Royal Bank of Scotland v Etridge (No 2)

A bank owes a duty of care to guarantors to take reasonable steps to ensure they understand the nature and effect of the guarantee under the Code of Banking Practice.

CBA liable for systemic AML/CTF Act contraventions including failure to report suspicious matters and threshold transactions via intelligent deposit machines, resulting in $700 million civil penalty.

Full Federal Court held that bank late payment fees were not penalties or unconscionable under consumer protection law as they bore a genuine pre-estimate of loss or legitimate commercial interest.