2006•SSRN Electronic JournalOpen access

The Bank's Fiduciary Duty: An Israeli-Canadian Comparison

Ruth Plato‐Shinar

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Abstract

A deep-seated rule in Israeli law is that the bank owes a fiduciary duty to its customers. The concept of imposing a fiduciary duty on banks is not originally an Israeli one. The Israeli courts adopted it from British law. However, from the moment that it was introduced in Israel, the courts expanded it far beyond its original British counterpart. The article reviews the special characteristics of the bank's fiduciary duty in Israeli law, while comparing it to the Anglo-Canadian duty.

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What this paper is about

A deep-seated rule in Israeli law is that the bank owes a fiduciary duty to its customers. The concept of imposing a fiduciary duty on banks is not originally an Israeli one. The Israeli courts adopted it from British law. However, from the moment that it was introduced in Israel, the courts expanded it far beyond its original British counterpart. The article reviews the special characteristics of the bank's fiduciary duty in Israeli law, while comparing it to the Anglo-Canadian duty.

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Available abstract

A deep-seated rule in Israeli law is that the bank owes a fiduciary duty to its customers. The concept of imposing a fiduciary duty on banks is not originally an Israeli one. The Israeli courts adopted it from British law. However, from the moment that it was introduced in Israel, the courts expanded it far beyond its original British counterpart. The article reviews the special characteristics of the bank's fiduciary duty in Israeli law, while comparing it to the Anglo-Canadian duty.

Key concepts: Fiduciary, Duty, Law, Political science, Business

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