Article
Supreme Court Clarifies Risk of Loss Due to Fraudulent EFTs
National Banking Law Review 40.1
Document Type
Article
Publication Date
2-1-2021
Disciplines
Abstract
The Supreme Court of Canada released a short
decision on December 10 confirming unanimously that
it is the bank’s customer who bears the risk of loss of an
amount that the bank transferred by electronic payment
order from the customer’s account to a third party as
a result of a phishing scam. The decision adopts the
reasoning of the Québec Court of Appeal and specifies
that it would not have been different if the customer’s
account had been in positive balance. In this case, the
customer’s account was in a debit position.
Citation Information
Christopher Richter, Benjamin Geva, Matthew Angelus and Eli Monas. "Supreme Court Clarifies Risk of Loss Due to Fraudulent EFTs" National Banking Law Review 40.1 (2021) Available at: http://works.bepress.com/benjamin_geva/147/