Overview

This course aims to provide students with a thorough understanding of the key aspects of Banking, Business and Trust Law, especially when linked with its implementation by Islamic financial institutions and in the context of Islamic finance.

Indicative Content: • Introductory Principles • Commercial Companies Law 2001 • The banker customer relationship and the rights and duties of each party • Licensing requirements imposed by the Central Bank of Bahrain • CBB Rulebook Volume 2 • Types of customers • Cheques, promissory notes, bills of exchange, documentary credit and account Insolvency • LMA loan agreements • Different types of banking facilities (term, revolving and overdraft facilities) • Different types of securities (guarantee, mortgage, assignment of accounts, assignment of insurance proceeds, etc) • Importance of risk in different Islamic transactions such as Murabaha, Mudaraba, Musharaka, Ijarah, Salam, etc. • Bankruptcy and composition laws • Financial Trust Law 2006 • Waqf • Alternative Dispute Resolution and Arbitration

Assessment Strategy

-threshold -D- to D+ (40-49%): No major omissions or inaccuracies in the deployment of information/skills. Some grasp of theoretical/conceptual/practical elements. Integration of theory/practice/information present intermittently in pursuit of the assessed work's objectives.

-good -B- to B+ (60-69%): Very good performance Most of the relevant information accurately deployed. Good grasp of theoretical/conceptual/practical elements. Good integration of theory/practice/information in pursuit of the assessed work's objectives. Evidence of the use of creative and reflective skills.

-excellent -A- to A+ (70%+): Outstanding performance. The relevant information accurately deployed. Excellent grasp of theoretical/conceptual/practice elements. Good integration of theory/practice/information in pursuit of the assessed work's objectives. Strong evidence of the use of creative and reflective skills.

-another level-C- to C+ (50-59%): Much of the relevant information and skills mostly accurately deployed. Adequate grasp of theoretical/conceptual/practical elements. Fair integration of theory/practice/information in the pursuit of the assessed work's objectives. Some evidence of the use of creative and reflective skills.

Learning Outcomes

• Analyse the issues and impact of insolvency of individual and corporate arrangements, including evaluation of the legal implications for financial institutions.

• Analyse the legal principles governing the provision of financial services and trust law (Analysing).

• Describe the legal framework and definitions of the banker/customer relationship to evaluate the legal issues affecting different types of customers.

• Describe the legal rules and duties relating to paper and electronic payment systems and the clearing system with reference to the Banking Code and the Consumer Credit Act.