Mrs. Hamilton borrowed Sh. 5 million from White Bank and offered her house at White Highlands Estate as a security. She has been unable to service the loan and is in arrears. The bank intends to realize the security and seeks your legal advice on what options they can take to realize the security.
Advise White bank.
Date posted: April 17, 2018. Answers (1)
- In relation to the Law of Property, state five obligations of a lessor towards a lessee in a
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Date posted: April 17, 2018. Answers (1)
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Advise Annan.
Date posted: April 17, 2018. Answers (1)
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How true is it to say that in order for a contract to be discharged by performance, the
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Date posted: April 17, 2018. Answers (1)
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Date posted: April 17, 2018. Answers (1)
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Date posted: April 17, 2018. Answers (1)
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Date posted: April 17, 2018. Answers (1)
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Date posted: April 16, 2018. Answers (1)
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Date posted: April 16, 2018. Answers (1)