Following the first ever merits judgment on international banking transfer rights under Lebanese law, in which the high court ordered specific performance against two Lebanese banks in favour of our client, Vatche Manoukian, the Court of Appeal has now dismissed the banks’ applications for permission to appeal.

Following the recent decision of the High Court, in which specific performance was ordered against two Lebanese banks in favour of our client, Vatche Manoukian, the Court has now handed down its fully reasoned judgment. The judgment in favour of our client is groundbreaking in being the first full merits judgment in any jurisdiction on the international transfer rights of banking customers under Lebanese law. That issue is likely to be of very real interest to all customers of Lebanese banks, but particularly those who can bring claims in the UK or EU under consumer legislation. The High Court considered whether two Lebanese banks in this case had an obligation to effect the international bank transfer requested by our client, Mr Manoukian. The Court interpreted the terms and conditions of the two banks in accordance with Lebanese law, and considered the impact of custom on the contracts with banks. In finding in favour of our client, the Court held that Mr Manoukian had a right to an international transfer, thus being entitled to an order for specific performance. That finding was based both on the terms of the contracts but also the wider issue of Lebanese banking custom which is incorporated into contracts under the Lebanese civil code. Written by Graham Shear, partner, Andrew Street, senior associate and Irina Tuca, trainee solicitor at Bryan Cave Leighton Pasiner LLP and first published on 25 March 2022. Vatche Manoukian v Société Générale De Banque Au Liban S.A.L and Bank Audi S.A.L

In the case of Vatche Manoukian v Société Générale De Banque Au Liban and Bank Audi, BCLP’s client, Vatche Manoukian, has succeeded in obtaining an order for payment of international transfers from his bank accounts held with the defendants, who are two of the largest banks in Lebanon.