Bochman v State Bank of New South Wales

In *Bochman v State Bank of New South Wales* [1995] NSWCA 51, the New South Wales Court of Appeal considered a dispute between Mr. Bochman and the State Bank of New South Wales concerning the Bank's alleged breach of a duty of care owed to Mr. Bochman.

The central legal issue before the Court of Appeal was whether the State Bank of New South Wales owed a duty of care to Mr. Bochman in relation to its conduct in approving and disbursing a loan to a third party, and if so, whether that duty had been breached.

The Court of Appeal, applying established principles of negligence, found that the Bank did not owe a duty of care to Mr. Bochman in the circumstances. The Court reasoned that the Bank's duty of care was primarily to its borrower, and it was not incumbent upon the Bank to protect the interests of a third party who was not a party to the loan agreement and who had not established any special relationship with the Bank that would give rise to such a duty. The Court distinguished the present case from those where a duty of care might arise, such as where a bank provides financial advice to a client.

The appeal was dismissed.