Banking Law and Practice

Preface

Because of its sensitivity and importance to the public at large, banking is a heavily regulated industry. This book continues along the path started by the first two in this series by discussing bank operations. It takes a new tack, however, by looking at how banks operate in a legal and regulatory light and delves deep into laws and regulations and how banks can shape their practices to meet all the necessary legal and regulatory requirements.

This book is divided into four parts and nine chapters, each looking at a separate issue at considerable depth. Further reading is encouraged and suggestions are provided at the end of each chapter. Every effort has been made to ensure that the laws and regulations referred to in this book are up to date and the most current in use as of November 2011. Updates will be made for later laws and regulations in future editions.

The first part of this book starts with a discussion of the laws and regulations that determine and impact the relationship between a bank and its customers including Hong Kong legislation, Hong Kong Monetary Authority guidelines, and privacy and confidentiality requirements. It includes a look at account handling, the many documents involved in a bank’s external operations, and the different types of customers.

The second part of this book begins in Chapter 3 with an examination of the legal issues that govern negotiable instruments, in particular bills of exchange and promissory notes. The part continues with ...