RIYAD BANK v AHLI UNITED BANK PLC

[2006] Lloyd's Rep Plus 72

COURT OF APPEAL

Before Lord Justice Buxton, Lord Justice Longmore and Lord Justice Neuberger

Banking – Defendant bank agreeing to provide technical services to claimant bank in establishing investment fund which did not contravene Islamic lending principles (“Sharia-compliant”) – Fund established by claimant in England based on model of defendant’s own fund – Investors in fund able to invest in equipment leases – Claimant’s fund subsequently suspended following poor performance – Whether defendant owed a duty of care to claimant – Whether defendant had assumed responsibility towards claimant – Measure of damages.