Banks cannot invoke Section 171 of Indian Contract Act to recover pending dues from a deceased customer

ICICI BANK Vs Manjeet Kaur (Delhi State Consumer Disputes Redressal Commission) Whether the bank may exercise and invoke the banker’s Rights of Lien as per Section 171 of the Indian Contract Act, 1872 to settle the dues from the deceased person in case the deceased person has taken a loan? The answer is negative as per the judgment of ICICI BANK Versus Manjeet Kaur decided dated 16.03.2022 by the Delhi State Commission. As per the RBI circular dated 09.06.2005 and 01.07.2011, the bank cannot make the adjustment in the bank account of the deceased person without the prior permission of the no...