LLAW6024 & JDOC6024 – Course Profile

General Course Information

1.1 Course details

Course code:	LLAW6024 / JDOC6024
Course name:	Banking Law
Programme offered under:	LLM Programme / JD Programme
Semester:	First
Prerequisites / Co-requisites:	No
Credit point value:	9 credits / 6 credits

1.2 Course description

Combining theory with practice, this course focuses on the laws, regulations and policies that affect the banking industry, as well as the key legal documents used in banking transactions.

Beginning with an introduction to the fundamental concepts of banks and their operations, we explore the evolution of global banking regulations, focusing on capital, liquidity and prudential requirements as well as resolution regimes for banks and other financial institutions.

Our journey then takes a closer look at Hong Kong’s legal and regulatory framework for banking and financial services, ensuring students are well-versed in both global and local banking laws and regulations.

Next, we delve into real-world banking transactions with an emphasis on legal documentation and drafting techniques. Through a detailed case study of syndicated loan agreements, students will gain hands-on experience in crafting and negotiating legal documents. This practical approach continues as we look at other topics such as security interests, guarantees and derivatives.

As the global banking landscape continues to evolve, we consider contemporary issues such as digital assets, central bank digital currencies (“CBDCs”), tokenisation as well as Environmental, Social and Governance (“ESG”) issues in the banking sector. In the wake of the 2023 banking turmoil, we also explore the role of bank deposits and deposit insurance in the financial system.

By the end of this course, students will not only understand the key legal and regulatory principles in the field of banking, but will also acquire practical skills in analysing, drafting and negotiating key agreements used in banking transactions. These analytical and practical skills are highly transferrable to other areas of law.

1.3 Course teachers

	Name	E-mail address	Office	Consultation
Course convenor	Andrew Fei	Andrew.Fei@hk.kwm.com	N/A	By email

Learning Outcomes

2.1 Course Learning Outcomes (CLOs) for this course

CLO 1 Have a sound understanding of the roles and functions of banks within the global and local financial systems.

CLO 2 Grasp key legal and regulatory principles and appreciate how they can be applied in practice to mitigate some of the risks associated with the business of banking.

CLO 3 Be familiar with the structure and features of loan agreements, security agreements, guarantees, derivatives master agreements and other legal agreements used to document banking transactions.

2.2 LLM and JD Programme Learning Outcomes (PLOs)

Please refer to the following link:

LLM – https://course.law.hku.hk/llm-plo/

JD – https://course.law.hku.hk/jd-plo/

2.3 Programme Learning Outcomes to be achieved in this course

	PLO A	PLO B	PLO C	PLO D	PLO E	PLO F
CLO 1	✓	✓	✓	✓	✓	✓
CLO 2	✓	✓	✓	✓	✓	✓
CLO 3	✓	✓	✓	✓	✓	✓

Assessment(s)

3.1 Assessment Summary

Assessment task	Due date	Weighting	Feedback method*	Course learning outcomes
Class participation (it is graded on Pass / Fail basis)	N/A	20%		1, 2, 3
Take home exam	TBC	80%	1	1, 2, 3

*Feedback method (to be determined by course teacher)
1	A general course report to be disseminated through Moodle
2	Individual feedback to be disseminated by email / through Moodle
3	Individual review meeting upon appointment
4	Group review meeting
5	In-class verbal feedback

3.2 Assessment Detail

The take-home exam will be graded based on quality of legal analyses, written expression and demonstrated familiarity with course materials / lectures / class presentations and subject-matter. If handed in late, your exam paper will be penalised at the rate of 5 points out of 100 per day and will not be accepted later than 7 calendar days after the deadline.

3.3 Grading Criteria

Please refer to the following link: https://www.law.hku.hk/_files/law_programme_grade_descriptors.pdf

Learning Activities

4.1 Learning Activity Plan

Seminar:	3 hours / week for 11 teaching weeks
Private study time:	9.5 hours / week for 11 teaching weeks

Remarks: the normative student study load per credit unit is 25 ± 5 hours (ie. 150 ± 30 hours for a 6-credit course), which includes all learning activities and experiences within and outside of classroom, and any assessment task and examinations and associated preparations.

4.2 Details of Learning Activities

To be advised by course convenor.

Learning Resources

5.1 Resources

Reading materials:

Hong Kong Monetary Authority (“HKMA”) Guide to Authorization, available at: https://www.hkma.gov.hk/eng/regulatory-resources/regulatory-guides/guide-to-authorization/

Federal Reserve Bank of Kansas City, Basics for Bank Directors, available at: https://www.kansascityfed.org/Banking/documents/209/BasicsForBankDirectors_KCFed.pdf

Select executive summaries published by the Financial Stability Institute (“FSI”) under the auspices of the Bank for International Settlements (“BIS”): https://www.bis.org/fsi/publications.htm (filter for ‘Executive Summaries’ in the ‘Series’ dropdown menu). The specific executive summaries that you should read are set out in the reading list for each seminar.

Core reading list:

TBA